Goods and Services Tax has subsumed several taxes that were there in the previous tax system and brought all taxes under one umbrella. To create this significant change become a reality, cutting edge technology is used.
GST Network is established where a taxpayer can not only pay taxes from anywhere with just an internet connection but can also check GST number verification for a more transparent dealing in business.
Though GST is backed by pathbreaking technology, it did create some confusion initially for taxpayers in generating invoices and filing returns. There are still many taxpayers who find it difficult to file taxes or generate GST compliant invoices. For such issues, there are a good number of GST billing software available that can get the job done seamlessly.
Your invoice should contain some necessary details to remain GST compliant, or your invoice will not be valid. Your invoice should contain
- Customer’s Name and address
- Customer’s and taxpayer’s GSTIN ( when registered)
- Invoice date and number.
- Billing and shipping address.
- Place of goods issued or supplied
- A complete description of the products provided, such as unit, quantity, total value/amount, details, etc.
- HSN Code ( Harmonized System of Nomenclature code)
- SAC Code ( Service Accounting Code Code)
- Taxable discounts and Value
- Amount and Slab under GST, such as CGST/SGST and IGST.
- The invoice should include if the reverse charge mechanism applies.
- Authorization/signature of the supplier
- If the recipient of Services or Goods is not registered under GST and the total amount of goods or services supplied is more than Rs. Fifty thousand, then the invoice should contain Name, Address, Address of delivery, Name of State, and State code of the recipient.
An invoice for different situations should be issued in a particular time limit that is defined by the GST law. For the supply of goods under normal circumstances, the invoice should be issued on or before the date of delivery/ removal of goods. If the supply of goods is recurring or continuous, then the invoice should be issued on or before the date of the issue of payment or date of issuance of the account statement. In case of services, the invoice should be issued within 30 days of supply of services under normal circumstances, and for services supplied by banks or NBFCS, invoices should be issued within 45 days.
Issuing GST compliant invoices could become a tedious task if it is done manually or if there is not proper know-how about the rules and regulations about how invoices should be. Even if you are familiar with the laws of how invoices should be issued under GST, it could become a time-consuming task without the use of the software.
The solution to keeping up with invoicing under GST:
The best solution to keep up with the challenges of issuing several invoices at once or invoices that are GST compliant is to use a good invoice software. Numerous software companies provide software solutions for invoices either by selling software or providing services, SAS – Software as Service. Software that is popular and considered to be best are Vyapar, Zoho Books, ProfitBooks, Tally ERP 9, KhataBook, QuickBooks, etc.
Zoho Books: ZohoBooks is one of the leading and most popular software for generating GST invoices. It boasts of 13 million users across the world and features a lot more than invoicing. The distinctive feature of Zoho books is that it eliminates the need for data entry by allowing import of all credit card and bank transactions. It even categorizes it with bank rules. This software automates payment reminders in a customizable way. You can track and send invoices and even record offline payments. It also integrates with the accounting software that you use, but it will require a little modification to the software code. It efficiently manages inventory and stocks.
Profit Books: This software is designed to serve medium and small-sized businesses. About six lakh businesses in more than 19 countries use profit books for their accounting needs. This software helps in keeping track of your expenses and manage stocks and inventories. It is efficient in generating GST compliant invoices. It has an intuitive interface that will help you seamlessly use this software. It is a useful software for even those who are not familiar with accounting.
Khata Book: So far, the Khata Book software has 10 million downloads, and this number is increasing rapidly as this is one of the most popular GST billing and accounting software in the market. The easy-to-use interface makes this software efficient. It is a lightweight yet powerful software. This software contains almost all the features required for you to remain GST compliant.
QuickBooks: All companies, big and small, can use QuickBooks. This software can efficiently handle large amounts of tasks and can is accessible from a mobile phone, computer, or tablet. It uses the cloud to store data so that you can access if from anywhere on the go. It also has features to track employees working hours and can be used to create customizable reports. The integration of online banking automatically updates transactions and bank statements.
What to look for in a billing and invoice software:
- You should choose a billing and invoice software that is highly secure and uses the leading technology as your data will be crucial to your business. It should be able to maintain the confidentiality of your records and statements in all cases.
- The software should be easy to use and one that is accessible on the go. Software that works on different platforms such as Linux, Windows, Machintosh, etc. and works on a mobile phone, computer, or tablet.
- For large scale businesses, you must choose a software that can be integrated with the company’s accounting software so that all the data management works on auto-pilot without the hassle of manually entering data.
- Software that can handle multiple accounts contains the best available technology should be your priority because a regular taxpayer will have to submit about 725 returns in a single year.
GST billing software is the best solution to handle all the complex tasks to remain a GST complaint. But there are still some issues that a GST software cannot manage like GST number Verification, Registring under GST, etc. For tasks like that and a few other matters, it will help you immensely if you become familiar with the GST portal.