Home Page : TallyERP9Book.Com Click...Order Now ! Click...Order Now ! Click....Book Contents !
 
Connect with ...
 

Question Base [F.A.Q.]- Value Added Tax (VAT) @ Tally.ERP 9

1. Enabling Value Added Tax (VAT)

<----------------------------------------------------------------------------->

2. Creating Master Ledgers that are affected by VAT

The ledgers that are affected by VAT are:

 

       Purchase Ledger

       Sales Ledger

       Input VAT Ledger

       Output VAT Ledger

#                     Party Ledger

<----------------------------------------------------------------------------->

3. Creating Purchase Voucher without Inventory

On 1-6-09, Universal Traders purchased from Sujan Ltd., Bangalore, Surya Lamps 20 nos at Rs. 300 each & Philips lamps 30 nos at Rs. 500 each. (Input VAT - 840.)
<----------------------------------------------------------------------------->

4. Creating Purchase Voucher with default VAT Class

On 3-6-09, Universal Traders purchased from Sujan Ltd. Bangalore, Surya Lamps 30 Nos. at Rs. 300 each. VAT @ 4% was charged additionally.
<----------------------------------------------------------------------------->

5. Creating Purchase Invoice with Selection of VAT Class during Entry

On 3-6-09, Universal Traders purchased from Sujan Ltd. Bangalore, Philips lamps 10 Nos. at Rs. 300 each. VAT @ 4% was charged additionally.
<----------------------------------------------------------------------------->

6. Creating Purchase Invoice with Multiple VAT Rates

On 5-6-09, Universal Traders purchased the following lamps from Sujan Ltd.

 

Item

Quantity

Rate

VAT %

GE Lamp

15 Nos

100

12.5

Bajaj Lamp

5 Nos

150

4

 

<----------------------------------------------------------------------------->

7. Creating Sales Voucher without Inventory

On 8-6-09, Universal Traders sold to Chahak Traders, Bangalore, Surya lamps 10 Nos. at Rs.350 each. VAT @ 4% was charged additionally.

<----------------------------------------------------------------------------->

8. Creating Sales Voucher with Default VAT Class

On 15-6-09, Universal Traders sold to Somi Telicomm, Bangalore, Surya lamps 8 Nos. at Rs. 350 each and Philips lamps 5 Nos. at Rs. 550 each. VAT @ 4% was charged addition- ally.
<----------------------------------------------------------------------------->

9. Printing Sales Invoice

<------------------------------------------------------------------------------------->

10. Creating Sales Invoice with selection of VAT Class during Entry

On 16-6-09, Universal Traders sold to Chahak Traders, Bangalore, Philips lamps 3 Nos. at  Rs. 550 each. VAT @ 4% was charged additionally

<----------------------------------------------------------------------------->

11. Creating Sales Invoice with Multiple VAT Rates

Universal Traders sells the following lamps to Somi Telicomm on 19-6-09.

 

Sales Item

Quantity

Rate

VAT %

GE Lamp

10 Nos

150

12.5

Bajaj Lamp

5 Nos

150

4

You can use multiple ledgers pre-defined with a different VAT rate, or choose to select each rate at the time of voucher entry

<----------------------------------------------------------------------------->

12. Creating Sales Invoice using Voucher Class

On 20-6-09, Universal Traders sold 1 Surya lamp at Rs. 350 to Chahak Traders. The goods are taxable @ 4% VAT.
<----------------------------------------------------------------------------->

13. VAT Reports

In Tally.ERP 9, you can generate VAT Reports & statutory returns in prescribed format. In this lesson, we will discuss about the books of accounts, reports and registers related to VAT.

  • VAT Computation Report
  • VAT Returns
<----------------------------------------------------------------------------->

14. VAT Accounting for Return of Goods ( Debit / Credit Note )

In a business, customers may return goods due to numerous reasons such defectiveness, expired or short delivered and so on. Similarly, even the defective goods may also be returned to the vendors.

 

In this section, we will look into the entries of such transactions through Credit Notes and Debit Notes affecting VAT in Tally.ERP 9

<----------------------------------------------------------------------------->

15. Rate Difference in Purchase / Sales

In course of business, price variations may arise in respect of the prices of commodities due to inflation  or deflation in the market or competition, proper accounting of such transactions is essential for accurate computation of tax liability and outstanding receivables or payables from the customer / vendors respectively.

