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Why to strangle your business by holding it aloof from advanced enterprise technology? Yes, today it has become a need of the hour for businesses to walk hand-in-hand with emerging technologies for staying safe the impacts of any disruptive changes and ERP is one such tool that is successfully helping businesses achieve that.
With the recent GST hoopla that has gripped businesses across the nation, organisations are under constant pressure to meet GST compliance. In addition, as the GST council has sanctioned the last two bills, the pressure doesn’t seem to cease either. Though the overall impact of GST tax reform remains a mystery, it is expected to revolutionise the financial backdrop for all types of services and manufacturing verticals.
So far, businesses used to do tax computations either manually or through some standalone software, but GST is set to change this game completely. Since the GST tax reform is set to go on floors by July 2017, businesses ought to brace themselves to embrace the paradigm tax revolution. It is quite clear that GST compliance would require businesses to adopt advanced enterprise solutions, as the government aims to make the GST tax system web-based. Thus, businesses will have to automate their tax processes using a robust ERP software.
Businesses especially process manufacturers ought to track inventory, sales, purchase, bank and production entries on a regular basis to avoid any kind of data discrepancies. Manufacturing ERP software helps to automate and integrate these critical processes ensuring to track all the entries thus, reducing de-duplication. The recent shift from paper money to digital currency calls for transparency that is in line with the GST tax reform. ERP systems with their online transaction and bank reconciliation processing will simplify the digitisation process whilst ensuring an appropriate database to help validate claims and returns to avert penalties or fines.
Read also: 3 Quality Painpoints a Process Manufacturer can address with ERP
Under the GST tax system, all your documents pertaining to warning notices, payments, registrations, refunds and returns would go digital. Thus, businesses are expected to adopt e-filing for GST tax compliance. This calls for equipping your business with automation software to address this challenge. ERP solutions would make this task relatively easier and hassle-free.
Compliance reforms are expected to get extensive under the GST reform. Once the new tax rules come into play, compliance management will go online. Post GST rollout, compliances for multi-state and destination based tax regulations would become difficult to manage for manufacturers. ERP for manufacturing industry will not only help to meet these regulations, but will also help to maintain accurate financial records.
GST would enable smooth movement of services and goods across the country whilst curbing overall tax expenses. For a business to enjoy this systemisation, it would require arming its employees with a powerful ERP software. GST is set to trigger a wave of standardisation especially and with the help of a robust and GST-ready ERP system, business can easily achieve this.
In few months from now, it would get a bit costly for a business to stay compliant, but as you know, being non-compliant will always cost you more than that. It is high time for business owners to understand the imminent tax reform and equip their businesses to handle tax compliances. Automating for GST tax reform is sure to fetch long-term benefits and ERP systems are here to lend a helping hand in addressing all your GST compliance challenges.
To know more about the role of best ERP software in GST tax compliance management and automation, contact us here. Sage Software Solutions (P) Ltd. has been designing and implementing automated ERP solutions for over three decades. You can also drop us a mail at email@example.com for free demo and consultation.
Disclaimer: All the information, views and opinions expressed in this blog are those of the authors and their respective web sources and in no way reflect the principles, views or objectives of Sage Software Solutions (P) Ltd.