Recording Refund of Input Tax (Assam)

Reversal of input tax can be recorded by creating a journal voucher. Use Refund of Input Tax as the Nature of Adjustment and debit the expense under the group Indirect Expenses.

To account for input tax refund

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

2.     Click J: Stat Adjustment to enable the required options in the Stat Adjustment Details screen.

3.     Debit the ledger grouped under Current Assets and enter the amount.

4.     Credit the input VAT ledger. The journal voucher appears as shown below:

5.     Press Enter to save.