In Tally.ERP 9, you can create a journal voucher to account for the increase in tax liability.
To create journal voucher for increase of tax liability
1. Go to Gateway of Tally > Accounting Vouchers > F7: Journal.
2. Click J: Stat Adjustment to enable required options in Stat Adjustment Details screen.
● In the Stat Adjustment Details screen,
o Select the option VAT in the Type of duty/tax field.
o Select the option Increase of Tax Liability in the Nature of adjustment field.
o Select the option Interest in Additional Details field.
o Press Enter to save and return to voucher screen.
3. Credit the ledger grouped under Indirect Expenses.
4. Enter the amount in the Debit column.
5. Debit the ledger grouped under Current Liabilities.
6. Set the option Provide VAT Details to Yes, and enter the relevant details.
Note: The option Provide VAT Details is provided as per state specific requirements of VAT/CST forms and annexures. In this example, the State is selected as Bihar.
7. Enter Narration, if required.
The journal voucher appears as shown below:
8. Press Enter to save.