Tally Accounting
Posted by Asok K Nadhani on

Inventory Accounting Voucher in Tally

Accounts Voucher with Inventory Transactions in Tally

Having created Inventory Masters, you may start Inventory transaction (Vouchers) entry. Since, the trading transactions involving Inventory (like Sales, Purchase) affect Inventory & Financial Accounts, Inventory details are also entered in corresponding Accounts Voucher.

Now we discuss about Accounting Vouchers with inventory details, like Sales, Purchase, Debit Note,  Credit Note & Stock Journal vouchers

Accounting Invoice & Accounting Voucher Entry Mode in Tally

Inventory Transactions may be entered in Voucher mode and in Invoice Mode. In Voucher mode, the Ledger Amount is entered first and then the corresponding Item wise details are entered. In Invoice mode, the Item details are entered first, the computed Item value is posted into Ledger amount.

So, in voucher mode entry, you enter the Net Amount of Bill first in the Party Account and then the amount for each Ledger Account (Like Sales Account etc). This means that you must have all the Amounts computed first. So, voucher mode is suitable when you have got all the amounts already computed (e.g you enter sales voucher from manual sales bills). Tally will not compute anything.

In Invoice mode entry of Sales Voucher, you enter the Stock Item Data first (Rate, Quantity etc). Tally computes the Item Value etc and posts into Sales Ledger. You then enter Tax Rates etc. Tally computes Taxes etc and posts into the respective ledger. Finally, Tally computes the Net Bill Amount and posts to the Party Ledger Account. So, Invoice mode is suitable for on-line billing (i.e you prepare the invoices from Tally only).

Inventory set up in Ledger Accounts in Tally

Accounts Ledger Master set up for Inventory Linking in Tally

To enter Item details and for linking of Item Value to respective Sales / Purchase Ledger Account, at ledger  entry /alteration, set Yes at Inventory Values are affected at the respective ledger account.

Consequently, whenever you enter a voucher involving transaction with such ledger account, you will be prompted to enter the inventory details also (like Quantity, Amount etc).

Inventory Accounting Voucher Entry in Tally

For Sales / Purchase Voucher entry in voucher mode, select the Voucher Type, click V: As Voucher button to get Voucher entry screen in Voucher Mode. Here we explain the additional steps for Stock Item details entry.

Accounts Voucher Entry with Inventory details in Accounting Voucher mode in Tally

At the second line of Voucher entry in voucher mode, when you select an Inventory Linked Ledger Account (Ledger Account for which you have set Yes at Inventory Values are affected –like Sales, Purchase etc.), you get the Item Allocation screen to enter the Item Details

Item Allocation in Inventory Accounting Voucher

Item Allocation in voucher entry in Tally

At Item Allocation screen , enter the Item details, as explained below

  • Item Name:At Name of Item column, select the Stock Item (Press Ctl+C to create new Stock Item).
  • Quantity: At Quantity column, enter the Quantity. The Quantity UoM of the Item is displayed along side
  • Rate: At Rate column, enter the Rate per Unit (you may leave the Rate column blank and enter amount directly). The Rate UoM of the Item is displayed alongside.
  • Item Value:At Amount column, the computed Amount (as per Quantity & Rate) is displayed, which you may change.

This way, enter the Items to complete the Ledger allocation. The total Item Value must match the entered Ledger Amount. You get back to the main voucher screen. The Items details are displayed in main voucher screen

This way you may enter multiple Inventory linked Ledger Accounts (like Sales / Purchase) ledger accounts and the Item allocations for each Inventory linked Ledger Accounts.

The ledger entries are terminated, when the total of Debits equals to total of Credits.

Stock Journal Voucher Entry in Tally

Stock Journal Voucher is used to make internal stock adjustments( e.g., due to shortage, wastage, excess or any other increase or decrease in stock)

At Gateway, select Inventory Vouchers and Click F7:Stk Jrnl  to get Stock Journal Voucher entry screen

Item Details entry in Stock Journal Voucher in Tally

Stock Journal Voucher entry in Tally

Enter the Voucher Date.

At the left part, you enter the Source (Consumption) Item details (i.e Items OUT)

At the right part, you enter the Destination (Consumption) Item details (i.e Items IN), in the same way as explained for Sale / Purchase Voucher .

You may enter the Item details in both Source & Destination, or in any of the column. The quantity as entered for the Item in Source column is reduced from Stock and the quantity as entered for the Item in Destination column is increased.

So, for shortage etc, you enter in Source (Consumption) side only. For excess etc, enter in Destination (Production) side only.

In a Stock Journal, the Item, Quantity & Value may differ between Source (Consumption) & Destination (Production) For transfer of Stock from one place to another (between Branches), the Items and the quantity in both Source & Destination Part may be same. In case of shortage, ther

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