Versatile critical applications are using cloud environment. Critical applications require reliable cloud environment. The cloud computing is a useful model of a collection of configurable computing resources such as data-center, servers, data storage and application services in real-time. The main features of cloud computing is on demand accessibility, scalability, management cost reduction, and location independence. Transient errors occur when energetic neutron particles from space and alpha particles from packaging materials hit integrated circuit (IC). These errors may change the state of memory bits or may alter the register file. Transient faults may affect network connectivity, temporary unavailability of services and timeout to get response. These types of errors can be catastrophic in cloud applications such as, scientific research, financial and safety critical systems. These errors may be single bit, multiple bits and burst bits errors and may cause either service downtime or produces invalid results. To reduce the effect of such errors, a fault tolerant mechanism is required. The cloud computing is more effective and reliable when it is more fault-tolerant and more adaptable to meet the demand. Fault tolerance is an effective step that enables a system to continue operation even in faulty environments. To ensure fault tolerance in the cloud, there are reactive and proactive fault tolerance. The reactive fault tolerance requires error recovery after faults are detected. On the other hand proactive fault tolerance technique prevents the faults by predicting it beforehand. Some of the popular fault tolerant techniques include parity, two dimensional parity, hamming codes, checksum and cyclic redundancy checking. Most of these schemes are either hardware or software based. In this paper, we propose a software based fault tolerant technique. We use one's complement based effective fault tolerance (EFT) technique to detect and correct errors in cloud computing systems. The proposed scheme achieves 99.9% error coverage while it is 1.73 times faster than checksum technique and 3.06 times faster than CRC technique. This technique reduces complexity and improves performance of fault tolerant schemes compared with some other existing cyclic redundancy check (CRC) and checksum techniques.