TABLE OF CONTENTS

1. Company Creation 22. Payment against outstanding

2. Creating Balance Sheet Created for the month
3. Creating Outstanding Bills 23. Trade Discount in Purchase Bill
4. Creating Opening Stock Balance 24. Trade Discount in Sale Bill
5. Fund Transfer within Company 25. Cash Discount in Purchase Bill
Cash-Bank 26. Cash Discount in Sale Bill
6. Payments 27. Goods Rejected to Supplier from
7. Receipts Godown
8. Credit Purchase 28. Goods Rejected to Supplier after
9. Credit Sales Bill is made
10. Adjustment Entries (Journal) 29. Goods Rejected by Customer
11. Purchase Order from Godown
12. Receipt Note 30. Goods Rejected by Customer
13. Purchase Bill against Receipt after Bill is made
Note 31. Purchase Bill with additional free
14. Payment of Oustanding Bills quantity
15. Sales Order 32. Sales Bill with additional free
16. Delivery of Goods to Customer quantity
with Challan 33. Interest on Purchase Bill due to
17. Sales Bill Agaist Delivery Challan delay
18. Receipt Against Sales Bill 34. Interest on Sale Bill due to delay
19. Cash Purchase Transactions 35. Interstate Sales (CST)
20. Cash Sales Transactions 36. VAT adjustment & VAT Payment
21. Create Outstanding for the
month
[01] Company Creation In Tally- ABC Pvt Ltd
 LIABILITIES ASSETS
GROUP LEDGER AMOUNT GROUP LEDGER AMOUNT
Capital Fixed Assets
Amit's capital Office
5,00,000.00 3,00,000.00
A\c Building
Rajendra's
5,00,000.00 Investments
capital A\c
Reserves Investment
75,000.00
& Surplus in NSC
Capital Investment
30,000.00 1,00,000.00
Reserve in Shares
General Stock In
20,000.00
Reserve Hand
Secured
Stock 1,15,000.00
Loans
Loan from
1,00,000.00 Deposits
HDFC
Deposits for
Unsecured
Rented 1,00,000.00
loan Office
Loan From Loans &
50,000.00
Rajendra Advances
Loan to
Provisions 50,000.00
Employee
Rent Payable 25,000.00
Telephone Bill Sundry
1,000.00
Payable Debtors
Sharma &
27,000.00
Sons
Sundry Cash in
Creditors Hand
Bajaj
46,000.00 Cash 75,000.00
Electricals
Surya
46,000.00 Petty Cash 5,000.00
Electricals
Philips
46,000.00 SBI A/c 5,21,000.00
Electricals

P/L A/c 4,000.00

13,68,000.00 13,68,000.00
[03] Outstanding Bills:

Debtor Outstanding Bills:

Sr Party Name No. Bill Name Bill Date Amount
1 Sharma & Sons 1 SS/01/12-13 02-03-2012 27,000.00

Creditor Outstanding Bills:

Sr Party Name No. Bill Name Bill Date Amount
1 Bajaj Electricals 1 BE/01/12-13 01-02-2012 23,000.00
2 BE/02/12-13 02-02-2012 23,000.00
2 Surya Electricals 3 SE/03/12-13 01-02-2012 46,000.00
3 Philips Electricals 4 PE/04/12-13 01-02-2012 46,000.00
[04] Opening Stock (Inventory) Details:
Stock In hand
Create following stock Group under Primary:
1) Bajaj 2) Surya 3) Philips
Create following stock Categories Under Primary:
1) 0 Watt Bulb 2) 40 Watt Bulb 3) 60 Watt Bulb 4) 100 Watt Bulb
Create following Units:
1) Type: Simple Symbol: Nos Formal Name: Numbers
2) Type: Simple Symbol: Pcs Formal Name: Pieces
3) Type: Compound Symbol: Bxs Formal Name: Boxes
Create following Godowns Under Primary:
1) Godown Name: Andheri
2) Godown Name: Borivali

