GST Regular Dealer Purchase from Registered Dealer in Tally
Purchase by GST Regular Dealer in Tally
A Registered Dealer, purchasing tradable goods from Registered dealer, is eligible for ITC on GST paid.
Purchase Invoice Entry in Tally
Enter Purchase Invoice as usual. Select GoT >Accounting Voucher, Click F9:Purchase to get Purchase Voucher entry screen . Now enter Purchase Invoice data as explained earlier. We describe here entry of GST specific details only.
GST Regular Dealer Intra State Purchase from Registered Dealer in Tally
Having entered the Party and Item details (item name, Quantity, Rate, Value etc) of all the Items in the Invoice, enter the details of Item purchased (Item Name, Quantity, Rate, value), as usual.
GST Regular Dealer Intra State Purchase from Registered Dealer in Tally
In Local Purchase Invoice from Registered Party , select Input CGST and Input SGST. The amount is equally divided into both the Tax Accounts.
GST Regular Dealer Intra State Purchase from Registered Dealer Tax Analysis display in Tally
To view Tax Details, click A:Tax Analysis button to get Tax Analysis screen . Click F1:Detailed / Condensed toggle button detailed / summary get details.
GST Regular Dealer Inter State Purchase from Registered Dealer in Tally
In Interstate Purchase from Registered Party, select Integrated Tax (instead of Local and Central Tax).
GST Regular Dealer Inter State Purchase from Registered Dealer in Tally
To view Tax Details, click A:Tax Analysis button to get Tax Analysis screen. Click F1:Detailed / Condensed toggle button detailed / summary get details.
GST Regular Dealer Inter State Purchase from Registered Dealer Tax Analysis Display in Tally
Computation Mismatch with Buyers Invoice
Purchase Invoice is normally entered from the Invoice of the supplier. So, sometimes there may be some computation difference in Item value or Tax due to rounding off difference, method of computation etc. You may change the Tax amount during entry . If the computed Tax amount and the Tax amount entered as per supplier invoice differ, then both the values are shown in the Tax Analysis report .
Purchase of Fixed Assets by Registered Dealer in Tally
The ITC paid on Fixed Asset Purchase are to be spread over multiple years. This requires some adjustment in respect of ITC and carry forward to subsequent years.
GST Regular Dealer Inter State Purchase of Fixed Asset from Registered Dealer in Tally
For Fixed Asset, you have to set up GST features in Fixed Asset Ledger Account (GoT>Accounts Info>Ledger>Create) to get Ledger Accounts creation screen. Set Yes at GST Applicable. Select the Nature of Transaction (you cannot leave it as Not Applicable) and then select Type of Supply (Goods / Services).
Fixed Asset ledger creation
GST set up for Fixed Asset Ledger
GST set up for Fixed Asset ledger
GST Regular Dealer Fixed Asset Purchase Invoice Entry in Tally
Create a Purchase Voucher as usual (GoT>Accounts Vouchers>F9:Purchase). Click V:As Voucher toggle button, to get entry screen in Accounting voucher mode.
At Purchase Voucher entry , click F12:Configure to get Purchase Configuration screen. Again press F12:Configure to get Advanced Purchase Configuration screen. At Allow Expenses / Fixed Asset for Accounting Allocation to enable Fixed Assets ledger entry in Purchase Voucher.
Purchase Invoice Advanced Configuration in Tally
At Purchase Voucher entry screen, select Supplier Ledger Account and enter the total amount of the supplier. Select GST Ledger Account (CCGST/SGST or ITGST) and enter the amount. Enter other expenses ledger accounts and amount, if any.
Fixed Asset Purchase from Registered Dealer
The Fixed Asset Purchase voucher has no Input Tax implication. So when you click A:Tax Analysis button in Voucher entry screen, you get a message This Voucher has no Tax implications / Tax Analysis is not supported.
Effect of Fixed Asset Purchaee in GSTR-2 Report
Capital Goods Purchase from registered dealer would be reflected in GSTR-2 Report under Table B2B Invoices, Table 3, 4A
ITC Adjustment Journal Voucher for Fixed Asset Purchase in Tally
However, you can claim ITC on Capital Goods in equal instalments over a period of 5 years, only if the Capital Goods is used for business purpose. So, in the financial year of purchases, you can claim only 1/5th of the GST paid. Balance 4/5th would be claimed in 4 subsequent years (1/5th in each Financial Year)
So, you have to create a Journal voucher to provide for 1/5th amount as ITC in current year and transfer the balance 4/5th, in an asset account, to be adjusted in subsequent financial year.
Deferred Fixed Asset ITC ledger Account creation in Tally
Create a Ledger account (GoT>Accounts Info>Ledger Create), Deferred ITC on Capital Goods to keep the balance 4/5th amount to be adjusted in subsequent Year .
Deferred Fixed Asset ITC ledger Account creation in Tally
Fixed Asset ITC Adjustment Journal Voucher in Tally
Create a Journal Voucher (GoT>Accounts Vouchers>F7:Journal).
Fixed Asset ITC Adjustment Journal Voucher in Tally
At Journal Voucher screen, click J:Stat Adjustment button to get Stat Adjustment screen.
