Lesson-40 How to take Abatement in Tally.ERP9

In this lesson we know about Rate Abatement in Tally.ERP9. Lots of Business take Rate Abatement Effect on Service Tax, Excise Duties etc. But 1st we know about rate abatement. A small definition of rate abatement as follows.

Abatement refers to a reprieve from or reduction in a debt, tax or other payment obligation faced by an individual or company. The most common form of abatement is tax abatement. Tax abatement is also an incentive utilized by cities to encourage the redevelopment of distressed areas by providing real property tax abatement and eminent domain. Another type of abatement is that related to the payment of rent. If a building is destroyed by fire, water damage or another accident, a renter is usually granted abatement from making rental payments. A lesser known form of abatement is penalty abatement, commonly associated with the Internal Revenue Service (IRS). Penalty abatement can help an individual or business reduce or eliminate an IRS penalty and/or interest. To request penalty abatement from the IRS, certain requirements must be met. For example, penalty abatement might be granted if a business or individual is able to prove reasonable cause as to why they were unable to meet their tax obligations.

Basically Rate Abatement is applicable on MRP Based Invoices, Abatement effect on only MRP Value & Excise Duty. So What is the calculation of rate abatement, here it is. Let example start with a excise invoice, 

A Mobile phone amount is Rs. 10200.00 but MRP Base rate is Rs. 9300. Total Quantity 250 Nos., So the formula is = MRP * 30% = AMOUNT - MRP (9300 * 30% = 2790, THEN 9300 - 2790 = 6510) 

I.E. Total Quantity * MRP After Abatement = (250 * 6510 = 1627500), Excise duty will applied on Rs. 1627500-00 + 2% Education Cess %, 1% Secondary Edu Cess + Output Vat / CST.

Total MRP Amount =             1627500-00

Excise Duty @ 12% =             195300-00

Education Cess @ 2% =            3906-00

Secondary Edu Cess @ 1% =   1954-00

Output Vat @ 12.5% =            343896-00  (Output VAT / CST is not effect on abatement)

Following videos shows you how to take abatement in Tally.erp9

Part - 1

Part-2

Lesson 39-Auto Bank Reconciliation

Auto Bank Reconciliation in Tally.ERP9 Release 3.61 onwards

For the benefit of business entities and users, Tally.ERP 9 has provided the facility of selecting the formats which include configurations and output file type for printing the cheques. Currently the formats of many banks with supporting file types - Excel, CSVand MT940 are made available. Depending on the formats pre-filled in the ledger master of the bank selected in payment/contra voucher and the output file types supported for it, the cheques can be printed. In Tally.ERP 9, Bank Reconciliation capability is enhanced to view, import the e-Bank Statements and to Auto Reconcile the transactions. For Auto Bank Reconciliation (importing Bank Statement), valid Tally.NET Subscription and Internet Connectivity are required for performing auto reconciliation.

To view, import and auto reconcile the e-banking transactions:

Go to Gateway of Tally > Banking > Bank Reconciliation > select the Bank > Bank Reconciliation Statement appears

For banks enabled with the feature of auto reconciliation in ledger master, the buttons:

·         B: Bank Statement and R: Reconcile Unlinked appear on the right side button bar.

·         D: Delete Unlinked button appears on the button bar above Info Panel.

Note:  The facility to Import and View Bank Statements will get enabled only for banks enabled with auto reconciliation feature in bank ledger creation / alteration mode.

Bank Statement

Bank Statement button with the facility to view and import is provided to meet the customers requirement. There could be cases where the user just want to view it and not import the statement directly or wants to view it before it is imported, mainly to confirm that it’s the same file that has to be imported.

Reconcile Unlinked

Once the transactions are imported and reconciled, if there are any entries appearing under the section Amount not reflected in Company Booksthe Reconcile Unlinked button needs to be used to reconcile it.

Delete Unlinked

Delete Unlinked button is provided to delete the unlinked vouchers.