Sr Stock Name Group Category Unit Qty Rate Amount Godown

1 0 Watt Bajaj Bulbs Bajaj 0 Watt Bulb Nos 500 10 5000 Borivali
2 40 Watt Bajaj Bulbs Bajaj 40 Watt Bulb Nos 500 11 5500 Borivali
3 60 Watt Bajaj Bulbs Bajaj 60 Watt Bulb Nos 500 12 6000 Borivali
4 100 Watt Bajaj Bulbs Bajaj 100 Watt Bulb Nos 500 13 6500 Borivali
5 0 Watt Surya Bulbs Surya 0 Watt Bulb Nos 1000 10 10000 Borivali
6 40 Watt Surya Bulbs Surya 40 Watt Bulb Nos 1000 11 11000 Borivali
7 60 Watt Surya Bulbs Surya 60 Watt Bulb Nos 1000 12 12000 Borivali
8 100 Watt Surya Bulbs Surya 100 Watt Bulb Nos 1000 13 13000 Borivali
9 0 Watt Philips Bulbs Philips 0 Watt Bulb Nos 1000 10 10000 Borivali
10 40 Watt Philips Bulbs Philips 40 Watt Bulb Nos 1000 11 11000 Borivali
11 60 Watt Philips Bulbs Philips 60 Watt Bulb Nos 1000 12 12000 Borivali
12 100 Watt Philips Bulbs Philips 100 Watt Bulb Nos 1000 13 13000 Borivali
115000
 Tally Voucher Entries:

[05] FUND TRANSFER – within Cash & Bank Ledger (Contra)

1) On 1st April transferred Rs 50,000/- from company’s SBI Account to Cash Account.
2) On 1st April transferred Rs 5,000/- from Cash A/c to Petty Cash A/c.

[06] Payment of Purchase Bills, Expenses, Advances etc.

1) On 1st April paid Rs 23,000/- to Bajaj Electricals against his old bill no. BE/01/12-13 dated 1st
Feb 2012 in previous accounting period.
2) On 1st April paid Rs 46,000/- to Surya Electricals against his old bill no. SE/03/12-13 dated 1st
Feb 2012.
3) On 1st April paid Rs 46,000/- to Philips Electricals against his old bill no. PE/04/12-13 dated 1st
Feb 2012.
4) On 2nd April paid Rs 23,000/- to Bajaj Electricals against his old bill no. BE/02/12-13 dated 2nd
Feb 2012.
5) On 1st April paid Rs 25,000/- as rent of previous month to Rajesh Agarwal for rented office.
6) On 2nd April paid Rs 1,000/- to MTNL against telephone bill for the month of March 2012.
7) On 2nd April Paid Rs 2,000/- as traveling expenses to Subodh Roy a sales person in company.
8) On 2nd April, paid Rs 1,000/- as advance traveling expenses to Anil Jain a marketing sales
person.

[07] Receipt Amount of Sales Bills, Incomes, Advances etc.

1) On 1st April received to Rs 27,000/- from Sharma & Sons against old bill SS/01/12-13 dated
2nd March 2012.
2) Received Rs 10,000/- from Mr. Jatin Shah as Rent against office premises shared with him.
3) On 1st April, NSC matured and received Rs 1,00,000/- and deposited in SBI Bank A/c.
4) On 1st April, interest received from SBI Rs 5,210/-.

[08] Purchase of Goods on Credit from Supplier

1) On 1st April, purchased from Bajaj Electricals following stock items:
1,000 nos. of 0 Watt Bajaj Bulb @ Rs 10/nos.;
1,000 nos. of 40 Watt Bajaj Bulbs @ Rs 11/ nos.;
 1,000 nos. of 60 Watt Bajaj Bulbs @ Rs 12/ nos.;
1,000 nos. of 100 Watt Bajaj Bulbs @ Rs 13/ nos.
input Vat applicable @ 4%. Credit days -30 day.
2) On 2nd April, purchased from Philips Electricals following stock items:
1,000 nos. of 0 Watt Philips Bulbs @ 10 / nos;
1,000 nos. of 40 Watt Philips Bulbs @ 11 / nos;
1,000 nos. of 60 Watt Philips Bulbs @ 12 / nos;
1,000 nos of 100 Watt Philips Bulbs @ Rs 13 / nos.
Input Vat applicable @ 4%. Credit days for payment – 30 Days.

