GST is till date the biggest tax reform known that brought a uniform taxation system with many positive implications for the industries and return. Ever since GST regulations came in the scene, many businesses, manufacturers, and traders are in confusion regarding the calculations of new taxation’s. They are facing several transitional issues in acknowledging such an altered and encompassing tax system even although it is far much better than the earlier fragmented dicey tax software program. However, ERP is supplying them with the facility to comply with GST and embrace the changes completely. ERP of renowned platforms like Oracle, SAP, Odoo is helping companies to administer and adopt GST system, including taxes computation, configuration, liability accounting, master data amendments, reporting, was in fact forth.
Read on below to know how ERP systems unveil a complete solution for businesses and services firms to comply with GST rules and undergo tax calculations.
Chart of Accounts
Businesses earlier used to eat a separate accounting code for computing VAT (Value Added Taxes) and ST (Services tax) in all goods and services transactions respectively. But, now those codes get combined with GST Online Registration in India the actual ERP’s tax module. As the new regulations, the tax module of ERP carries forward the closing balance of the tax credit from the current to fresh account computer codes.
Audit
ERP’s tax module support firms to calculate their tax returns on product sales and purchases data. It then audits first decompose . before filing the GST returns. This will up enormous time with the company’s accountants and enables them immensely as soon as the daily transactions of goods or services are titanic.
Error-free Tax statements filing
Besides supporting all types of GST transactions, ERP’s tax engine help out with easy identification and correction of all errors for your painless filing of tax statements. Further, it assists companies in exporting of tax returns statement to MS Excel system to upload or later share with their Chartered Accountant, or tax chiropractic physician.
Data Archiving & Protection
Businesses can save, archive and safekeep their tax data as a number of years at one put into an organised way. So, they can later can get on any time if requested. Being able in order to access from a cloud source point, tax accountants could work real-time without having to use any manual data.
GST billing
ERP provides the facility to master all information about GST regulations in a separate GST unit. It enables the companies or taxpayers to take into accout GST while issuing invoices for purchases. It configures the format for GST compliant invoices depending on the business, auto-calculates the GST returns from every sale or purchase invoice and reconciles them.
All said and done, getting an ERP system GST ready is challenging job for the companies. Their existing system needs major revamping and also so they must know which of the modules will affect and which will correlate to new tax rules.
While smooth transitioning using a GST compliant ERP in order to be a costly affair, individuals SMEs, several ERP companies are launching reasonably priced GST-enabled ERP software to cure their associated with GST return filing. With it, instead of filing all of the returns manually, they decide to just invest all sales and purchase invoices details and the GST returns gets computed automatically.