Biz establishments await GST software update

PANAJI r This has made things difficult for them because linking invoicing to GST portal is crucial for smooth filing of tax return. rBefore GST came into being, accounting softwares were programmed for several indirect taxes like value-added-tax (VAT) and service tax. After GST implementation, accounting softwares have to be updated for different components of GST, which includes central government GST (CGST), state government GST (SGST) and inter-state GST (IGST). rBut, it seems that a number of businesses in the state are running without updated accounting software. rMuzaffar Kadri, owner, Jamsons (sole distributor of Tally in Goa), said, “Businesses were waiting till the last moment to get software updated. We have a team of 7 to 8 people dedicated to updating accounting software for GST. This team is working on all 7 days, including Sunday.” rAfter GST was rolled out on July 1, a number of business establishments started running from pillar to post to get an updated software. The sudden spurt in demand has put a lot of pressure on software providers. rKadri further said, “In worst situation, a business may have to wait for three days to get an updated software. But, I try my best to ensure that they get an updated software by calling dealers from other parts of the state.” rBefore GST, a lot of commercial establishments didn’t have any accounting software. With GST, it has become necessary to have an accounting software so that invoicing can be linked to GST portal. rUnder GST, businesses will have to file tax return every month and if invoicing is linked to GST portal, it becomes much easier to file tax-return. This is the reason behind sudden jump in demand for accounting software. rRajendra Narvekar, president, All Goa Tax Practitioners Association, said, “People are confused because they are unable to decide whether they should go for composition scheme or not. This is also resulting in them not upgrading accounting software.” rA business opting for a composition scheme cannot charge GST to its customers. Under such a scheme, income tax is charged at a low rate on turnover and not on profit. This is to promote small tax-payers to come within the tax net. Bigger business concerns can’t use composition scheme and therefore they have to have updated accounting software.