Creating Godown with Different Options
The new Godown enhancement feature in Tally.ERP 9 gives users the option to define Godowns of different types like ‘Use for Third Party Stock with Us’ and ‘Use for Our Stock with Third Party’.
The first option ‘Use for Third Party Stock with Us’ does not affect company’s Books of Accounts as the Godown stores stock items which are third party’s assets. Alternatively, the second option ‘Use for Our Stock with Third Party’ affects company’s Books of Accounts as the stock items are owned by the company regardless of which Godown they are lying in.
To make use of these features, we first need to enable ‘Multiple Godowns’ in Tally.ERP 9.
• Go to ‘Gateway of Tally-> F11: Inventory Features’
• Set ‘Yes‘ to ‘Maintain Multiple Godowns’
To create a Godown,
go to ‘Gateway of Tally-> Inventory Info. -> GoDowns->Create’
The three different types of creating Godowns are shown:
Note: Both the options – ‘Our Stock with Third Party’ and ‘Third Party Stock with Us’ cannot be set as ‘Yes’ at the same time.
Items to Godown
There are two ways to allocate items to Godowns – during Item creation or alteration and while passing transactions.
Item Allocation to Godown during Item Creation
Let’s assume a company receives 50 quantity of third party’s stocks ‘Item A’ for servicing and let’s allocate these items to company’s Godown ‘GD-Third Party Stock’.
· Go to ‘Gateway of Tally-> Inventory Info-> Stock Items->Create’
· Enter ‘Item A’ in ‘Name’
· Define ‘Units of Measurement’ as ‘nos’
· Enter ‘50’ in ‘Opening Balance’ and press ‘Enter’
· The ‘Stock Item Allocation’ screen will be displayed on the screen; here you can allocate the ‘Item A’ to ‘GD-Third Party Stock with Us’ which is a Godown of type ‘Third Party Stock with Us’.
· Press ‘Enter’ and click ‘Yes’ to accept the screen.
Item Allocation to Godown while Recording Transaction
The second way of allocating items to Godown is while passing a transaction. Let’s create a Stock Journal for transferring company’s own stock ‘Item B’ lying in company’s Godown to third party’s Godown ‘GD-Our Stock with Third Party’.
· Go to ‘Gateway of Tally->Inventory Voucher->F7: Stock Journal’
· Select ‘Item B’ in ‘Name of Item’
- Select ‘Main Location’ under ‘Godown’
- Enter ‘Quantity’ and‘Rate’.
- In the ‘Destination’ side, select the same ‘Item B’ for ‘Name of Item’. Enter the same ‘Quantity’ and ‘Rate’ but for ‘Godown’, select ‘GD- Our Stock with Third Party’ as shown. This way, company’s own stock ‘Item B’ is allocated to third party’s Godown during transaction.
The Stock Summary in Tally.ERP 9 is a report that shows up-to-date information about the quantity, rate, closing value and location of stocks. The Godown enhancement feature enables Stock ummary report to drill-down and show in-depth details of the stocks lying in third-parties’ or company’s own Godown.
To view the Stock Summary, go to ‘Gateway of Tally->Stock Summary’.
Note: The default view of the Stock Summary shows items which affect company’s Book of Accounts i.e. company’s own items lying in its Godown and third-party’s godown.
To view Stock Summary based on Godown Types, press ‘Ctrl+G’ or click ‘Godown Types’ button to go to the ‘Change Stock Details’ screen.
· Press ‘Enter’
· Press ‘F1: Detailed’ to view Godown names as well.
This viewing option enables users to have complete details of how much stock is lying in whose godowns, at any point of time as shown:
Hence the Godown enhancement feature in Tally.ERP 9 is helpful for instant clarity about stocks managed by a company.