With the introduction of goods and service tax on July 1, 2020, India experienced one of the most significant tax reforms in history. One nation, One tax revolutionised the taxation system, thus bringing the multiple taxes under one umbrella of GST. It also brought a change in the filing of the GST compliance by interlinking the numerous chains of the production and thus making the system more transport and organised.

Why is there a need for technology in GST compliance?

Medium and big businesses have a hundred and thousands of invoices every month, and they need to manage these compliances and claim ITC on the invoices regularly. A GST software helps to comply with these returns accurately and on time.

How does GST software help in solving GST compliance?

  1. Getting accurate data for GST compliance: With the help of GST software, you can automate the invoices and collect data from the official government portal of GST. If there are any missing invoices, you can easily track using the GST software.
  2. Ensuring correctness of data: Using the technology to catalogue invoice helps to identify any error in the invoices easily. It also helps in identifying the GST number of merchants who have done GST registration. Also, as the multiple parties are involved, there are complex invoices, which can be accurately monitored only by the software.
  3. Efficient computation of the ITC: If the taxpayers want to get the maximum benefits of ITC, it is necessary to fulfil the precise conditions which include the mandatory registration of all the vendors and filing the returns on time. With the help of GST software, the taxpayers can efficiently match the invoice of your vendors and take the necessary action if required.
  4. Effectively filling the returns: The businessman needs to file GST returns monthly, quarterly and annually of different invoices. Using the GST software helps to seamlessly interact with the GST portal and thus speedily collect the accurate data for filing the returns on time. 
  5. Integrating the data of different software: Medium and big businesses require the use of software such as Enterprise Resource Planning to manage their business operations. If you use the GST software for solving the GST compliance, then it can fetch the data from this software accurately and quickly as well.
  6. Accessing the information anytime: The other significant advantage of using the GST software is that you can access the invoices data anytime and anywhere. It is because the GST software is cloud-based and thus the data is organised in the cloud.
  7. Managing and monitoring compliance under one roof:  GST software also helps to align the state-based and centralised data under the one roof. As we know that the compliances of invoices of vendors are done for every state, but the process of internal accounting and billing is still at a centralised level. Thus, with the software, you can easily manage and monitor the reporting process for filing the returns.
  8. Preparing the GST reports: It is easy to make the GST reports as the GST software gives access to view data at a business level, thus making the experience of GST return filing simplified.

Here are some of the popular GST software used by the businesses for GST compliances:

  1.  BUSY Accounting Software
  2.  ClearTax
  3. Gen GST Software
  4.  Giddh
  5. HDPOS
  6. LegalRaasta
  7. SahiGST
  8. Tally.ERP 9

With the complexities in the process of filing GST returns periodically, the use of GST software can help to solve the compliance effectively without any error and can thus help you to get maximum ITC. It has also enabled large businesses to comply with GST complexity.

Summary: Role of a GST Software in solving GST Compliance 

Medium and big businesses have a hundred and thousands of invoices every month and managing these compliances and claiming ITC on the invoices regularly is a complex tax . A GST software can help the vendors to comply with  the complexity of these returns accurately and on time.

How does GST software help in solving GST compliance?

  1. With the help of GST software, you can automate the invoices and collect data from the official government portal of GST. If there are any missing invoices, you can easily track using the GST software.
  2. Using the technology to catalogue invoice helps to identify any error in the invoices easily.
  3. With the help of GST software, the taxpayers can efficiently match the invoice of your vendors and take the necessary action if required to get the maximum benefits of ITC
  4. Using the GST software helps to seamlessly interact with the GST portal and thus speedily collect the accurate data for filing the returns on time. 
  5. If you use the GST software for solving the GST compliance, then it can fetch the data from this software accurately and quickly as well.
  6. The other significant advantage of using the GST software is that you can access the invoices data anytime and anywhere as the GST software is cloud-based.

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