Frequently Asked Questions

Accnotech is headquartered at Mehta Market, Sanchore, Rajasthan (343041), with a branch office at Dildar Market, Bakhasar Road, Vediya. We primarily serve small and medium businesses in the Sanchore-Jalore belt of Rajasthan — traders, shop owners, manufacturers, transporters, and service providers. However, a significant portion of our clients are based outside Rajasthan and work with us entirely remotely. We have active clients in Maharashtra, Tamil Nadu, and other states who trust us for their tax and accounting needs. For remote clients, we manage everything digitally — returns, compliance, accounting, and reporting — with zero need for in-person visits.

Accnotech provides three main categories of services. Compliance services include income tax filing for individuals, firms, and companies; GST registration, monthly returns, and reconciliation; statutory and tax audits; TDS and TCS compliance; professional tax; and representation before tax authorities. Accounting and CFO services include full-stack bookkeeping, financial statement preparation, virtual CFO advisory, cash flow management, MIS reporting, and assistance with banking and loans. Automation services include AI-powered invoice and receipt processing, automated bank reconciliation, TallyPrime integration and data extraction, custom business dashboards, and workflow automation using RPA tools. We work with businesses ranging from solo proprietors filing their first ITR to multi-firm groups needing consolidated accounts and strategic financial guidance.

Our pricing is tailored to the specific needs and size of each business rather than one-size-fits-all packages, because a grocery shop with ₹30 lakh turnover has very different requirements from a steel trader doing ₹3 crore. We believe in transparency — you'll always know what you're paying for and why. For small businesses and first-time clients, we offer an initial consultation at no charge, where we assess your current compliance status, identify gaps, and give you a clear picture of what needs to be done and at what cost. To discuss pricing for your specific situation, please call us at +91 87690 72799 or +91 73577 02607.

Yes, and this is something we take seriously. Client data — including bank statements, business records, GST credentials, and income details — is handled with strict confidentiality by our team. We do not share client information with any third party without explicit consent, and access to client files is restricted to the team members directly working on that account. Our digital processes use secure channels for file sharing and communication. As a firm founded in Sanchore and built on personal trust over more than a decade, our reputation rests entirely on the confidence our clients place in us. If you have specific concerns about data handling for your business, we are happy to discuss our processes in detail before you engage with us.

A few things genuinely set us apart. First, automation: most small-town accounting practices operate purely manually. Accnotech has invested in TallyPrime automation, AI-powered invoice processing, and workflow tools that make us faster and more accurate than manual processes — and we pass those benefits directly to clients in the form of time saved and errors prevented. Second, remote-first capability: we've been serving clients across India remotely since our early years, so clients outside Sanchore get the same quality of service as those next door. Third, breadth: we're not a narrow tax filing shop. We handle everything from basic ITR to virtual CFO services, business registration, and representation before tax authorities — so you don't need multiple providers as your business grows. And fourth, local roots with a wider reach: we know the Sanchore and Jalore business landscape intimately, which means our advice is grounded in what actually works for businesses here — not generic textbook guidance.

If you opt for Section 44AD and declare 8% (or 6% for digital receipts) of turnover as income, the law specifically exempts you from the requirement to maintain books of accounts under Section 44AA. This is the biggest practical benefit of the presumptive scheme. However, if your actual profit is lower than 8% and you want to declare the lower figure, you must opt out of 44AD — and then you are required to maintain proper books and get a tax audit if your income is below the basic exemption limit. Voluntary maintenance of books is always good practice regardless, as it helps in loan applications, GST reconciliation, and business decision-making.

Cash accounting records income when money is actually received and expenses when they are actually paid. Accrual accounting records income when it is earned (even if not yet received) and expenses when they are incurred (even if not yet paid). In India, the Income Tax Act generally requires businesses maintaining books to follow mercantile (accrual) accounting — recognising income when the right to receive it arises. The exception is small professionals who can use cash-based accounting under certain conditions. For GST purposes, tax is typically payable when the invoice is raised (time of supply), regardless of whether payment is received — which aligns with accrual accounting. For practical purposes, most small businesses in Sanchore and Jalore benefit from accrual accounting because it gives a truer picture of the business's financial position.

Yes, absolutely — and this is actually how we work with many of our clients across Rajasthan and beyond. Multiple businesses in our client list, including those in Maharashtra, Tamil Nadu, and other states, have their accounts managed entirely remotely by our team. The process typically works like this: you (or your staff) share sales data, purchase bills, and bank statements digitally (via WhatsApp or a shared folder), and we enter, reconcile, and maintain the accounts in TallyPrime at our end. Monthly GST filings, TDS calculations, and financial reports are shared back with you digitally. For clients who prefer hands-on training, we can set up TallyPrime at your premises and train your staff — and then provide monthly supervision remotely.

Ideally, every month — but at minimum every quarter. Monthly bank reconciliation is the single most important accounting habit for a small business. It catches errors early (wrong entries, missed transactions, bank charges you didn't account for), ensures your cash position is accurate, and makes GST return filing much smoother because your sales and tax figures are always current. Businesses that only reconcile once a year at tax filing time typically find significant discrepancies that require hours of reverse engineering to resolve. With TallyPrime's bank reconciliation feature, a monthly reconciliation typically takes 30-60 minutes once your books are up to date.

