GST compliance is mostly about clean data at the time of invoicing. An ERP that captures tax details once can feed returns, e-invoices and e-way bills without rework.
What to expect from an ERP
| Need | What the ERP should do |
|---|---|
| Tax invoice | HSN or SAC, place of supply, CGST/SGST/IGST, correct invoice numbering |
| Credit and debit notes | Linked to the original invoice |
| Returns data | Sales and purchase data ready for GSTR-1 and GSTR-3B |
| E-invoice | Generate IRN and QR where applicable to your turnover |
| E-way bill | Create from the invoice for goods movement above the notified limit |
| Reconciliation | Match purchase data with supplier-filed data and flag differences |
Where errors start
- Wrong or missing GSTIN for parties.
- Incorrect HSN or tax rate on items.
- Wrong place of supply, giving IGST instead of CGST and SGST.
- Invoices edited after filing.
Controls that help
- Mandatory GSTIN and state on party master.
- Item master with locked HSN and tax rate.
- Approval before changing a posted invoice.
- Monthly reconciliation before filing.
Rules, thresholds and forms change. Check current requirements with your tax advisor, and choose a vendor that updates the software when notifications change.
Month-end routine for GST data
- Check that all sales invoices are posted and numbered without gaps.
- Review credit and debit notes against the original invoices.
- Reconcile purchase entries with supplier data and chase differences.
- Generate return data and review it before filing.
- Keep invoices, e-invoice acknowledgements and e-way bills with the records.
A short routine every month is easier than a large correction at year end.
Note: This article is general information, not tax advice.
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