Stock Item (Kenya)

In Tally.ERP 9, you can create a stock item and define the corresponding details like units of measurement and VAT applicability as required.

3. Select the required group in the Under field. If the selected stock group is predefined with tax rate and commodity details, these are applied to the stock item. If Primary is selected, the tax and commodity details specific to the stock item can be defined.

To specify the VAT rate for the stock group in the VAT Details screen

The VAT rate can be specified in either one of the following ways:

● Select a user defined VAT classification.

o On selecting a user defined VAT classification, the Stock Group Creation screen is displayed.

● Specify VAT details

o Enter the Tax Rate. If the Tax Rate entered is above 0, the Tax Type automatically appears as Taxable.

o Enter 0 as the Tax Rate, to select Exempt or Zero Rated as the taxability.

6. Enable the option Set/Alter VAT Details. Enable this option if the item is not included in a stock group defined with tax details.

To specify the VAT rate for the stock item in the VAT Details screen

The VAT rate can be specified in either one of the following ways:

● Select a user defined VAT classification.

o On selecting a user defined VAT classification, the Stock Item Creation screen is displayed.

● Specify VAT details

o Enter the Tax rate. If the Tax Rate entered is above 0, the Tax Type automatically appears as Taxable.

o Enter 0 as the Tax Rate, to select Exempt or Zero Rated as the taxability.

To provide commodity details

1. Press F12: Configure to view the Configuration screen.

2. Set the option Provide commodity details? to Yes.

3. Press L: Details to specify different VAT rates with separate Applicable From dates.

4. Enter the Tax rate.

Note: Press enter without specifying the rate to select Exempt or Zero Rated in the Tax type field.

The VAT Details screen appears as shown below:

5. Press Enter.

6. Press Ctrl+A to save the Stock Item Creation screen.