Finsights.biz which is a popular Tally on Mobile application with more than 5,000 Users across India announced the launch of its new product for GST ITC Reconciliation. The product automates the reconciliation of GSTR 2A and 2B with Books of Accounts and thereby saves a lot of time and money for the Users.
Input credit means at the time of paying GST on output, Businesses can reduce the GST that they have already paid on their purchases to their Suppliers.
However, since Jan 2022 it is made mandatory that Input Tax Credit can be availed only if the same is available on GSTR 2B.
GSTR 2B is a purchase-related tax return that is generated for each business by the GST portal based on the returns filed by Suppliers. Hence, Suppliers failing to file their GST returns can result in denting the cash flows of MSME companies as they have to pay more GST if ITC is missing in GSTR 2B.
This makes it mandatory for many businesses to regularly reconcile their Books of Accounts with GSTR 2B which is a lengthy and complicated process.
With Finsights.biz reconciliation of GSTR 2A and GSTR 2B with Books gets automatically updated daily through advanced algorithms. The application also provides recommendations on how much ITC to avail in a month based on the reconciliation between their Purchase Register and GSTR 2B. Through the application, reminders can be sent to Non-Compliant Suppliers.
(With inputs from ANI)
