Healthcare

Overview

One of the leading Healthcare services provider in Delhi/NCR with a legacy of over half a decade in patient care has assigned Outcome to perform GST Impact assessment on business process, technology and support during the transition to the new indirect tax regime.

Context & Challenges

  • Organization wanted to understand the impact of cash flows, working capital, profitability & processes
  • Organization wanted to know about the preparedness for a seamless migration into GST regime
  • Organization wanted to Identify the impact of taxability of Input & Output under GST along with Impact of GST on input tax credits & computation of proportion of taxable turnover for identifying eligible credits.
  • Organization wanted to understand the Impact of GST on return of near expiry goods to vendors & consignment sales
  • Compliance requirements under GST.
  • GST impact on technology i.e ERP and transition to with modification
  • Organization wanted to understand the Impact of GST on various scenarios:
    • Registration requirements
    • Expenses incurred on employees
    • Advance received & utilization thereof
    • Procurement on unregistered vendors
    • Expenses incurred by sales/marketing team

Our Approach

  • Business process understanding and listing of all possible scenarios for revenue generation, procurement including assets, inventory management etc
  • Assessing the cash flow impact & impact on business processes
  • Review of the ERP being implemented and assess the implementation of patches and updates for GST
  • Monitor the progress of implementation and testing through used case scenarios
  • Designing the transition checklist and set accountability for the seamless migration
  • Support on teething issues post go-live and compliance

Result

  • Organization has successfully migrated into GST regime
  • Optimized processes to have minimum tax impacts
  • ERP system is tuned to generate transactions as per the new law and deliver the desired output for the management and compliance requirement