You can record a journal to capture refund of input tax by selecting Nature of adjustment as Refund of Input Tax .
To account for input tax refund
1. Go to Gateway of Tally > Accounting Vouchers > F7: Journal .
N ote: You can create a journal voucher from Gateway of Tally > Display > Statutory Reports > VAT > select the VAT or CST form.
2. Click J : Stat Adjustment . In the Stat Adjustment Details screen,
o Select the option VAT in the Type of duty/tax field.
o Select the option Refund of Input Tax in the Nature of adjustment field.
o Press Enter to save and return to voucher screen.
3. Debit the ledger grouped under Current Assets .
4. Enter the amount in Debit column.
5. Credit the input VAT ledger.
o Enter the Rate , Assessable Value and Schedule Serial No. , and select the Schedule Name in the VAT Details screen.
o Press Enter to return to voucher screen.
The journal voucher appears as shown below:
6. Press Enter to save.