TALLY ERP 9

Introduction

Basics concept of accounting

Accounting: It is an art of recording, classifying and summarizing in significant manner and in terms of money, transactions and events which are of financial character and interpreting the results thereof.

Business transaction: A business transaction is “The movement of money and money’s worth form one person to another”. Or exchange of values between two parties is also known as “Business Transaction”.

Branches of Accounting.

Financial Accounting: To keep a record of all financial transactions so that.

The profit earned or loss sustained by the business during an accounting period can be worked out.

The financial position of the business at the end of the accounting period can be ascertained.

The financial information required by the management and other interested parties can be provided.

Cost Accounting:

The purpose of cost accounting is to analyse the expenditure to ascertain the cost of various products manufactured by the company and fix the price of the final product.

It also helps in controlling the costs and providing necessary costing information to management to enable decision – making.

Management Accounting:

The purpose of management accounting is to assist the management in taking rational policy decisions. It also helps to evaluate the impact of past management decisions and actions.

Terms Used in Accounting

Entity

Entity has a definite individual existence. Business entity is an identifiable business enterprises such as Super bazar.

Transaction

Transaction is an event involving some value between two or more entities. It can be a purchase of goods, receipt of money, payment to a creditor, incurring expenses and so on. It can be either a cash transaction or a credit transaction.

Assets

It is an Economic resource of an enterprise that can be expressed in monetary terms. They are items of value used by the business in its operations. For example , Super Bazaar owns a fleet of trucks which it uses to deliver goods. The trucks provide economic benefit to the enterprise. So they are shown on the asset side of the balance sheet of Super Bazaar.

Assets can be broadly classified into

Fixed Assets

Current Assets

Fixed Assets are assets held on a long term basis such as land, buildings, machinery, plant, furniture and fixtures. These assets are used for the normal operations of the business of goods, receipt of money, payment to a creditor incurring expenses and so on. It can either be a cash transaction or a credit transaction.

Current Assets are assets held on a short term basis such as debtors, bill receivables, stock , temporary marketable securities, cash and bank balances.

Profit

Profit is the excess of revenues of a period over its related expenses during an accounting year. Profit increases the investment of the owners.

Gain

Gain is a profit that arises from events or transactions which are incidental to business such as sale of fixed assets, winning a court case, appreciation in the value of an asset.

Loss

The excess of expenses of a period over its related revenues is termed as Loss. It decreases the owner’s equity. It also refers to money or money’s worth lost )or cost incurred) without receiving any benefit in return. For example , cash or goods lost due to theft, fire and so on. It also includes loss on sale of fixed assets.

Discount

Discount is the deduction in the price of goods on sale. Two types of discount

Trade Discount

Cash Discount

Trade Discount : Offering a deduction of an agreed percentage on the list price at the time of the sale is one way of giving discount. It is generally offered by manufactures to wholesalers and by wholesalers to retailers.

Cash Discount : After selling the goods on credit basis, debtors may be given a certain deduction in the amount due if they pay the amount within the stipulated period or earlier. This deduction is given at the time of payment on the amount payable. Hence it is called cash discount . It encourages debtors to make prompt payments.

Voucher

The documentary evidence in support of a transaction is known as Voucher. For example, when you buy goods for cash, you get a cash memo. When you buy goods on credit, you get an invoice. When you make a payment, you get a receipt, and so on.

Goods

Goods refer to the products which a business unit produces and sells, or buys and sells. The items that are purchased for use in the business are not called goods. For example, for a furniture dealer the purchase of chairs and tables is termed as goods, while for others its is furniture and is treated as an asset. Similarly for a stationery merchant stationery is goods. But for others, stationery is an tem of expense(not purchases) .

Drawings

Withdrawal of money and or goods by the owner from the business for personal use is known as drawings. Drawings reduce the investment of the owners.

Purchases

Purchases is the total amount of goods procured by a business on credit and cash, for use or sale. In a trading concern, merchandise is purchased for resale, with or without processing. In a manufacturing concern, raw materials are purchased, processed further into finished goods and then sold. Purchases may either be cash or credit purchases.

Stock

Stock (inventory) is a measure of something on hand-goods, spares and other items in a business. It is called ‘Stock in hand’. In a trading concern, the amount of goods that lie unsold at the end of an accounting period is called closing stock(ending inventory).

In a manufacturing company, closing stock comprises raw materials, semi-finished goods and finished goods on hand on the closing date. Similarly, opening stock (beginning inventory)is the amount of stock at the beginning of the accounting period.

