What is GST return filing?
GST return filing software is the amount of revenue collected by your business and if your business falls in the compulsory niche of business. The filings that will be collected by GST e-filing are that all taxpayers will have to pay three monthly returns, one quarterly return, and one annual return. Job works and e-commerce companies will have to file one additional return every month.
The indirect tax system has gone live in July 2017. GST registration has become a must for all the companies that are involved in buying and selling or delivery of services.
The business that exceeds 20 lakhs per year will have to register for GST but in northeastern and hilly regions it will be 10 lakhs per year. The entities having GST registration would be required to file GST returns, GST returns filing would be mandatory for all GST registered entities irrespective of any activity or sale during the return filing period.
The registration holders will have to file GSTR-1(details of outward supplies) on the 10th of each month, GSTR-2 (details of inward supplies) on the 15th of each month and GSTR-3 (monthly return). The taxpayers required to file GSTR-4 every quarter on 18th of the month next to the quarter. And, annual GST must be filed by all GST registered entities on or before 31st of December. Certain business will stay out of it while there are others who are to register on a compulsory basis.
GST software Importance
According to the GST regime, every business will have to file three returns every month and they are GSTR1, GSTR2, and GSTR3. All the need to be filed electronically only hence it will be called GST e-filed which can be done through a software by accessing a GST portal and a GST ready software makes it easier to manage a business.
Firstly, you will declare your supplies only and the input for purchases are automatically calculated based on your vendor’s submissions. It concludes if your vendor fails to declare your sale you will be denied credit to that transaction.
This is the list the government has passed which need to be follow up on GST return filing to the taxpayers at self by this:
- 10 of every month you will declare your sales in GSTR1
- Between 11thto 15th your purchase will get auto-populated and you are allowed to make correction in GSTR 2A
- On 20ththe auto-populated GSTR 3 will be available for filing and payment.
GST Return Filing should be done by
Any regular business has to file three monthly returns and one annual return. This amounts to 37 returns in a year.
Under GST, one has to manually enter details of one monthly return – GSTR-1. GSTR 2 & GSTR 3 will get auto-populated by deriving information from GSTR-1 filed by you and your vendors.
Separate returns are required to be filed by special cases such as composition dealers.
Why GST software
GST is a combination of a couple of taxes, namely CGST and IGST, has impelled a substantial change in the taxation policies of many business organizations in India.
This change can be easily addressed with a notable adoption of a personalized, GST software.
All and all, For Indian retailers, distributors, suppliers, and manufacturing houses GST software is a pragmatic solution to fathom the complexities of GST tax structure.
A GST software is a set as a pre-requisite, offers a couple of modules to seamlessly integrate, a business’s billing, invoicing and accounting, with the taxation it is required to file.
To Sum up
Now, one thing that forms a major part of the overhaul is the uncertainty, whether it is mandatory to make use of a GST software, in order to file GST returns, or if it can be concluded through an offline procedure. With billions of invoices to be matched on a monthly basis, India needs a taxation system with an efficient and robust IT infrastructure that can ensure accuracy through real-time invoice matching capabilities.
Companies throughout the nation are firmly realizing the importance of onboarding reliable GST software. In fact, almost every sizeable organization, have already identified dependable software’s for a unified integration of their tax operations with GST.