GST is till date the biggest tax reform known that brought a uniform taxation system with many positive implications for the industries and trade. Ever since GST regulations came in the scene, many businesses, manufacturers, and traders are in confusion regarding the calculations of new place a burden on. They are facing several transitional issues in acknowledging such an altered and encompassing tax system even though it is far better than the earlier fragmented dicey tax system. 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 reveal a complete solution for businesses and services firms to comply with GST rules and undergo tax calculations.
Chart of Accounts
Businesses earlier used to provide 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 the actual ERP’s tax module. At the new regulations, the tax module of ERP carries forward the closing balance of the tax credit from present-day to the account laws.
ERP’s tax module will firms to calculate their tax returns on the sales and purchases data. After that it audits the amount before filing the GST returns. Helps save up enormous time of this company’s accountants and assists them immensely as soon as the daily transactions of services or Goods and service Tax Online Registration in India are tremendous.
Error-free Taxation assessments filing
Besides supporting all types of GST transactions, ERP’s tax engine assistance easy identification and correction of all errors for that painless filing of taxes. Further, it assists companies in exporting of tax returns statement to MS Excel system to upload or later give away to their Chartered Accountant, or tax chiropractic physician.
Data Archiving & Protection
Businesses can save, archive and safekeep their tax data for a number of years at one place in an organised way. So, they can later access it any time if really needed. Being able to look for from a cloud source point, tax accountants works real-time while not having any manual data.
ERP provides the facility to master all information about GST regulations in an individual GST module. It enables nokia’s or taxpayers to comply with GST while issuing invoices for transactions. It configures the format for GST compliant invoices as per 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 so they must know which of the modules will affect and which will correlate to new tax rules.
While smooth transitioning a few GST compliant ERP may be a costly affair, especially for SMEs, several ERP companies are launching reasonably priced GST-enabled ERP software to help ease their process of GST return filing. With it, as an alternative to filing all of the returns manually, they will need just devote all sales and purchase invoices details and the GST returns gets computed automatically.