Choosing accounting software is one of the most consequential technology decisions a small business makes. Your accounting software shapes how you record transactions, file GST, run payroll, and generate reports — and switching later is painful.
Three names dominate the Indian market: Tally Prime, QuickBooks, and Zoho Books. Each has genuine strengths and real weaknesses. This comparison is honest about all of them.
Quick Comparison Summary
| Feature | Tally Prime | QuickBooks | Zoho Books |
|---|---|---|---|
| Type | Desktop (with cloud option) | Cloud (SaaS) | Cloud (SaaS) |
| Price | ₹18,000 one-time + TSS | ₹1,749–₹4,499/month | Free–₹3,000/month |
| GST compliance | Best-in-class | Good | Very good |
| Ease of use | Steep learning curve | Easy | Easy |
| Inventory | Excellent | Good | Good |
| Payroll | Built-in | Add-on | Add-on |
| Mobile app | Limited | Yes | Yes |
| Accountant ecosystem | Massive (India) | Small (India) | Growing |
| Offline use | Yes (desktop) | No (cloud only) | No (cloud only) |
| Customisation | Deep (TDL) | Limited | Moderate |
| Data ownership | Full (local) | Cloud-hosted | Cloud-hosted |
| Best for | Manufacturers, traders, SMEs | Service businesses, freelancers | Small businesses, startups |
Tally Prime: Deep Dive
What Tally does best
Tally Prime is the undisputed leader for GST compliance, inventory management, and manufacturing businesses in India. Its depth of functionality — Bill of Materials, job costing, multiple godowns, TDL customisation — is unmatched by any cloud alternative.
The ecosystem advantage is also massive. There are millions of Tally-trained accountants in India. Finding a skilled Tally operator, or outsourcing to a service like AutoTally, is easy and affordable. Finding a QuickBooks specialist in India is significantly harder.
Tally's weaknesses
- Learning curve — Tally's keyboard-driven interface is intimidating for new users and requires training
- Desktop-first — while cloud features exist in TallyPrime, it is primarily a local application
- UI design — even TallyPrime's redesign feels dated compared to modern SaaS tools
- Mobile access — limited compared to cloud alternatives
- Collaboration — multi-user access requires a server setup; not as seamless as cloud tools
Tally pricing (2025)
- TallyPrime Silver (single user): ₹18,000 + GST (one-time)
- TallyPrime Gold (multi-user): ₹54,000 + GST (one-time)
- TSS renewal: ₹4,500–₹13,500/year (for updates + connected services)
Over 5 years, Tally is actually cheaper than subscription-based alternatives — even accounting for TSS renewals.
QuickBooks India: Deep Dive
What QuickBooks does best
QuickBooks is the global leader in small business accounting software. Its ease of use is genuinely excellent — intuitive interface, guided workflows, and a polished mobile app. For businesses where the owner wants to handle their own books without an accountant, QuickBooks has the lowest friction.
Its reporting and dashboard features are also strong — real-time P&L, cash flow visualisations, and one-click reports are all well-designed.
QuickBooks weaknesses for India
- GST compliance — QuickBooks India edition supports GST but it is not as deeply integrated as Tally. GSTR reconciliation and e-invoicing are less seamless.
- Inventory — basic inventory management; not suitable for manufacturers or multi-location businesses
- Payroll — not built-in; requires a separate add-on subscription
- Accountant ecosystem — very few Tally-equivalent QuickBooks specialists in India; outsourcing options are limited
- Cost — monthly subscription costs add up. ₹2,500/month × 12 = ₹30,000/year. Over 5 years: ₹1,50,000 vs Tally's one-time ₹18,000 + renewals
- Intuit's India commitment — QuickBooks India has had uncertain support history; Intuit has previously considered exiting the market
QuickBooks pricing in India (2025)
- Simple Start: ₹1,749/month
- Essentials: ₹2,699/month
- Plus: ₹4,499/month
Zoho Books: Deep Dive
What Zoho Books does best
Zoho Books is the strongest challenger to Tally for Indian businesses — and arguably the best cloud accounting option for India-based SMEs. It has excellent GST support (GSTR filing, e-invoicing, e-way bills), a clean and modern interface, strong automation, and a genuinely competitive free tier.
Zoho Books also integrates seamlessly with the broader Zoho ecosystem (Zoho CRM, Inventory, Payroll, Projects) — making it a compelling choice for businesses already using Zoho products.
Zoho Books weaknesses
- Depth of customisation — no equivalent to Tally's TDL; customisation is limited to what Zoho provides
- Manufacturing/BOM — no Bill of Materials or production module in Books; requires Zoho Inventory separately
- Payroll — Zoho Payroll is a separate product (not included in Books)
- Accountant ecosystem — smaller than Tally's; growing but not yet at Tally's scale
- Offline access — cloud-only; no offline mode
- Data migration — moving from Tally to Zoho Books requires significant effort
Zoho Books pricing (2025)
- Free: Up to 1,000 invoices/year, 1 user
- Standard: ₹749/month (3 users)
- Professional: ₹1,499/month (5 users)
- Premium: ₹2,999/month (10 users)
Which Should You Choose?
Choose Tally Prime if:
- You are a manufacturer, trader, or distributor with inventory needs
- You process a high volume of transactions (500+/month)
- You have or plan to hire Tally-trained staff
- GST compliance depth and e-invoicing are critical
- You want to own your data locally, not store it on a cloud server
- You need TDL customisation for specific workflows
- You are cost-sensitive over a 3–5 year horizon
Choose QuickBooks if:
- You are a service business or freelancer with simple bookkeeping needs
- You want to manage your own books without an accountant
- Global accounting standards (not India-specific compliance) matter more
- You have team members in multiple locations who need cloud access
Choose Zoho Books if:
- You want a modern, cloud-native Indian accounting solution
- You already use Zoho CRM or other Zoho products
- You need good GST compliance with a better UI than Tally
- Budget is tight and the free tier works for your volume
- You prefer not to manage desktop software
Can You Outsource Any of These?
AutoTally specialises in Tally — Tally Prime and Tally ERP 9. If you use Tally and want to outsource your data entry, GST filing, or bank reconciliation, get a free quote.
If you are evaluating which software to use and want to use Tally but are worried about the data entry burden — that is exactly the problem AutoTally solves. You use Tally (the best software for Indian compliance), and we handle the tedious data entry work.