Debtors

Debtors are persons and/or other entities who owe an enterprise money, having bought goods and services on credit. The total amount against such persons and/or entities on the closing date is shown in the balance sheet as sundry debtors on the asset side.

Creditors

Creditors are persons and/or other entities who have to be paid by an enterprise for providing goods and services on credit. The total amount in favour of such persons and/or entities on the closing date is shown in the balance sheet as Sundry creditors on the liabilities side.

Purchase Return or Rejection in or Outward Invoice:  Purchase return means the return of the full or a part of goods purchased by the businessman to his suppliers.

Sales Return or Rejection out or Inward Invoice: Sales return means the return of the full or a part of the goods sold by the customer to the businessman.

Receipts:    It is a document issued by the receiver of cash to the giver of cash acknowledging the cash received voucher.

Account:   Account is a summarized record of all the transactions relating to every person, every thing or property and every type of service.

Ledger: The book of final entry where accounts lie.

Journal entries:  A daily record of transaction.

Types of accounting

● Personal Accounts.

● Real Accounts.

● Nominal Accounts.

Personal account:  Personal accounts are the accounts of persons, firms, concerns and institutions which the businessmen deal.

Examples include…

Suppliers, Customers, Lenders

Principles:  Debit the receiver

                   Credit the giver

Real Account:   These are the accounts of things, materials, assets & properties. It has physical existence which can be seen & touch.

 Ex. Cash, Sale, Purchase, Furniture, Investment etc.

Principles:  Debit what comes in

Credit what goes out

Nominal account: Nominal account is the account of services received (expenses and Losses) and services given (income and gain)

Ex. Salary, Rent, Wages etc.

Principles:   Debit all expense/losses

 Credit all income/ gains

Accounts classification

Accounts can be broadly classified under the following five groups.

• Assets.

• Liabilities.

• Capital.

• Revenue

• Expenses

System of Accounting.

There are many ways of classifying the systems of accounting. The most popular ways are.

• Single Entry System.

• Double Entry System.

Single Entry System.

It is a system of accounting under which only one aspect (Debit or Credit) of the transaction is recorded. It is usually used by small concerns which have very few transactions.

Double Entry System.

In this system of book-keeping, a complete record of both the aspects of every transaction is maintained. Here every accounting transaction should always be recognised in two accounts, one as debit and the other as credit.

journal

Journal voucher in Tally is an important voucher which is used to make all kind of adjustment entries, credit purchases or sales, fixed assets purchase entries.

Mode of Accounting

Journals and Ledger.

A Journal is a book in which business transactions are entered in chronological order.

A record of a single business transaction is called a journal entry.

A Voucher is a document containing the details of a financial transaction

Example include sales invoice, purchase invoice, payslip, rent receipt and so on.

An account is a statement of transactions affecting any particular asset, liability, expense or income. A ledger is the book in which all the accounts are maintained.

A chart of accounts is a list of all account titles used by an organisation. The chart of accounts of the business shows the categorisation and grouping of its accounts.

Posting.

Posting is the process by which information about transactions is transferred or moved to an account.

Accounting period

A regular period of time such as a quarter or year, for which a financial statement is generated is called an accounting period.

Trial Balance

A trial balance is a list of the balances of all ledger accounts. It is prepared after all the transactions are entered in the journal.

Journal entries posted to the ledger and ledger accounts balanced. It is sum of balances of all real, personal and nominal accounts of the organisation. A detailed trial balances has columns for.

Financial Statements:

A Financial Statement is a periodic report prepared from the accounting records of a company.

Financial statements include the profit and loss statement (or income statement). Balance sheet and cash flow statement. Financial statements are usually compiled on a quarterly basis or annual basis.

For reporting convenience, the profit and loss account is divided into

Trading account

Profit and Loss account

The profit and Loss statement can be further classified into

Gross Profit : Gross Profit is arrived at, after considering the core activities of the company, it is expressed as

Gross Profit=Net Sales-Cost of sales.

Net Profit: Net Profit is arrived at after considering the other administrative costs incurred for the period. It is expressed as

Net Profit=(Gross Profit+other Income)-(Selling and Administrative Expenses +Depreciation+Interest+Taxes+Other Expenses)

Trading Account

A trading account is prepared to arrive at the gross profit earned by the organisation over a specified period. This helps the organisation to arrive at the cost of its core activity and calculate the direct profit from its operations.

Profit and Loss Account.

