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Role of Technology for GST Compliance


Role of Technology for GST Compliance
Technology for GST Compliance
April 29, 2023


With GST the government intends to achieve two major goals: 
1. Reduce tax evasion, and, 
2. Simplify compliance for tax payers.

In the prevailing tax systems, there are several cases where the government has not been able to detect evasion and loss of tax revenues. As a result, it has become a challenge for the department concerned to track the input claims against the liability of the seller. There have also been numerous cases of duplication of claims on input tax, fraudulent claims, input tax claims that do not correspond with tax liability declared by the seller, or seller who has not furnished his tax liability.

In order to overcome this, GST has introduced technology. By giving GST Suvidha Provider (GSP) and Application Service providers (ASP) Licenses to tech companies for developing software solution for GST compliance.

Key features of these software are:-
1. Automated Tax Returns Process
2. Smart Reporting & MIS
3. Historical Data 
4. Integration & Automation 
5. High Tolerance
6. Data Reconciliation

Automated Tax Returns Process- The seamless data flow helps carrying out smooth GSTR 1, GSTR 3B & GSTR 9 filing and helps manage purchase information records.

Smart Reporting & MIS-  Access to multiple GST ready reports including:
- GSTR 2 vs. GSTR 2A multi month (comparison of 18 months data at once)
- GSTR 3B vs. GSTR 1, consolidated annual filed reports for GSTR 1 and GSTR3B
- Ledgers – Cash, Credit & Liability direct from GSTN, GSTR 1 all types of Outward Report i.e., B2B, B2C, Export, CDN etc, and all types of Inward Reports B2B, Imports, CDN.

Historical Data- Identity and easily download the previous year’s data without any hassle.

Integration & Automation- Easily integrate the filing software with your existing ERP without a hassle. There are multiple custom built connectors that help with the GST data transaction between the ERP and the GST software. Some of the ERPs with live working include SAP, Ginesys and even accounting packages like Tally.

High Tolerance- Manage high intensity and high volume GST activities with uptime of over 99.99%

Data Reconciliation- Easily compare the data inserted by the supplier and the purchaser to check the data accuracy. Helps figure out if any entry is missing.

Many platforms compare and categorize invoices during the reconciliation process.  The categories of the invoices are usually:

  • Match
  • Deem Match
  • Invoice Mismatch 
  • Value Mismatch 
  • Supplier Only 
  • Purchase Only
  • Auto Match with Tolerance level 
  • Probable Match
  • Mismatch finding at PAN level 
  • Managing the tolerance level
  • PAN Level Reco Report

EaseMyGST is one of the popular Application Service providers (ASP) cloud software solutions provider for managing complex GST data through dedicated APIs which linked with GSTIN system.  EaseMyGST software provide in-depth analysis on GST compliance such as simplified GST returns filling , sync status , historical data since inception of GST, various reconciliation reports, comparison reports like 2 vs 2A vs 2B, GSTR 1 Vs 3B and much more.

Book your trial a/c by connecting at