The Best Accounting Software in India for 2024

While QuickBooks was once a leading option for business accounting software in India, and one of the most famous accounting software out there, its discontinuation from the Indian market on April 30, 2023, has left many businesses in search of a reliable alternative.

Zoho Books steps into the spotlight as the premier choice in 2024, boasting standout features such as exceptional GST compliance, advanced automation, and comprehensive and accurate financial reporting capabilities. These strengths position it as the best accounting software for businesses aiming to ensure precise financial reporting and adherence to India’s strict regulatory standards.

However, it’s crucial to acknowledge that every Indian business has distinct financial management needs, including comprehensive GST compliance across sectors, advanced inventory management for manufacturing and retail, robust data security, and seamless integration with digital payment systems for real-time financial tracking.

This guide offers a comprehensive overview to help you choose the business accounting software that matches your company size and requirements.

The Best Accounting Software in India Ranked

  1. Zoho Books – Best Overall Business Accounting Software for India
  2. Sage – Best India Accounting Software for Scalability
  3. Marg ERP – Best Business Accounting Software for Inventory Tracking in India
  4. TallyPrime – Best India Accounting Software for Customisation
  5. Xero – Best Business Accounting Software India – Cloud-Based Accounting
  6. Vyapar – Best India Small Business Accounting Software
  7. FreshBooks – Best Accounting Software for Indian Freelancers
  8. Wave – Best Free Accounting Software In India

Top Indian Accounting Software Compared

Check out our handy comparison table of the top accounting software in India. You’ll have a quick overview of each tool’s strengths and all the top accounting software features, so you can easily see which ones align best with your business needs.

Best For Standout Features Free Plan Offer Payroll Reporting Mobile App
Zoho Books Best Overall Automation, Custom invoicing, Expense tracking
Sage Best for Scalability Scalability, Advanced reporting, Cloud storage
Marg ERP Best for Inventory Management Inventory management, Billing, GST filing
TallyPrime Best for Customisation Customisation, Tax compliance, Financial reporting
Xero Best Cloud-Based Accounting Software Cloud-based, Integrations, Advanced analytics
Vyapar Best for Small  Businesses Simplified billing, Stock management, GST invoices
FreshBooks Best for Freelancers Invoicing, Expense tracking, Time tracking
Wave Best Free Version Invoicing, Accounting, Receipt scanning

The Best Accounting Software for India Reviewed

To provide you with a comprehensive review of accounting software tailored for the Indian market, we’ve meticulously evaluated each provider against a set of criteria.

Our assessment focuses on features that are essential for businesses operating within the unique financial landscape of India, including GST compliance, scalability, ease of use, and integration capabilities. For a detailed insight into our testing methodology, please refer to our How We Test section.

1. Zoho Books – Best Indian Accounting Software Overall

A screenshot of Zoho Books' dashboard

Starting Price Free Plan Top Features Payroll Reporting
FREE Automation, GST compliance, Custom invoicing, Expense tracking

Zoho Books emerges as the top accounting software choice for small and medium-sized businesses in India, excelling in automation, GST compliance, and seamless third-party integrations.

Its strength in streamlining financial operations places it ahead of competitors, making it an indispensable tool for business owners focused on growth. The platform’s user-friendly interface demystifies accounting software, allowing users beyond accountants to navigate its features with ease. Thus, it simplifies managing financial transactions in compliance with Indian regulations.

While Sage offers scalability and TallyPrime focuses on deep customisation, Zoho Books provides a more comprehensive solution that addresses the core needs of Indian businesses. It combines essential accounting functions with sophisticated automation and rigorous GST compliance. Thus, it ensures a balanced approach to managing financial operations.

Beyond mere accounting software, Zoho Books supports a wide array of business processes, including billing, expense tracking, reporting, and inventory management, integrated with a variety of applications and services, such as PayPal, Stripe, Shopify, WooCommerce, and Google Workspace. This integration extends its utility, facilitating direct bank feeds, online payments, and e-commerce activities, which are crucial for modern businesses.

