Neutrality: The most significant advantage of the system is that it does not interfere in the choice of decision for purchases. The system is neutral about the choice of production techniques, as well as business organizations. All other things remaining the same; the issue of tax liability does not vary the decision about the source of purchase.
Certainty and Transparency: The VAT management software is a system based merely on transactions. Thus there is no need to go through complicated definitions like sales, sales price, turnover of purchases, and turnover of sales.
Easily accessible: VAT management software is also broad-based and applicable to all sales in business; thus there is little room for different interpretations. Similarly, due to the essential feature that it gives credit of tax paid on an earlier stage, the buyer will always ask for an invoice. Thus the scope of tax avoidance will be much less. The disputes will also be fewer. This system brings certainty to a great extent as the buyer knows what tax component is. Thus, the system ensures transparency also.