Why should every Indian seller think of automating compliance?
- Technology paced all the industries, and the world came closer.
- Fintech is advancing year after year, and organizations are mainly benefiting from tax automation.
- Besides the commonly known benefit of speed, there are other reasons why every organization should consider automating compliance. This blog will tell you why.
Technology has paced everything up. Be it healthcare, hospitality, travel and tourism, marketing or finance, try to think, and you wouldn’t be able to spot a field that has not benefited from technology. Small businesses are reaching out to markets that they never knew existed before. And the sky is the limit for them, now. It would not take a genius to say that technology speeds up compliance too. But besides the apparent reason of speed, technology in compliance has made things a lot easier for businesses.
Before automation came into the discussions of small businesses, compliance was a hefty task. Sellers had to understand it themselves or hire human resources to take care of them. But now, with tax automation, compliance has become faster, smoother and error-free for many businesses that have chosen to automate their taxes. When asked, one of Avalara’s clients said that using Avalara’s automation suite was like hiring an SME. It took charge of the entire compliance like an actual accountant would do. So, if you are a business willing to expand and grow, you should consider automation in terms of registration, calculations, returns and reporting of taxes. Here is why automating compliance is the best decision you can make for your business.
1)Reduces tax risks, chances of defaulting and penalties-
Automation helps reduce tax risks. It puts to use Artificial Intelligence to assign tax rates and calculates, and the chances of that going wrong are next to a minimum. The possibility of default and penalties reduces, and the organisation can do business carefree without missing deadlines.
2)Scaling without adding tax pain-
If organisations wish to expand their business by entering into new markets or upsizing, they can efficiently do so if they already have tax automation software.
3) Do everything cost-friendly
Having software that takes care of your taxes is a lot cheaper than hiring experts to do it. Once you automate, your experts can focus on jobs that require special skills, and the software will take care of the tedious processes
4) Saves time.
Automation helps process transactions and compliance faster
5) Processes calculations error-free-
Automation eliminates the possibilities of human errors.
6) Up to date-
You don’t have to worry about missing a few changes in the regulations because, with automation, you are sorted. Someone else takes care of that for you, and you just have to take care of what you are great at. Software developers like Avalara keep their suites up-to-date, and the suits promptly nudge you when something has changed.
7) Avoid goods stuck at customs rejected shipments-
Many sellers face the issues of goods stuck at customs. This usually happens due to poorly assigned HS codes or a lack of knowledge related to compliances.
8) Avoid penalties and extra costs-
Missing out on compliance can lead to heavy penalties, extra charges and fines. Why pay extra when you can comply timely and avoid trouble? This is possible if you have a great support system for automation.
9) Keep customers happy-
After all, every person in business wants to end a deal with customer satisfaction because that builds the business in the long run. But with complexities in logistics, many sellers do whatever they can, leaving the troublesome part to the customers. Customers only want to pay and get their purchase and end the story, but if they meet with hidden costs, taxes etc., they either reject products or become unhappy, which every seller dreads. This, too, can be avoided with automated compliance.
If you are an Indian seller dealing in international markets, we keep posting blogs and whitepapers that might help you. Here is a blog about the common misconceptions that Indian sellers have regarding cross border logistics and compliance. Visit our blogs to stay up to date with changing tax regulations.
Avalara helps businesses of all sizes with their tax compliance needs. We will be able to help you in your automation journey. Visit our website to know more about our products. Our solution for cross border selling assists many organisations in doing business smoothly. Get in touch with us to know how we can help.
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