https://help.tallysolutions.com/docs/te9rel66/Tax_India/gst/faq-jnk-ladakh.htm

FAQ - Transactions in Tally.ERP 9 for Jammu & Kashmir and Ladakh

This topic has a few FAQ on using Tally.ERP 9 for recording transactions of companies located in Jammu & Kashmir and Ladakh.

1. I had placed an order with my supplier on 31-Dec-2019, but the goods were delivered on 1-Jan-2020. How do I record this transaction?

2. I have recorded sales prior to 1-Jan-2020, against which sales returns have happened from 1-Jan-2020. Should I charge State Tax (considering it as Jammu & Kashmir) or UT Tax (for Ladakh)?

3. I have received an advance in Dec 2019 with SGST and CGST. As CGST and UTGST are applicable from Jan 2020, how to account for sales and debit notes against this advance receipt in Jan 2020?

4. I have raised an order prior to 1-Jan-2020 for a party located in Jammu & Kashmir, and charged CGST and SGST. The party now belongs to Ladakh, and the invoice is raised against the order after 1-Jan-2020. Why is the party's State and GSTIN not getting updated based on the date, as I need to charge IGST on this transaction?

5. How do I transfer State Tax amount from Jammu & Kashmir to UT Tax amount for Ladakh?

6. In case of e-Way Bill, will the functionality supported for other States hold good for Ladakh? Also, will the rules provided in the e-Way Bill portal apply for Ladakh?

7. Consider the scenario where the company’s State is changed from Jammu & Kashmir to Ladakh. On or after 1-Jan-2020, a sales invoice is recorded with CGST, UT Tax, Cess ledgers, SGST/IGST ledgers, and value is manually entered for SGST/IGST ledger. Where will this transaction appear in GST reports?

1.

I had placed an order with my supplier on 31-Dec-2019, but the goods were delivered on 1-Jan-2020. How do I record this transaction?

Currently, the assumption is to consider the date on which the goods have been delivered. As per this assumption, if you have recorded the voucher for intra-state transaction on 1-Jan-2020:

The new GSTIN/UIN defined for the State of Jammu & Kashmir and Ladakh will appear in the respective fields of the invoice.

CGST and SGST will be calculated for the State of Jammu & Kashmir.

CGST and UT Tax will be calculated for the State of Ladakh.

2.

I have recorded sales prior to 1-Jan-2020, against which sales returns have happened from 1-Jan-2020. Should I charge State Tax (considering it as Jammu & Kashmir) or UT Tax (for Ladakh)?

As there is no rule available on this, it is assumed to be taxable as per the tax type applicable on the date of sales returns. Based on this assumption, the tax will be calculated as per the applicability of State tax or UT tax on the date of sales returns.

3.

I have received an advance in Dec 2019 with SGST and CGST. As CGST and UTGST are applicable from Jan 2020, how to account for sales and debit notes against this advance receipt in Jan 2020?

When advance receipts were recorded in Dec 2019, SGST and CGST were applicable. From 1-Jan-2020, when sales or debit notes are recorded against these advance receipts, UTGST and CGST would be applicable. Hence, when you record sales or debit notes on or after 1-Jan-2020 with CGST and UTGST, the transaction will appear as Mismatch in Advance in the Sales against advance from previous periods report of GSTR-1 and GSTR-3B.

The scenarios of advance receipts (of Dec 2019), and our recommendations (for sales and debit notes made against it in Jan 2020), are given below:

Scenarios

Recommendations

Sales against advance receipt

You can use any of the following methods:

Method 1: You can Reverse the advance receipt transaction in the month of December in the books maintained for ‘Jammu & Kashmir’. Then record advance receipt and sales in the books maintained for Ladakh.

Method 2: Record the sales and advance receipt in Dec 2019 with SGST and CGST, for it to appear in the books of Jammu & Kashmir.

Method 3: Record sales and advance receipt in Jan 2020 with UTGST and CGST.

Debit note against complete value of advance receipt

Record a debit note against the advance receipt in Dec 2019 to reverse the transaction in the books of Jammu and Kashmir. Then record advance receipt and debit note in Jan 2020 in the books of Ladakh.

Debit note against partial value of advance receipt

Record a debit note against the entire advance receipt by 31-Dec-2019. Then on or after 1-Jan-2020, record the advance receipt and debit note transaction in the books of ‘Ladakh’.

4.

I have raised an order prior to 1-Jan-2020 for a party located in Jammu & Kashmir, and charged CGST and SGST. The party now belongs to Ladakh, and the invoice is raised against the order after 1-Jan-2020. Why is the party's State and GSTIN not getting updated based on the date, as I need to charge IGST on this transaction?

When you select an order number in the invoice, only the order details will be pre-filled. The required changes have to be manually done in the invoice.

Note: Similarly, when you duplicate an invoice, you need to manually change the details in the duplicated invoice.

5.

How do I transfer State Tax amount from Jammu & Kashmir to UT Tax amount for Ladakh?

Refer to the topic Transfer Tax Credit of SGST to UTGST for Ladakh to transfer the SGST credit to UTGST account.

6.

In case of e-Way Bill, will the functionality supported for other States hold good for Ladakh? Also, will the rules provided in the e-Way Bill portal apply for Ladakh?

Currently you can use the e-Way Bill feature provided in Tally.ERP 9. We have requested the concerned authorities to provide clarification regarding the e-Way Bill portal, and we are awaiting the response.

7.

Consider the scenario where the company’s State is changed from Jammu & Kashmir to Ladakh. On or after 1-Jan-2020, a sales invoice is recorded with CGST, UT Tax, Cess ledgers, SGST/IGST ledgers, and value is manually entered for SGST/IGST ledger. Where will this transaction appear in GST reports?

In GSTR-1 , GSTR-3B , GST Annual Computation and KFC Computation , the values of such transactions will appear under Incomplete/Mismatch in information (to be resolved). To resolve this exception:

• Drill down to the exception and press Ctrl+Enter to view the alteration screen of invoice.

• Delete the SGST/IGST ledger for which the value was entered manually and accept the transaction.

If such transactions are accepted as is, they will appear under Included in returns.