In the complicated web of tax rules, the Goods and Services Tax (GST) stands out as a key factor that affects how businesses manage their money. As per GST provisions, You as a business owner, need to maintain records not only for the GST department but also necessary strategically to maintain long-term growth.
Luckily, the digital age has given us a lot of online tools and resources that make GST registration and optimization easier. Let’s look at how these tools can completely change how you handle your GST. We will see how you can easily take advantage of these digital tools to maintain records.
Records to maintain under the GST Act
You might be thinking of a few questions of maintaining records under GST. So, I will answer each of your queries.
1. What type of records do you have to maintain?
– Section 35 has listed out the details of records to be maintained. As per which a registered person shall keep and maintain, at his principal place of business: –
- production or manufacture of goods;
- inward and outward supply of goods or services or both;
- stock of goods;
- input tax credit availed;
- output tax payable and paid; and
- such other particulars as may be prescribed
2. Do you have to maintain records even if you are not registered?
– Yes, whether you are a owner or operator of warehouse or go down or any other place used for storage of goods and every transporter, irrespective of whether he is a registered person or not, shall maintain records of the consigner, consignee and other relevant details of the goods in such manner as may be prescribed, as per Section 35(2) of the GST Act 2017.
3. Do you have to maintain records in electronic form, or offline?
– You can maintain records in electronic form or in cloud storage or offline, whatever you feel or good for your business. But, it should be easily available whenever requested by any tax officer.
4. For how long records to be maintained?
– You have to maintain records until the expiry of seventy-two months (i.e., 6 years) from the due date of furnishing of annual return for the year pertaining to such accounts and records.
5. Apps or software available for small taxpayers?
– You can go for Vyaparapp or Khatabook like apps which can help you manage your records and easily help in generating GST invoices and stocks.
Your Digital GST Management Toolkit
1. First and most important to access digital records is the GSTN Portal (gst.gov.in) itself. The official GST portal (gst.gov.in) is your one-stop shop for filing returns, generating invoices, and claiming input tax credit (ITC). Anytime, you can access records required for submitting to the department, if required and also to check the growth of your business. You can also utilize its e-way bill system for hassle-free movement of goods.
2. There are numerous accounting software available for your business. You can easily seamlessly integrate with the GSTN portal. For example, Quickbooks, ERP software, Zoho Books, SAP, etc. This way you can access your company’s financials anytime. This way you can avoid errors in your accounting.
3. If you are maintaining records manually and offline, you can securely store your GST invoices and receipts on cloud platforms like Google Drive or Dropbox. This ensures easy access, retrieval, and disaster recovery in case of unforeseen circumstances.
4. You can also use a free invoice generator, free online GST calculators help determine the exact tax liability for your transactions. This empowers you to make informed decisions and avoid miscalculations.
There are licensed software’s for example- IRIS GST that offers a suite of products including GST return filing, e-invoicing, e-way bill management, and GSTIN search. There is also cloud based software’s like Zoho Accounting and GST filing that can help you in easing GST compliance.
5. You can also embrace mobility with GST mobile apps, enabling on-the-go tax management. These apps empower users to generate invoices, track input tax credits, and file returns from their smartphones. examples include GST Helpline, GSTZen, and ClearTax GST Software.
Key Points to remember
While leveraging online tools for GST management, it’s imperative to adhere to regulatory guidelines and best practices:
Data Security: Choose reputable vendors with robust data security measures to safeguard sensitive financial information.
Regular Updates: Ensure that the chosen tools are updated regularly to reflect changes in GST regulations and compliance requirements.
Training and Education: Provide adequate training to employees on using these tools effectively to maximize their benefits and minimize errors.
Backup and Recovery: Implement backup and recovery protocols to prevent data loss and ensure business continuity in case of unforeseen events.
Conclusion
Online GST filing is actively encouraged by the Indian government. As the main hub, the Goods and Services Tax Network (GSTN) site is very important to use all of its features.
There are a lot of online tools and sites that can help you learn how to handle GST in this digital age. Businesses can improve safety, run their finances more efficiently, and get ahead in the market by using these tools to their full potential.
Remember that the key to smooth GST management is picking the right tools, keeping up with changes to the rules, and using best practices. For complex transactions or situations, seek guidance from a qualified tax advisor or Chartered Accountant.
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