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Zero Rated Interstate Purchases (VAT)

You can record interstate purchases of zero rated goods by selecting the nature of transaction Interstate Purchase – Zero Rated.

This nature of transaction is provided for Assam, Bihar, Chandigarh, Chhattisgarh, Dadra & Nagar Haveli and Daman & Diu, Delhi, Goa, Haryana, Himachal Pradesh, Jharkhand, Jammu & Kashmir, Ladakh, Kerala, Madhya Pradesh, Maharashtra, Odisha, Puducherry, Punjab, Rajasthan, Tamil Nadu, Uttarakhand, and Uttar Pradesh.

1. Gateway of Tally > Vouchers > press F9 (Purchase).
   Alternatively, press Alt+G (Go To) > Create Voucher > press F9 (Purchase).
2. Enter the Supplier Invoice No. and Date.
3. Select the party ledger in the field Party A/c name.
4. In the Party Details screen, set the option Is Against C Form to No. This option appears only when the State selected is other than the State selected in the Company VAT Details screen.
5. Select the purchase ledger grouped under Purchase Accounts with the Nature of transaction set to Interstate Purchase – Zero Rated by selecting the required Party Entity/Org. Type.
   As in other transactions, you can create the ledger on the fly by pressing Alt+C. Alternatively, press Alt+G (Go To) > Create Master > type or select Ledger > and press Enter.
6. Select the stock item. Enter the Quantity and Rate.
7. Set the option Provide VAT details to Yes. In the Statutory Details screen 
   • Select the Form to issue, and enter the other relevant details as shown below:
     
     

     Note: The options in the above screen appear based on the State selected in the Company VAT Details screen.

   • Press Enter to save and return to the purchase invoice. The purchase invoice appears as shown below:
     
8. Accept the screen. As always, you can press Ctrl+A to save.

The value of this transaction gets captured in the relevant fields of state-specific VAT/CST forms and annexures.