Most companies continue to use spreadsheets as well as manual data entry and repetitive checks, in a more complex world of tax-compliance and accounting. However, with the introduction of gst return filing automation, it is making the whole process, i.e importing of data to the final submission of your GST Return smarter, quicker and more reliable. Let us discuss how automation is transforming GST filing, why it is important to your practice, and how toolset can be incorporated into a more comprehensive approach of compliance. Let us also look into how WebLedger thinks this transformation will take place.
The Reality of Conventional Filing of GST
To most CA firms and businesses, GST-filing has translated to:
● Outward/inward supply data is entered manually (usually out of Excel or PDF).
● Matching purchase data with GSTINs of the suppliers with GSTR-2A/2B.
● Compiling annual returns (e.g. GSTR-1, GSTR-3B) and then summing up data to create annual returns.
● Possibility of failure to meet deadlines, manual errors, mismatches and subsequent notices/ ITC rejections.
Due to these limitations, companies tend to have scale challenges particularly in dealing with several clients, branches or jurisdictions.
What Does GST Return Filing Automation Mean?
GST return filing automation: This is defined as the application of software to perform significant portions of the data-import process, the reconciliation process, validation process, tracking process and preparation of your GST return. Key steps automated include:
● Bulk importation of sales and purchase invoices.
● Comparing purchase side and GSTR-2A/ 2B and emphasizing discrepancies.
● Auto-filling outward supply schedules and summary information of GST Return.
● Producing return files in the form of an uploadable JSON.
● File in progress, file pending, file exceptions, file compliance risk, dashboard.
To put it in a nutshell, you are not wasting hours on how a certain tax-filing works, but you are revising exceptions and providing advice to clients.
Why Automation is Important to GST Filing?
The main advantages of automation of your process of GST Return are as follows: Accuracy & Reduced Errors
Manual input can always be subject to human errors--incorrect rate, incorrect GSTIN and omissions. By automation, validation checks will identify errors at an early stage thus minimizing notices or punishment.
Time-Savings & Efficiency
Rather than sending such large teams to manually reconcile, your software does bulk uploads, data matching and generates ready-to-file return formats. In the case of a CA firm, that implies you will be able to serve a larger number of clients without a corresponding increase in resources.
Better Visibility & Tracking
It provides you with dashboards that contain compliance status, outstanding tasks (such as invoices missing, suppliers not matched), due date to file and points of risk. This increases your control and client service.
Scalability
When your base of clients increases, or you have several branches/locations, then manual processes collapse. Stepwise Auto procedures enable you to scale without spreading out of control spreadsheets.
Focus on Value-Added Work
Once the grunt work of filing is done electronically, your staff will be able to devote more time to giving advice to clients, such as GST strategy, credit optimisation, structuring, audit preparedness, rather than doing pure returns.
The Features of Automation to Consider
The automation tools in GST-return should have the following features when you assess them:
● Outward and inward supply Multi-source data import (Excel, JSON, API integration) Multi-source data import (Excel, JSON, API integration) to support outward and inbound supplies.
● Purchase side (GSTR-2A/2B matching) reconciliation engine with exception reports.
● Auto-preparation of schedule of GST Returns (e.g. outward supply, summary liability etc).
● Creation of uploadable (e.g. JSON) formats.
● Missing data, pending invoices, deadlines dashboard / task tracker.
● Integration with accounting systems/ERP in order to have data flows and not be re-keyed.
● Audit trail, user-roles and change-log to ensure compliance framework.
With these in place then the way to smooth GST filing becomes much more feasible.
What All of This Means for WebLedger?
And now we can discuss the point of view of WebLedger. WebLedger is an Indian based cloud accounting and compliance automation system designed to serve businesses and also tax-practitioners.
● They offer a module called GST Filing Software (New) that is used in Automate GST filings with error-free, real-time compliance tools.
● Their system also provides Cloud Accounting and Practice Management modules, i.e., not just the tax-return, but the compliance and office workflow as a whole.
WebLedger views GST return automation as a sub-system of a larger ecosystem (comprising accounting, billing, audit-trail, document management and compliance) and not a plug-in system.
Why does this matter?
With WebLedger, you are able to manage outward supply, reconcile, prepare the GST Returns and monitor filing that all exist within the same platform as your accounting and client workflow.
● To a business: It will not only mean that your compliance is built in with your books, but also that you minimize errors, achieve visibility and minimize the load of the never ending GST Return, audit, notice routine.
● To both: It implies that you will stop being reactive (merely filing returns) to being proactive (monitoring reconciliation problems, GST strategy advice, exception management prior to filing).
WebLedger has a mission statement, in their words, of revolutionizing how accounting and compliances are being approached... automation of errors reduction and efforts... enabling professionals and businesses to concentrate on how to grow.
Final Thoughts
You have bills to pay, and you are a business or a CA firm that is still playing with the late nights, spreadsheets, manual reconciliations and the hustle and bustle of filling monthly GST Returns, it is high time to reconsider the game. The automation of the GST returns is not merely a luxury anymore but is turning out to be a requirement in order to ensure accuracy, speed and scalability.
In case you consider the tools, pay attention to the development of their ability to combine the process of GST Return (data import, reconciliation, schedule preparation, and filing) with your total accounting and compliance process. Integrations such as WebLedger indicate the ease with which this can be achieved. You will wish to deploy such tools in case you aspire to free up time, minimize errors, serve clients better, and expand without necessarily increasing costs.
Simply put: work smarter, not harder. Automate your process. And have your staff devote their time to value addition instead of data entry.