 

Debit/ Credit Notes can be used in case of changes in rates after the purchase and sales transac- tions
<----------------------------------------------------------------------------->

16. Inter-State Purchase

Inter-state Purchases attract Central Sales Tax (CST), which is not set-off against Output VAT on sales within the state or Output CST in inter-state sales. The CST paid is treated as a part of pro- curement cost.

 

 

Create the following purchase voucher for the Inter-state Purchase transaction

 

Date

Party

Item

Quantity

Rate

Tax

24-06-09

Saarthak  Enterprises

(Kerala)

Surya Lamps

50 Nos

200

CST 4%

 

<----------------------------------------------------------------------------->

17. Inter-State Sales

In the case of Inter-state Sales, Input VAT can be adjusted against Output CST. Place the Output

CST Ledger under the group – Duties & Taxes and classify as CST for auto-computation.

 

 

Create the following Sales voucher for the Inter-state Sales transaction

 

Date

Party

Item

Quantity

Rate

Tax

26-6-09

Business Automation

Surya Lamps

25 Nos

350

CST 4%

 

<----------------------------------------------------------------------------->

18. Exempted Purchase under VAT

Under the VAT Act, few commodities comprising of natural and unprocessed products, which are produced  in the unorganized sectors, and legally barred from taxation, are placed under the Exempted goods  list. Transactions for these items do not carry any VAT charge. The list of exempt goods vary from state to state.

Consider the following transaction of Universal Traders:

 

Date

Party

Books

Quantity

Rate

27-6-09

Anil Book Depot

World of Cutting Tools

World Book Encyclopedia

8 Nos

25 Nos

480

50

 

<----------------------------------------------------------------------------->

19. Exempted Sales under VAT

Consider the following sales transaction of Universal Traders

 

Date

Party

Books

Quantity

Rate

27-06-09

J.K. Associates

World of Cutting Tools

5 Nos

500

<----------------------------------------------------------------------------->

20. Purchase from Unregistered Dealer Under VAT

A dealer whose turnover is below a certain threshold can be called as an unregistered dealer. Unregistered dealers cannot issue a Tax Invoice required for claiming the Input Credit.

 

Thus, purchases from unregistered dealers, are not entitled for input credit and have to be recorded separately.

 

 Consider the following transaction:

 

On 29-6-09, Universal Traders purchased Surya Lamps, 10 nos. at Rs.150 each from an unregistered dealer Payal Travels
<----------------------------------------------------------------------------->

21. Claiming ITC on Capital Goods under VAT

Under VAT laws, the Input Tax Credit is allowed on capital goods from the date of its commercial production. The extent of credit is at the discretion of the Assessing Officer and is deferred over

12 months.

 

Consider the following transaction:

 

On 29-6-09, Universal Traders purchased a Laser marking machine at Rs. 15,00,000 + VAT @ 4% from Pandit Engineering. On 30-6-09 the Tax authorities allowed a tax credit of Rs. 30000 to be set-off in 12 monthly instalments.

<----------------------------------------------------------------------------->

22. Inter-State Branch Transfer

Inter-state Branch transfers do not attract any tax. The Input Credit on stocks transferred outside the state is allowed only to the manufacturers. However, to put stock transfers and inter-state trade broadly on the same competitive level, 4% of the Input Credit on stock transfer is disal- lowed.

Branch Transfer transactions can be both Transfer Inwards and Transfer Outwards. Tally.ERP 9 provides specific VAT classes for these transactions.

(A) Branch Transfer Outword

(B) Branch Transfer Inword

<----------------------------------------------------------------------------->

23. Practical EXERCISE !

Create a new company called Aman Motors, an Automobile dealer and also a manufacturer of Automobile Spare parts. Create the following masters and VAT related transactions:

