Accounting & Bookkeeping
Day-to-day bookkeeping using Tally Prime, bank reconciliation, year-end finalisation, and periodic MIS reporting — the financial foundation every other compliance requirement depends on.
What This Service Covers
Accurate, current, and well-organised books of accounts are the foundation on which every other compliance obligation rests. Income Tax Return filing, GST return preparation, statutory audit, and bank lending decisions all depend on the quality and currency of the underlying financial records. Section 128 of the Companies Act, 2013, requires companies to maintain books of account at their registered office or principal place of business. Section 44AA of the Income-tax Act, 1961, similarly mandates maintenance of specified books of account by businesses and professionals crossing the prescribed threshold.
Shivbhavan & Associates provides accounting and bookkeeping support using Tally Prime, covering day-to-day transactions through to the preparation of final accounts at the close of each financial year.
Mandates maintenance of specified books of account by businesses and professionals crossing the prescribed threshold.
The Foundation Every Filing Depends On
Well-maintained books of account are not just a statutory requirement in themselves under Section 128 of the Companies Act and Section 44AA of the Income-tax Act — they are the source data for every other compliance obligation a business faces, including GST returns, TDS returns, income tax filing, and statutory or tax audit. Reconstructing a year's transactions retrospectively, at the point a filing deadline is approaching, is both more time-consuming and more error-prone than maintaining records as transactions occur.
This information is provided for general awareness. The specific books of account and format required depend on the nature and size of the business and should be confirmed directly with the firm.
Who This Typically Applies To
- Companies required to maintain books of account under Section 128
- Businesses and professionals crossing the threshold under Section 44AA
- MSMEs needing organised records to support loan applications
- Businesses preparing for GST return filing or statutory audit
- Business owners who need periodic MIS reports to track performance
- Entities transitioning from manual records to a structured accounting system
Common Filing Scenarios
Setting Up a Bookkeeping System
A newly formed business benefits from setting up a structured chart of accounts and bookkeeping process early, rather than accumulating a backlog of unrecorded transactions that becomes harder to reconstruct accurately over time.
Outgrowing Manual Records
As transaction volume increases, manually maintained records or basic spreadsheets often become insufficient for accurate GST and tax compliance, making the transition to a dedicated accounting system a practical necessity.
Books Ready Ahead of Audit
Businesses approaching a statutory or tax audit benefit from having reconciled, current books well in advance, since audit findings often trace back to gaps or inconsistencies in the underlying bookkeeping.
Needing Regular Financial Visibility
Business owners who only see their financial position once a year, at tax filing time, often find that periodic MIS reporting through the year gives them meaningfully earlier visibility into cash flow and performance trends.
What's Included, By Entity Type
Tally Prime Bookkeeping
Recording of day-to-day transactions including sales, purchases, expenses, bank entries, and journal vouchers, with ledger maintenance carried out in Tally Prime.
- Chart of accounts structured to match the business's needs
- Transactions recorded on an ongoing, periodic basis
- Ledgers maintained current and audit-ready
- Data organised for easy extraction when needed for filings
Bank Reconciliation
Periodic reconciliation of cash and bank balances per books against bank statements, with identification and resolution of timing differences and errors.
- Bank statements reconciled against book entries each period
- Timing differences and unrecorded transactions identified
- Discrepancies investigated and resolved promptly
- Reconciled balances confirmed before period close
Finalisation of Accounts
Year-end account closure, including preparation of the Trial Balance, Profit & Loss Account, and Balance Sheet in the format applicable to the entity type.
- Year-end adjustments and provisions recorded
- Trial Balance prepared and reviewed for accuracy
- Final financial statements drafted in the applicable format
- Records handed off cleanly for audit or tax filing purposes
Payroll Processing
Monthly salary computation, provident fund, ESIC, and professional tax calculation, payroll register maintenance, and salary slip preparation.
- Monthly salary computed based on attendance and structure
- Statutory deductions (PF, ESIC, PT) calculated correctly
- Payroll register maintained for compliance reference
- Salary slips generated for each employee each month
MIS Reporting
Periodic Management Information System (MIS) reports covering revenue, expenditure, outstanding debtors and creditors, and cash flow position, prepared to a schedule agreed with the client.
- Reporting schedule agreed based on business needs
- Revenue and expense trends presented clearly
- Debtor and creditor ageing tracked periodically
- Cash flow position summarised for management review
Compliance-Ready Records
Books maintained in a form and level of detail that supports GST return filing, TDS compliance, and statutory or tax audit, reducing duplication of effort across the firm's other compliance services.
