• PAN card of the business/entity
• GST registration certificate (if applicable)
• Bank statements (last 6 months)
• Sales and purchase invoices
• Tally software license details

⏳ Accounting with Tally: Typically takes 3 to 7 working days, depending on the volume of transactions and data verification.

⏬ Consultation and understanding business requirements
⏬ Collection and verification of financial documents
⏬ Setting up Tally software for accurate bookkeeping
⏬ Data entry, bank reconciliation, and financial categorization
⏬ Generation of financial reports and GST compliance checks
⏬ Regular review and financial advisory support

👉 What is Tally software used for?
Tally is used for bookkeeping, GST filing, payroll management, and financial reporting.

👉 Is Tally mandatory for businesses?
No, but it is highly recommended for easy financial management and GST compliance.

👉 Can I access Tally remotely?
Yes, with the Tally on Cloud option, you can access financial data from anywhere.

👉 Does Company Mitra provide Tally training?
Yes, we offer basic guidance on using Tally effectively for accounting.

👉 Can I integrate Tally with my GST filings?
Yes, Tally supports GST compliance and simplifies return filing.

👉 What if I make errors in Tally?
Company Mitra provides support for rectifying accounting errors.

👉 Do I need to renew my Tally license?
Yes, Tally requires periodic renewals for continued access.

👉 How secure is my financial data in Tally?
Tally ensures data security with password protection and backup options.

👉 Can I use Tally for payroll processing?
Yes, Tally supports payroll management, including salary calculations.

👉 What is the cost of Tally software?
Tally has various pricing plans based on the version and features required.

👉 Does Company Mitra handle Tally setup for new businesses?
Yes, we assist in setting up Tally for seamless financial operations.

Importance of Bookkeeping for Business Compliance

Bookkeeping is essential for businesses of all sizes, ensuring legal compliance and financial transparency. While small traders may sometimes overlook bookkeeping, it is mandatory for larger businesses and can even benefit smaller enterprises in the long run.

✅ Why Bookkeeping is Important?

1. Legal Compliance:

   • Businesses must maintain proper financial records as per Income Tax Act, GST laws, and Companies Act.
   • Helps in smooth tax audits and statutory filings.

2. GST & Tax Compliance:

   • Proper bookkeeping ensures accurate GST return filings (GSTR-1, GSTR-3B, GSTR-9).
   • Helps in TDS/TCS deductions & ITR filings, avoiding penalties.

3. Better Financial Management:

   • Tracks income, expenses, and profits, enabling better decision-making.
   • Prevents cash flow issues and improves business growth.

4. Mandatory for Large Businesses:

   • Companies and LLPs must maintain proper books of accounts and file annual returns.
   • Required for statutory audits under the Companies Act and tax audits under Section 44AB.

5. Beneficial for Small Businesses:

   • Even if not legally required, proper bookkeeping can help small businesses:
     • Secure loans & investments.
     • Track business performance.
     • Prevent tax errors and future legal issues.

🛑 Penalties for Not Maintaining Proper Bookkeeping

Failure to maintain proper books of accounts can lead to serious consequences under Income Tax, GST, and Companies Act. Here are the key penalties for non-compliance:

📌 Income Tax Penalties

• Section 44AA – Maintenance of Books:
  • Non-maintenance of books may result in a penalty of ₹25,000 under Section 271A of the Income Tax Act.
• Failure to File ITR:
  • Late filing of Income Tax Returns (ITR) can attract penalties under Section 234F:
    • ₹5,000 if filed after the due date but before December 31.
    • ₹10,000 for filing after December 31.
    • ₹1,000 if income is below ₹5 lakh.

📌 GST Penalties

• Failure to Maintain Records:
  • If a business fails to maintain proper books and records, they could face penalties of ₹10,000 or 100% of tax due, whichever is higher.
• Interest on Late GST Payment:
  • Interest at the rate of 18% per annum will be levied for non-payment or delayed payment of GST.

📌 Companies Act Penalties

• Non-Maintenance of Books for Companies/LLPs:
  • If companies or LLPs fail to maintain proper books of accounts, they can face penalties under the Companies Act, 2013:
    • ₹50,000 to ₹5,00,000 for non-compliance.
  • Additionally, officers in default could face a fine of ₹25,000 to ₹1,00,000 and potential imprisonment.

📌 Other Consequences

• Audit Issues:
  • Non-compliance may result in unqualified audits, affecting business credibility.
• Legal Issues:
  • Lack of proper records can lead to legal actions, disputes, and penalties.