The Profit and Loss Account gives the net profit earned by the company after considering expenses incurred over a period. This helps the company monitor and control the costs incurred and improve its efficiency.

Balance Sheet

Is a statement that summarises the assets and liabilities of a business.

The excess of assets over liabilities is the net worth of a business.

The B/S provides information that helps in assessing a company’s

Long-term financial strength

Efficient day to day working capital management.

Asset portfolio

Sustainable long-term performance.

The difference between Profit & Loss VS Balance Sheet is.

Profit & Loss : The amounts shown on the statement represent transactions over a period of time.

Balance Sheet : The items represented on the b/s show information as on a specific date.

Business Transactions

A business transaction is “The movement of money and money’s worth form one person to another”. Or exchange of values between two parties is also known as “Business Transaction”.

A Transaction is an event or happening that changes an organisation’s financial position and or its earnings. For example when you sell goods for cash your cash balance increases and your stock reduces.

Reciprocal exchange of two things. Receipt of cash and delivery of stock.

It involves two aspect of Give and Take.

Receipt of cash involves the take aspect and delivery of stock is a give aspect.

Business Transactions can be classified as follows.

Receipts – Cash or Bank

Payments – Cash or Bank

Purchases.

Sales.

Business Transactions are usually evidenced by an appropriate document such.

Cash Memo

Invoice

Sales Bill.

Pay-in Slip.

Cheque

Salary Slip.

Accounting Equations.

Assets=Liability+Capital

Capital=Assets-Liabilities.

Liabilities = Assets-Capital

Using Debit and Credit

Every transaction involves two aspects. - Give and Take.

In double entry system of accounting , every transaction is recorded in at least two accounts.

While recording transactions, the total amount debited and credited must be equal.

In accounting the terms debit and credit indicate whether the transactions are to be recorded on the left or right of the account. In its simplest form, an account looks like the letter T and hence , it is called a T-account.

T-format has a left side and a right side to record increases and decreases in the item. This would simplify the process of ascertaining the ultimate position of each item at the end of accounting period.

For example : in the case of an account of a customer all goods sold appear on the left (debit) side of the customer’s account and all payments received appear on the right(credit) side. The difference between the totals of the two sides, called balance, reflects the amount due from/to the customer. In a T-account, the left side is called debit(often abbreviated as Dr.) and the right side is called credit (Often abbreviated as Cr.) To enter an amount on the left of an account is to debit the account. To enter an amount on the right is to credit the account.

Rules of Debit and Credit.

All accounts are divided into five categories for the purposes of recording transactions.

Assets.

Liabilities.

Capital.

Expenses or losses.

Incomes or gains.

Books of Original Entry.

In Real accounting systems transactions recorded in source documents are analysed and recorded for the first time in a journal which is also known as the book of original entry.

This practice provides a complete record of each transaction in one place and links the debits and credits for each transaction. After the debits and credits for each transaction are entered in the journal, they are transferred to the individual accounts. The process of recording transactions in the journal is called journalising. Once the journalising process is complete, the journal entry provides a complete and useful description of the event’s effect on the organisation. The process of transferring a journal entry to individual accounts is called posting. This sequence causes the journal to be called the Book of original Entry and ledger account as the Principal Book of Entry.

On account of the number and commonality of most transactions, the journal is subdivided into a number of books of original entry as :

Journal Proper.

Cash book.

Other Day books.

Purchases (Journal)book.

Sales (Journal) book.

Purchases Returns (Journal) book.

Sale Returns(Journal) book.

Bills Receivable (Journal) book.

Bills Payable (Journal) book

Journal

Journal is a day book or a daily record wherein the transactions are recorded in chronological order. i.e. as and when they take place. The act of recording a transaction in the journal is called journalising.

Journal	Ledger
The book of first entry (Original Entry)	The book of second entry
The book for chronological record	The book for analytical record
Journal as a book of source entry, gets greater importance as legal evidence	Ledger gets lesser importance as legal evidence
Transaction is the basis of classification of data	Account is the basis of classification of data.
The process of recording in the journal is known as Journalising	The process of recording in the ledger is known as Posting.

Ledger

Ledger is the principal book of the accounting system. It is defined as a book of final entry of containing all the accounts of a business or all the accounts of a particular type. In a ledger , the transactions of the same nature are classified and grouped together in one place in the form of accounts. Legers may be in the form of a bound register, cards or separate sheets maintained in a loose leaf binder.

Need for Ledger.

A well maintained accounting system has a significant role in the growth of an organisation.