View Bank Statement

Tally.ERP 9 makes it possible for the user to view the Excel, MT940 or .CSV files in a readable format, with an option of choosing to import or not to.

Click on B: Bank Statement button or press Alt+Bkey.

On pressing the button, the Bank Statement File screen displays the Directory which was specified as the Location of Bank Statements in F12: Configuration > Banking Configuration. Select the required file format in File Type field based on the format of bank statement being imported.

In File Name filed, a list of Excel fileswill get displayed. To view the Bank Statement which would be imported, click the button I: With View or press Alt+I.

Press F12: Configure. The option Show Imported Bank Statement will be displayed and set to Yesby default. Using this option, the bank statement which is already imported can be selected again for import. The files will be listed in alphabetical order with details of file type and import status (showing whether it is already imported or not).

The Bank Statement appears as shown:

·         Users can either import the statement using Import button or Quitthe Bank Statement screen by pressing Escape key or click on Ctrl+Q: Quit button (where the user is not intending to import the file).

Import Bank Statement

In the Bank Statement screen which is previewed press I: Import button. Users must ensure that the bank statements being imported haven’t been edited or altered in any way. If any changes are made, the error message - Not a valid format will be displayed while importing the statement.

During import, the Import progress bar gets displayed followed by the Success message with count ofTotal Entries in Bank Statement, transactions Reconciled and Additional Bank Entries.

The Bank Reconciliation Statement with Imported Bank Statement details appears as shown:

The Reconciliation found at the bottom of the screen shows:

o        Balance as per Company Books

o        Amounts not reflected in Bank

o        Amount not reflected in Company Books

o        Balance as per Bank

The Balance as per Company Books reflects the balance as on the last date (in the example, it is 30th April).

The Amounts not reflected in Bank are the debit and credit sums of all those vouchers, whose Bank Date is either BLANK, or LATER than 30-Apr (i.e. these vouchers have not yet been reflected in the bank statement).

The Amount not reflected in Company Books are entries which are present in the bank statement but are not recorded in company's books.

The Balance as per Bank is the net effect of the Book Balance offset by the amounts not reflected in the Bank – which must be equal to the balance in the bank statement.

Note: Some discrepancies may persist due to entries made in the bank statement, which may not have been entered in the books of accounts.

Auto Reconciliation of e-Banking Transactions

After Importing the file, the bank dates will get filled in BankDates field automatically in BankReconciliation screen.

However, there may be transactions which have been executed at the bank’s end (example, bank charges, interest credit etc.) but not yet reflected in the books of accounts. Such transactions will appear under the Amount Not Reflected in Company Books in BRS statement with the required details.

User can either Reconcile Unlinkedtransactions to existing transactionsor create a new voucher (to create vouchers click on C: Create Vouchers button or press Alt+C key) using this information or delete them.

Note: It is suggested to save the Bank Reconciliation before reconciling the Unlinked Transactions to avoid mistakes.

1. Reconcile Unlinked

In this example, there is a withdrawal of 2,500 on 23-4-2012 which is not reconciled. To reconcile the transaction select the transaction displayed under Amount Not Reflected in Company Books and click on R: Reconcile Unlinked button or press Alt+R.

Application will display the transaction(s) matching the Transaction amount for selection. Select the appropriate transaction using spacebar and press Enter. The Status will be displayed as Reconciled Successfully.

2. Create a New Voucher

If there are any transaction which is not reflected in books of accounts, click on C: Create Voucher button or press Alt+C key to navigate to VoucherCreation screen.

On recording the transaction against the Amount Not Reflected in Company Books, the details displayed will be removed from the Amount Not Reflected in Company Books section indicating that the corresponding entry is found in the books of accounts.

3. Error on re-importing the Excel/csv file

While selecting the bank statement for importing, the statement which is already imported will also appear. To hide the imported statement, click S: Hide Imported button. On using this button only the statement which is not yet imported gets displayed. The Hide Imported is a toggle button which can also be used to Show Importedstatements.

