https://help.tallysolutions.com/docs/te9rel60/Tax_India/VAT/Kerala/KE_Pur_Sale_Ldgr.htm

Creating Purchase and Sales Ledgers (Kerala)

You can create a common ledger for all types of purchases or sales without specifying the tax details. In case separate ledgers are created for different tax rates, you can specify tax rates in the purchase and sales ledger masters.

Creating a Purchase Ledger

Creating a Sales Ledger

Creating a Purchase Ledger

To create a common purchase ledger

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

2.    Enter the Name of the purchase ledger.

3.    Select Purchase Accounts, in the Under field.

4.    Set the option Inventory values are affected? to Yes.

5.    Set Is VAT/CST Applicable to Applicable.

6.    Set the option Set/Alter VAT Details to No.

The Ledger Creation screen is displayed as shown below:

7.    Press Enter to save.

To create a purchase ledger with the nature of transaction, commodity details and tax rate

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

2.    Enter the Name of the purchase ledger.

3.    Select Purchase Accounts, in the Under field.

4.    Set the option Inventory values are affected? to Yes.

5.    Set Is VAT/CST Applicable? to Applicable.

6.    Set the option Set/Alter VAT Details? to Yes.

7.    Press F12: Configure to open the Configuration screen to enable commodity details.

8.    The VAT rate can be specified in either one of the following ways:

     Select a user defined VAT classification in the Classification field. On selecting a user defined VAT classification, the Ledger Creation screen is displayed.

     Specify VAT details

o     Select the Nature of transaction.

o     Enter the Commodity Name and Commodity Code.

o     Enter the Tax Rate and Cess. If the Tax Rate entered is above 0, the Tax Type automatically appears as Taxable.

o     Enter 0 as the Tax Rate, to select Exempt or Tax Free as the Tax Type.

The VAT Details screen appears as shown below:

     Press Ctrl+A to accept.

9.    Press Ctrl+A in Ledger Creation screen to save.

Creating a Sales Ledger

To create a common sales ledger

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

2.    Enter the Name of the sales ledger.

3.    Select Sales Accounts in the Under field.

4.    Set Inventory values are affected? to Yes.

5.    Set Is VAT/CST Applicable? to Applicable.

6.    Set the option Set/Alter VAT Details? to No.

The Ledger Creation screen appears as shown below:

7.    Press Enter to save.

To create a sales ledger with the nature of transaction, commodity details and tax rate

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

2.    Enter the Name of the sales ledger.

3.    Select Sales Accounts in the Under field.

4.    Set Inventory values are affected? to Yes.

5.    Set Is VAT/CST Applicable? to Applicable.

6.    Enable the option Set/alter VAT Details?.

7.    Press F12: Configure to open the Configuration screen to enable commodity details.

8.    The VAT rate can be specified in either one of the following ways:

     Select a user defined VAT classification in the Classification field. On selecting a user defined VAT classification, the Ledger Creation screen is displayed.

     Specify VAT details

o     Select the Nature of transaction.

o     Enter the Commodity Name and Commodity Code.

o     Enter the Tax Rate and Cess. If the Tax Rate entered is above 0, the Tax Type automatically appears as Taxable.

o     Enter 0 as the Tax Rate, to select Exempt or Tax Free as the Tax Type.

The VAT Details screen appears as shown below:

     Press Enter to save, and return to the Ledger Creation screen.

9.    Press Ctrl+A in Ledger Creation screen to save.

Selection of Entity Type in Sales Ledger

To select the entity type

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

2.    Enter the Name of the ledger.

3.    Select any of the following groups, in the Under field.:

o     Sales Accounts

o     Purchase Accounts

o     Direct Expenses

o     Indirect Expenses

o     Direct Incomes

o     Indirect Incomes

o     Fixed Assets

4.    Set the option Is VAT/CST Applicable? to Applicable.

5.    Enable the option Set/alter VAT Details?.

6.    Set the Classification option in VAT Details screen to Undefined.

7.    Set the Nature of transaction to any of the following depending on the account group selected in step 3:

o     Purchase - Zero Rated

o     Interstate Purchase - Zero Rated

o     Sales Zero Rated

o     Interstate Sales - Zero Rated

8.    Select the appropriate Party Entity/Org. Type. This option appears only on selecting the Nature of transactions listed in step 7.

9.    Select the required entity type from the list as shown below:

10.  Enter the commodity and tax details.

11.  Save the VAT Details screen.

12.  Press Ctrl+A to save the ledger.