https://help.tallysolutions.com/docs/te9rel60/Tax_India/VAT/Puducherry/py_tax_on_urd_pur.htm

Tax on Purchase from Unregistered Dealers (Puducherry)

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.

o     Select VAT as Type of duty/tax.

o     Select the option Tax on URD Purchase in the Nature of adjustment field.

o     Press Enter to save and return to voucher screen.

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

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.

The journal voucher appears as shown below:

5.    Press Enter to save.