The ledger as a record of the transactions, assumes great importance in the process.

The net result of all transactions in respect of particular account on a given date can be ascertained only from the ledger. For example the organisation can ascertain the amount due from a customer only from the ledger. Ledgers thus act as a reference for the transactions of an organisation on any given date. Accounts are operand in the ledger in a specific order , facilitating easy posting and location. For example, accounts may be opened in the same order as they appear in the profit and loss account or balance sheet . An index is also provided in the beginning. Some large organisations allot code numbers for each account for easy identification.

Distinction between Journal and Ledger.

Journal	Ledger
The book of first entry (Original Entry)	The book of second entry
The book for chronological record.	The book of analytical record.
Journal as a book of source entry, gets greater importance as legal evidence.	Ledger gets lesser importance as legal evidence.
Transaction is the basis of classification of data.	Account is the basis of classification of data.
The process of recording in the journal is known as Journalising.	The process of recording in the ledger is known as Posting.

Classification of Ledger Accounts.

Ledger Accounts are classified into five categories. They are

Assets

Liabilities

Capital

Revenues/Gains

Expense/Losses.

All these accounts may further be classified into two groups, namely.

Permanent accounts (assets, liabilities and capital accounts).

Temporary accounts(revenue and expense accounts)

Permanent accounts are balanced and carried forward to the next accounting period. The temporary accounts are closed at the end of the accounting period by transferring them to the trading account and profit and loss account. All permanent account appear in the balance sheet.

Posting from Journal

The process of transferring entries from the books of original entry (Journal) to the ledger is called posting. In other words , posting is the process of grouping all the transactions in respect to a particular account at one place for a meaningful conclusion and to further the accounting process. Depending on the requirement and convenience of the business, posting from the journal may be done periodically .

i.e Weekly, fortnightly or monthly.

Example – 1.

Consider how the following transactions are posted to different accounts from the journal.

Date	Transactions
01.06.2019	Started a business with cash of Rs 4,00,000
03.06.2019	Opened an account in HDFC bank by depositing Rs 1,00,000
05.06.2019	Purchased furniture for Rs 20,000 by paying cash.
10.06.2019	Goods purchased from Ranjan Traders for Rs 50,000
15.06.2019	Sold goods on Cash Rs. 25,000
20.06.2019	Paid insurance of Rs 2,000 by cash
22.06.2019	Paid Rs3,000 towards rent in cash
25.06.2019	Paid Rs 5,000 as salary to the manager in cash
26.06.2019	Sold goods worth Rs 8,000 to Raghu
27.06.2019	Purchased stationery worth Rs 200 in Cash.

Date	Particulars	L.F	Debit	Credit
1.06.2019	Cash A/c Dr. To Capital A/c (Business started with cash)		4,000	4,000
03.06.2019	HDFC Bank A/c Dr. To Cash A/c (Cash deposited in bank Account)		1,00,000	1,00,000
05.06.2019	Furniture A/c Dr. To Cash A/c (Furniture Purchased)		20,000	20,000

10.06.2019	Purchases A/c Dr. To Ranjan Traders (Goods purchased on credit)	50,000	50,000
15.06.2019	Cash A/c Dr. To Sales A/c (Goods sold on cash)	25,000	25,000

Company creation

If you are operating multiple businesses, you can create several companies in Tally. ERP 9 software at a single cost. ... ERP 9 has outgrown from the concept of just accounting software to managing statutory compliance by updating statutory files available at Tally solution website.

Alt+F3 Company Creation

ledger

A ledger is the actual account head to identify your transactions and are used in all accounting vouchers. For example, purchase, payments, sales, receipts, and others accounts heads are ledger accounts. Without a ledger, you cannot record any transaction.

Groups.

Groups are the termed as the Heart of Accounts.

It Classified into two types

⮚ Groups – Predefined(Inbuilt).

⮚ Groups – User defined(Customize)

Groups – Predefined(Inbuilt)

Tally Groups are an very important factor in Accounts.

The accuracy of summarizing in Tally depends upon the chosen of the right Group while creating Ledgers

Groups for ledgers

Group Name	List of Ledgers Comes Under Group
Capital Account
Investment
Sales Accounts
Purchase Accounts

Groups – Userdefined

Tally provides us the customizable facility to the user to create their own group suitable for their transactions while creating their ledgers.

We are able to create our own groups in two types.

a. Primary Group.

b. Secondary Group

Banking

Banking in Tally.

The Groups available for Banking’s are :

• Bank Accounts.

