Latest Articles By Nishant

Forward Charge Mechanism Under GST: Explained with Examples The forward charge mechanism is the default method of tax collection under India’s Goods and Services Tax (GST). This guide explains how it works, who pays tax, and how it differs from the reverse charge mechanism, with practical examples. BOOK A FREE DEMO What is the Forward

Types of Reserves in Accounting: Revenue, Capital, and Secret Reserves Explained Reserves are amounts appropriated from profits to meet future liabilities, unforeseen expenses, or specific purposes. They are not expenses but allocations of profit, appearing on the liabilities side of the balance sheet under “Reserves and Surplus.” Reserves enhance a company’s financial stability and can

Auditing Accounting: Objectives, Procedures, and Types In business finance, auditing and accounting play a critical role in maintaining trust, accuracy, and accountability. Auditing refers to the process of examining financial records, systems, and transactions to assess whether a company’s financial statements are fair and reliable. This ensures that businesses remain compliant with legal standards and

Common Accounting Errors: Types, Examples, and How to Correct Them Even experienced professionals can make mistakes in financial records. These are called accounting errors—and if not spotted in time, they can affect reports, taxes, or business decisions. Let’s explore the types of accounting errors, real-life examples, and how to correct them effectively. BOOK A FREE

What Is Current Ratio? Formula, Ideal Range, and What It Tells You The current ratio is a widely used financial metric that evaluates a company’s ability to pay off its short-term obligations using its short-term assets. In simple terms, it answers the question: can the business meet its upcoming dues with the resources it already

What Is Debtors Turnover Ratio and How to Interpret It Effectively? The debtors turnover ratio, also known as the accounts receivable turnover ratio, is a financial metric that measures how efficiently a company collects outstanding credit sales from its customers. It shows how many times, on average, a business converts its credit sales into cash

Taxation in Accounting: Basics, Types of Taxes, and Compliance Essentials Handling taxes is one of the crucial parts of running a business, whether you’re a small shop owner or a growing enterprise. Understanding taxation in accounting helps you stay compliant and avoid penalties. In this blog, we’ll explain what taxation is in accounting, the common

Types of Accounts in Accounting and How Amortization Affects Them Understanding the different types of accounts in accounting is essential for anyone learning about finance. These accounts form the base of all financial records. But accounting isn’t just about keeping track of money—it’s also about how costs are spread over time. That’s where amortization comes

Cost of Capital: Why It Matters and How to Calculate It Accurately In corporate finance, every investment decision carries a cost, whether it’s funded through equity, debt, or a mix of both. This cost is known as the cost of capital, and understanding it is critical for evaluating projects, financing options, and long-term strategy. It

What is the Accounting Cycle? A Comprehensive Guide The accounting cycle is the complete process that businesses follow to record, classify, summarize, and report financial transactions for a specific accounting period. This cycle ensures the accuracy of financial records, supports regulatory compliance, and helps prepare important financial statements, such as the income statement, balance sheet,

Working Capital Management: Techniques, Importance, and Ratios Effective working capital management is essential for maintaining a business’s short-term financial health, enabling companies to operate smoothly while meeting obligations as they come due. It refers to the process of managing current assets and current liabilities in a way that ensures operational liquidity. Businesses that master working

What is Forensic Accounting? Role and Techniques Forensic accounting integrates investigative skills with financial expertise to analyze, interpret, and present complex financial information for use in legal proceedings. Often referred to as the intersection of accounting and law, forensic accounting plays a vital role in uncovering fraud, resolving financial disputes, assessing damages, and supporting litigation.

Types of Debentures in Accounting Debentures are essential debt instruments used by companies to raise long-term capital without diluting ownership. In accounting, understanding the types of debentures is crucial for recording liabilities accurately and evaluating a company’s financial strategy. These instruments represent borrowed funds, where the company commits to repaying the principal with interest. Their

What is BookKeeping? Benefits, Principles and the Process BOOK A FREE DEMO What is Bookkeeping? Bookkeeping is the art of recording and organising all business transactions that have occurred during the business. It is a fundamental part of accounting and primarily focuses on recording daily financial transactions such as sales earned revenue, tax payment, earned

Top Features to Look for in Billing Software For Travel Agencies Choosing the right billing software for your travel agency can make all the difference in managing finances efficiently. From handling multiple payment methods to simplifying complex transactions, the best billing software streamlines operations, ensuring accuracy and saving time. Whether automated invoicing, seamless integration with

