https://help.tallysolutions.com/docs/te9rel63/Tax_India/VAT/gujarat/GJ_Reverse_of_tax.htm

Recording Reversal of Tax (Gujarat)

In Tally.ERP 9, you can record a journal voucher to account for the reversal of tax.

To record a journal voucher for reversal of tax

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 Reversal of Input Tax in the Nature of adjustment field.

o Select the option Manufactured Goods in the Additional Details field.

o Press Ctrl+A to return to the voucher.

3. Debit expense ledger grouped under Indirect Expenses , and enter the value.

4. Credit the tax ledger created under the group Duties and Taxes .

5. Enter the Rate , Addl. Rate , Assessable Value , Commodity Name and Commodity Code in the VAT Details screen, and press Enter .

The journal voucher appears as shown below:

6. Press Enter to save.