GST registration is done entirely online through the GST portal (services.gst.gov.in). You'll need your PAN card, Aadhaar, proof of place of business (electricity bill or rent agreement), bank account details, and photographs. The application is filed online and verified via Aadhaar-based OTP or document verification. Under the updated Rule 14A (effective November 2025), low-risk applicants who authenticate via Aadhaar can receive registration within 3 working days. Others may take up to 7 working days. If your application is flagged for physical verification, the timeline can extend. Accnotech handles GST registration for new businesses in Sanchore and Jalore regularly — we typically get it done within 3-5 working days.

Udyam registration (formerly MSME or Udyog Aadhaar registration) is a government certification that recognises your business as a Micro, Small, or Medium Enterprise. The classification depends on your annual turnover and investment in plant and machinery. Registration is free and done at udyamregistration.gov.in using your Aadhaar and PAN. Benefits include: priority sector lending (banks are directed to extend credit to MSMEs), lower interest rates on business loans, government tender preference, protection against delayed payments under the MSME Act (buyers must pay within 45 days), and eligibility for various state and central subsidies. For most small businesses in Sanchore and Jalore, Udyam registration is a no-brainer — free to get, multiple benefits.

Yes, you can, provided the businesses are in the same state and operate under the same legal entity (same PAN). A proprietor can have multiple business verticals — say, a hardware shop and a separate trading business — under one GSTIN. However, if the businesses operate in different states, separate GST registrations are mandatory for each state. Additionally, if you want to maintain completely separate accounting and tax identity for two businesses (for example, one in a family member's name), you'd need separate registrations. Some businesses with multiple verticals also voluntarily opt for separate registrations within the same state for administrative clarity, though this isn't mandatory.

Running informally — without GST registration when required, without maintaining accounts, without filing returns — carries real and growing risks. The GST department's data analytics systems now cross-reference banking data, e-way bill data, and marketplace transactions to identify unregistered businesses with significant turnover. If discovered, you face backdated GST liability with interest (18% per annum) and penalties. From an income tax perspective, unexplained cash deposits, high business activity without ITR filing, or property purchases without matching declared income can trigger notices and assessments. Beyond compliance risk, operating informally limits your access to formal credit, prevents you from claiming ITC on your purchases, and excludes you from government schemes. Formalising your business is a one-time investment in time and cost — the risks of not doing so compound every year.

The primary deadline for filing your Annual GST Return (GSTR-9) and Reconciliation Statement (GSTR-9C, if applicable) for the financial year 2025-26 is typically December 31, 2026. However, it's wise to start preparing early to ensure all data is accurate and reconciled, avoiding last-minute rush and potential errors.

By Accnotech

To ensure correct ITC claims, regularly reconcile your purchase records with your GSTR-2B statement. Only claim ITC that is reflected in your GSTR-2B, as provisional claims are no longer allowed. Promptly follow up with your suppliers if any ITC is missing from your GSTR-2B to ensure they file their returns correctly, thus preventing automated notices and potential penalties.

By Accnotech

While the e-invoicing mandate currently applies to businesses with an aggregate annual turnover exceeding ₹5 Crore, it's crucial to be aware of it. The threshold is likely to be lowered further in the future, and you might also receive e-invoices from larger suppliers or need to generate them for customers who are under the mandate. Understanding the process now will prepare you for future compliance and can streamline your operations.

By Accnotech

Late filing of GSTR-3B attracts a late fee of ₹50 per day (₹25 each under CGST and SGST) if there is tax to pay, or ₹20 per day (₹10 each) if the return has nil tax liability. In addition, interest at 18% per annum applies on the tax amount from the due date until payment. To fix it, simply file the pending returns — the portal will calculate the late fee and interest automatically. There's no penalty for going back and filing late other than these charges, so it's always worth clearing the backlog. The sooner you file, the lower the interest accrual.

Yes, to a limited extent. Under Section 18(1)(a) of the CGST Act, a newly registered taxpayer can claim ITC on stock held on the date immediately preceding the registration date — but only for inputs and semi-finished or finished goods held in stock, not on capital goods in all cases. You need to file Form GST ITC-01 within 30 days of receiving your registration certificate and provide details of the stock. The stock must be supported by valid purchase invoices. This is worth doing if you had significant stock purchases before registration, as it can result in a meaningful ITC balance.

Yes, a cancelled GST registration can be restored (called 'revocation of cancellation') if the cancellation was initiated by the tax officer — not by you voluntarily. You need to file an application for revocation within 90 days of the cancellation order (extendable by a further 180 days with sufficient cause, subject to Commissioner approval). You'll need to file all pending returns and pay all outstanding taxes, interest, and late fees before the revocation will be processed. A recent High Court ruling confirmed that GST registration can be restored even after the officer's order, provided proper procedure is followed.

