https://help.tallysolutions.com/docs/te9rel63/Tax_India/VAT/Delhi/DL_Purc_Non-Creditable.htm

Recording Purchase of Non-Creditable Goods

Purchase of non-creditable goods is not eligible for claiming input tax credit. In return forms the tax paid on purchase of non-creditable goods is clubbed with assessable value as this tax amount is considered part of the purchase cost.

In Tally.ERP 9 purchase of goods not eligible for input credit are recorded using Non-Creditable Purchases - Special Goods as nature of transaction. The transaction can be marked as Tax invoice or Retail based on whether the supplier is registered or unregistered dealer respectively.

To record a purchase of non-creditable goods

1. Go to Gateway of Tally > Accounting Vouchers > F9: Purchase .

2. Enter the Supplier Invoice No. and Date .

3. Select the supplier ledger in field Party’s A/c Name .

4. Select a purchase ledger with Non-Creditable Purchases - Special Goods as nature of transaction, and press Enter .

5. Select the stock item for which input tax credit is not allowed. Enter the Quantity and Rate .

6. Select VAT tax ledger.

7. Enable the option Provide VAT details . The Statutory Details screen appears.

o Select Type of invoice or accept the pre-filled details. Based on Type of dealer of the selected party master, Type of invoice will be prefilled as Tax invoice for Regular and Retail for Unregistered dealer . The Statutory Details screen appears as shown below:

o Press Enter to return to voucher screen.

8. Enter Narration , if any.

The purchase invoice appears as shown below:

9. Press Enter to save.