GST software is designed to streamline the tax and invoice calculation tasks for businesses and consumers. It helps businesses comply with the government’s GST regulations. Whether you need to calculate the annual tax or link your business data to the government GST portal online, the best GST software for small businesses can help you meet all the GST compliances effortlessly.
If you are planning to implement a GST solution in your business, you have come to the right place. It is quite natural for beginners to feel a little overwhelmed with all the options available on the market. Different software solutions come packed with different features. You need to pick a system that matches your business standards and cater to all your tax compliance requirements.
What is GST Software?
When the GST was launched in India, it got pretty difficult for businesses to adhere to its compliance. Even today, businesses find this new taxation system a little challenging. GST software is required in all types and sizes of businesses. It is used to streamline and automate manual GST adherence and billing management. It helps businesses adapt to the new tax system effortlessly. That being said, it has become quite important for companies to invest in the best software for GST returns and simplify accounting, billing, and invoicing tasks.
Ever since the Indian government launched the goods and service tax (GST), it has become quite challenging for businesses and accountants to comply with the tax regulations. Goods and service tax is charged on the goods and services that are being traded for domestic uses. This tax needs to be paid by both the customer and business. While it doesn’t seem that difficult for the individual to calculate their GST, businesses have a hard time preparing the GST-included invoices for each customer. That’s when the goods and service tax software comes into the picture.
In order to simplify the Indian tax structure, the government has combined all the indirect taxes into a single form of tax, which is known as goods and services tax (GST). This has made the tax structure quite transparent. As tempting as it sounds, this structure does come with its share of drawbacks. The implementation is challenging for small and large corporations. Best GST software for professional helps companies streamline the accounting and invoicing processes. It follows the latest GST compliance and keeps you up-to-date with the changes in the tax structure.
Common Capabilities of GST Accounting Software
The best online GST billing software can have many applications and modules that can simplify accounting operations. Let’s take a look at the basic features that are included in almost all types of GST accounting software systems.
1. GST-enabled Invoices
Businesses that are registered on the GST government portal online are supposed to create invoices based on the GST format. Using this software, you can send your customers a reminder for the due payments. The invoices can also be scheduled and forwarded to the customers automatically. The accounting software team will get regular notifications when the customer checks the invoices and makes the payment.
Now, the GST-ready invoices include the following:
- HSN code
- GST rate that is applied to the particular product or service
- CGST, IGST, and other such taxes included in the Goods and Service tax
- GSTIN of the merchant and consumer
Adding all these sections manually will not only consume time, but there is a high chance of making errors when creating and filling these sections. That is when the best GST return filing software comes in. As the name suggests, it is specifically designed to simplify the invoices and tax-related tasks. The software will help you generate the GST-enabled invoices automatically. In simple clicks, you can create the sections for HSN code, GST rate, and GSTIN number for each invoice. Besides that, you can fill this section in a matter of seconds.
Now, the GST solution comes with the standard invoice template. You can use this standard template or customize the invoice template to your specific requirements. If you follow a specific invoice format for generating invoices for your customers, suppliers, and manufacturers, then you can get a customized invoice system.
The best part is that the cloud-based GST software enables accountants and managers to generate an invoice and send it to the customers on the go. You can use any device to generate a GST-enabled invoice. It makes it a whole lot easier for the accountant to collect payments from customers.
2. Reports and Analytics
The current GST regulations make it mandatory for businesses and individuals to file yearly, quarterly, and monthly tax returns. Now, you can’t file these returns in the conventional tax return format. You have to comply with the latest GST laws when filing the tax returns.
For instance, the Outward Supplies are to be recorded in the GSTR-1, while each taxpayer has to create a summary in the GSTR-3B. When you have the best GST billing software free in place, you don’t have to spend time and resources in filing the tax returns in the GST-ready format.
You can create monthly and annual reports in this software. You don’t even need to enter the financial data manually in the system. Just import the necessary details from the spreadsheet and other digital records to the GST system and have everything calculated in minutes. Now, filing the tax returns and creating summary reports are no longer challenging.
