Recording Reversal of Input Tax (Puducherry)

A journal voucher is created to record the reversal of input tax with Nature of Adjustment selected as Reversal of Input Tax with relevant additional details

To create a journal voucher for reversal of input tax

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

2.     Click J: Stat Adjustment to view the Stat Adjustment Details screen.

o      Select VAT as Type of duty/tax .

o      Select Reversal of Input Tax as Nature of adjustments.

o      Select Goods Lost, Stolen Or Destroyed, Used As Gift, Sample in the Additional Details field.

o      Press Enter.

3.     Debit the expense ledger, and enter the value.

4.     Credit the VAT ledger.

o      Enter the VAT Details as shown below:

o      Press Enter.

The journal voucher appears as shown below:

5.     Press Enter to save.