In cases where the user has already imported an Excel/csv fileand tries to re-import it by mistake, an error message will be displayed indicating that Bank Details are reflected in your books of accounts.

4. View Difference in Bank Balance

To view difference in Bank Balance click on F12: Configureand the option Show Difference in Bank Balance to Yes.

The difference in Bank Balance (difference in Balance as per Bankand Balance as per Imported Bank Statement) will be shown in Bank Reconciliation Statement. In the Bank Reconciliation screen, the Balance as per Imported Bank Statement refers to the balance displayed on importing the bank statement for reconciliation.

You can see the Balance as per Books & Balance as per Bank is same.

Lesson-38 Recycle Bin for Tally All Version

Now Computer is necessary for everyone like school, colleges, students, industries, shops etc. Everyone use computer or laptops & its typical error to create a bug/error or a virus in computer, because of this we lost our important files & sometimes by mistake we delete our important files, but many many thanks to Mr. Bill Gate for recycle bin option in Computer/Windows, where we found our delete files and restore them. 

Before some days i was attend a Tally.ERP9 seminar & know about another improved feature of Tally.ERP9, its recycle bin for Tally (7.2, 8.1, 9 & ERP9). It works like computer recycle bin, if you delete a voucher by mistake or its necessary to delete a voucher and after sometime you want to restore the voucher, then recycle bin option is works for maintain & restore your deleted voucher. But this time we thanks to Sweta Softwares, who invent this amazing feature. This is a free utility & you can download this from Click here. 

How to install this feature:

For Tally ERP 9 users. Open your Tally Installation folder, there is a file named Tally.ini. Open this file and find User TDS=Yes paste following codes after this line.

User TDL=Yes
tdl=c:\tally\rbin9-erp.tcp( address where you have placed this file)


For Tally 9 users
User TDL=Yes
tdl=c:\tally\rbin9v.tcp( address where you have placed this file)


For Tally 7.2 users
User TDL=Yes
tdl=c:\tally\rbin.tcp( address where you have placed this file)
Save the file and start Tally. You would see extra option of Recycle Bin.(shown in the picture )

After follow these steps a option will appear on Gateway of tally screen:

After this, when you delete any voucher in Tally; it is still available in the Recycle bin and you can restore it back; if required.or you can delete the same from recycle bin also by using Alt+D from the recycle bin also. Anytime, if you want to restore then go to recycle bin, open the voucher & press enter when it say to restore. Your voucher is shown in your accounts book again. This is free utility from Sweta Softwares

Lesson-37 How to Copy a ledger

Tally.ERP9 is the one of the best ERP Accounting software in the World. It improve its features day by day, every release has a new feature according to Indian Accounting Standards. Why I m telling about Indian Accounting Standards, because Tally.ERP9 is very successful software in India. I was post lots of tutorial on Tally.ERP9, but this time I talk with you about a great feature of Tally.ERP9, Today we know about a amazing feature of Tally.ERP9, a unique option in Tally is copy a ledger group, inventory, voucher type from a company to another company (with full details & configuration). However, A accountant maintain lots of companies in Tally.ERP9, some companies are group with each other, some are subsidiaries companies & some are holding companies. Some accounts (debtors, creditors, loans, banks, expenses, income etc.) are same in lots of companies. For Example, I maintain two company in Tally.ERP9.

1^st  is ABC Limited & 2^nd is XYZ Limited, & a party Goga International is dealing with both companies in same manner (it means Goga International Sales items from both companies, therefore Goga international is shows Creditor in both companies). 1^stwe create a ledger in ABC Limited named Goga International (see below picture).

Above image is show how to create a sundry creditor with advance entries, XYZ Limited has the same ledger with same configuration. So what you can do? You exit from ABC Limited, select XYZ Limited & then you go account info, ledger & create. Its too lengthy & time wasting option.

When you create above creditor in ABC Limited you must open XYZ Limited in your gateway of tally sidebar. (See below image).