3. ITC Match Reports
According to the GST regulations, taxpayers get an opportunity to claim ITC on the goods and service tax that are paid for the inward supplies. It is important to note that this facility is only available for those who file returns on time.
First of all, you need to calculate the total credit amount you could claim for the inward supplies GST. The ITC match report is one of the basic modules of the GST accounting solution. It helps you automate the calculation of the Input Tax Credit. Using this report, you can match the goods you have purchased with the invoices that are being sent to the government GST portal by the vendor. If you manage to find a mismatch between the purchase record and the supplier’s invoice uploaded on the portal, then you can apply for a claim.
The ITC match and mismatch report help you locate the differences between your purchases and the GST invoices the supplier has uploaded on the government portal. Should you find any difference, you can contact the supplier immediately and request a refund.
4. Automatic Tax Calculations
One of the most important yet challenging tasks for a business is the calculation of goods and service tax on different products and services. With the reliable GST returns software at your disposal, you don’t have to worry about making errors in the tax calculation. The software detects the GST rate on each product and service automatically. It also mentions your tax liability according to the current GST regulations. That way you can calculate the accurate tax amount you are liable to pay to the government. This also makes it easier for you to make timely payments.
A high-quality GST system comes packed with a list of multiple GST rates, including but not limited to, the UTGST, CESS, and CGST. All you got to do is fill the standard invoice template and select the GST that’s applicable to the particular good and service. The software will automatically apply the selected GST rate and calculate the total amount for each invoice. You can determine the accurate tax amount that has to be paid on the particular invoice and have it applied to the invoice in simple clicks.
The large corporations and small business owners who had to spend hours calculating the tax amount manually can use the GST to automate these hectic and time-consuming calculations. That is how GST software streamlines the income tax calculation process.
5. HSN Code Research
The recent GST regulations classify the goods and services based on the HSN codes. Businesses registered on the government GST portal online are supposed to mention the HSN code of the specific item that has been supplied to the recipient. Locating the HSN code for each product can turn out to be a cumbersome process.
You are going to have to look for the codes on different government websites and enter them in each invoice template manually. The GST software simplifies this process by allowing you to get the HSN code for just about any product or service and select the relevant code for the invoice. This is especially helpful for SMEs and large-scale companies that create hundreds of invoices every month.
Who Uses the Best GST Invoice Software?
The GST software is used by accountants, managers, and other members of the company. It is mainly used by your accountants as they are responsible for filing your tax returns and generating invoices. However, if you have integrated the system with the inventory management module and other software systems, then your employees and business associates will need to access the GST billing software applications.
The main uses of the GST software include filing the tax return in the GST-ready format, generating invoices, and generating reports and analytics. Besides that, the GST software can support accounting and financial modules. If that’s the case, the accountants will be able to create financial statements in the goods and service tax system. Not only will it help you speed up the accounting processes, but it also allows managers to store the information in a single centralized system. This makes it a whole lot easier for your team to access anything they want in one place.
The GST software you purchase must have a simple user-interface so that it can be accessed and operated by employees and other team members.
Why Do You Need the Best GST Billing Software?
The idea of launching GST in India has proven to be a great solution to the hectic and complex indirect tax framework. However, businesses are still struggling to implement goods and services tax and embrace this new taxation system.
For the successful implementation of this system, the software developers have started to offer reliable and effective goods and service tax management solutions that automate a broad range of GST-related tasks.
Not only does it help implement this new taxation framework in your company, but it makes it easier for your accountants and employees to get familiar with GST compliance. Let’s take a look at the reasons why every business should consider implementing the GST software:
- Streamline Data Filing and Management
The basic accounting software will no longer work for SMEs and large corporations, especially after the introduction of the goods and service tax system. It can barely help you calculate the annual taxes. You are going to need the GST software that’s designed to comply with all the latest tax regulations.
