Output VAT Ledger (Kenya)

Output VAT ledgers are required to account for VAT payable on sale of taxable Goods/Services.

Output VAT Ledger

To create an Output VAT Ledger,

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

• Enter the Name of the Output VAT ledger.

• Select Duties & Taxes as the group name in the Under field.

• Select VAT from the Type of Duty/Tax list in the field Type of Duty/Tax.

• In VAT Sub Type field select the appropriate VAT Sub Type - Output VAT (to account for  tax payable on sales). Depending on the VAT Sub Type selected, Tally.ERP 9 will display the VAT/Tax Class for selection in VAT/Tax Class field. For Example, if Output VAT is selected as VAT Sub Type, application will display only the Output VAT Classifications for selection in VAT/Tax Class field.

• In VAT/Tax Class field select the required VAT/Tax Class from the VAT/TAX Class list.

• The Percentage of Calculation and Method of Calculation is set as per the VAT/Tax Class selected.

• Accept the output VAT ledger.

Note: It is recommended that Output VAT Ledgers be created with appropriate VAT classifications for different rates of VAT.