Type search words and press enter
"Use Edit Log for transactions/masters, and digital signature for invoices/reports with Release 2.1. Download NOW!"

Refund of Input Tax (Madhya Pradesh)

Reversal of input tax can be recorded by creating a journal voucher. Use Refund of Input Tax as the Nature of Adjustment.

To create journal voucher to account for refund order

1.    Go to Gateway of Tally > Accounting Vouchers > F7: Journal.

Note: You can create a journal voucher from Gateway of Tally > Display > Statutory Reports > VAT > select the VAT or CST form.

2.    Click J: Stat Adjustment. In the Stat Adjustment Details screen,

o     Select the option VAT in the Type of duty/tax field.

o     Select the option Refund of Input Tax in the Nature of adjustment field.

o     Select the option Refund Order in Additional Details field.

o     Press Enter to save and return to voucher screen.

3.    Debit the VAT ledger.

o     Enter the Rate and Assessable Value in the VAT Details screen.

o     Press Enter to return to voucher screen.

4.    Enter the amount in the Debit column.

5.    Credit the ledger grouped under Current Assets.

6.    Enter Narration, if required.

The journal voucher appears as shown below:

7.    Press Enter to save.