Managers and accountants are supposed to sync the accounts data with the government GST portal online. In other words, you have to merge your business data into the online GST portal. Filing this information can turn out to be a time-consuming and tedious job. But, no need to worry now! The goods and service tax software is designed to streamline the data filing operations. Whether you need to register your business on the government GST portal or migrate your business data to these sites, all you need is a reliable and high-quality GST solution.
- Prepare Invoices
If you are running a business for a while now, you must know that each category of consumer products and services has a different percentage of tax and HSN codes. This structure has made the invoicing quite complicated for businesses that sell consumer products and services.
Earlier, businesses used the normal accounting and invoicing software for invoicing. However, that no longer works. For accurate calculation of the tax, you need to implement a solution that is made keeping in mind the latest tax compliance. In other words, you need the software that helps you prepare invoices based on the GST regulations. That’s exactly what the GST software does for your company. It streamlines the invoicing system by calculating taxes based on the products’ unique HSN codes and GST percentage.
So, in order to calculate the invoice properly and add an accurate amount, you need to use the automated GST software.
- Prevent Manual Errors
If you have been planning to install the accounting software, we would recommend you choose the GST software instead. It comes packed with the features that will help you automate your billing and invoicing based on the current GST compliance. Most importantly, it prevents manual errors, which are not uncommon in the manual accounting. Even minor miscalculations and some common errors can cost thousands of dollars to your business.
Now, as mentioned above, the errors in the GST calculations are very common. The complex nature of this taxation framework makes it extremely difficult for businesses and accountants to compute goods and service tax for different products manually. Even if you use spreadsheets and some calculation tools, you will not get the best results.
This is because each product and service has a different GST percentage. First of all, you are supposed to find out the HSN code of the product and the tax percentage applied to it. Next, you will have to classify the goods and services you sell according to the GST system. This gets quite challenging even for a professional accountant to calculate GST for different products. They end up making errors in the calculations, which can cost your business thousands of bucks in the long run. That being said, it makes sense to invest in the GST software and avoid these costly errors.
- Saves Time and Money
It goes without saying that any automated system that streamlines the accounting or management operations saves time and cost. GST software is no different. This automated software calculates the tax for each invoice separately. It also stores the invoices for reports and analytics.
With the GST accounting software in place, you can automate tax filing, registration, invoicing, billing, inventory, and almost all the accounting-related tasks effortlessly. Contrary to what people believe, GST software is not confined to tax calculation. In fact, it helps you with everything that’s related to management and accounting. Whether you want to file returns or generate automated GST-enabled invoices, the accounting software can handle it all. Now, the time that you would otherwise spend creating the invoice and calculating, can be used for other pertinent activities.
It saves you thousands of bucks in the long run. Think about it – with a GST system implemented in your business, you don’t have to pay a monthly salary to the accountant. It is especially useful for businesses that need a large workforce for taxation and accounting jobs.
- Ensures Data Security
Accounting, tax, and invoices are all considered confidential information that must be stored in a secure system. You will not want outsiders and even your business staff to access your financial accounts. The spreadsheets, Excel, and paper-based records do not guarantee security. Not only are they extremely inconvenient, but the physical document is not the safest way to store and organize your database.
The financial data is the priority of a company. Of course, you would like to keep it as safe and organized as possible. The GST software ensures that your financial database is safe and inaccessible to outsiders. Only your accounting and financial team that have permission to use the system can access the GST solution using the login credential. Some software solutions have the two-factor authentication as well as data encryption technology that restricts third-party access. With your financial and confidential data stored in the GST software, you can rest assured that it will be safe.
GST's new software offers flexible operations. First of all, you can use this system anytime and anywhere you want. The cloud-based top GST billing software enables businesses and employees to access the system on their smartphones, laptops, and tablets from the comfort of their homes or while traveling. Secondly, the GST system is customizable or flexible. You can customize this software and make it fit your business standards.
Market Trends for GST Bill Software
There is no denying that the tax and accounting industries are quite slow when it comes to taking advantage of the latest technology. Many companies are hesitant to adapt to new technology trends. That’s one of the reasons they are left behind. Free software for the GST invoice is the latest addition to the accounting and tax industry. We have not yet witnessed many trends in this sector.
