GST Ready Features in Zoho Books

This section will give you a brief overview about the GST Ready features that are available in Zoho Books.

Configuring your Zoho Books account

Zoho Books is now GST ready. As part of the rollout, you will have to perform a few basic functions in order to get your organization ready for GST. Below mentioned are a few simple steps to get you started.

When you file your returns through Zoho Books, your address (state), IP address and GSTN username will be shared with the GSTN portal.

Enabling GST Settings

For Existing Zoho Books users

If you already have a Zoho Books account, you will see a Migration Wizard when you log into your Zoho Books account. You should follow the steps mentioned in the wizard in order to make your Zoho Books account GST ready.

Enable GST Settings

For new Zoho Books users

If you’re creating a new Zoho Books account after July 1, 2017 with India as the country, you will be prompted to setup your Tax preferences during the initial stages of sign up. Here, you will be asked whether you have registered for GST, and if so, you will be prompted to enter your GSTIN (GST Identification Number).

If you’ve skipped the process, you can still enable it by following the steps mentioned below:

Enable GST Settings

Enable GST Settings

If you have selected the Direct Filing option,

Note: You cannot file GST returns from Zoho Books until you receive the GSTIN from the tax department.

Setting your default tax preference

Once you’re done with the GST Settings, the next step is to set up default tax preferences for Intra-state and Inter-state transactions. Zoho Books will already have tax rates pre-populated under the Taxes section. But, to make it easier, you can set a default tax rate for intra and interstate transactions.

To set default tax preferences:

Tax preference

But, what if you wish to change the tax rates for a few items that does not come under the default tax rate? In that case, you can edit them by following the steps mentioned below:

Tax preference in Items

Based on the Place of Supply chosen during the invoice creation, the system will choose between the set tax rates.

If you have not entered a shipping address for a contact, billing address will be taken as the default state. If there’s no address associated to the contact, it will be considered as an intrastate transaction(i.e transaction within the same state as of your organization).

Note: You can choose Tax Preference as Tax Exempt if the transactions with the particular contact fall under tax exemption.

Adding Additional Cess

By default Zoho Books will have all the tax rates pre-populated under the Taxes section which you can choose for your transactions. However, if you wish to add an additional cess, you can do so by following the steps mentioned below,

Add GST Tax

To add your taxes

If you wish to add the newly created cess on top of another tax, you can create a new tax group, or add the cess to an existing tax group. If you wish to know how to create and manage tax groups, click here.

Adding GSTIN of your contacts

You can now classify your contacts under these four categories:

Associating one of the above categories to your contacts will be helpful while filing your GST returns. For example, if you’re marking a contact as a Registered Business, you will be including their GSTIN which will later be helpful while filing GST returns. This will also help Zoho Books in classifying B2B and B2C transactions.

To add GSTIN to your contacts, follow the steps mentioned below:

Tax preference

Classifying your Items

With Zoho Books, you can classify your items into Goods or Services. Whenever you create an item, you will be asked to choose if it is a good or service. You can also enter their corresponding HSN and SAC codes in order to stay compliant with GST.

To add SAC or HSN,

Add HSN or SAC

Stay GST compliant with Zoho Books, your GST accounting software.

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