The GST (Goods and Services Tax) has made the life of most people, especially businessmen highly complicated. The new regime aims to unify taxes, streamlines and encompasses all the taxes which existed in the older taxation system. Also, it provides more efficiency in the way businesses were paying taxes earlier.
But the GST model relies completely on technology for showcasing its full potential. The taxpayers have faced many issues because of the complete overhaul of the tax regime. Let’s delve in a little deeper to know more about the problems they faced:
- Completely new rules
This can be imagined in one way: Suppose you have gone to a restaurant to have some food, but are not permitted to do this any longer. Instead, you are asked to do this order the same food online. Though it is a convenient method, first you would need to understand the process. This scenario is similar to that of taxpayers, who have to deal with the newly digitised taxation system.
- Focus on digital technology
Before the inclusion of GST, taxation included paperwork, documents, invoices, bills, which remained in the new system but had a feeble technological presence. But now, all details go on the GSTN, with your PAN card for every purchase/ sale invoice you create. Thus, there is a delay in taxation.
- Based on destination
GST has become destination based, and people struggle to comply with GST as it involves finding SAC/ HSN codes. Without this, your invoice/ transaction become unauthentic as per GTS Act. This specific feature of Goods and Service tax adds an extra burden on tax payers.
GST implementation totally ensures multiple opportunities for both govt. and industry. Compliance with the new regime is seeing some teething trouble, nationwide. The solution for all tables of GST lies in the technical sphere. Especially, GST compliance tools and softwares that can help business owners to sail smoothly in these troubled waters.
Benefits of Compliance Tools
GST software, basically, reduces the complications of the new tax regime. It eliminates the multiple steps needed if a person tries to comply with the regime. GST involves prior registration to get a unique GSTIN number, according to GST registration rules. A GSTIN number defines your business and maintains its uniqueness under complete GST network.
Here are some advantages of GST compliance software:
- A hassle-free interface:
The best feature of the software is that it comes with an interface that is user compatible. You may be a novice with technology, but you will quickly understand all nuances of software as it comes packed with information.
- Download/ upload
GST requires the taxpayer to submit all documents, in case of user registration and submit all invoices for the filing of returns. With GST compliance software like Giddh, this process becomes far more convenient. You are only required to upload soft copies of documents and remaining processing is realistically handled by the software.
- Rating for tax compliance
Tax compliance is mandatory as per GST. It indicates how you perform in the taxation arena. One reason it is mandatory is when you are attempting to take up a partnership with any other firm, a major factor they will be concerned about is your history of tax compliance. After all, no one would like to tie-up with a business with a bad image in the market.
In sum, with substantial prospects of GST being completed by GST compliance tool or software, one can easily comply with the GST regime or join it, if you have not already done so. GST compliance technology is a great gift, which can benefit all individuals and businesses owners.