Tally Prime

Accounting Software
INVOICE
An invoice, bill or tab is a commercial document issued by a seller to a
buyer, relating to a sale transaction and indicating the products,
quantities, and agreed prices for products or services the seller had
provided the buyer. Payment terms are usually stated on the invoice.

VOUCHER
A voucher is a document that contains details of a financial
transaction and is required for recording the same into the books of
accounts. For every transaction, you can use the appropriate Tally
voucher to enter the details into the ledgers and update the financial
position of the company.

LEDGER
A ledger is a book or collection of accounts in which account
transactions are recorded. Each account has an opening or carry-
forward balance and would record transactions as either a debit or
credit in separate columns and the ending or closing balance.

GROUP
Group is a collection of ledgers of the same natures. Tally software
automatically create 28 groups which are used in the chart of account.
Out of 28 predefined groups in tally, 15 groups are primary groups and
13 groups are Sub-groups.

Stock Groups
Stock Groups in Inventory are similar to Groups in Accounting Masters.
They are helpful in the classification of Stock Items. ... Grouping
enables you to locate Stock Items easily and report their details in
statements.
Receipt Note
A Receipt Note voucher is used to record receipt of goods/items at
stores. ... In Tally when a Receipt Note is tagged to a Purchase entry
the whole transaction is completed. If Receipt Note is accounted but
the Purchase entry is not, it is treated as Goods Received but Bills are
not received.

Delivery Note
The Delivery Note Voucher is used for recording goods delivered to
a customer. To pass the Delivery Note voucher, Go to Gateway of
Tally > Inventory Vouchers. Press Alt+F8 or select the button F8: Dely
Note from the button bar.

Purchase order
A purchase order is placed by a business entity with a supplier for
the delivery of certain goods at a given price and time. Purchase
order processing has to be enabled in order to create a purchase
order. To enable purchase order processing. 1. Go to Gateway of Tally
> F11: Features > Inventory Features.

Sales order
A sales order is a document generated by the seller specifying the
details about the product or services ordered by the customer.
Along with the product and service details, sales order consists of
price, quantity, terms, and conditions etc.

Rejection Out
The Rejections out Voucher records goods that are rejected and
returned to a supplier. To view Rejections out Voucher: From F11:
Inventory Features, Enable the option Use Rejection Inward / outward
Notes. Go to Gateway of Tally > Inventory Vouchers.
Rejection In
A Rejection in Voucher is used to record goods that are rejected
and returned by the customer. To enter the Rejections in Voucher,
From F11: Inventory Features, Enable the option Use Rejection Inward
/ outward Notes. Go to Gateway of Tally > Inventory Vouchers. Press
Ctrl+F6

Budget
A budget is a plan prepared for the flow of funds in an
organization. It contains financial guidelines for the future plan of
action for a selected period of time. A budget helps to refine goals and
use funds efficiently. ... Multiple budgets can be created for specific
purposes in Tally. ERP 9.

Credit Limit
Credit Limit is the monetary limit up to which the buyer can
purchase from a selle r on credit. This limit is agreed upon mutually
by the seller and the buyer. Credit limits can be set for ledgers created
under the groups Sundry Debtors and Sundry Creditors.

Stock Transfer
Stock Transfer displays the list of all the Stock Journal Vouchers
used in Tally. ERP 9 to make stock adjustments. For example, to
record any increase or decrease in stock due to shortage, wastage of
stock or to record inter-godown transfers of stock, assembling or
disassembling.

Point of Sale
POS is an acronym for Point of Sale.... Point of Sale could mean a
retail shop, a check-out counter in a shop or any other location, where
a sales transaction takes place. The various POS equipment used in
retail outlets are Cash registers, card readers and barcode scanners.
Cash Flow
Cash Flow is the inflow and outflow of cash during an accounting
period. A cash flow statement concentrates on the transactions that
have a direct impact on cash. It deals with the inflow and outflow of
cash between two Balance Sheet dates. ... Go to Gateway of Tally >
Display > Cash/Funds Flow > Cash Flow.

Bank Reconciliation
Bank reconciliation statement is a report or statement prepared by
the business to match the bank transactions recorded in the
books of accounts with the bank statement The Cheque Printing
option in the Banking menu enables you to print the pending,
already printed or the required cheques continuously from a
single screen. You can also update the cheque details and have track
of cheques to be printed, of a selected or all banks.

