Tax on Purchase from Unregistered Dealers (VAT)
You can account for tax on purchases from unregistered dealers by creating a journal voucher.
- Gateway of Tally > Vouchers > press F7 (Journal).
Alternatively, press Alt+G (Go To) > Create Voucher > press F7 (Journal). - Press Alt+J (Stat Adjustment) , select the options as given below:
- Type of duty/tax – VAT.
- Nature of Adjustment – Tax on URD Purchase.
- Press Enter to save and return to the voucher screen.
- Debit the ledger created under the group Indirect Expenses and enter the amount.
- Credit the VAT ledger.
As always, press Alt+C, to create a master on the fly. Alternatively, press Alt+G (Go To) > Create Master > type or select Ledger > press Enter.- Enter the Rate, Assessable Value, and Commodity Code, and select the Commodity name of the item purchased in the VAT Details screen. The VAT Details screen appears as shown below:
Note: The columns in the VAT Details screen appear based on the State selected in the Company Creation screen. In this example, Bihar is selected as the State.
- Press Enter to return to voucher screen. The journal voucher appears as shown below:
- Enter the Rate, Assessable Value, and Commodity Code, and select the Commodity name of the item purchased in the VAT Details screen. The VAT Details screen appears as shown below:
- Accept the screen. As always, you can press Ctrl+A to save.
The states with Tax on URD Purchase available as the Nature of Adjustment are given below:
|
State Name |
Nature of Adjustment |
Additional Details |
Voucher Entry |
|
Andhra Pradesh |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. |
|
Assam |
Tax on URD Purchase |
— |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Bihar |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. |
|
Chandigarh |
Tax on URD Purchase |
— |
Debit: Purchase ledger. Credit: VAT ledger. |
|
Chhattisgarh |
Tax on URD Purchase |
— |
Debit: Ledger grouped under Current Assets. Credit: VAT ledger. |
|
Gujarat |
Tax on URD Purchase |
— |
Debit: Ledger grouped under Current Assets. Credit: VAT ledger. Credit: Additional tax ledger. |
|
Haryana |
Tax on URD Purchase |
Purchase at Lower Rate |
Debit: Expense ledger. Credit: VAT ledger. Credit: Expense/purchase ledger. |
|
Purchase at Lower Rate – Declared Goods |
Debit: Expense ledger. Credit: VAT ledger. Credit: Expense/purchase ledger. |
||
|
Purchase Without Payment of Tax |
Debit: Expense ledger. Credit: VAT ledger. Credit: Expense/purchase ledger. |
||
|
Purchase Without Payment of Tax – Declared Goods |
Debit: Expense ledger. Credit: VAT ledger. Credit: Expense/purchase ledger. |
||
|
Himachal Pradesh |
Tax on URD Purchase |
Not Applicable |
Debit: Expense ledger. Credit: VAT ledger. |
|
Purchase of Schedule-C Goods |
Debit: Expense ledger. Credit: VAT ledger. |
||
|
Jammu and Kashmir |
Tax on URD Purchase |
— |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Jharkhand |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. |
|
Karnataka |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. |
|
Kerala |
Tax on URD Purchase |
— |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Madhya Pradesh |
Tax on URD Purchase |
— |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Odisha |
Tax on URD Purchase |
— |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Puducherry |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. |
|
Punjab |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. credit: Surcharge ledger. |
|
Rajasthan |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. |
|
Telangana |
Tax on URD Purchase |
— |
Debit: Expense ledger. Credit: VAT ledger. |
|
Uttar Pradesh |
Tax on URD Purchase |
— |
Debit: Purchase ledger. Credit: VAT ledger. |
|
West Bengal |
Tax on URD Purchase |
— |
Debit: Expense/purchase ledger. Credit: VAT ledger. |