<----------------------------------------------------------------------------->
 
 
EditRegion4
 
Tally.ERP9 Report
  1. Unit Objectives
  2. Modifying Reports (Options)
  3. Balance Sheet
  4. Profit & Loss Account
  5. Stock Summary
  6. Trial Balance
  7. Day Book
  8. Books of Accounts
  9. Statement of Accounts
  10. Inventory Books
  11. Statutory Reports
  12. List of Accounts ( Chart of Accounts)
  13. Exception Reports
  14. Printing Reports
Tally.ERP9 MIS and Other Reports
Q-Base [ F.A.Q.]
Question Base [F.A.Q.]- Centreal Sales Tax (CST) @ Tally.ERP 9
Question Base [F.A.Q.] on EXCISE for DEALER @ Tally.ERP 9
Question Base - EXCISE for MANUFACTURER @ Tally.ERP 9
Question Base [F.A.Q.]- 'JOB Costing' @ Tally.ERP 9
Question Base - PAY-ROLL @ Tally.ERP 9
Question Base [F.A.Q.]- Point Of Sale (POS) @ Tally.ERP 9
Question Base [F.A.Q.]- Service TAX @ Tally.ERP 9
Question Base [F.A.Q.]- Technology & Utility @ Tally.ERP 9
Question Base [F.A.Q.]- Value Added Tax (VAT) @ Tally.ERP9
 
Reports @ Tally.ERP 9
 
 
 
Company Information @ Tally.ERP9
 
Group & Ledger

Introduction
1. THE GROUP
2. THE LEDGER
3. VOUCHERS TYPES

Advanced Inventory / Stock
Meaning
Order Processing
Re-Order Levels
Tracking Numbers
Batch-wise Details
Additional Cost Details
Bill of Materials (BOM)
Price Lists and Price Levels
Stock Valuation
Zero Valued Entries
Inventory Ageing Report
Actual and Billed Quantities
Advanced Usage of Vouchers
Maintain Bill-wise Details
Cost Center and Cost Category
Interest Calculation
Reversing Journals
Post-Dated Voucher
Memo (Memorandum) Voucher
Optional Voucher
Using Tracking Number
Statutory & Taxation
Utilities & Others @ Tally.ERP9
Credit Limits
Knowledge Base @ Tally.ERP9
Stock Items
Stock Groups
Inventory Masters
Inventory Vouchers
Inventory Report Statements
Balance Sheet
Accounting Reports
Accounting Vouchers
Interest Calculation
VAT-Value Added Tax
Service Tax
TDS (Tax Deducted at Source)
Disclaimer

The names of Companies and persons used in this Website have been used for illustrative purposes only.
The visitors may visit www.tallysolutions.com , the web site of Tally Solutions Pvt. Ltd. for resolving their doubts or for clarifications

Trademark :

Tally, Tally 9, Tally9, Tally.ERP, Tally.ERP –9, Tally.Server 9, Tally.NET & Power of Simplicity are either registered trademarks or trademarks of Tally Solutions Pvt. Ltd. in India and/or other countries. All other trademarks are properties of their respective owners. This Website is not associated with any product or vendor mentioned in this Website.

------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
GETTINGS STARTED @ Tally.ERP 9
QUESTIONS BASE @ Tally.ERP 9
REPORT GENERATES @ Tally.ERP 9
TIPS & TRICKS @ Tally.ERP9 GST for Tally.ERP9
1 > Financial Statement Report 1 > Tips & Tricks @ Tally.ERP 9 1 >Introduction to GST ( IGST . CGST, SGST )
2 > Accounts Book & Register Report 2 > FAQ's @ Tally.ERP 9 2 >Calculation of GST ( IGST, CGST & SGST)
3 > Stock Register / Reports 3 > Short Cut Keys @ Tally.ERP 9 3 > GST on Tally.ERP 9 ( With Practical Assignment )
4 > Job Costing Reports 4 > Tips-Weekly Refresher @ Tally.ERP9 4 > Generate GSTR-1 Returns / Reports under Tally.ERP9
5 > Pay Roll Register Reports   5> Status Reconciliation (GSTR-1)
6 > Point of Sale Register Reports   6 > Challan Reconciliation Report for GST Payments
     
  8 > Excise - Manufacturer      
  9 > Technology / Utilities      
 
SWAYAM EDUCATION
Mandal Bagicha, Hemkapada,
Sunhat, Balasore-756002 ( Odisha )-India
eMail ID : tallyerp9bookorder@gmail.com
Web : www.tallyerp9book.com
Mob : 09853349238, 09437264738
Get Updated ...
Website Designed, Hosted, Owned by : www.BalasoreCity.Com