Know the Impact of GST on the IT Sector

A GST or Goods and Service Tax can be taxing for the people because of the service charges added to each and every goods and service. With GST being implied on everything the IT sector cannot expect to remain out of its reach. A significant change is to take place with a totally different tax regime. This will make the system simple, especially for the ones in the IT sector. Let’s learn the ways by which GST can impact a business:

Business Processes

A business irrespective of being large or small size is in a trial always to get their ERP and accounting systems in sync. This will lead to an increase in the infrastructure cost and also change the business systems. Some companies rather all companies have set up their own technical experts, finance teams, and an expert from their respective GST software vendor.

Software Developers and Sellers

All the fintech companies are trying to develop the GST software. It is expected that GST will impact the companies by opening a huge market for them. So, the more demand for the GST software would mean boosting the potentials of the software developers.

Freelancers

There are several freelancers who are found to offer app development, designing and website building services. With the introduction of GST, they are going to pay a little more of the tax that they used to pay earlier. The bloggers are feeling confused if they would also have to pay some taxes as earlier they were not taxable. They need to find out the answer from the concerned authorizes.

Export of Services

An important source of foreign income in any country is through the IT sector. With GST the export taxes will nearly get removed. The economics say that with the introduction of GST there might be import taxes but the money will be refunded later. Interestingly the place of supply will play a major role. The services that might be included in this category are the BPO operations, software development, software consultancy, software support and others.

Redesigning the Business Software

If GST is introduced then the companies have to get their ERP software redesigned or updated by professional IT experts as per the GST rules. They might also consider switching to specialized GST software which might be launched in the market.

Increase Documentation Workload

As the administrative costs are expected to increase the Tax Collection at Source (TCS) will have to increase the documentation workload for the firms. Small sellers are expected to see cash flow issues. They may ask for a refund on the tax paid on inputs which the ecommerce platforms may not be able to support. So, there will be a significant increase in the compliance burden.

Compliance

The law regarding GST includes several points of taxation in the IT sector. This means that the companies under this sector have to get themselves registered with all the points that might be mentioned in the laws in order to continue their operation. This will be as per all the states they are offering services or having customers. All billing and accounting has to be done from a central location.

Avail ITC

The IT companies get a scope of good news through ITC. Earlier the traders could not avail the service tax paid on the software and computers. With GST that will become possible. The taxes paid for the hardware can be adjusted against small parts repair and service tax.

Tax Rate

As the tax rates will elevate, there will be a significant increase in the cost of the services. The end customers will be affected the most with it. The VAT that comes under the state government and the service tax payable to the central government will no more be into existence. Even the excise duty might also get excluded. Only one tax, and that is, the GST will remain applicable. So, the average tax is going to get reduced leading to lesser cost for the IT services.

The IT companies are overall going to experience an ease in carrying forward the day to day businesses. It will be better to go through the Government legislation in order to understand the concept in a proper way. This will help them to recognize the challenges and overcome them as quickly as possible.

Making Money Online Is Much Easier Than You Think

When you wish to make money online you may be thinking of it because you want to get paid well. It can also just be something you want to do to help you get a few extra bills paid. Whatever the case may be, this article can guide you through this.

Look out for online scams. There are plenty of opportunities to make money online, but not all of them are legitimate. To prevent missteps, research any company you plan to do business with, beforehand.

Sign up to become a mystery shopper. This is a great way to make money as you will have to shop at various places and take notes on your shopping experience. When you are finished, you will have to write up a report on the computer, which you will be compensated for.

Do freelance writing in your spare time to earn a decent amount of cash. There are websites that you can sign up for where you can choose from a wide variety of topics to write on. Typically, the higher paying sites will request that you take a test to determine your writing ability.

Make good use of your down time. Many online sources of income can be done without a lot of focus. For example, surveys and other small tasks can be accomplished without a lot of effort. Try doing some of them while watching TV. Though you will not become rich, you can make some extra money in your free time.

Design and build websites for people on the web to make some extra cash on the side. This is a great way to showcase the skills that you have using programs like Kompozer. Take a class beforehand on website design if you want to brush up on your skills before starting up.

One good way to make money online is by writing blog posts or articles. There are a few sites such as Helium and Associated Content that will pay for blog posts and articles that you write. You can earn up to $200 for articles on topics they are looking for.

Today there are many assistant positions available online. If you are good at office tasks and are technically savvy, you could be a virtual assistant providing office support, telephone or VoIP support and possible customer service. You may need some training to perform these functions; however, a non-profit group called International Virtual Assistance Association can help you get the training and certifications you may need.

Making money online is something you can’t just do overnight. You have to stick to your plan and remember that perseverance will get you through the tough times. The harder you work at it, the more you will make, so steel your determination and keep reading article like this one to learn more.

Getting paid money to work online isn’t the easiest thing to do in the world, but it is possible. If this is something you wish to work with, then the tips presented above should have helped you. Take some time, do things the right way and then you can succeed.