After create ledger (Goga International), exit from ledger creation & select alter-> Goga International, Press F3 (This option shows you change the Company) select XYZ Limited & Press Ctrl + A or select yes when say to accept the ledger creation, exit Tally.ERP9 now (its not necessary to exit the program, but for safety reason make sure to exit), reopen the program & see both companies have same ledger with same configuration.  (See below image).

Lesson-36 How to Create POS Invoice

POS (Point of Sales) Invoice is generally used for make cash or credit sales. Customer pay the bill by cash or credit card & POS invoice show the details of Credit Card, cash, discount, or bank details in same invoice. Basically POS invoice are used in Malls & Mega Stores, when customer purchase a large quantity of goods they want discount on those goods, POS (Point of Sales) invoice show the gross amount before and after the discount. POS invoice also taxable and non taxable, so let we know how to make POS Invoice. 

To make POS invoice we must create a new voucher type, Gateway of Tally->Voucher Type->Create (see below image)

The payments against POS Invoices are generally made by way of Cash, Gift Vouchers, Cheques/Drafts or through Credit/Debit Cards.  To account for receipt of payments from customers by different modes, set the required option to Yes and select the required ledger in the respective fields.

1.      Set Yes in Gift Vouchers field to enable the option during POS Invoice Entry and select the Gift Vouchers under Ledger Namefield (if does not exist, create using Alt+C. The Gift Vouchers ledger should be created under Sundry Debtors group).

2.      Set Yes in Credit/Debit Card Payment field to enable the option during POS Invoice Entry and select the required Bank Ledger  under Ledger Name field

3.      Set Yes in Cheque/DDfield to enable the option during POS Invoice Entry and select the required Bank Ledger under Ledger Name field

4.      Set Yes in Cashfield to enable the option during POS Invoice Entry and select the required Cash Account under Ledger Name field

Note:

 For Gift Vouchers, the ledgers should be created under Sundry Debtors Group.

 For Credit/Debit Cards, the respective Bank Ledger should be created under Bank account or Bank OD/OCC.

 For Payment through Cheque/DD, the respective Bank Ledger should be created under the group Bank Accounts or Bank OD/OCC.

 For Cash, the Ledger should be under group Cash-in-Hand.

To create POS Voucher Type without Voucher Class

To enable POS Invoicing in Tally.ERP 9. create a POS Invoice Voucher Type. You may also alter an existing Sales voucher type for this feature to be enabled.

Go to Gateway of Tally > Accounts Info > Voucher Type > Create

Name: Enter the name of the Voucher type (for e.g.: POS Invoice).

Type of Voucher: Select the type of Voucher as Salesfrom the predefined Voucher Types.

Abbreviation: By default, Sales text will appear in the abbreviation field.  However, you can enter the abbreviation as per your requirements

Used for POS Invoicing?: On selecting the Sales voucher type from the list, Used for POS Invoicing? Option appears, set this option to Yes

Print Message 1 and Print Message 2: These two additional fields for messages appear on enabling the above POS feature, which can used for custom messages viz., *Thank You* or *Visit Again* and so on as per your requirements. The same will be printed at the bottom of the POS invoice.

Default Print Title: You can specify the printing title of the POS Invoice and the same will be printed in the Invoice.

Note:

1. Once Use POS for Invoicingoption is set to Yes in voucher type, you will not be entitled to set this field to No, if you have passed any POS Invoice.

2. To know about advanced configurations refer detailed information on Use Advance Configuration usage.

To create POS Voucher Type without Voucher Class

To enter a simple transaction using a POS Invoice with single payment mode:

Go to Gateway of Tally > Accounting Vouchers > Select F8: Sales

1.      Select the POS Invoice as the Voucher type from the list of Voucher types.

2.      Select the Godown, Sales Ledger and VAT/Tax Class as applicable.

3.      Select the Item using the Bar code reader to scan the bar code or select the Item from the list.

4.      The Rates of the Item is picked up from Set Standard Rates screen (Stock Item Creation screen) or from the Price List screen.

