Zoho Books: Features & Taxation

Zoho Books is an online accounting solution that caters to the needs of small and medium-sized enterprises, enabling them to efficiently manage their finances. It provides a wide range of features to handle various financial tasks such as invoicing, expense tracking, bank reconciliation, inventory management, and financial reporting. With its intuitive interface and automation capabilities, Zoho Books simplifies the complexities of accounting, making it accessible even to individuals without an accounting background. The software operates on the cloud, allowing users to access their financial data from anywhere, and seamlessly integrates with other Zoho applications and third-party services. By utilizing Zoho Books, businesses can streamline their financial operations, ensure accurate record-keeping, and make well-informed financial decisions.

Basic Features of Zoho Books:

1. Invoicing: Create and personalize professional invoices. Streamline the process of recurring invoices and payment reminders. Accept online payments conveniently.

1. Expense Tracking: Record and categorize expenses accurately. Attach receipts to expense entries effortlessly. Monitor reimbursable expenses effectively.

1. Bank Reconciliation: Establish connections with bank accounts and credit cards. Automatically retrieve and categorize bank transactions. Simplify the process of reconciling accounts.

1.  Inventory Management: Efficiently manage stock levels and track inventory. Set reorder points and receive timely alerts. Generate comprehensive inventory reports.

1. Time Tracking: Monitor billable hours and project expenses seamlessly. Invoice clients for billable hours effortlessly. Integrate with project management tools seamlessly.

1. Financial Reporting: Generate profit & loss statements, balance sheets, and cash flow reports. Customize reports to meet specific requirements. Schedule and automate report generation conveniently.

1. Sales and Purchases: Effectively manage sales orders and purchase orders. Create and send estimates, and easily convert them to invoices. Track payments and vendor credits accurately.

1.  Tax Management: Calculate and manage sales tax efficiently. Generate tax reports effortlessly. File tax returns directly from the software (where supported).

1. Multi-Currency Support: Handle transactions in multiple currencies effortlessly. Retrieve real-time exchange rates conveniently. Produce multi-currency financial reports effectively.

1. Automation: Automate recurring billing and reminders efficiently. Set up workflows for common tasks seamlessly. Utilize custom functions for extended capabilities.

1. Mobile Access: Manage finances on the go with the mobile app. Track expenses, send invoices, and perform more tasks from your mobile device.

1. Integrations: Integrate with other Zoho apps (such as Zoho CRM, Zoho Inventory). Connect with third-party services like PayPal, Stripe, and G Suite. Leverage APIs for custom integrations.

Features for GST Compliance in Zoho Books:

Zoho Books offers a complete solution for effectively managing business finances, streamlining accounting processes to enhance efficiency.

Zoho Books provides a wide range of GST compliance features to assist businesses in India with efficiently managing their GST-related tasks. Here is an outline of how Zoho Books handles GST compliance:

1. GST Configuration:

•   GST Registration Details: Input and manage your GSTIN (Goods and Services Tax Identification Number) and other registration information.

•  Tax Regime: Establish the appropriate tax regime according to your business type (e.g., Regular Scheme, Composition Scheme).

1. Tax Rates Management:

•   Predefined Tax Rates: Access predefined GST rates for different goods and services.

•  Custom Tax Rates: Create custom tax rates as required.

1. Invoicing:

•   GST-Compliant Invoices: Generate invoices that adhere to GST regulations, including essential fields like HSN/SAC codes, tax breakdown, and GSTIN.

•  Bill of Supply: Produce bills of supply for exempt and non-taxable goods/services.

•  GST Credit Notes/Debit Notes: Release credit and debit notes with accurate GST information.

1. Expense and Purchase Management:

 

•   Record Expenses with GST: Enter expenses and purchases with GST details to claim input tax credit.

•  Vendor Bills: Generate and manage vendor bills with relevant GST rates.

1. GST Returns Filing:

•   GST Reports: Produce comprehensive GST reports such as GSTR-1, GSTR-2A, GSTR-3B, and GSTR-9.

•  Auto-Generated Reports: Automatically generate GST reports based on the transactions recorded in Zoho Books.

• Filing via Zoho Books: File GST returns directly from Zoho Books by integrating with the GST portal (in supported regions).

1. Input Tax Credit (ITC):

•  Track ITC: Automatically monitor and claim input tax credit on eligible purchases.

•  ITC Reports: Generate reports detailing the ITC claimed and available.

1. GST Audits:

•  Audit Trail: Maintain an audit trail of all transactions for compliance and verification.

• Audit Reports: Create audit-specific reports to ensure compliance with GST regulations.

1. E-Way Bill Integration:

•  Generate E-Way Bills: Create and manage e-way bills for the transportation of goods.

• E-Way Bill Compliance: Ensure compliance with e-way bill regulations.

 

If you have set up the GST Settings in Zoho Books, the system will automatically populate the individual taxes like SGST and CGST with their standard rates and tax groups based on the GST rate slabs. When you generate intra-state transactions in Zoho Books, you have the option to choose the relevant group tax to apply to the transaction. For inter-state transactions of goods and services, you can select the appropriate auto-populated tax to apply IGST.
Users, whether already registered or new to the platform, can submit their GST returns electronically using Zoho Books. By providing their GSTIN, username, and an initial account date, they can have all taxable transactions automatically gathered and organized by the GST reconciliation software, ultimately streamlining the process and conserving valuable time and resources.