- GST has given birth to GST service providers who will help businesses register, upload electronic invoices
- GST is spawning a $2 billion-3 billion industry comprising service providers, chartered accountants and consulting firms
NEW DELHI: For decades, Sugal & Damani Group focused on lotteries before it entered the online bill payment business with Payworld.
Now, it has become a GST service provider (GSP)+ , an entity that will help businesses register, upload electronic invoices and file on the technology platform, and plans to leverage its network.
Pune-based Vayana Network has been working with small and medium enterprises (SMEs) to arrange funds and has no experience of taxation, but it too has become a GSP and is eyeing business from companies, their vendors as well as standalone SMEs.
Besides GSPs, GST has given birth to another set of entities called ‘ application service providers+ ‘ or ASPs that will use sales and purchase data from taxpayers and convert it into GST returns for filing online.
GST is spawning a $2 billion-3 billion (Rs 13,000 crore-20,000 crore) industry comprising s oftware service providers+ , ASPs and GSPs, chartered accountants and consulting firms as the entire industry is undergoing business process re-engineering.
SAP and Oracle, the big daddies of the ERP business, may mop up revenues of at least $1 billion (Rs 6,500 crore) over the next two years, industry players say.
Homegrown Tally Solutions, which has close to 11 lakh users of its accounting software, has already got around six lakh subscriptions from businesses, which entitles them to free upgrades and access to all information.
While the cost of software varies between Rs 18,000 and Rs 54,000, each annual subscription fetches the company Rs 3,600 (for a single user) to Rs 10,800 (multiple users).
With 10,000 melas planned in the next one month, the company is out to garner as much business as possible while helping businesses tackle GST, said Tally Systems executive director Tejas Goenka.
Source : http://timesofindia.indiatimes.com/business/india-business/gst-spawns-20000-crore-biz-for-tax-tech-consultants/articleshow/59345477.cms