Cash deposit slip

You can generate cash deposit slip for depositing cash into a bank on
any particular date. ... The Cash Deposit Slip option in the Banking
menu is used to generate cash deposit slips, bank-wise. The Cash
Deposit Slip provided in Tally.

This means that cash is moving across accounts. For example, cash
is moving from cashier to bank, that is cash account to bank account.
We call it cash deposit. Sometimes may be in reverse of this
transaction that is bank account to cash account, we call it cash
withdrawal.
 GST - Goods and Services Tax
GST is a multi-stage tax system which is comprehensive in
nature and applied on the sale of goods and services. The main
aim of this taxation system is to curb the cascading effect of other
Indirect taxes and it is applicable throughout India.

What is GST & how it works?

GST stands for Goods and Services Tax. It is an Indirect tax
which introduced to replacing a host of other Indirect taxes such
as value added tax, service tax, purchase tax, excise duty, and
so on. GST levied on the supply of certain goods and services in
India. It is one tax that is applicable all over India.

Given below is how GST works:

• Manufacturer: The manufacturer will have to pay GST on the raw
material that is purchased and the value that has been added to
make the product.
• Service Provider: Here, the service provider will have to pay GST
on the amount that is paid for the product and the value that has
been added to it. However, the tax that has been paid by the
manufacturer can be reduced from the overall GST that must be
paid.
• Retailer: The retailer will need to pay GST on the product that has
been purchased from the distributor as well as the margin that has
been added. However, the tax that has been paid by the retailer can
be reduced from the overall GST that must be paid.
• Consumer: GST must be paid on the product that has been
purchased.
 History of GST
On July 1st 2017, the Goods and Services Tax implemented in
India. But, the process of implementing the new tax regime
commenced a long time ago. In 2000, Atal Bihari Vajpayee, then
Prime Minister of India, set up a committee to draft the GST law.
In 2004, a task force concluded that the new tax structure should
put in place to enhance the tax regime at the time.
In 2006, Finance Minister proposed the introduction of GST from
1st April 2010 and in 2011 the Constitution Amendment Bill
passed to enable the introduction of the GST law. In 2012, the
Standing Committee started discussions about GST, and tabled
its report on GST a year later. In 2014, the new Finance Minister
at the time, Arun Jaitley, reintroduced the GST bill in Parliament
and passed the bill in Lok Sabha in 2015. Yet, the
implementation of the law delayed as it was not passed in Rajya
Sabha.
GST went live in 2016, and the amended model GST law passed
in both the house. The President of India also gave assent. In
2017 the passing of 4 supplementary GST Bills in Lok Sabha as
well as the approval of the same by the Cabinet. Rajya Sabha
then passed 4 supplementary GST Bills and the new tax regime
implemented on 1st July 2017.

Types of GST
The four different types of GST are given below:
1. Central Goods and Services Tax: CGST is charged on the intra
state supply of products and services.
2. Sta te Goods and Services Tax: SGST, like CGST, is charged on
the sale of products or services within a state.
3. Integrated Goods and Services Tax: IGST is charged on inter-
state transactions of products and services.
4. Union Territory Goods and Services Tax : UTGST is levied on the
supply of products and services in any of the Union Territories in the
country, viz. Andaman and Nicobar Islands, Daman and Diu, Dadra
and Nagar Haveli, Lakshadweep, and Chandigarh. UTGST is levied
along with CGST.

Who is Eligible for GST?

The below mentioned entities and individuals must register
for Goods and Services Tax:
• E-commerce aggregators
• Individuals who supply through e-commerce aggregators
• Individuals who pay tax as per the reverse change mechanism
• Agents of input service distributors and suppliers
• Non-Resident individuals who pay tax
• Businesses that have a turnover that is more than the
threshold limit
• Individuals who have registered before the GST law was
introduced

Know the GSTIN – GST Identification

Number
A 15-digit distinctive code that is provided to every taxpayer is
the GSTIN. The GSTIN will be p rovided based on the state you
live at and the PAN. Some of the main uses of GSTIN are
mentioned below:
• Loans can be availed with the help of the number.
• Refunds can be claimed with the GSTIN.
• The verification process is easy with the help of the GSTIN.
• Corrections can be made.