GST TAX COMPLIANCES
( PAYROLL MAINTAINCE) Registration - An Overview
Payroll is a list of the company’s employees who are paid. The total amount of money paid to employees by the company is sometimes referred to as payroll. It entails the following tasks as a business function:
- Developing the organization’s pay policy, which includes flexible benefits and leave encashment policies, among other things?
- Determining the components of a pay slip, such as basic, variable pay, HRA, and LTA
- Obtaining additional payroll inputs (for example, the organization’s food vendor may provide data on the amount to be recovered from employees for meals consumed)
- The process of calculating gross salary, statutory and non statutory deductions, and determining net pay.
- Paying employees’s salaries
- TDS, PF, and other dues are deposited with the proper authorities, and returns are filed.
ESSENTIAL FEATURES
- Should be able to create automatic payrolls
- Should aid in the creation of correct and timely invoices and quotes
- Should aid in the filing of tax forms
- Basic tax reporting tools must be included.
- Must have tools for paying vendors and contractors.
- Should be simple to interface with other in – house applications
- Should help with compliance
METHODS OF PAYROLL MANAGEMENT
- EXCEL BASED PAYROLL MANAGEMENT
When a business is just getting started and has only a few employees, excel-based payroll management is the way to go. The computation is done on excel sheets using the standard payroll calculation template in excel-based payroll management. The payroll officer’s calculations are aided by the mathematical formulas that have already been established. However, there are other flaws with this strategy,such :
- Difficulty in adding and removing employees from the payroll list
- Chances of duplicate data and omission of entries at times
- Need to monitor tax updates and other legislative changes such as the PF, PT, etc.
- OUTSOURCING PAYROLL
When the payroll function is outsourced, it is handled by an external agency. Every month, the payroll service provider gives different other data, such as attendance, leaves, and reimbursement details, based on the pay cycle. The external service provider then calculates the payroll and ensures that all legal requirements are met. Because payroll is such an important job, TGA can assist you in meeting all of your requirements.
FAQs
Payroll activities include capturing attendance data for a specific month to capture pay and accurate attendance of employees, details of new employees and employees who have left, the salary structure of new joiners and their bank account details, if any advance or incentive is to be paid, and if any special changes to the salary structure are to be made.
Both the HR and the finance departments are responsible for payroll.
The accounts department prepares the payment and is subject to approval from the head of the Agency or the representative. The human resource office creates the payroll since they keep track of the employee’s attendance and overtime.