Software Costs and 2026 GST Rules
File GST yourself, use software or hire a CA? Options compared for small businesses
Self-filing on the GST portal, accounting software, dedicated GST tools and CA filing compared on cost, time, risk and control, with a decision guide by business type.
If you have only a few invoices a month and one GSTIN, filing GST returns yourself on the portal is realistic and costs nothing but time. Once you have dozens of B2B invoices, regular purchases to reconcile, more than one state registration or e-invoicing, software or a professional becomes worth paying for, and for most growing businesses the best value is software for daily recording plus a professional review before filing. This guide compares the options so you can decide which kind of help to buy.
It belongs to the overview of GST return filing software costs; how software quotes are built is covered in GST software pricing models. Costs mentioned are illustrative.
The five ways to get returns filed
- Self-filing on the GST portal. You enter GSTR-1 invoices directly or upload a JSON file prepared in GSTN's free offline tool, check GSTR-2B, pay through a PMT-06 challan and file GSTR-3B with an EVC (OTP) or digital signature.
- Accounting or billing software with a GST module. Invoices and purchases are recorded once; the software produces GSTR-1 data and a GSTR-3B summary that you upload or file through a connected service.
- Dedicated GST filing and reconciliation software. It imports data from your books or ERP and focuses on reconciliation, bulk filing across GSTINs, e-invoices and e-way bills.
- A chartered accountant or GST practitioner. You send sales and purchase data; they prepare and file, usually with your OTP.
- Hybrid. You or your staff record in software; the professional reviews and files.
Side-by-side comparison
| Factor | Self-filing | Accounting software | Dedicated GST tool | CA / GST practitioner | Hybrid |
|---|---|---|---|---|---|
| Direct cost | Nil | Subscription or licence | Subscription, often volume-based | Monthly or quarterly fee | Both, usually smaller |
| Your time each period | High | Medium | Low to medium | Low | Medium |
| ITC reconciliation | Manual | Basic to good | Strong | Depends on the person | Good |
| Multi-GSTIN handling | Separate logins | Varies | Designed for it | Fee per GSTIN | Good |
| Error risk | Highest without training | Medium | Lower if data is clean | Lower, but you still sign | Lowest |
| Control of records | Full | Full (backups your job) | Shared with provider | Often held by the professional | Full |
| Help with notices | None | None | Limited | Yes | Yes |
Decision guide by business type
| Your situation | Usually sensible | Why |
|---|---|---|
| Nil or near-nil returns, one GSTIN | Self-filing | Filing a nil return by SMS or on the portal takes minutes |
| Composition dealer, few purchases | Self-filing or low-cost professional | CMP-08 and GSTR-4 are simple; no ITC to reconcile |
| Shop or service firm, 20–200 invoices a month, QRMP | Billing/accounting app, CA review at year end | Invoices are created in the app anyway |
| Trader with many suppliers and ITC mismatches | Accounting software plus monthly professional reconciliation | ITC errors are the costliest |
| Multi-state, e-invoicing, 1,000+ invoices a month | Dedicated GST tool linked to ERP, professional oversight | Volume and API needs |
| Business facing notices or past non-filing | Professional first | Judgement and representation matter more than software |
Worked example: three options for one business
Take an illustrative Jaipur trader with one GSTIN, about 150 B2B sales invoices and 60 purchase invoices a month, under QRMP.
- Self-filing. No software cost. Owner spends about 6 hours a month on entry and checks. Valuing that time at ₹500 an hour gives ₹36,000 of owner time a year, plus the risk of late fees if a busy month intervenes.
- Accounting app. Illustrative ₹10,000 a year + GST, about 2 hours a month of review, plus ₹5,000 + GST for a CA's annual check. Time cost ₹12,000; cash cost ₹15,000 before GST (ITC recoverable).
- CA files quarterly. Illustrative ₹2,500 a quarter + GST = ₹10,000 a year, but the trader still has to maintain and send invoice data, about 3 hours a month, so ₹18,000 of time.
On these assumptions the app plus annual review costs about ₹27,000 a year all-in, the CA route about ₹28,000, and self-filing about ₹36,000 in time. The numbers will look different for you; run them in the annual compliance cost estimator and the software payback calculator.
What each option cannot do for you
- Self-filing gives no warning when a supplier has not uploaded an invoice until you look at GSTR-2B yourself.
- Software cannot decide whether a purchase is a blocked credit under section 17(5) or what the place of supply is for a tricky service; it applies whatever you set up.
- A professional cannot fix records you never kept. If invoices arrive late, the professional files late or files on incomplete data.
- No option shifts legal responsibility. Under the CGST Act the registered person is responsible for the return, even when someone else files it.
Questions to ask before you choose
- How many GSTINs, users and invoices will you have in a year's time, not just today?
- Does the option handle GSTR-1A corrections, IMS actions and the locked GSTR-3B liability correctly? See GST portal changes 2025–2026.
- Who keeps the backup of your data and in what format can you export it?
- If you use a professional, is reconciliation included, and is GSTR-9 billed separately? See working with a CA or GST practitioner.
- What does it cost to leave? See switching accounting software.
The site's comparison table summarises the same options in one place.
Frequently asked questions
Can I file a nil GSTR-3B by SMS?
Yes. The GST portal allows nil GSTR-1 and GSTR-3B returns to be filed by SMS from the registered mobile number, subject to the conditions on the portal. It is the cheapest way to avoid nil-return late fees.
Is a GST practitioner the same as a chartered accountant?
No. A GST practitioner is a person enrolled with the GST department who may prepare and file returns for clients. A chartered accountant is a member of ICAI and can also perform audits and certifications. Both can file returns with your authorisation.
Do I need software if my CA files returns?
Not necessarily, but you still need proper invoices and a purchase register. Many CAs prefer clients who use basic accounting software because the data arrives cleaner and reconciliation is faster, which can lower the fee.
Is switching from a CA to software risky?
It can be if you switch mid-year without reconciled opening balances. The safest time is the start of a financial year, with the previous year's annual return already prepared.
Sources
- GST portal — filing returns, nil filing, offline tools
- CBIC GST — CGST Act and Rules on returns and GST practitioners
- Institute of Chartered Accountants of India — to verify a chartered accountant's membership