5.      Select VAT/Tax Ledger from the list of Ledger Accounts.

6.      By default for the first time, the POS Invoice screen will appear in Single Mode Payment.

The screen will appear as below with the Cash and Cash tendered fields:

7.      Accept to save.

Configurations in POS Invoice:

1.      Allow Party Details in POS Invoice: By setting this option to Yes, you are able to select the Customer’s Ledger.  If you do not want to create a separate Ledger for the Buyer and still would like to print the customer’s name in the Invoice print, select Not Applicable from the List of Ledger Accounts and specify the Buyer’s name and address details in the Buyer’s details.

2.      Skip Qty field during POS Invoicing (faster entry):  By default, the same will be set to Yesso that while passing the Invoice, the cursor will skip the Quantityfield.  The user may set this option to No, to specify the required number of quantity.

3.      Allow modification of Rate field during POS Invoicing:  The rates are automatically picked as per the Standard ratesdefined in the Stock Item master or from the Price List. However, you can change the rate during entry, by setting this option to Yes.

Creating a POS Invoice with Multi-Mode Payment

To create a POS Invoice with Multi Mode Payment, click on the Multi Mode Pymtbutton in the Button bar, to account for receipt of payments through other modes like Gift vouchers, Credit card/Debit Card  or by cheque/DD etc.

To enter POS Invoice with Multi Mode Payment:

Go to Gateway of Tally > Accounting Vouchers > Select F8: Sales  

1.      Select the POS Invoice as the Voucher type from the list of Voucher types.

2.      Select Multi Mode Pymt option from the Button Bar or press Ctrl+P.

3.      Select the Godown, Sales Ledger and VAT/Tax Class if applicable.

4.      Select the Item using the Bar code reader to scan the bar code or select the Item from the list.

5.      The Rates of the Item is picked up from Set Standard Rates screen (Stock Item master) or from the Price List screen.

6.      Select VAT/Tax Ledger from the list of Ledger Accounts.

7.    Allocate the Bill amount to the relevant modes of payment.

Select Yes & Save the voucher, also take printout of the voucher for Customer.

Lesson-35 Configure Multiple Address

The Multi Address feature in Tally.ERP 9 allows you to maintain multiple mailing details for your company and ledgers, i.e.

·  Create multiple addresses for your company and use them in your invoices and reports. For instance:

·  Print the required addresses of your Branches/Locations in your commercial invoices and reports.

· Print Head Office address along with the Branch/Godown/Registered Office address in your Rule 11 Invoice.

· Create a single ledger with multiple addresses along with their statutory taxation details. For instance, purchasing goods from a supplier having multiple locations. This will help in minimizing the creation of same party ledger for different branches in your company.

· Print multiple addresses in Payment / Receipt vouchers. For instance, company is maintaining centralized accounting system and the payment is received in the Branch Office. In this case, the address of Branch office is printed in the receipt voucher and recorded in/sent to Head Office.

Enabling Multi Address

To enable Multi Address in Tally.ERP 9:

·         Go to Gateway of Tally F11: Accounting Features.

·         Under Other Features set Maintain Multiple Mailing Details for Company & Ledgers to Yes.

To add multiple mailing details for your company:

·         Set the option Set/Alter Company Mailing Details to Yes as shown:

·         Press Enter.

·         The Address Type screen appears.

·         Type the name of the Branch/Location (E.g. Branch Office).

·         Press Enter.

Note: Primary under Address Type contains the Mailing Details provided in the Company Creation screen. You may also alter the primary mailing details from this screen.

·         The Mailing Details screen appears.

·         Enter the Mailing Name, Address, PIN Code, etc. in the respective fields provided.

The filled Mailing Details screen appears as shown:

·         Press Enter, the Address Type screen appears.

·         Similarly, type another Address Type name to create the Mailing Details.

·         Press Enter.