Furthermore, Zoho Books’ commitment to a superior user experience through a detailed dashboard, mobile support, multiple languages, and localised customer service, enhances its appeal to the Indian market. It stands out as a holistic financial management suite, offering a singular platform for managing invoicing, accounting, GST filing, and more.

Zoho Books Pricing Plans

  • Free – ₹0
  • Standard – ₹899/org/month
  • Professional – ₹1,799/org/month
  • Premium – ₹3,599/org/month
  • Elite – ₹5,999/org/month
  • Ultimate – ₹9,599/org/month

Pros:

  • Comprehensive GST compliance
  • Automation of key accounting tasks
  • Extensive integration with other Zoho apps and third-party tools

Cons:

  • Broad feature set may initially overwhelm new users
  • Increased cost for higher-tier plans
  • Lack of specialised features for niche industries

2. Sage – Best Accounting System for Scalability in India

A screenshot of Sage's dashboard

Starting Price Free Plan Top Features Payroll Reporting
FREE Scalability, Advanced reporting, Cloud storage

Sage is recognized for its scalability, making it an ideal choice for businesses looking to grow. It offers an extensive suite of features, such as in-depth financial reporting, multi-currency support, and advanced inventory management, which are crucial for managing the complexities of expanding operations.

Unlike Vyapar, which is optimised for small Indian businesses with straightforward GST and invoicing needs, Sage caters to larger enterprises requiring a more comprehensive range of functionalities. This distinction is vital for companies aiming to scale and possibly extend their operations internationally, where Sage’s global support and multi-currency capabilities are essential.

When compared to other solutions like Xero, Sage provides a broader set of tools designed for business growth. Xero offers great accessibility and ease of integration, but Sage’s advanced features support businesses through more significant expansion phases, ensuring they don’t need to migrate to another platform as they grow. That said, Xero is more robust when it comes to cloud-based accounting software.

Additionally, Sage’s ability to integrate with a wide range of third-party applications and services allows businesses to tailor their accounting software system to their specific needs, enhancing overall functionality. Such integrations extend Sage’s utility beyond mere accounting software, supporting complex operational requirements like detailed inventory tracking and multi-location management.

This level of customisation and scalability positions Sage as a top choice for businesses in India looking for general accounting software that can adapt to their growth trajectory and help manage increasing transaction volumes efficiently.

Sage Pricing Plans

  • For Accountants – FREE
  • Accounting Start – £14/month = ₹1,470.30/month
  • Accounting Standard – £28/month = ₹2940.60/month
  • Accounting Plus – £36/month = ₹3780.78/month

Pros:

  • Highly scalable
  • Advanced accounting features
  • Strong global support network

Cons:

  • Pricier than some competitors
  • Complexity of features requires a steeper learning curve
  • Less robust in cloud-based accounting

3. Marg ERP – Best Accounting Software for Inventory Management

A screenshot of Marg ERP's dashboard

Starting Price Free Plan Top Features Payroll Reporting
$9.04 /user/month ($108.48 for 1 year license) Inventory management, Billing, GST filing

Marg ERP is celebrated for its outstanding inventory management capabilities, offering businesses a robust set of tools for comprehensive stock control and optimisation.

Unlike more generalist accounting platforms, Marg ERP provides specialized features such as batch tracking, real-time inventory levels, and expiry date management. These features are particularly beneficial for businesses in retail, manufacturing, and distribution sectors, where precise inventory management is essential for minimising costs and maximising profitability.

Zoho Books, Sage, and TallyPrime all provide inventory management, too, but Marg ERP stands out with its deep focus on rigorous stock management. Marg ERP’s dedication to inventory specifics ensures businesses have the necessary insights to maintain optimal stock levels and avoid overstocking or stockouts.

This focus on inventory management does not come at the expense of other essential accounting functionalities. Marg ERP also offers GST compliance, invoicing, and financial reporting, integrating seamlessly with business operations. Its capability to provide detailed analytics and reports on inventory performance distinguishes Marg ERP from competitors, enabling businesses to make informed decisions about their stock.