• Bank OD Accounts.

• Bank OCC Accounts.

• Bank Reconciliation Statement in Tally.

Configuration. – f12

Configuration can be selected or modified by using F12: Configure button. This button is available in almost all the screens of Tally.ERP 9 enabling the user to modify it as and when your requirements change

vouchers

Vouchers are the place to enter the transaction details on it.

The mode of vouchers are :

a. Single entry.

b. Double entry.

The another format of voucher is called as invoice.

Voucher – types

Pre-defined Vouchers in Tally.

There are 28 in built vouchers are available in Tally to entering our transaction details into accounts.

Customized Vouchers in Tally

User-defined Vouchers or Customized Vouchers in Tally.

There are a provisions in Tally to create our own vouchers in Tally to entering our transaction details into accounts apart from entering built-in vouchers.

Voucher Classes in Tally.

These are the facility in Voucher types to create a class to include some needed ledgers and exclude some ledgers while using vouchers as per our requirement.

Voucher Entry in Tally.

Vouchers are invoices used to record our in and out transactions in Voucher mode or Invoice mode with or with out items.

The frequently used major vouchers are as

a. Sales (Cash or Credit)

b. Purchase (Cash or Credit)

c. Receipt

d. Payment.

Voucher entry in Tally.

• Receipt Voucher

• Payment Voucher

• Sales

• Purchase

• Contra

• Stock Journal, Physical Stock

Non-Accounting Vouchers in Tally.

a. Memorandum Voucher

b. Reversing Journal Voucher

c. Optional

d. Post Dated

Method of adjustment

a. New Reference

b. Against Reference

c. On Advance

d. On Account.

Cost category & Centre

At the time of payment we would like to includes all the details related to the transactions then Cost Category is the best option.

For example : Create Cost category like :

a. Staff’s Name.

b. Posts.

c. Department.

d. Branches.

Inventory info.

Accounts with Inventory .

We can pass sales or purchase voucher along with Inventory (Item details).

This can be classified into 5 heads.

a. Stock Group.

b. Stock Category.

c. Stock Item.

d. Unit of Measurement.

e. Godowns.

Stock Group.

Primary broad classification of stock items. All items comes under this broad classification title.

For ex : Maligai.

Stock Category.

Secondary particular classification of stock items. Sub category of items comes under this.

For ex : Tea, Coffee, Oil, Shampoo.

Unit of Measurement.

The Units used to measure the stock items.

For ex : Kg, Litre, No’s , Grams

Stock Item

Stock items are the named items directly comes under Stock Group, Stock Category, Unit of measurement, Godowns.

For example : Horlicks is a Stock Item.

Summarizing.

Balance Sheet, Profit & Loss, Trial Balance.

Summarizing with Balance Sheet, Profit & Loss, Trial Balance

Balance Sheet

A Balance Sheet is a Financial Statement that reports a firm’s financial

Position at a spcfific time.A Balance between the assets and liabilties

a firm and owners funds.

Profit & Loss

Profit & Loss a/c or income statement is a periodic statement,which shows the

net resultOf business operations for a specified period.

The profit or loss a/c or income &expenditure a/c.

Trial Balance

A Trial balance is a summary of all ledger balances,and helps

in checking whether transactions are correct and balanced.

Filter.

⮚ Range Filter.

⮚ Value Filter.

Price list.

This Concept is explained as

The Selling of goods generally in 3 modes as below :

a. Retail Sale.

b. Whole Sale.

c. Export Sale.

Re-order level

Re-order Level states that we can set the threshold limit quantity to the items to be re-ordered for purchase from the supplier.

How to determine the re-order level quantity for make a new purchase order?

A simple formula is :

Re-order level quantity = (Avg.Sales * Lead time taken by supplier to delivered)+ Special order

Average Sales = Monitoring Daily sales for 4 to 6 months.

For ex : 4 kg + 6 kg + 7 kg + 9 kg +3 kg + 8 kg + 10 kg

Lead Time Taken by Supplier = How many days taken by supplier to supply our ordered goods to be delivered . For ex : 4 days

Re-order level quantity = 47 (Avg.Sales) / 4 (Lead Time)

Re-order level quantity = 12 Kg + (Add Special order if any )

We should make an purchase order while the closing stock meet 12 Kg.

Actual & billed quantity

This explains that

At the time of Sales or Purchase the selling or purchased quantity number is differed from the billed quantity . The reason of difference is :

a. Some goods are given as FREE due to high volume of purchase or sales.

b. Some goods are give as FREE due to Quality issue.

