Why is Bookkeeping necessary for Amazon Sellers in India?
Third party sales at Amazon being major successful business worldwide brings a new sector all together in the financial market. In 2021, Amazon’s revenue was $469 billion, up from $386 billion in 2020 which expands the horizon for profitability for the sellers. Fulfillment by Amazon (FBA) makes it even easier for entering the sector by enabling Amazon sellers to outsource shipping to Amazon.
FBA might help you with logic and shipping however managing the books & cash flow still lies in your hands. If you cant stay on the top of your books then you might find yourself being caught up in compliance trap & delayed tax payments.
India being the top 6th country for the number of active amazon sellers with about 205,884 sellers, it is imperative to focus on customized bookkeeping for this sector.
Why do Amazon Sellers need an Accounting Solution?
- GST Liability Calculation: You need to pay your taxes no matter what business you run. You’ll not only pay TDS, but you’ll also be handling GST payments in any state you do business. The accounting solution you choose should allow you to calculate & assess the GST liability your customers are paying, GST that you have received and the tax liability you need to pay.
- Accessibility: Your business’s financials should be easily & readily accessible to you, partners, investors or any other member having a financial oversight role.
- Reporting: Managing logistics involves informed discussions about finances, inventory, taxes, etc. There would be no hassle with reporting if your books are up-to-date. Accounting outsourcing helps in business growth as it enables you to make informed discussions & decisions.
- International Currency Management: Amazon is a worldwide platform, which means you should be able to sell to different countries with different currencies. You would need an expert to figure out the exchange rates to calculate the profit and expenses.
Online software based accounting looks quite attractive in such situations but does not deliver the solution to these customers. Online software based accounting cater to more complex situations rather than day-to-day update of the books.
On the other hand, GYC Advisory offers a team of Chartered Accountants to supervise your business finances regularly.
What do we offer?
- Data reviewed by real humans / tax experts
- Data Privacy
- 100% Accuracy
- GST and Income Tax Return Filings
- Customized bookkeeping support to fit your business
How we work?
No matter what stage your business is at, GYC Advisory can cover business advisory & tax consulting services along with accounting outsourcing from start to finish.
- Understanding the business: You can purchase the service from Bookkeeping Outsourcing Services (www.gycadvisory.com) or set up a meeting (contact us). We would then align & introduce you to our booking expert and asses the status of your books as on date.
- Managing your books: Each month, we will arrange your business transactions and prepares financial statements.
- GST & Tax Filings: After preparation of the books, we help you pay taxes & file GST. We also assist in monthly TDS payments and quarterly TDS return filings.
- Bank Reconciliations: We keep banks reconciled on a monthly basis to match all customers and vendor accounts.
- AR/AP: Accounts Receivable and Accounts Payable are reconciled on a regular basis to control over customers and vendors.