No — and this is an important compliance step often skipped. Before accepting a purchase invoice, it's good practice to verify your supplier's GSTIN on the official GST portal (services.gst.gov.in). An invalid or suspended GSTIN means the supplier may not be actively filing returns, which directly affects your ITC. Even if you've already paid and received the goods, ITC won't appear in your GSTR-2B if the supplier hasn't filed GSTR-1. Always verify GSTINs of new or irregular suppliers. For existing suppliers, run a quarterly check, especially if you notice ITC going missing from your GSTR-2B.

The old tax regime has higher slab rates but allows you to claim deductions like Section 80C (₹1.5 lakh for PPF, LIC, etc.), 80D (health insurance), home loan interest, and HRA. The new tax regime has lower slab rates (and is now the default since FY 2023-24) but does not allow most deductions. For traders and small business owners under Section 44AD (presumptive taxation), the comparison depends entirely on how many deductions you can genuinely claim. If your 80C investments, home loan interest, and health insurance premiums together exceed ₹2-3 lakh, the old regime often wins. We recommend computing tax under both regimes before making the choice each year — which Accnotech can do for you in a few minutes.

No. In a sole proprietorship, there is no legal separation between you and your business. Your business profit is your personal income and is taxed at the applicable individual slab rates — 0% up to ₹2.5 lakh, 5% up to ₹5 lakh, 20% up to ₹10 lakh, and 30% above ₹10 lakh (under the old regime). This is actually an advantage compared to companies, which pay a flat 22-25% corporate tax, because your first ₹2.5 lakh of business income is effectively tax-free. It also means your business losses can be set off against other income sources like rent or interest in the same year.

Yes, with some conditions. Business losses (called 'non-speculative business losses') can be carried forward for up to 8 assessment years and set off against future business income. However, to carry forward a business loss, you must file your ITR before the due date — typically July 31. If you file late, you lose the right to carry forward the loss (though you can still set it off against income in the same year). One exception: if you're under Section 44AD presumptive taxation, you cannot carry forward losses because you aren't maintaining regular books. This is one of the trade-offs of the presumptive scheme worth keeping in mind.

Stay calm — receiving a notice does not automatically mean you've done something wrong. The Income Tax Department sends notices under various sections for cash deposits that seem disproportionate to declared income. Your first step is to check the notice carefully: identify which section it's issued under (Section 143(1), 148, 133(6), etc.) and what specific information or documents are being asked for. Gather your bank statements, sales records, and any other documents that explain where the cash came from — business receipts, festival sales, loan repayments received, etc. Respond within the timeframe given. We strongly advise not ignoring any income tax notice — unresponded notices can escalate to ex-parte assessments with significant penalties. Accnotech handles notice responses and tax authority representation for clients across Sanchore and Jalore.

If your monthly rent exceeds ₹50,000, yes — even as an individual or proprietor. Section 194-IB of the Income Tax Act requires individuals and HUFs (not liable to audit) who pay rent above ₹50,000 per month to deduct TDS at 5% in the last month of the financial year (or when vacating, whichever is earlier). You don't need a TAN (Tax Deduction Account Number) for this — you can use your PAN. The TDS must be deposited using Challan 26QC, and Form 16C must be issued to the landlord. If your rent is below ₹50,000 per month, no TDS is required for non-audit proprietors.

This is treated seriously by the Income Tax Department. If you deducted TDS but didn't deposit it, interest of 1.5% per month (or part thereof) applies from the date of deduction to the date of actual deposit. If you didn't deduct TDS at all when you were required to, interest of 1% per month applies. In addition to interest, there can be disallowance of the expense in your income tax assessment — meaning you lose the deduction on that payment. The best course of action is to deposit the pending TDS immediately along with applicable interest. Delayed deposits also attract late filing fees for the TDS return under Section 234E at ₹200 per day.

Form 26AS is your consolidated tax credit statement maintained by the Income Tax Department. It shows all TDS deducted on your behalf — by clients who paid you (if they deducted TDS on professional or contract fees), by banks (TDS on FD interest above ₹40,000), and any advance tax or self-assessment tax you've paid yourself. Checking 26AS before filing ITR ensures two things: first, that all TDS credits are reflected so you can claim them (reducing your tax payable or increasing your refund); and second, that there are no unexpected transactions in your name that could indicate a PAN misuse or data error. 26AS is now supplemented by the Annual Information Statement (AIS) which shows even more — including GST turnover, property transactions, and dividend income. Both should be reviewed before filing.

This happens when the payer (your client) has deducted TDS from your payment but hasn't yet filed their TDS return (Form 26Q) — or filed it with an incorrect PAN. Your first step is to contact the payer and confirm that TDS was indeed deducted and ask them to verify that your PAN was entered correctly in their TDS return. If they've filed the return but with a wrong PAN, they need to file a correction statement. If they haven't filed yet, follow up firmly — your ITC and tax credit depend on their compliance. In the meantime, don't hold up your ITR filing: you can file based on your actual income and pay tax on it. Once 26AS is updated, you can file a revised return to claim the credit and get a refund.