How Can Accountants Help During COVID 19 Crises?

Accountants are like the backbones of the finance & accounts departments of a business, so they can help out a lot. For students pursuing any kind of accounts training, it’s good to know how they, as future accountants, might be able to help out when the going gets tough.

Let’s see some of them in detail.

Finding out all in-place aid options

Accountants can provide reliable info of Govt. aids the business is liable to receive at this time. This includes what relief programs the business is eligible for. These may include govt. loan guarantees, waivers, municipal grants, etc. 

Cutting through the noise

At first, accountants can help define how much financial support the business needs by forecasting the cash flow and modeling the revenue.

With a smart accountant, the entrepreneur can make a strategic relief plan tailored to the business goals and the government resources available.

 Helping to manage resources judiciously

  *Assists to lower costs and spot growth opportunities by keeping the books up to date. 

        *Optimize the cash flow by identifying profitable and unprofitable customers.
       *Highlight ways to reduce the inventory costs.

Helping to make personnel decisions

Accountants can also help managers make decisions on the team. Hardworking, resourceful employees never give up no matter the situation. Temporary pay adjustment for other benefits in kind may help reduce some cost while granting benefits to the capable workforce.

Check our Facebook and Instagram  pages regularly if you wish to stay updated on the latest happenings in the field of Accountancy, Taxation and GST.

Read more at: click here

Accountants-Help-Business

GST compensation to states pending for Dec-March FY20

Finance Minister Nirmala Sitharaman on Sunday said GST compensation is due to all the states for the four-month period of December-March. “We are periodically talking about it. GST dues are very clearly explained in the GST Council. It is not for selective states… All states’ GST dues which we recognise for December, January, February, March have not been paid,” Sitharaman told reporters here.

Under GST law, states are guaranteed to be paid for any loss of revenue in the first five years of the GST implementation from July 1, 2017. The shortfall is calculated assuming a 14 percent annual growth in GST collections by states over the base year of 2015-16.

Under the GST structure, taxes are levied under 5, 12, 18, and 28 percent slabs. On top of the highest tax slab, a cess is levied on luxury, sin and demerit goods and the proceeds from the same are used to compensate states for any revenue loss.

Read More at: click here

GST-compensation-pending

Taxpayers denied pre-GST tax credits; Govt amends law

The relief given by the Delhi High Court to GST taxpayers on the matter of pending transitional credit has been taken away by the government through a retrospective amendment in the GST law. The amendment, which imposes a restriction on the time limit to claim transitional credit, is being notified by the government from 18 May 2020. The amendment comes into effect from 1 July 2017.

The Delhi High Court in an order passed on 5 May 2020 had allowed all taxpayers to claim transitional credit accumulated before the implementation of GST by 30 June 2020. It was a significant judgment as it extended the period for claiming input credit from 90 days to 3 years and also allowed all taxpayers to take benefits of the order.

Read More at: click here

GST-Law-amends

Due date of all Income Tax Return will be extended

As per the recent tweet of CNBC TV-18, the Finance Minister Nirmala Sitharaman extends the due date of all Income Tax Return for F.Y 2019-20 will be extended from July 31, 2020 & October 31, 2020 to November 30, 2020.

Source: click here