[09] Sales of Goods on Credit to Customer

1) On 1st April, sold to Sharma & Sons following stock items:
1,000 nos. of 0 Watt Surya Bulbs @ Rs 12 / nos;
1,000 nos of 40 Watt Surya Bulbs @ Rs 13 / nos;
1,000 nos of 60 Watt Surya Bulbs @ Rs 14 / nos;
1,000 nos of 100 watt Surya Bulbs @ Rs 15 / nos.
Output Vat applicable @ 4%. Credit days for payment – 30 days.

[10] Adjustment Transactions (Journal Voucher)

1) On 30th April, Book the following outstanding expenses for the month of April which is
payable in May :
Salary Payable  Rs 30,000; Rent Payable Rs. 25,000; Telephone Bill Payable Rs 5,000;
Electricity Bill Payable – Rs 7,000.
2) On 10th April made payment of outstanding Salary Payable, Rent Payable, Telephone Bill
Payable, Electricity Bill Payable.

[11] Purchase Order:

1) On 1st May gave Purchase Order to Bajaj Electricals for the following stock items:
1,000 nos. of 0 Watt Bajaj Bulbs @ Rs 10 /- nos;
1,000 nos. of 40 Watt Bajaj Bulbs @ Rs 11/- nos;
1,000 nos. of 60 Watt Bajaj Bulbs @ Rs 12/- nos;
1,000 nos. of 100 Watt Bajaj Bulbs @ Rs 13/- nos;
Order No. PO/BE/01.
2) On 1st May gave Purchase Order to Surya Electricals for the following stock items:
1,000 nos. of 0 Watt Surya Bulbs @ Rs 10 /- nos;
1,000 nos. of 40 Watt Surya Bulbs @ Rs 11/- nos;
1,000 nos. of 60 Watt Surya Bulbs @ Rs 12/- nos;
1,000 nos. of 100 Watt Surya Bulbs @ Rs 13/- nos;
Order No. PO/SE/01.
3) On 1st May gave Purchase Order to Philips Electricals for the following stock items:
1,000 nos. of 0 Watt Philips Bulbs @ Rs 10 /- nos;
 1,000 nos. of 40 Watt Philips Bulbs @ Rs 11/- nos;
1,000 nos. of 60 Watt Philips Bulbs @ Rs 12/- nos;
1,000 nos. of 100 Watt Philips Bulbs @ Rs 13/- nos;
Order No. PO/PE/01.

[12] Goods Receipt Note:

1) On 2nd May received goods ordered to Bajaj Electricals with Challan no. CH/001.
2) On 2nd May received goods ordered to Surya Electricals with Challan no. CH/002.
3) On 2nd May received goods ordered to Philips Electricals with Challan no. CH/003.

[13] Purchase Bills for Challans:

1) On 3rd May made Purchase Bill against challan no. CH/001. Bill No. PUR/BE/003. VAT
Applicable @ 4%.
2) On 3rd May made Purchase Bill against Challan no. CH/002. Bill No. PUR/SE/004. VAT
Applicable @ 4%.
3) On 3rd May made Purchase Bill against Challan No. CH/003. Bill No. PUR/PE/005. VAT
Applicable @ 4%.

[14] Payments for Outstanding Bill:

1) Made payment against Bill no. PUR/BE/003 on 4th May.
2) Made Payment against Bill No. PUR/SE/004 on 4th May.
3) Made Payment against Bill No. PUR/PE/005 on 5th May.

[15] Sales Order:

1) On 1st May received Sales Order from Sharma & Sons for the following stock items:
1,000 nos. of 0 Watt Bajaj Bulbs @ Rs 10 /- nos;
1,000 nos. of 40 Watt Bajaj Bulbs @ Rs 11/- nos;
1,000 nos. of 60 Watt Bajaj Bulbs @ Rs 12/- nos;
1,000 nos. of 100 Watt Bajaj Bulbs @ Rs 13/- nos;
Order No. SO/SS/VoucherNo/12-13.
2) On 1st May received Sales Order from Iyer & Co. for the following stock items:
1,000 nos. of 0 Watt Surya Bulbs @ Rs 10 /- nos;
1,000 nos. of 40 Watt Surya Bulbs @ Rs 11/- nos;
1,000 nos. of 60 Watt Surya Bulbs @ Rs 12/- nos;
1,000 nos. of 100 Watt Surya Bulbs @ Rs 13/- nos;
Order No. SO/IC/VoucherNo/12-13.
3) On 1st May received Sales Order from Shah & Nair Ltd. for the following stock items:
1,000 nos. of 0 Watt Philips Bulbs @ Rs 10 /- nos;
1,000 nos. of 40 Watt Philips Bulbs @ Rs 11/- nos;
1,000 nos. of 60 Watt Philips Bulbs @ Rs 12/- nos;
 1,000 nos. of 100 Watt Philips Bulbs @ Rs 13/- nos;
Order No. SO/SN/VoucherNo/12-13.

