Explore GST Compliance: Main Challenges with Solution
GST compliance includes complying with the guidelines and norms of the Goods and Services Tax of the government. GST is a consumption-based tax charged on most goods and services. By automating the method of following GST guidelines, EazeMax software facilitates GST compliance.
Involves Various Key Activities
Timely Updates
Staying informed of any amendments or updates in GST laws, regulations, and compliance standards to ensure continuous adherence.
Registration
Businesses should formally register with the tax authorities and get a unique GST identification number (GSTIN) if they fulfil the GST registration threshold.
Record Management
For GST compliance, keeping accurate records of all the transactions, invoices, receipts, and pertinent documents is crucial. Such records serve as proof in audits and streamline the accurate preparation of the GST returns.
Adherence to GST Regulations
Businesses should observe distinct GST norms that control the invoicing, tax rates, exemptions, input tax credits, and other related provisions.
GST Audits
Tax authorities can conduct audits to validate the precision and completeness of businesses' GST returns. Following the audit requests is important, and providing essential documentation during these procedures.
Invoicing
As per regulatory requirements, generate accurate GST invoices that include all requisite details.
Utilizing Input Tax Credit
Claiming credit towards GST filed on the purchases at the time of filing the returns.
GST Compliance Challenges For Taxpayers
Several barriers have been faced by businesses in India when seeking to comply with the Goods and Services Tax (GST) system. Below are some general challenges.
Complexity
The GST structure itself is not streamlined, which includes features like multiple tax rates, elaborate return filing procedures, and frequent updates to monitor. For small and medium-sized businesses (SMBs), the same difficulty could be a hassle that may lack resources for GST compliance.
Management of Input Tax Credit (ITC)
GST's main benefit is the ability to claim the credit for the taxes filed on inputs. But ITC claims management could not be easier, and errors may occur, which can result in penalties.
GST Portal Challenges
The GST portal, used to file returns and fulfill the other compliance chores, has faced technical problems previously. Businesses could see delays and frustrations from such mistakes.
Dealing with Non-Compliant Vendors
Issues can arise for businesses in claiming the Input Tax Credit (ITC) if the vendors they engage with are not GST-compliant.
Lack of Awareness
Specifically in the early phases, there was not enough understanding of the complexity of GST among specific businesses, which led to wrong non-compliance.
E-way Bill Management
The generation and e-way bills management for goods transportation might be demanding.
Timely Compliance
Complying with the due date to submit the returns and file payments is essential to maintain compliance with GST norms.
Why Choose EazeMax for GST Compliance Solution?
For businesses with distinct features, their GST compliance has improved under EazeMax.
Documentation
Deliver a procedure to collect the essential documents for GST return filing within the specified time from users and clients.
Event Based Compliances
Furnish a procedure for the event-based compliance performed in a timely manner.
Input Tax Credit (ITC) Management
Track effectively and claim Input tax credit, optimizing the GST advantages.
Record-Keeping
Organize and keep the business records of GST, streamlining the access and audit readiness.
Compliances According to Dealer Type
Distinct compliance applicable for the client has been furnished under the EazeMax as per their dealer type (For instance, different types of return compliance according to Regular or Composition taxpayer type).
View the Presentation for the Complete Process
Turnover Input & Compliance Questionarie
Start by entering turnover details to activate GST compliance. This enables you to track both monthly and quarterly compliance. After that you can use Questionary for the specific compliance which you want to follow
Compliance Dashboard
Navigate to the compliance page where you can select and manage the relevant returns for your business.