For Indian businesses that prioritise inventory accuracy and efficiency, Marg ERP offers a tailored solution that combines essential accounting features with top-tier inventory management.

Marg ERP Pricing Plans

  • Basic Edition – ₹ 8,991 (1 user full rights)
  • Silver Edition – ₹ 12,600 (1 user full rights, 1 user for view only)
  • Gold Edition – ₹ 25,200 (unlimited users)

Pros:

  • Advanced inventory management features
  • GST compliance
  • Detailed analytics

Cons:

  • Steep learning curve for new users
  • Primarily focused on the Indian market and lacks global support
  • Scalability beyond inventory management is limited

4. TallyPrime – Best Accounting Software for Customisation in India

A screenshot of TallyPrime's dashboard

Starting Price Free Plan Top Features Payroll Reporting
$10.68/user/month Customisation, Tax compliance, Financial reporting

TallyPrime is known for its strong customisation capabilities, enabling businesses to adapt the software to their specific needs. This level of customisation allows for detailed modifications to reports, invoices, and workflows, making it suitable for businesses with unique operational requirements or those in niche markets where standard accounting solutions may not suffice.

For example, a manufacturing business in India can adjust TallyPrime to accommodate complex inventory valuation or product costing methods that are specific to its operations, highlighting the software’s flexibility.

Moreover, TallyPrime makes GST compliance easy by generating tax-compliant invoices and keeps businesses updated with the latest tax changes.

In comparison to other accounting platforms, TallyPrime stands out for its customisation and in-depth reporting tools. While Xero offers a wide range of cloud-based features and integrations, it does not provide the same depth of customisation as TallyPrime.

Similarly, although Marg ERP specialises in inventory management, TallyPrime’s adaptability across various business functions positions it as a better choice for businesses seeking a customisable accounting solution. This adaptability ensures that businesses can tailor the software to meet their exact requirements, from financial analysis to optimising billing processes.

TallyPrime Pricing Plans

  • 1 Month – ₹885
  • 3 Months – ₹2,655
  • 12 Months – ₹10,620

Pros:

  • Extensive customisation options
  • Compliance features for the Indian market
  • In-depth reporting capabilities

Cons:

  • Customisation features require technical knowledge to implement
  • Higher cost for advanced customisation
  • Primarily tailored for the Indian market, limiting international reach

5. Xero – Best for Cloud-Based Accounting in India

A screenshot of Xero's dashboard

Starting Price Free Plan Top Features Payroll Reporting
$3.75 /user/month Cloud-based, Integrations, Advanced analytics

Xero leads the pack in cloud-based accounting solutions, offering strong flexibility and accessibility for managing finances. Its cloud-native architecture ensures real-time access to financial data, facilitating efficient decision-making and financial management.

Xero’s extensive ecosystem of over 800 third-party integrations extends its functionality and suitability to businesses across multiple industries.

Close competitors such as Sage and TallyPrime fare better than Xero when it comes to complex inventory management and customisation, although Xero wins with its cloud-based flexibility, especially with the ease of access that comes with cloud-based accounting. Xero is thus preferred by Indian business owners who want remote access to their financials.

Xero also has a user-friendly interface that emphasises automation and simplifying accounting tasks. This makes it suitable for non-accountants and helps entrepreneurs focus on growth rather than managing their finances.

Xero Pricing Plans

  • Early – $3.75/month = ₹310.94/month
  • Growing – $10.50/month = ₹870.63/month
  • Established – $19.50/month = ₹1,616.88/month

Pros:

  • Real-time access to financial data from any location
  • Extensive app ecosystem
  • User-friendly interface

Cons:

  • High subscription costs
  • Dependence on internet connectivity
  • Some businesses may find the extensive features unnecessary

6. Vyapar – Best Accounting Software for Small Indian Businesses

A screenshot of Vyapar's dashboard

Starting Price Free Plan Top Features Payroll Reporting
FREE Simplified billing, Stock management, GST invoices

Vyapar is specifically designed to meet the needs of small Indian businesses, offering a user-friendly and cost-effective solution for GST billing, invoicing, and accounting.