·      TheCompany Operations Alteration (F11 Features > Accounting Features) screen appears  as shown:

·         Accept to save the settings.

Use Multiple Addresses for Ledger Accounts

To create multiple addresses for a single ledger:

·         Go to Gateway of Tally > Accounts Info> Ledgers > Create.

·         The Ledger Creation screen appears.

·         Click F12: Configure button or press F12.

·         The Master Configurationscreen appears.

·         Under Ledger Configuration, set the option Use MULTIPLE Addresses to Yes, as shown:

·         Savethe settings.

Note: The option Use Multiple Addresses can also be enabled from Gateway of Tally> F12: Configure> Accts / Inventory Info.

·         Type the name of the Party in the Name field (E.g. Supplier A).

·         Select the groupfrom the list of groups (E.g. Sundry Creditors).

·         Set / Fill the other required fields.

·         Set the option Set/Alter Multiple Mailing Details to Yes.

·         Press Enter.

·         The Address Type screen for the ledger being created appears.

·         Type the name of the Party’s Location (E.g. Supplier A WH-1).

·         Press Enter.

·         The Mailing Details screen appears.

·         Enter the MailingName, Address, State, PIN Code, and the Statutory & Taxation Information in the respective fields provided.

The filled Mailing Detailsscreen appears as shown:

·         Press Enter, the Address Type screen appears.

·         Similarly, type another Address Type name to create the required Mailing Details.

·         Press Enter, the Ledger Creation screen appears.

·         Type the other required details and Save the ledger.

 

Use Multiple Addresses in Voucher / Invoice Entries

To opt for the required address type while passing transactions, follow the steps shown:

Example: Purchase Invoice.

·         Go to Gateway of Tally> Accounting Vouchers > F9(F9:Purchase)

·         The Accounting Voucher Creation screen appears.

·         Select the required Date, type the Supplier Invoice No. and Date.

·         Under Party A/c Name, select the Party (Supplier A) and press Enter.

·         The Supplier Detailsscreen appears, displaying the Primary mailing details.

·         In the Address Type field of Consignee, select the required address type of the Company (E.g. Branch Office) as shown:

·         Press Enter.

·     In the Address type field of Supplier, select the required address type of the Supplier (E.g. SupplierA-WH-1) as shown:

·         Press Enter.

Note: The Consigneedetails appear only when you have enabled the option Allow Separate Buyer and Consignee Names in F12: Configure.

·         The Supplier’s Detailsscreen after selecting the required Address Type appears as shown:

·         Complete the transaction and Save the invoice.

Note: Similarly, you can select the Customer ledger and choose the required Address Type in the Sales Invoice and other required voucher types.

Print Multiple Addresses in Reports

 

You can print the mailing details of the required branches/locations created for your company in all your reports in Tally.ERP 9.

Print Reports

Example: Balance Sheet

·         Go to Gateway of Tally > Display> Balance Sheet > Alt + P.

·         From the Print menu, click T: Titlingor press Alt + T.

·         The Control on Report Title screen appears.

·        Under Additional Information, go to Company Address to Print and select the required Address Types from the list as shown:

·         Press Enter.

·         Set the other required options and press Ctrl + A or Enter to go back to the Print menu.

·         Press Y or Enter to print the report.

·         The report will print the selected Company Address as shown:

Print Multiple Addresses in Vouchers and Invoices

Example: Receipt Voucher

To print the Receipt Voucher with the required address of your company:

·         Select the Receipt Voucher and click on Print button or press Alt + P.

·          The Voucher Printing screen appears, click T: Titling or press Alt + T.

·         The Control on Report Title screen appears

Under Additional Information, go to CompanyAddress to Printand select the required Address Type from the list as shown

·         Press Enter.

·         Set the other required options and press Ctrl + A or Enter to go back to the Print menu.

·         Press Y or Enter to print the report.

·         The voucher will print the selected Company Address as shown:

Note: Similarly, you can print the required address types for other vouchers and invoices.