[16] Delivery Note (Delivery Challan):

1) On 2nd May delivered goods to Sharma & Sons against his sales order no.
SO/SS/VoucherNo/12-13. Challan No.: DN/SS/VoucherNo/12-13
2) On 2nd May delivered goods to Iyer & Co. against his sales order no. SO/IC/VoucherNo/12-
13. Challan No: DN/IC/VoucherNo/12-13.
3) On 2nd May delivered goods to Shah & Nair Ltd. Against his sales order no. SO/SN/03.
Challan No: DN/SNL/VoucherNo/12-13.

[17] Sales Bill against Delivery Note (Challan):

1) On 3rd May made sales Bill against delivery Challan no. SO/SS/01. Bill No. SB/SS/03.
Output VAT Applicable @ 4%.
2) On 3rd May made sales Bill against delivery challan no. SO/IC/02. Bill No. SB/IC/04.
Output VAT Applicable @ 4%.
3) On 3rd May made sales Bill against delivery challan no. SO/SN/VoucherNo/12-13. Bill
No. SB/SN/05. Output VAT Applicable @ 4%.

[18] Receipt against Sales Bills:

1) On 4th May received due amount from Sharma & Sons against sales Bill no. SB/SS/03.
2) On 4th May received due amount from Iyer & Co. against sales Bill no. SB/IC/04.
3) On 4th May received due amount from Shah & Nair Ltd. Against sales Bill no. SB/SN/05.

[19] Cash Purchase:

1) On 5th May Purchased 100 nos of 0 Watt Bajaj Bulbs @ Rs 10/- from Bajaj Electricals in
cash. VAT Applicable @ 4%.
2) On 5th May Purchased 100 nos. of 0 Watt Surya Bulbs @ Rs. 10/- from Surya Electricals
in cash. VAT Applicable @ 4%.
3) On 5th May Purchased 100 nos of 0 Watt Philips Bulbs @ Rs. 10/- from Philips Electricals
in cash. VAT Applicable @ 4%.

[20] Cash Sales:

1) On 6th May Sold 100 nos of 0 Watt Bajaj Bulbs @ Rs 12/- to Sharma & Sons in cash. VAT
Applicable @ 4%.
2) On 6th May Sold 100 nos. of 0 Watt Surya Bulbs @ Rs. 12/- to Iyer & Co in cash. VAT
Applicable @ 4%.
3) On 6th May Sold 100 nos of 0 Watt Philips Bulbs @ Rs. 12/- to Shah & Nair Ltd. In cash. VAT
Applicable @ 4%.

[21] Create outstanding Payables for the month of May-2012:

 1) On 31st May, Book the following outstanding expenses for the month of April which is
payable in May :
Salary Payable  Rs 40,000; Rent Payable Rs. 25,000; Telephone Bill Payable Rs 6,000;
Electricity Bill Payable – Rs 8,000.

[22] Make Payment of Outstanding for May-2012:

2) On 1st June make payment to:
Salary Payable  Rs 40,000; Rent Payable Rs. 25,000; Telephone Bill Payable Rs 6,000;
Electricity Bill Payable – Rs 8,000.

[23] Trade Discount in Purchase:

Activate discount column in purchase & Sales Voucher.

1) Purchased following stock item on 1st June from Bajaj Electricals with 2% trade discount:
1,000 nos. of 0 Watt Bajaj Bulbs @ Rs 10 /- nos;
1,000 nos. of 40 Watt Bajaj Bulbs @ Rs 11/- nos;
1,000 nos. of 60 Watt Bajaj Bulbs @ Rs 12/- nos;
1,000 nos. of 100 Watt Bajaj Bulbs @ Rs 13/- nos;
Input VAT Applicable @ 4%.
Bill No.: SB/BE/VoucherNo/12-13.