FORM GST DRC-01A: What It Is and How to Handle Tax Payable Notices Facing a tax payable notice can feel overwhelming, especially when you receive a FORM GST DRC-01A. This form is part of the GST compliance process, serving as a formal notice to businesses regarding unpaid taxes. But no need to worry — knowing

Inventory Management System Trends for Small and Medium-Sized Businesses (SMBs) Inventory management systems for small and medium-sized businesses (SMBs) are evolving with new technologies that promise to make them more efficient and competitive. Key trends include the adoption of cloud-based solutions for real-time access, AI-powered analytics to optimise stock levels, and automation tools that streamline the process

Reverse Charge Mechanism on Goods vs. Services: A Comparative Analysis With the Reverse Charge Mechanism (RCM), the responsibility of tax liability is moved from the supplier of goods or services to the receiver of goods or services. It would require ascertaining rates of goods and services of different categories, which would differ based on the

Impact of GST Validation on Financial Audits: What Businesses Need to Know Financial audits play an important role in ensuring the reliability and accuracy of financial information. By independently verifying financial statements, auditors help identify errors, fraud, and non-compliance with accounting standards and regulations. This enhances transparency, accountability, and investor confidence. BOOK A FREE DEMO

Debit Notes vs Credit Notes: Key Differences and When to Use Them? Debit and credit notes are essential accounting documents businesses use to correct errors or adjust invoice transactions. They help maintain accurate financial records and ensure compliance with tax regulations. Let’s understand them better. BOOK A FREE DEMO Understanding the importance of Debit Notes

How to Do GST Registration for an E-Commerce Business? GST has benefited e-commerce businesses in India by simplifying taxation, reducing compliance burdens, and eliminating the cascading effect of taxes. This has led to improved competitiveness, lower costs, and increased transparency. GST has also boosted e-commerce growth by allowing businesses to expand and invest more. The

The Future of GST Software: Trends and Innovations to Watch The future of GST software is ready for significant advancements driven by technological innovations. Artificial intelligence, robotic process automation, and blockchain integration are transforming the landscape. Innovations will streamline processes, reduce errors, and enhance compliance in the coming years. These advancements are revolutionising financial management

The Difference Between GST and Income Tax: What You Need to Know GST (Goods and Services Tax) and income tax are two key components of the tax system, but they serve different purposes. GST is an indirect tax on the sale of goods and services based on product or service consumption. It replaces other indirect

The Role of GST Accounting Software in Streamlining Business Operations With the increasing demand for GST compliance, businesses need a reliable solution to manage their GST-related tasks. Given the growing importance of GST compliance, businesses need to explore and understand the capabilities of GST accounting software, such as automating invoice generation, accurate record-keeping, and more.

Common Issues Faced While Downloading GST Certificate and How to Resolve Them The GST certificate is crucial for any business registered under India’s Goods and Services Tax. It serves as proof of registration and is essential for various compliance purposes. However, many businesses encounter issues while trying to download their GST certificate.These challenges include login

GST State Code List & Jurisdiction In GST, the State Code is a two-digit number that shows which state or union territory a business belongs to. It is part of the GSTIN (Goods and Services Tax Identification Number) and helps decide if a sale is within the state or between states. GST Jurisdiction tells you

Impact of GST on Hotel Industry From Rs. 15.24 lakh crore (US$ 234.03 billion) in 2017 to Rs. 32.05 lakh crore (US$ 492.21 billion) in 2028, the Indian hospitality and tourism sector is predicted to grow. The impact of Goods and Services Tax GST in the hotel industry in India has been significant since its

The Impact of GST on Gold and Gold Jewellery The introduction of Goods and Services Tax (GST) in India in 2017 has had a significant impact on the gold and gold jewellery industry. Prior to GST, gold was subject to multiple taxes, including excise duty, value-added tax (VAT), and customs duty. However, with the implementation

GST Registration Certificate – Everything You Need to Know A GST Registration Certificate (Form GST REG-06) is provided to all businesses and individuals registered under the Goods and Services Tax (GST) Act. The GST Certificate is one of the most important documents your business must obtain while registering for GST. In this article, we will

Summons Under GST- Rights and Duties of a Taxpayer BOOK A FREE DEMO What is a summons under GST? A summons is an order issued by a court or a government administrative body requiring any individual to appear in person in court or at the relevant office. Section 70 of the CGST Act 2017 empowers

A Guide to Debit Notes under GST Debit notes, also known as debit memos, are commonly used in business-to-business (B2B) transactions. It assists the buyer in keeping track of his debt obligations to the supplier for goods or services received. It also helps suppliers in correcting undervalued invoices. BOOK A FREE DEMO What is a