- Records structured to align with GST and TDS filing needs
- Supporting documentation organised for audit readiness
- Coordination with the firm's other service teams as needed
- Historical records retained per statutory requirements
Recording of day-to-day transactions including sales, purchases, expenses, bank entries, and journal vouchers, with ledger maintenance carried out in Tally Prime.
- Chart of accounts structured to match the business's needs
- Ledgers maintained current and audit-ready
Periodic reconciliation of cash and bank balances per books against bank statements, with identification and resolution of timing differences and errors.
- Bank statements reconciled against book entries each period
- Discrepancies investigated and resolved promptly
Year-end account closure, including preparation of the Trial Balance, Profit & Loss Account, and Balance Sheet in the format applicable to the entity type.
- Year-end adjustments and provisions recorded
- Records handed off cleanly for audit or tax filing purposes
Monthly salary computation, provident fund, ESIC, and professional tax calculation, payroll register maintenance, and salary slip preparation.
- Statutory deductions (PF, ESIC, PT) calculated correctly
- Salary slips generated for each employee each month
Periodic Management Information System (MIS) reports covering revenue, expenditure, outstanding debtors and creditors, and cash flow position, prepared to a schedule agreed with the client.
- Revenue and expense trends presented clearly
- Cash flow position summarised for management review
Books maintained in a form and level of detail that supports GST return filing, TDS compliance, and statutory or tax audit, reducing duplication of effort across the firm's other compliance services.
- Records structured to align with GST and TDS filing needs
- Supporting documentation organised for audit readiness
The Filing Process
Submit Enquiry
Share your requirement through the website or by phone. The firm reviews it and responds during office hours with next steps.
Document Collection
Relevant documents are collected based on your entity type and income sources, following the checklist confirmed for your specific situation.
Computation & Review
Income is computed under every applicable head, with eligible deductions and exemptions applied before the return is finalised for your review.
Filing & Confirmation
The return is filed within the statutory due date, and the filing acknowledgment along with the computation summary is shared with you.
Verified. Processed. Resolved.
Every filed return moves through e-verification, departmental processing, and — where applicable — refund or query resolution.
From Bookkeeping to Every Other Filing
Well-maintained books feed directly into every other compliance obligation the firm handles — GST returns are prepared from the same transaction records, TDS deductions are cross-checked against payment entries, and the finalised accounts form the basis for both the income tax return and any statutory or tax audit. This is why bookkeeping is treated as foundational rather than a standalone task.
Finalised year-end accounts are typically retained as part of the business's statutory records, and are also the starting reference point when the following year's bookkeeping begins.
Documents You'll Need
Document requirements vary depending on whether this is a new engagement or ongoing bookkeeping, but the checklist below covers what's typically required to begin. Click each item as you gather it — the tracker above updates as you go. This is a preparation aid only; submitting an enquiry will confirm the exact list applicable to your specific situation before any engagement begins.
Your selections are for this browsing session only and reset if you leave the page.
Frequently Asked Questions
Who is required to maintain books of account under the Income-tax Act?
Section 44AA requires certain businesses and professionals to maintain specified books of account once their income or turnover crosses the thresholds prescribed under the Act, though the exact requirement varies by profession and business type.
Is Tally Prime necessary, or can other software be used?
The firm works primarily with Tally Prime, which is widely used across Indian businesses, but the underlying bookkeeping principles apply regardless of the specific software used; alternative arrangements can be discussed based on the client's existing systems.
How often should bank reconciliation be performed?
Monthly reconciliation is common practice for most businesses, though the appropriate frequency depends on transaction volume and the business's need for current financial visibility.
What is included in year-end finalisation of accounts?
Finalisation typically includes recording year-end adjustments and provisions, preparing the Trial Balance, and drafting the Profit & Loss Account and Balance Sheet in the format applicable to the entity, ready for tax filing or audit.
Can bookkeeping be taken over mid-year from another accountant?
Yes, though this typically requires a review of the existing books and opening balances to ensure continuity and accuracy before ongoing bookkeeping resumes.
What is MIS reporting and how often is it typically provided?
MIS (Management Information System) reporting refers to periodic summaries of a business's financial position — revenue, expenses, receivables, and cash flow — typically provided monthly or quarterly based on what's agreed with the client.
Does bookkeeping include GST and TDS return filing?
Bookkeeping itself covers the recording and maintenance of financial records; GST and TDS return filing are separate, related services that draw on the same underlying books, and can be engaged together or independently.
How long are financial records required to be retained?
Books of account and supporting vouchers are generally required to be retained for a minimum period prescribed under the Companies Act and Income-tax Act, which can extend further where assessment or audit proceedings are ongoing.
Have a Query About Accounting & Bookkeeping?
Submit an enquiry and the firm will respond during office hours. Engaging the firm for this service begins with a formal engagement following your enquiry.