Check if your business is GST ready with our “GST Checklist”

GST checklistFind the GST checklist below and see how prepared is your business for GST

 

Registration

   Check whether you have migrated to GST and obtained GSTIN number for your business.

   If you have multiple business verticals in state, check whether all vertical requires separate registration number.

   Separate registration in each state of India where company has business operations.

Basic Setup Preparation

   Collect GSTIN number of vendors & customers and share yours. Incorrect GSTIN number may lead to loss of ITC and penalty.

   Identify unregistered party and check whether you would like to continue business with them or not. As unregistered party may increase your business cost.

   If you are using ERP create new taxes, tax rates and realign your ERP as per GST.

   Update your items master for HSN and SAC code.

Correct Invoice Formats

   Check your invoice format is as per notified rules of Invoicing under GST.

   Check your classification of services in cases such as work contract.

   Check if you have correctly determined Place of Supply for various invoicing scenarios.

   Check how invoices will be raised within time limit to issue invoice Under GST.

Check transactions postings

Ensure you have correct way of recording GST transaction to take proper input and avoid penalties.
Few examples are:-

   Purchase From Registered, Unregistered and exempted Supplier
   Capital Goods Purchases
   Import Purchases
   Purchase Returns
   Inward, Outward Logistics
   Sales to Registered, Unregistered Customers
   Consignment Sale
   Advance Receipt
   Sales Return

Calculate and take input tax credits

To avail input tax credit check relevant points. Few examples are as follows:

   For GSTR 2 – receipt for goods may have to be linked with GRN

   Maintaining log of payment to vendors: 180 days reversal

   Purchase from unregistered dealers – reverse charge (self upload)

   Import transactions (both goods and services) – self upload

   Reconciliation between supplier details and purchase register

   Vendor master, customer master and item master as per GST guidelines

   Credit tracking in multiple states where registration is taken

   Reconciliations of the tax returns and financial statements

Returns and Reporting

   Preparation of data in GST return format

   API based upload of transaction data

   Uploading data in GSTN

   Reconciliation with financial statement

   Preparation for Return’s key cases e.g. Revision of returns, Invalid return, nil return, restrictions, reconciliations, rectification, notifying etc.

Others

   GST roll-out timeline

   Training of key employees

 

Hope our “GST Checklist” have cleared your vision on if your business is GST ready or not .

With this Indian taxation system will take a huge step towards getting digital, businesses with good IT infrastructure will surely have an advantage in implementing GST and in doing business, we have already helped businesses in getting good IT infrastructure (Read our Case-Studies here) we can help your business in implementing GST as well. Contact us and know how can we be of help

One thought on “Check if your business is GST ready with our “GST Checklist”

  1. Sir,
    Can you pl let me know how the documentation in the case of sending materials outward for further processing and taking back between two registered GST Dealers (Job work orders)

Leave a Reply

Your email address will not be published. Required fields are marked *