If you’re running a business you’ll need an accounting software that can help you with all the calculations related to tax. A taxation tool is necessary to calculate the complex taxes and their rates. That’s the reason an accounting software is required to manage all the taxation related calculations, to record all your income and expenses. After the implementation of GST, things have become even more complex as the entire taxation process has changed and new to everyone. Most businesses are hiring professional Chartered Accountants who can take care of the complex calculations of GST. However, they also require some sort of tool or GST software that makes the calculation task easier, simpler and convenient. Choosing the right GST software is extremely important as it will help you to know various things related to HSN and SAC codes, input tax credit, invoice generation, and the formats related to it for different GST rates. In this post, we list five tips to choose the right GST software for your business calculations. Take a look.
1. Online or Offline
The most important question that you need to ask yourself is that whether you need an accounting GST software which works online or offline. The decision should be based on your business requirements and needs. An online software has the capability to store all your sensitive data on cloud safely and securely. It enables you to check or track your data anytime anywhere. The best thing is that it gets automatically updated according to the modifications done by the government to the entire system. However, things are different in case of offline accounting setup. Offline software lacks in updations and security. It can only help you with the GST calculations and generate invoices in the same format which is already available.
2. Data Security
When you use an online software for your business, it enables you to safeguard your data using different antiviruses. There are proper safety measures such as you can enter your login password which will only be visible to you and known to you. You can also update your safety feature time to time. Therefore, before buying any GST software, you need to watch out the data security concerns and make sure that your information is in extremely safe hands. In addition, ask the software company the application they give you which is pre-installed for security reasons.
Of course, the features come first. Whatever software you choose, make sure it fulfills all your requirements of tax calculations, invoice generation according to the particular format you want, simplify your registration processes and minimizes the difficulty in understanding and handling the GST provision. It should be able to track expenses according to categories, create and manage taxes, view account payables and receivables, add additional team members, manage inventory, inward-outward stock movements, manage a list of customers & vendors and so on. In addition, it should also support for multi-currency and option to manage employees’ transactions according to their payrolls.
There are a lot of people who make a mistake by buying an expensive and fancy software that looks like it will fulfill all the demands but actually it does not serve the purpose. Later on, when their business starts to grow, they face difficulty in managing the accounts and invoices required in the current GST taxation system which eventually leads to the failure of the business. Therefore, look for a software that is capable of migrating your data from an existing system to a completely new software version without any difficulties.
5. Wrapping Up
Before making any decisions, follow your requirements and ask the suggestion of your accounting professional. It is because the professionals have an idea of accounting tools which can help to make your business stronger and easier to manage. Also, do not forget to look that the security features aren’t missing.
Do you think CBDT should extend Tax Audit Report and relevant ITR Due Date? Please Comment, Vote, Retweet and Like.— Tax Guru (@taxguru_in) September 18, 2018