Implementation Of GST Has Widely Impacted The Accounting Software Market
By October 2016, the product and engineering team of Bangalore-based software company Tally Solutions was developing Point of Sale (PoS) technology solution. Its eyes were on the retail operator, under which nearly two million shopkeepers were onboard. However, this project will soon be shut. It was a big decision as the Goods and Services (GST) tax bills were passed two months ago.
Under the GST law, India’s vast SME sector needs to coordinate with new and relatively complex laws. Actually, companies now have to file returns on the Technology Platform GST Network (GSTN). In this way, Tally again made its focus on improving its flagship accounting software Tally ERP.
A former senior manager of Tally said, “When GST came into effect, the availability of the product became important in terms of compliance requirements.” Its product team said, “In fact, it has brought our potential to a better level.” By 2015, Tally’s story was about Goenka’s created a financial accounting product that could be used in any Indian business.
Significantly, the company was first known as Peutronics. Created in October 1991, it is one of the oldest companies to make India’s software product. Tally became quite popular as it made many complications simpler. This helped to grow in the SME market, which was less based on technology.
Tally profit jumped 6 times in the fiscal year 2016 Tally’s executive director Tejas Goenka (28) says that the company has to design such products in DNA which are right for SMEs and has the efficiency to do the best 3–5 Years Ahead.
The company at present has various competitors in the market such as Zoho. Owing to drop in Tally performance a year back has created space for other competitive players to enter the accounting software market. However, the prosperous days for the accounting software market are back on track on the grounds of various finance system restructuring and regimes.