[24] Trade Discount in Sale:

Activate discount column in purchase & Sales Voucher.

1) Sold following stock item on 1st June to Sharma & Sons with 2% trade discount:
500 nos. of 0 Watt Bajaj Bulbs @ Rs 12 /- nos;
500 nos. of 40 Watt Bajaj Bulbs @ Rs 13/- nos;
500 nos. of 60 Watt Bajaj Bulbs @ Rs 14/- nos;
500 nos. of 100 Watt Bajaj Bulbs @ Rs 15/- nos;
Output VAT Applicable @ 4%.
Bill no.: SB/SS/VoucherNo/12-13.

[25] Cash Discount Received from Supplier

1) On 1st Jun Purchased following stock from Bajaj Electricals:
0 Watt Bajaj Bulb @ Rs 10 X 1000 nos;
40 Watt Bajaj Bulb@ Rs 11 X 1000 nos;
60 Watt Bajaj Bulbs @ Rs 12 X 1000 nos;
100 Watt Bajaj Bulbs @ Rs 13 X 1000 nos;
Input VAT applicable @ 4%.
Transport Charges Rs 1,000/-.
 Bill Credit days – 30 days from the date of purchase.
Bill No. PR/BE/Voucher No./12-13
2) On 15th Jun Bajaj Electricals offered 5% cash discount if outstanding payable to him paid
before 15 days. Offer accepted and after deducting 5% on Bill balance paid to him.
Note: To reduce amount payable to Bajaj Electricals use Debit Note Voucher and debit him
with 5% amount and credit Discount Received (Indirect Income) ledger. Debit Note & Credit
Note can be activated by Pressing F11: Feature and F1: Accounting Features;
Use Debit/Credit Notes? Yes
Use Invoice mode for Debit Note & Credit Note? Yes

[26] Cash Discount Allowed to Customer

1. On 1st Jun Sold following stock to Sharma & Sons:
0 Watt Bajaj Bulb @ Rs 12 X 1000 nos;
40 Watt Bajaj Bulb@ Rs 13 X 1000 nos;
60 Watt Bajaj Bulbs @ Rs 14 X 1000 nos;
100 Watt Bajaj Bulbs @ Rs 15 X 1000 nos;
Output VAT applicable @ 4%.
Transport Charges Paid (Indirect Expenses) Rs 1,000/-.
Credit Days- 30 days.
Sales Bill No: SB/SS/Voucher no/12-13.
2. On 15th Jun we offered 6% cash discount to Sharma & Sons if he is ready to pay the bill
amount before 15 June. He accepted the offer. After giving discount to him on bill received
balance amount of bill on 15th Jun.
Note: To reduce amount receivable from Sharma & sons use Credit Note Voucher and
credit him with 6% amount and debit Discount Allowed(Indirect Expenses) ledger. Debit
Note & Credit Note can be activated by Pressing F11: Feature and F1: Accounting Features;
Use Debit/Credit Notes? Yes
Use Invoice mode for Debit Note & Credit Note? Yes

[27] Goods Rejected to Supplier before Bill is made

1. On 1st Jul gave purchase order to Philips Electricals for the following stocks:
0 Watt Philips Bulbs – 1000 nos @ Rs 11/-;
40 Watt Philips Bulbs – 1000 nos @ Rs 12/-;
60 Watt Philips Bulbs – 1000 nos @ Rs 13/-;
100 Watt Philips Bulbs – 1000 nos @ Rs 14;
Order No.:- PO/PE/Voucher Number/12-13.
2. On 2nd Jul received goods from Philips Electricals against Purchase order number
PO/PE/Voucher No./12-13. Challan No. RN/PE/Voucher No/12-13.
3. On 3rd Jul found following stock damaged against Challan No. RN/PE/Voucher No./12-13 and
returned to its supplier Philips Electricals.
0 Watt Philips Bulbs – 100 nos @ Rs 11/-;
40 Watt Philips Bulbs – 100 nos @ Rs 12/-;
 60 Watt Philips Bulbs – 100 nos @ Rs 13/-;
100 Watt Philips Bulbs – 100 nos @ Rs 14;
4. On 4th Jul purchase bill is made against challan no. RN/PE/Voucher No./12-13 after
deducting damaged goods. Bill No. PR/PE/Voucher No./12-13.
Input VAT applicable @ 4%.