Its focus on the Indian market ensures that the software is fully compliant with local tax regulations, making it an ideal choice for businesses looking for an easy-to-use platform that simplifies GST filings and financial management.

Vyapar’s affordability and straightforward design also make it accessible to startups and small enterprises, which might not require the complex features of more advanced accounting software.

Compared to more scalable solutions like Sage, Vyapar prioritizes simplicity and cost-effectiveness, making it the go-to choice for smaller businesses. Vyapar’s inventory management isn’t as robust as Marg ERP’s, but it still offers a balanced suite of features catering to the basic accounting needs of small businesses, emphasizing usability and affordability.

Vyapar Pricing Plans

  • Android Mobile App (FREE basic features) – ₹0
  • Android Mobile App (Paid features) – ₹699
  • Desktop – ₹2,899/year

Pros:

  • GST compliance feature
  • Cost-effective, with free version available
  • Simple interface

Cons:

  • Limited scalability for growing businesses
  • Reduced integration capabilities
  • Less robust inventory management

7. FreshBooks – Best Accounting Software for Freelancers in India

A screenshot of FreshBooks' dashboard

Starting Price Free Plan Top Features Payroll Reporting
$7.60/user/month Invoicing, Expense tracking, Time tracking

FreshBooks is the top choice for freelancers with its user-friendly interface and focused feature set, including simple invoicing, time tracking, expense tracking, project management, payments, and financial reports. These cater specifically to the needs of freelancers and small service-based businesses who consider monitoring their cash flow across a range of clients.

Like Xero, FreshBooks is also a cloud-based accounting solution, but it prioritises ease of use over robust third-party app integration. It allows professionals to create invoices in seconds. With FreshBooks, users can also set up recurring payments, including automatic payment reminders, making it suitable for freelancers with retainer deals.

One other useful feature is time-tracking, as it allows freelancers to log hours worked and automatically add those hours to invoices. This system ensures accurate billing and helps users keep track of billable hours from different projects.

Any small service-based business can benefit from FreshBooks’ project management features, which allow them to collaborate with other service providers directly within the platform. Overall, FreshBooks isn’t suitable for larger businesses with more complex accounting needs, but it is beneficial for generating time, expense, financial tracking, and client-specific reports within a few clicks.

FreshBooks Pricing Plans

  • Lite – $7.60/month = ₹630.14/month
  • Plus – $13.20/month = ₹1,094.45/month
  • Premium – $24.00/month = ₹1,989.90/month

Pros:

  • Simple, intuitive interface
  • Specialised invoicing and time-tracking features tailored for freelancers
  • Efficient expense management feature

Cons:

  • Limited scalability for larger businesses
  • Fewer integration options
  • Focus on service-based businesses may not suit all types of freelancers

8. Wave – Best Free Accounting Software in India

A screenshot of Wave's dashboard

Starting Price Free Plan Top Features Payroll Reporting
FREE Invoicing, Accounting, Receipt scanning

Wave stands out for offering the best free accounting software, making it ideal for startups and small businesses looking to manage their finances without incurring additional costs. It provides a comprehensive set of features for accounting, invoicing, and receipt scanning, all without a subscription fee.

This accessibility enables even the smallest businesses to benefit from Wave’s organized financial management system. Wave’s simplicity and cost-effectiveness make it a popular choice among entrepreneurs who are just starting out and need to keep overhead low.

A few of Wave’s competitors focus on greater scalability for growing businesses. Sage and TallyPrime are among such accounting tools, and they come with deeper and more extensive features and complex customisation options, which Wave doesn’t have.

Wave’s free version, on the other hand, addresses the fundamental needs of small businesses without the complexity or cost of more advanced platforms. It’s the go-to solution for entrepreneurs who need to use a basic accounting tool without the financial burden of a subscription model.

