Zoho Books
in Kozhikode

The Accounting Challenge

A timber trader in Kallai was selling rough timber at 12% GST and processed plywood and MDF panels at 18% GST. Their invoices were raised in a legacy accounting system where the tax rate was selected manually on every line item. The accounts manager estimated that 10–15% of invoices had the wrong rate applied — either because the staff selected 12% for plywood or 18% for timber in rush situations. Four Karnataka buyer accounts were creating GSTR-2B reconciliation disputes because the tax rate on the trader's GSTR-1 did not match what the Karnataka buyers had recorded in their purchase registers.

What Changed

We implemented Zoho Books with timber products configured at item level — rough timber (HSN 4403, 12% GST), dressed timber (HSN 4407, 12%), plywood (HSN 4412, 18%), and MDF panels (HSN 4411, 18%). Out-of-state Karnataka and Tamil Nadu dealers were tagged for automatic IGST. Bank feeds from their Canara Bank account were connected. The four Karnataka buyers received corrected invoice records, and their GSTR-2B reconciliation discrepancies were resolved.

• check_circleInvoice rate errors dropped to near zero — correct GST per item type applied automatically
• check_circleKarnataka buyer GSTR-2B disputes resolved with corrected records
• check_circleMonthly bank reconciliation from three days of manual work to an automated feed with daily oversight
• check_circleAccountant accessed Books remotely — no more monthly visits to the Kallai trading office