However, some trends are expected to emerge in this industry in the coming years. Let’s take a look at the top trends that can dominate the GST market in the future.
Companies no more feel reluctant to adapt to cloud-based solutions. Even small-scale organizations have started to realize the importance of a secure system for storing the financial and accounting database. Instead of storing the financial information on PC and spreadsheets, they choose cloud-storage technology to house the sensitive database. They store this information on remote servers so that they can access it anytime and anywhere they want.
The cloud-based GST billing software is designed for professional accountants who need to store a large volume of financial and taxation data in a centralized system. Cloud technology offers multiple benefits to companies. It works as a backup for your data, improves the security, saves a considerable amount of money on hard disks and other storage options, and facilitates remote work opportunities.
The main reason why taxpayers choose GST accounting software over traditional accounting methods is automation. The software streamlines a plethora of accounting operations, enabling users to execute a range of tasks seamlessly. With the simple GST billing software application installed in your firm, you can automate invoicing, filing tax returns, compiling reports, using analytics, and importing the important documents to your PC.
With the top GST software handling all the manual accounting tasks, you can save your accountants a significant amount of time. They can use this free time to plan future marketing goals and other productive activities.
3.Artificial Intelligence in the best GST Return software
AI has been the talk of the town over the past few years. Artificial Intelligence enables users to get insights into tax returns, HSN codes, and other GST regulations. In addition to tax filing and automation, the best GST filing software can help you gather information about your business’ financial position. You can even track the previous tax records using the GST software for professionals.
Types of Buyers and Which Software can Best Fit their Needs
All kinds of companies need the best software for GST return filing – be it a startup or large-scale company. Now, this software is available in different types. For small-scale and medium-sized businesses, the standard GST billing software that comes packed with the basic features will do. The vendor offers multiple plans for the GST accounting software. This may include the basic to the enterprise-level solution.
For large-scale organizations, Enterprise level software is needed. You could also find a free GST billing software system for a startup. However, that will hardly help you migrate your business data to the government GST portal. Make sure you select a plan depending on the size of your business and your requirements. For example, the basic or intro plan is the best option for small-scale companies that have limited accounting operations.
If you run a medium-sized company, consider investing in a premium plan. As mentioned above, an enterprise-level solution is recommended for large-scale organizations. This option comes with several options that simplify all your accounting and tax-related operations. However, you don’t have to shell thousands of dollars out on the add-ons and special features that you will probably never use.
Your best bet is to discuss the terms and modules of the GST retail software with the vendor. They will explain to you the applications of the module and other features. You only need to pay for the modules that you are going to need.
Choosing the Best GST Management System
Indians took a year and more to learn the concept of GST and imply it in their firm. Adapting to this new taxation framework was not that easy. Managing accounts, filing tax returns, and generating GST-enabled invoices seemed quite challenging in the beginning. Even today, many startups and small-sized businesses have not been able to embrace this new taxation system.
Just registering your business on the GST government portal online is not enough. You are going to need to adjust your taxation system and the invoicing software to the current GST compliance. We have mentioned the reasons why all sizes and types of businesses need a reliable and secure GST solution. The question is “how do you select the best GST software”?
Ever since the government introduced this new taxation system in India, developers launched many innovative and best GST return filing software systems. These systems streamlined a plethora of hectic accounting management activities seamlessly. The best GST billing software for your business is the one that is capable of managing all sorts of GST operations efficiently. From filing the tax return every year to generating GST-enabled invoices for different clients and suppliers, a premium GST system can handle it all. Here, we are going to discuss some important factors you need to take into account when looking for the best GST invoice software for your business.
The prime concern of every company is the security of their financial and confidential data. Whether it is your financial statements or the tax reports, the financial database needs to be stored in a secure system. With GST software in place, security is not going to be your concern. All your financial and tax-related data will be stored on the GST network.
