Why GST automation is critical to your success

Published By Avalara India, 28 Aug 2017

India is undergoing one of the most crucial tax reforms in history. The Goods and Services Tax (GST) promises to change the way businesses function and push the Indian economy towards record growth. To achieve success, however, businesses must prepare for the transitional and technology-based requirements.

Challenges in the compliance process

India’s previous taxation system had many compliance issues. There were cases of fraudulent claims, duplication of input tax credit (ITC), mismatched ITC, and even cases of sellers not paying their tax liabilities.

Businesses will now need to comply with GST reform in an accurate and timely manner or risk jeopardizing their compliance rating. This compliance rating will serve as a parameter for buyers, lenders, and insurers in deciding whether to deal with that business.

With GST reform, returns can be filed both in manual mode or by automating the filing process by adopting cloud-based automation solutions through certified GSPs (GST Suvidha Providers) and ASPs (Application Service Providers).

Filing returns in manual mode, however, would require a company to increase its workforce, and then educate and train employees on the process. Not only would filing returns manually be a strain on a company’s resources, but there would be more opportunities for error.

To help businesses comply with GST in a timely and accurate manner, GST reform includes real-time solutions supported by a robust technology infrastructure. One of the technological innovations GST introduces is invoice matching between sellers and buyers....
Read more at - https://www.avalara.com/in/2017/08/27/get-ready-gst-filing-5-important-steps/