The tax liability rests with the dealer for purchases from unregistered dealers, and it has to be recorded in the same month as the purchase.
To record a purchase from an unregistered dealer (URD)
1. Go to Gateway of Tally > Accounting Vouchers > F9: Purchases
2. Select the Party’s A/c Name from the List of Ledger Accounts.
3. Select the Purchase Ledger predefined with Purchase From Unregistered Dealer as the Nature of Transaction.
4. Select the stock item from the List of Stock Items.
5. Enter the Quantity and Rate. Amount appears automatically.
The purchase invoice appears as shown below:
6. Press Enter to accept.
To record tax liability on purchase from unregistered dealer
1. Go to Gateway of Tally > Accounting Vouchers > F7: Journal.
2. Click J: Stat Adjustment.
3. Select VAT in the Type of Duty/Tax field.
4. Select the option Tax on URD Purchase in the Nature of Adjustment field.
5. Press Enter to return to voucher.
6. Debit the input tax ledger created under the group Current Assets and enter the amount.
7. Credit the purchase tax ledger created under the group Duties and Taxes with the option Use for Purchase Tax enabled.
8. Enter the VAT Details.
The VAT Details screen appears as shown below:
9. Press Ctrl+A to return to the voucher creation screen.
10. Enter the amount excluding cess under the Credit column for the purchase tax ledger.
11. Debit the cess ledger. The amount will be displayed automatically.
The journal voucher appears as shown below:
12. Press Ctrl+A to save.