https://help.tallysolutions.com/docs/te9rel60/Tax_India/VAT/Madhya_Pradesh/mp_tax_on_urd_pur.htm

Tax on Purchase from Unregistered Dealers (Madhya Pradesh)

You can account for tax on purchases from unregistered dealers by creating a journal voucher.

To create tax liability on purchase from unregistered dealers

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

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 Tax on URD Purchase in the Nature of adjustment field.

o     Press Enter to save and return to the voucher screen.

3.    Debit the ledger created under the group Indirect Expenses and enter the amount.

4.    Credit the purchase tax/VAT ledger created under the group Duties & Taxes.

o     Enter the Rate and Assessable Value of the item purchased, in the VAT Details screen. The VAT Details screen appears as shown below:

o     Press Enter to return to voucher screen.

5.    Enter Narration, if required.

The journal voucher appears as shown below:

6.    Press Enter to save.