[28] Goods Rejected to Supplier after Bill is made

5. On 5th Jul found following stock faulty after the bill is made. Bill No. PR/PE/Voucher No./12-
13.
0 Watt Philips Bulbs – 100 nos @ Rs 11/-;
40 Watt Philips Bulbs – 100 nos @ Rs 12/-;
60 Watt Philips Bulbs – 100 nos @ Rs 13/-;
100 Watt Philips Bulbs – 100 nos @ Rs 14;
Now faulty goods are returned to Philips Electricals. Use Debit Note in invoice mode. Also
deduct Input VAT @ 4% as billed in purchase voucher.
6. On 6th Jul paid outstanding on purchase bill no. PR/PE/Voucher No./12-13 payable to Phillips
Electricals after deduction of faulty goods.

[29] Goods Rejected by Customer before Bill is made

1. On 1st Jul received Sales order from Shah & Nair Ltd for the following stocks:
0 Watt Philips Bulbs – 1000 nos @ Rs 12/-;
40 Watt Philips Bulbs – 1000 nos @ Rs 13/-;
60 Watt Philips Bulbs – 1000 nos @ Rs 14/-;
100 Watt Philips Bulbs – 1000 nos @ Rs 15;
Order No.:- SO/SNL/Voucher Number/12-13.
2. On 2nd Jul delivered goods to Shah & Nair Ltd against Sales Order number SO/SNL/Voucher
No./12-13. Challan No. DN/SNL/Voucher No/12-13.
3. On 3rd Jul Shah & Nair Ltd found following stock damaged against Challan No.
DN/SNL/Voucher No./12-13 and returned back.
0 Watt Philips Bulbs – 100 nos @ Rs 12/-;
40 Watt Philips Bulbs – 100 nos @ Rs 13/-;
60 Watt Philips Bulbs – 100 nos @ Rs 14/-;
100 Watt Philips Bulbs – 100 nos @ Rs 15;
4. On 4th Jul Sales Bill is made against challan no. DN/SNL/Voucher No./12-13 after deducting
damaged goods. Bill No. SB/SNL/Voucher No./12-13.
Output VAT applicable @ 4%.

[30] Goods Rejected by Customer after Bill is made

5. On 5th Jul found following stock faulty after the bill is made. Bill No. SB/SNL/Voucher No./12-
13.
0 Watt Philips Bulbs – 100 nos @ Rs 12/-;
 40 Watt Philips Bulbs – 100 nos @ Rs 13/-;
60 Watt Philips Bulbs – 100 nos @ Rs 14/-;
100 Watt Philips Bulbs – 100 nos @ Rs 15;
Now faulty goods are returned back by Shah & Nair Ltd. Use Credit Note in invoice mode.
Also deduct Output VAT @ 4% as billed in Sales voucher.
6. On 6th Jul received outstanding on Sales bill no. SB/SNL/Voucher No/12-13 receivable from
Shah & Nair Ltd after deduction of faulty goods.

[31] Purchase Bills for Actual & Billed Quantity

Settings: F11: Features  F2: Inventory Features
change the following setting to “Yes”.

Use different Actual and Billed Qty? “Yes”.

1. On 1st August Purchased following stock from Surya Electricals and received additional
quantity of 10 nos free on purchase of each 2,000 nos of quantity.
0 Watt Surya Bulbs @ Rs. 11/- X 2000 nos + additional 10 nos free;
40 Watt Surya Bulbs @ Rs 12/- X 2000 nos + additional 10 nos free;
60 Watt Surya Bulbs @ Rs 13/- X 2000 nos + additional 10 nos free;
100 Watt Surya Bulbs @ Rs 14/- X 2000 nos + additional 10 nos free;
Input VAT applicable @ 4%.
Bill No.: PB/SE/Voucher No/12-13.
2. On 2nd Aug made payment against purchase bill no. PB/SE/Voucher No/12-13 to Surya
Electricals.

