VAT Computation : Creating VAT Masters in Tally ERP 9

VAT and CST masters in Tally ERP 9:

 

Example:

Let us see how to create VAT and CST Masters  of Chroma Electronics Pvt Ltd in Tally ERP 9.

Input VAT Ledger Head:

Input VAT is incurred during making purchase of Goods. Say VAT Rate is 5% on those goods.

  • Go to Gateway of Tally.
  • Go to Masters.
  • Go to Accounts Info.
  • Go to Legers.
  • Enter name “Input Vat @ 5%”
  • Select Group as “Duties and Taxes” .
  • Select Type of Duty as VAT
  • Select Sub-Type of Duty as Input VAT
  • Select Class as “Input Vat @ 5%”
  • Round Method “Normal Rounding” and Limit as “1”.
  • Accept the screen and Input VAT @ 5% Ledger head will be created.

M9U1IMG1

Output VAT Ledger Head:

Output VAT is incurred during making Sales of Goods. Say VAT Rate is 5% on those goods.

  • Go to Gateway of Tally.
  • Go to Masters.
  • Go to Accounts Info.
  • Go to Legers.
  • Enter name “Output Vat @ 5%”
  • Select Group as “Duties and Taxes” .
  • Select Type of Duty as VAT
  • Select Sub-Type of Duty as Output VAT
  • Select Class as “Output Vat @ 5%”
  • Round Method “Normal Rounding” and Limit as “1”.
  • Accept the screen and Output VAT @ 5% Ledger head will be created.

M9U1IMG2

Sales Ledger for VAT Sales :

VAT Rate is 5% on  goods we selling.

  • Go to Gateway of Tally.
  • Go to Masters.
  • Go to Accounts Info.
  • Go to Legers.
  • Enter name “Sales @ 5%”
  • Select Group as “Sales account” .
  • Select Option “Used in VAT Return” as “Yes”
  • Select Class as “Sales @ 5%”
  • Keep “Used to calculate Assessable Value” Option as “No”
  • Accept the screen and Sales @ 5%” Ledger head will be created.

M9U1IMG3

M9U1IMG4

 

Leave a Reply