Voucher Entry Buton Bar in Tally
Fixed Asset Deferred ITC Stat Adjustment Details entry in Voucher
At Stat Adjustment screen, at Type of Duty / Tax, select GST. At Nature of Adjustment, select Reversal of Input Tax Credit. At Additional Details, select Not Applicable. Having entered the details at Stat Adjustment screen, you get back to Journal Voucher entry main screen.
Fixed Asset Deferred ITC Stat Adjustment Details entry in Voucher
Fixed Asset Deferred ITC Ledger Account Details entry: At Voucher entry main screen, select Deferred ITC ledger account and enter the total of ITC to be carried forward, to be claimed in subsequent years (Total GST – 1/5th of GST, i.e 4/5th of GST charged) in debit column. Now select the GST Account (IGST or CGST & SGST) and enter the respective amount (full amount for IGST or 50% of the amount to CGST & UTGST, as the case may be) in credit column.
Like Goods Purchased from Registered dealer, ITC may be claimed on GST paid for Taxable Business Expenses paid to Registered Dealer.
GST set up for Expenses Ledger in Tally
Select GoT>Accounts Info>Ledger>Create to get Accounts Ledger creation screen.
GST set up for Expenses Ledger Account in Tally
At Under, select a Group under Expenses. Set Yes at Set / Alter GST and set the Tax Rate.
GST set up for Expenses Ledger Account in Tally
GST set up for Supplier Ledger in Tally
Select GoT>Accounts Info>Ledger>Create to get Accounts Ledger creation screen. At Under, select a Group under Sundry Creditors.
GST set up for Supplier Ledger Account in Tally
Set Yes at Set / Alter GST and set the GST details of the supplier. Select Regular at Registration Type, Enter GSTIN.
GST set up for Supplier Ledger Account in Tally
GST set up for Taxable Expenses Voucher in Tally
You may book the expenses in following alternate ways:
- Purchase / Journal / Payment Voucher
- Create Purchase Voucher, or
- Create Journal Voucher
- and then a Payment Voucher for payment
- Create Payment voucher directly to book and pay for the expenses incurred
We now explain voucher creation in each of the cases
GST Regular Dealer Purchase Voucher Entry in Tally
Select GoT>Accounting Voucher>F9:Purchase and then select I:Accounting Invoice to get Purchase Voucher entry screen.
GST Regular Dealer Purchase Voucher Entry in Tally
Select the supplier Ledger Account. Now select Expenses Ledger and enter the amount (if you do not get Expenses ledger in Ledger list then Click F12:Configure and then set Yes at Allow Fixed Asset / Expenses in Purchase Voucher.
Select the Tax Classification at Tax Classification screen (if you do not get the screen then Click F12:Configure and set Yes at Override GST in voucher entry) and select Tax Classification from Nature of Transaction list.
GST Regular Dealer Purchase Voucher Tax Classification Details Entry in Tally
Next select the Tax Ledger Accounts (the amount would be auto computed and carried). Click A:Tax Analysis to get Tax Analysis screen showing the Taxable & Tax Amount.
GST Regular Dealer Purchase Voucher Tax Analysis display in Tally
Journal Voucher Entry : Alternatively, you may create a Journal Voucher to record the expenses. Select GoT>Accounting Voucher>F7:Journal to get Journal Voucher entry screen. Select the Expenses Ledger Account enter the amount in Debit column.
Journal voucher booking expenses with GST
Select the Tax Classification at tax Classification screen (if you do not get the screen then Click F12:Configure and set Yes at Override GST in voucher entry) and select Tax Classification from Nature of Transaction list .
GST Voucher entry Tax Classification selection in Tally
Next select the Tax Ledger Accounts and enter the amount in Debit Column. Select the supplier account and enter the amount in Credit column.
Payment to creditor in Tally : Having booked the expenses through Purchase Voucher or Journal Voucher, you will make payment to the supplier of the expenses bill booked. Select GoT>Accounting Voucher>F5:Payment to get Journal Voucher entry screen.
Payment to Creditor in Tally
In Payment Voucher, the supplier account would be Debited and Cash / Bank account would be credited. There would be no entry for Tax Ledger Accounts as Tax ledger Accounts have already been charged in earlier Purchase Voucher / Journal Voucher.
Direct Payment Voucher Entry : Instead of booking the expenses with Tax Accounts through Purchase Voucher / Journal Voucher and subsequent Payment Voucher, you may make payment through Payment Voucher booking the expenses and Tax Accounts.
Select GoT>Accounting Voucher>F5:Payment to get Payment Voucher entry screen. Select the Expenses Ledger Account enter the amount in Debit column.
Select the Tax Classification at tax Classification screen (if you do not get the screen then Click F12:Configure and set Yes at Override GST in voucher entry) and select Tax Classification from Nature of Transaction list.
Direct payment voucher booking expenses with GST
At Voucher entry screen , select the Tax Ledger Accounts and enter the amount in Debit Column. Select the Cash / Bank account and enter the amount in Credit column.
Payees details entry in Voucher
At Party details pop up screen, at Party Name, enter Party Name, address, Registration Type, GSTIN) etc (or select supplier ledger account, if created and get enter the details carried from Party Ledger Account).
Effect of Expenses entry in GSTR-2 : The Taxable expenses paid to registered supplier are reflected in GSTR-2.
View PDF