Wave Pricing Plans

  • Starter – $0 = ₹0
  • Pro – $16/month = ₹1,326.84/month

Pros:

  • Free pricing model makes it accessible
  • Straightforward platform
  • Includes essential accounting tools for small businesses

Cons:

  • Limited scalability compared to solutions like Sage
  • Fewer customisation options than platforms like TallyPrime
  • Basic inventory management capabilities compared to specialized software like Marg ERP

Conclusion – What is the Best Accounting Software In India for 2024?

After our comprehensive analysis of various accounting software options available in India, Zoho Books secures the top spot as the best overall choice. Its superiority is marked by a seamless blend of GST compliance, user-friendly design, and an expansive suite of automation features, making it especially appealing to small and medium-sized businesses.

Some of its competitors such as TallyPrime provide deeper customisation options, but Zoho Books isn’t necessarily behind, as it allows users to tailor invoices and generate detailed reports based on specific criteria. Xero and Zoho Books are both cloud-based accounting tools, but Zoho’s market focus makes it the no-brainer choice for Indian businesses.

Zoho Books caters to the nuanced financial needs of Indian enterprises, streamlining accounting processes and ensuring compliance with local tax laws. Its comprehensive feature set, coupled with competitive pricing, positions it as a more adaptable and cost-effective solution compared to its peers.

Overall, Zoho Books stands out as the top choice for accounting software for Indian businesses prioritising ease of use, scalability, and efficient tax handling.

How We Test Indian Accounting Software

  • Pricing: We assess affordability and value for money, prioritizing cost-effective software that doesn’t compromise on quality.
  • Features: To meet diverse business needs, we look for software with essential functions and beneficial extras (such as GST compliance) to enhance utility without over-complication.
  • Integrations: Since we look for streamlined options, we evaluate the software’s compatibility with other business tools, enhancing productivity and reducing manual data entry.
  • Automation: We prioritize software that automates repetitive tasks, saving time and reducing errors, thus making operations more efficient.
  • Ease of Use: User-friendliness is crucial; we select software that’s easy to learn and use, ensuring a smooth adoption process for businesses of all sizes.
  • Third-Party Reviews: We consider user feedback to gauge satisfaction levels, reliability, and the real-world application of the software’s features.

How To Choose The Best India Accounting Software

  • Budget – Evaluate the software’s cost against its features. A higher price might be justified by extensive functionalities that meet your business needs efficiently, ensuring you get the most value for your investment.
  • Integrations – Seamless integration with other tools for expense tracking, payroll, and tax filing is crucial. It streamlines financial management by centralizing data, enhancing accuracy, and facilitating comprehensive financial oversight.
  • Compatibility – Consider accounting tools that offer a mobile app for on-the-go access. Also, check if certain integrations or features are restricted to premium plans. Compatibility with your current setup can significantly influence your choice.
  • Ease of Use – Consider the software’s user interface and feedback from current users. A system that’s easy to navigate without extensive training can save time and reduce the burden on your team.
  • Scalability – Assess whether the software can grow with your business. The cost of upgrading and the availability of necessary features in higher-tier plans are key factors in ensuring the software can support your business as it expands.
  • User Limitations – Many accounting solutions have user limits. Consider your team’s size and potential growth to ensure the software can accommodate your current and future user needs without requiring expensive upgrades.

India Accounting Software FAQs

Which is India’s No 1 accounting software?

What is the most effective accounting software for accountants?

What software do accountants use most?

Which accounting software do the Big 4 accounting firms use?

What software does KPMG use?

References

Related Reading

Karen Crystal
Editor

Karen Crystal has built a career in digital marketing and content writing over the past 13 years, focusing on the vegan sector since 2020 and extending her expertise to industries such as crypto, Play-to-Earn (P2E) games, and revegetation solutions. As the Email Marketing Manager and Copywriter for AchieveCE, her role since 2022 involves crafting targeted email strategies and engaging content, underpinned by her analytical skills from a Master’s in Physics with a specialization in synchronization in simulated decentralized electrical networks. Karen’s academic pursuits include presenting at SPVM conferences and participating in the JENESYS Programme in Japan, experiences that have enriched…