GST Training

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GST Training
www.govreports.co.in
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A Consideration of GST Training for Business is
Best Practice!

• Indias biggest tax reform, the Goods and
  Services Tax commences since July 2017, is
  estimated to create a wide range of opportunities
  for government and its people in the long run.

• This is a thirteen years in the making tax
  rollout that applies to both goods and services
  with a definitely greater compliance focus on
  transparency of trade data for matching between
  traders, thereby increasing the number of tax
  payers in the country, and in turn, a larger
  revenue for the government.

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GST Preparation Software

• The main focus of GST in India is on the
  transparency of tax payers declaration of sales
  purchases, which can only be effectively done
  using GST preparation software with inbuilt
  artificial intelligence both from the government
  and the tax payers to facilitate the data
  matching process.

• The tax system with intended data matching
  functionality however will not efficiently work
  with existing desktop software where majority of
  businesses previously use to manage their sales
  and purchases even with the GST compliant
  upgrades due to the direct and vigorous online
  data matching required in the reporting process.

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GST Preparation Software

• Business will either need to use cloud based GST
  preparation software which has inbuilt
  connectivity with GSP services for continuous
  mismatch data download to perform online data
  correction and reconcile the ledger or risk the
  opportunity to identify for all data mismatch,
  attend to reconcile the errors and the books,
  consequently facing heavy penalties imposed as a
  negligence to comply with GST legislation.

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GST

• India to date has over 70 of businesses
  utilising desktop accounting software to manage
  their business transactions and records and most
  if not all of these businesses have over the last
  few months upgraded their desktop accounting
  software to GST compliant versions in preparation
  for GST reporting deadline with their
  accountants support.

• Unfortunately, these businesses will soon find
  out the inefficiencies of the desktop accounting
  software when handling data mismatch and
  electronic filing process.

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GSTN Portal

• The possible consequences for these businesses if
  maintaining their existing desktop GST compliant
  accounting software is for them to accept any
  data mismatch found from GSTN portal errors
  download thus maximising the likely GST payable
  instead of correcting them.

• The issue with this action is the business GST
  ledger will not reconcile with the details filed
  with GSTN portal and again data mismatch if an
  audit is later found.

• One may think then to register for GSP services
  direct to save on cost but again the facilities
  will be no difference to that of GSTN portal file
  upload without the artificial intelligence
  inbuilt to enable for online errors correction,
  ledger reconciliation and electronic records of
  your reports to be filed to GSTN which may be
  called upon if an audit is required.

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• The functional services of the GSP are a replica
  to that of the GSTN portal for tax payers.

• Its sole purpose is to enable for direct online
  linkage with other accounting software providers
  and lessen the connectivity pressure to that of
  GSTN portal if all software and tax payers were
  to interact for reporting and support.

• This accounting software if online would
  facilitate data manipulation and push back for
  electronic filing and record keeping.

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GST Reports

• GST registered businesses must file at least 3
  GST reports per month and an annual return to
  GSTN.

• The process of data collection and data
  management for use in the preparation of GST
  reports must be systematic perhaps even at point
  of sales for both buyers and sellers to minimise
  the time consume and any possible mismatch.

• For bigger businesses, data collection and
  compliance reporting process is generally managed
  systematically and by their own in house
  accounting team but the luxury of such system is
  not likely to be available for most if not all
  smaller business whose compliance reporting is
  prepared by the engaged GST practitioner or their
  local public accountant as an extended service to
  their business who may have more up to date
  knowledge on GST and its reporting requirements.

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GST Training

• To ensure higher level of transparency is
  achieved, auditors, accountants and GST
  Practitioners are encouraged to provide basic GST
  training for their clients to manage data
  collection on sales and purchases which will in
  turn assist them when preparing the GST reports
  for electronic filing to GSTN.

• With adequate training on GST, both practitioners
  and business can detect errors within the
  software which has inbuilt errors data download
  capability and correction adjustments, thereby
  preventing possible future incoherencies and
  saving man-hours.

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GST Ledger

• Inadequate knowledge of how to prepare a GST
  ledger for online reporting purposes will result
  in an improper treatment of books of accounts
  which is tantamount to irreversible consequences.

• Recent incident where a small retailer neglected
  to report Rs15 in the GST report filed to GSTN
  was heavily fined at Rs 20, 000.

• As part of the GST legislation, every registered
  taxable business is required to keep record of
  their book that coherently shows the statement of
  cash and tax credit either by cash, cheque or by
  bank transfers for at least 60 months.

• Failure to keep and maintain accounting records
  of their business transactions that were recorded
  in the filed GST reports, will lead to
  undesirable consequences.

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GST Ledger

• Accounting transactions under GST without a GST
  ledger is like ending the financial year without
  auditing your business to ensure accuracy and
  absence of loopholes.

• Businesses are encouraged to take up GST
  preparation software to maintain their books and
  get adequate basic GST training to minimise the
  chance of getting undesirable attention from the
  tax man.

Note http//govreports.co.in/GST-Training.html
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Thank You