In Saudi Arabia, most businesses are comfortable in manually maintaining their business accounts and records. Until the introduction of VAT on January 18th, the need to automate your business processes was not really a priority. Each business followed its own process for invoicing and maintaining business records. However, with the introduction of VAT, a change is needed.
Compliance requirements under VAT are standard and defined. Each business should now take into account and prepare the additional compliance activities required. In this regard, using Tally software can greatly simplify your VAT compliance activities.
Understand the benefits of using VAT software in your business:
Quickly billing of VAT invoices
According to VAT, every detail should be specified in a VAT invoice. Registered businesses must ensure that the invoices provided contain the necessary information. The invoice issued by a supplier also affects the buyer because the buyer’s input tax credit is linked to the invoice. Using a VAT accounting software provides the ability to preconfigure most of the details required in the invoice, minimizing the possibility of incorrect entries. Automatic calculations also ensure that calculation errors are avoided. All this leads to the creation of VAT invoices quickly and easily because of the minimum level of manual labor.
Faults or Detection of Errors
VAT compliance requires the correct details to be stated on the invoices. Even a small business should consider many aspects of the VAT law to ensure that compliance activities are carried out correctly. Tally.ERP 9 is a VAT software that provides the flexibility to configure and adjust most details, minimizing the possibility of errors. Calculation errors are also eliminated when you use Tally for VAT solutions. In addition, important feature of Tally software is to detect errors according to the VAT rules. Even an invoice that appears correct may be missing in terms of return filing. The VAT accounting software allows you to create accurate invoices and get results.
Ease in generating VAT returns
Filling returns is often a terrible compliance activity for many businesses. Businesses holding manual records usually need 2-3 days for a single return. As a business owner, that is a loss of 2-3 days spends on your core business activities. When using Tally, VAT return is much simpler process. A large portion of your refund will be automatically filled in based on the invoices you have recorded during the month as part of your daily activities. In fact, your returns will be updated in real time based on the invoices you enter into the software. Any errors or missing information will be highlighted for your action. Once these are resolved, your return is ready to be filed.
Always stay up to date with changes in the law
As an owner, you have a lot to do with your business. It will be difficult for you to keep track of changes in VAT rules and regulations. However, errors in compatibility can be very expensive. When VAT rules are changed and made, you can be sure that they are included in the VAT software to ensure that your compliance activities are always accurate.
Safe maintenance of your data
The VAT law requires you to keep your VAT records for at least 5 years. This period is even more in the records of capital assets. Therefore, it is extremely important that you keep your records in a safe place. It should also be easily accessible for quick reference at any time. Maintaining your VAT records with Tally.ERP 9 Software provides a safer way to store your records. Tally allows you to back up your data frequently, and it also allows you to easily access your previous data at any time.
For this reason, it is useful for businesses in Saudi Arabia to evaluate and use Tally software as their VAT solution for every requirement. The benefits of VAT in Tally software greatly reduce the cost. It’s time to use technology to simplify your tasks and ensure proper compliance under VAT.