PAYMNENT TO THE BILLED QUANTITY ONLY.

Order processing

In our business we can make routine transactions to our supplier for buying goods and customer for selling goods with some time interval on regular basis. In this regard we should follow the sequence of voucher to make an order to supplier or to sell a goods to customer.

Supplier (Sundry Creditors)

a. Purchase Order.

b. Purchase.

c. Payment.

d. Receipt Note.

e. Purchase return (Goods Out)

f. Debit Note.

Customer (Sundry Debtors)

a. Sales Order.

b. Sales.

c. Receipt.

d. Delivery Note.

e. Sales return (Goods Out)

f. Credit Note.

Interest calculation

Interest will be calculated on outstanding receivable or payable. Interest can be calculated on the basis of simple or compound interest in Tally.

Export from Tally

a. Vouchers

b. Balance Sheet

c. Profit & Loss

d. Trial Balance.

Export supporting formats are.

a. Text Format with extension like .Txt.

b. Picture Format with extension like .Jpg (Joint Photographic Group).

c. Excel Spread Sheet Format with extension like (.Xlsx).

d. Web page format with extension like Html (Hyper Text Mark Up Language).

e. Xml (Extensible Mark Up Language)

f. Pdf. (Portable document Format)

IMPORT

Import to Tally .

a. If we want to import Tally then the procedure is

b. Export Tally using Xml (Extensible Mark Up Language) then only we can import it.

c. Before begin importing we should create all same ledgers to the source company which we try to import.

ODBC CONNECTIVITY

The ODBC driver is a library that implements the functions supported by the ODBC API. It processes ODBC function calls, submits SQL requests to Database, and returns results back to the application.

Backup & restore

a. It is an important one to backup daily the Tally company into another drive in Computer for safety purpose.

b. Source Drive is : C:\Tally Erp 9 \ bin

c. Destination Drive is : D:\ or E:\ or Pen Drive or Cd or DVD

Consolidation of accounts

Consolidation means Combining of two company accounts into one.

And viewing the summarization in Balance Sheet, Profit & Loss, and Trial Balance.

Functional Keys used here is :

F1 – Detailed (Ledger Wise.)

F2 – Time Wise.

F3 – Changing the Company .

F7 – Evaluation Method.

F9 – Accounting Report.

F10 – Inventory Report.

Payroll

Payroll accounting in Tally offers the benefits of simplified Payroll processing and accounting due to its added benefit of integration with accounts. ... The payroll module also lets flexible and user defined criteria for users. It also offers the facility to create user defined earnings and deductions pay heads.

Regional languages

1. Click Control Panel from the Start menu or click on My Computer

2. Double-click the icon Regional and Language Options

3. In the Regional and Language Options window, select Languages tab

4. Select Install files for complex script and right-to-left languages (including Thai) under Supplemental language support

5. Click Details to display Text Services and Input Languages window

Job costing

Job Costing. Job costing is a form of specific order costing, which applies to a job undertaken according to customer requirements and specifications.

Bill of material

Bill of Material (BoM) for issuing Stock using Tally. ERP9. A Bill is termed as an authenticated document for the materials which are taken out from the stock either for sale or for transfer to other godowns or for manufacturing, etc.

Splitting of company

The Split from date is based on the existing data, and is considered as the beginning of the current financial year. Once the company data is split, two separate companies will be created and opened, without any changes to the original data. After the split, all the companies act as separate companies.

Taxation in India

In Tally, we can use the features of Statutory and Taxation by enabling and disabling the option in the  Tax (Vat): Now India is following GST tax, so disable the company alteration screen. ... Enable Value Added is option as GST tax is followed by Company.

GST- Goods and services tax

The Act came into effect on 1st July 2017; Goods & Services Tax Law in India is a comprehensive, multi-stage, destination-based tax that is levied on every value addition. In simple words, Goods and Service Tax (GST) is an indirect tax levied on the supply of goods and services.

Tds (Tax deducted at source).

TDS or Tax Deducted at Source, is a means of indirect tax collection by Indian authorities according to the Income Tax Act, 1961. TDS is managed by the Central Board of Direct taxes. In this guide lets learn how to set-up TDS in Tally ERP9.

Tally shortcuts

Shortcut keys, the attention is drawn to keyboard Shortcut keys as Tally software uses the keyboard functions to operate, journalize, and report the financial statements prepared for the users to interpret and to take decisions on the financial statements.