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 taxation’s. They are facing several transitional issues in acknowledging such a modified and encompassing tax system even although it is far much better than the earlier fragmented dicey tax equipment. However, ERP is supplying them with the facility to comply with GST and embrace the changes totally. 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, crafted forth.
Read on below to know how ERP systems roll out 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 their ERP’s tax module. After the new regulations, the tax module of ERP carries forward the closing balance of the tax credit from today’s to brand new account laws.
ERP’s tax module assist firms to calculate their tax returns on the sales and purchases data. After that it audits numerous before filing the GST returns. Great deal up enormous time of this company’s accountants and assists them to immensely as soon as the daily transactions of goods or services are tremendous.
Error-free Taxation statements filing
Besides supporting all regarding GST transactions, ERP’s tax engine help easy identification and correction of all errors for that painless filing of taxes. Further, it helps companies in exporting of tax returns statement to MS Excel system to upload or later give away to their Chartered Accountant, or tax doctor.
Data Archiving & Protection
Businesses can save, archive and safekeep their tax data in a number of years at one spot in an organised way. So, they can later access any time if really needed. Being able to get into from a cloud source point, tax accountants perform real-time without needing any manual data.
GST Registration in India billing
ERP can give the facility to master all particulars about GST regulations in a separate GST unit. It enables the companies or taxpayers to take into accout GST while issuing invoices for transactions. It configures the format for GST compliant invoices 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 that companies. Their existing system needs major revamping and they must know which for the modules will affect and which will correlate to new tax rules.
While smooth transitioning a few GST compliant ERP is still a costly affair, particularly SMEs, several ERP companies are launching reasonably priced GST-enabled ERP software to help ease their associated with GST return filing. With it, rather than filing all the returns manually, they decide to just put in all sales and purchase invoices details and the GST returns gets computed automatically.