[32] Sales Bills for Actual & Billed Quantity

1. On 1st August sold following stock to Iyer & Co. and gave additional quantity of 10 nos free
on Sale of each 2,000 nos of quantity.
0 Watt Surya Bulbs @ Rs. 12/- X 2000 nos + additional 10 nos free;
40 Watt Surya Bulbs @ Rs 13/- X 2000 nos + additional 10 nos free;
60 Watt Surya Bulbs @ Rs 14/- X 2000 nos + additional 10 nos free;
100 Watt Surya Bulbs @ Rs 15/- X 2000 nos + additional 10 nos free;
Output VAT applicable @ 4%.
Bill No.: SB/IC/Voucher No/12-13
2. On 2nd Aug received cheque against sales bill no. SB/IC/Voucher No/12-13 from Iyer & Co.

[33] Interest Charged by Supplier after Credit Days are over

1. On 1st September Purchased following stock from Philips Electricals:
0 Watt Philips Bulbs @ Rs 11/- X 1000 nos;
40 Watt Philips Bulbs @ Rs 12/- X 1000 nos;
60 Watt Philips Bulbs @ Rs 13/- X 1000 nos;
100 Watt Philips Bulbs @ Rs 14/- X 1000 nos;
 Input VAT Applicable @ 4%.
Credit Days: 7 Days.
Purchase Bill No:- PB/PE/Voucher No/12-13.
After Credit Days 10% per month interest is charged.
2. We received Debit Note from Philips Electricals on 1st October mentioning 10% interest
charged on Bill for delay in payment of bill amount. We passed Credit Note for interest
charged by Philips Electricals against his bill PB/PE/Voucher No/12-13. Interest Paid (under
group indirect expenses) created for debiting interest expenses.
3. On 1st October we paid full amount of bill along with interest amount to Philips Electricals
against his bill no. PB/PE/Voucher No/12-13.

[34] Interest Charged to Customer after Credit Days

Activate Interest Calculation on Customer in his Ledger after activating interest calculation feature
from F11: Features  F1: Accounting Features.
Activate Interest Calculation? “Yes”
Use Advance Parameters? “Yes”

1. On 1st September Sold following stock to Shah & Nair Ltd:

0 Watt Philips Bulbs @ Rs 13/- X 1000 nos;
40 Watt Philips Bulbs @ Rs 14/- X 1000 nos;
60 Watt Philips Bulbs @ Rs 15/- X 1000 nos;
100 Watt Philips Bulbs @ Rs 16/- X 1000 nos;
Output VAT Applicable @ 4%.
Credit Days: 7 Days.
Sales Bill No:- SB/SNL/Voucher No/12-13.
After Credit Days 10% per month interest is charged.
2. On 1st October we sent Debit Note to Shah & Nair Ltd against his bill no. SB/SNL/Voucher
No/12-13, mentioning 10% interest charged on Bill for delay in payment of bill amount.
3. On 1st October we received full amount of bill along with interest amount from Shah & Nair
Ltd against his bill no. SB/SNL/Voucher No/12-13.

[35] Interstate Sales:

1. On 30th September sold following stock to an interstate customer Gomes Engineering the
following stock:
0 Watt Bajaj Bulb X 1000 Nos. @ Rs 13/-;
40 Watt Bajaj Bulb X 1000 Nos. @ Rs 14/-;
60 Watt Bajaj Bulbs X 1000 Nos. @ Rs 15/-;
100 Watt Bajaj Bulbs X 1000 Nos. @ Rs 16/-;
Additional 3% CST charged on bill Amount.
2. On same day received sales Bill amount from Gomes Engineering by Cheque.

[36] VAT Adjustment and Payment

1. Do the following steps :

NOTE DOWN FOLLOWING:-

Gateway of Tally  Display  Statutory Reports VAT Reports  VAT Computation
Note Down input and output VAT amount along with their assessable value and also VAT
amount Payable to or Refundable from government.

CREATE VAT ADJUSTMENT CLASS:-

From Account Info  Voucher Type  Alter; create a voucher Class with name “VAT
Adjustment”.

PASS VAT ADJUTMENT ENTRY:-

Under Journal voucher with “VAT Adjustment” class selected Debit Output VAT with noted
down amount and Credit Input VAT with noted down value and pass the balance to VAT
payable or Refundable under as the case may be. VAT Payable is Current Liability while VAT
Refundable is Current Asset.