Before you make a purchase, check the security features and GST accounting software price list. Discuss all the security tools the vendor has integrated into the GST solution. You don’t want your company accounts and financial reports to be accessed by unauthorized users. Besides that, the high-quality GST solution comes packed with many security features, such as two-factor authentication, data encryption, and more. You must choose a system that enables you to download the bank information, migrate your financial details to the GST government portal, and store the financial data securely.
The technology trends keep changing every now and then. Take accounting software, for example. With the introduction of the new taxation system in India, the standard accounting and tax modules are no longer useful. You can create basic accounts and financial reports, but you won’t be able to use outdated software for calculating GST. When shopping for the GST accounting software, look for a flexible system. You will want to customize the solution in the future if the accounting trends change.
A flexible GST system not only supports third-party integration, but it can be customized to fit your business standards and accounting practices. You can add new modules, remove the existing ones, upgrade features, change the interface & design, and introduce other such changes to a flexible and customizable GST solution.
Convenience is another important factor the taxpayer must consider when shopping for GST accounting software. Gone are the days when companies would install on-premises ERP solutions. Today, most of them invest in the cloud-based system that can be accessed from any device. The data you have filled in the cloud-based best GST accounting software will automatically be synced with your email.
Now, you can access this software on just about any device using the login credentials. You don’t have to create a backup for this data on a hard drive. Moreover, you don’t need to store the important financial details in paper-based documents or spreadsheets. As long as you choose cloud-based GST software, rest assured that your financial data can be accessed from mobiles, laptops, and any device (even if your main system breaks down).
Best free GST billing software is not as simple as accounting or inventory management software solutions. You will probably need to talk to the customer support department to operate the system without a hassle. It is hard to understand the basic modules of the system, let alone fixing the technical bugs. That’s why you should buy the GST accounting software from a vendor who is willing to offer 24/7 customer support assistance.
Basically, software developing companies have a customer support department that involves IT professionals. They are capable of finding a technical problem or a basic issue. They can fix it in no time. So, make sure you buy a system from a company that offers a reliable support service.
You buy the GST software to make your life easier. As long as you have a perfect and easy-to-use GST solution at your disposal, you can use it for all kinds of accounting and reporting requirements. However, the software that features a complex user-interface is probably going to be hard to understand and operate.
Remember that you are not the only one to run the GST system. The accountants and employees will also need to access the system for reporting, analytics, filing tax returns, creating financial statements, and other such requirements. A reliable GST solution is one that is easy to operate and navigate.
Another important feature to consider in the GST software is its compatibility with other software applications. The government introduced the goods and service tax not long ago. There is a good chance many companies have other ERP software systems implemented in their firm. If that’s the case, you need a GST software solution that can be integrated with the other ERP solutions in your firm. In other words, you should look for the software application that can be synced with the third-party software applications easily.
By integrating the third-party apps with your GST billing software, you can manage a large volume of business data in a single, centralized system. For example, you can handle the inventory management, accounting, GST tax compliance, and employee’s payroll from a single system. All you need is a reliable GST software application that is compatible with third-party software systems.
The GST software price list comes with a license. Now, the license and the monthly subscription for the GST billing software applications depend mainly on the type of solution you want. As mentioned before, the GST system a company needs can vary depending on the business requirements and accounting practice it follows. Fret not! The GST return software price won’t drill a hole in your pocket. However, it can cost you extra bucks if you choose multiple modules or the latest version.
For instance, the desktop version of this software is super convenient but extremely expensive. It is not recommended for small businesses that have limited operations. Don’t let GST billing software price be the only factor determining the reliability of the GST system. Some vendors are open to negotiations, while others charge a fixed rate. Either way, try to get a quote from different vendors and choose a module that matches your budget and accounting practices.
Despite being new, GST accounting software has been embraced by many small and large-scale companies in India. This software solution gives a wonderful performance when it comes to automating the tax filing and other accounting operations. You don’t have to worry about the security of the financial data and accounts as long as you have a reliable GST software application at your disposal.