Indian accounting software has been dominated by Tally for decades — and for good reason. It is reliable, well-understood, and every CA in the country knows it. But the compliance landscape has changed dramatically since GST. Monthly GSTR-1 and GSTR-3B filings, annual GSTR-9 returns, TDS and TCS management, e-invoicing, and bank reconciliation have all added to the accounting workload. Modern accounting software should automate most of this — not just record it.
What Indian SMEs Actually Need from Accounting Software in 2026
- 1Automated GST returns: GSTR-1, GSTR-3B, and GSTR-9 should be generated directly from transaction data without manual preparation
- 2GSTR-2B reconciliation: automatic matching of your purchase data against supplier-filed GST to identify ITC mismatches
- 3TDS and TCS compliance: automatic deduction, payment tracking, and Form 26Q/27Q generation
- 4Bank reconciliation: automatic matching of bank statement entries to ledger transactions — not a monthly manual process
- 5Multi-GSTIN support: businesses with multiple branches need one accounting system covering all GSTINs
- 6Real-time P&L and balance sheet: management should see current financial position without asking the CA to run a report
- 7Audit trail: every entry should be traceable — who created it, who approved it, when it was modified
- 8CA portal access: give your chartered accountant read-only or limited-access view without exporting data
Aarcturus Books vs Tally Prime: The Key Differences
| Capability | Tally Prime | Aarcturus Books |
|---|---|---|
| GSTR-1 auto-generation | ✓ Yes | ✓ Yes — with IRP reconciliation |
| GSTR-2B auto-reconciliation | ⚠ Manual matching | ✓ Automatic matching with alerts |
| Bank reconciliation | ⚠ Manual | ✓ Auto-reconciliation via bank feed |
| TDS/TCS automation | ✓ Yes | ✓ Yes — with Form 26Q auto-generation |
| Real-time dashboard | ⚠ Reports only | ✓ Live financial dashboards |
| Multi-GSTIN in one company | ✓ Yes | ✓ Yes |
| ERP and billing integration | ⚠ Export/import only | ✓ Live two-way sync |
| Mobile access | ✗ Limited | ✓ Full mobile read access |
| CA portal | ✗ No | ✓ Dedicated CA login |
GSTR-2B Reconciliation: The ITC Problem Most Businesses Ignore
Input tax credit (ITC) claimed must match what suppliers have filed in GSTR-1. If your supplier did not file, or filed different values, you cannot claim ITC on that invoice — even if you have a valid tax invoice. GSTR-2B (auto-populated from suppliers' filings) is the government's tool for this reconciliation. Aarcturus Books automatically compares your purchase register against GSTR-2B monthly, highlights mismatches, and gives you a list of suppliers to follow up with. What used to take 2 days every month takes 20 minutes.
Automated Bank Reconciliation: Ending the Month-End Queue
Bank reconciliation is the accounting task most likely to create month-end bottlenecks. In Aarcturus Books, bank feeds are connected directly to the accounting system — transactions from the bank are imported daily and matched automatically against ledger entries using amount, date, and narration matching. Exceptions are flagged for manual review. Month-end bank reconciliation goes from 8 hours to 30 minutes.