When a company buys goods on credit or cash, Purchase voucher is used to record all the Purchase transactions of the company.
Once you activate GST in your company, you can record the purchase of goods and services (inward supply) that attract GST using a purchase voucher.
- Go to Gateway of Tally > Accounting Vouchers.
- Click on F9:Purchase on the Button Bar or press F9 .
To pass a Purchase entry in the Invoice mode, you need to enable the option Enable Invoicing in F11: Features (F1: Accounting or F2: Inventory Features) .
Account Invoice: You will be directly selecting/debiting the Ledger account in case you are passing an Account Invoice. This is useful especially when a Service Bill is entered and does not include Inventory.
Item Invoice: You will be first selecting the Inventory and then allocating the same to the relevant Ledger account. This is useful to record all the Inventory movements in books of account.
1. Local Purchase ( within State)
The purchase of goods or services from a supplier in the same state attracts central tax and state tax.
To record a Local Purchase Transaction:
1. Go to Gateway of Tally > Accounting Vouchers > F9: Purchase.
Supplier invoice no.: Displays the sales invoice no. of the supplying party.
Date: Displays the date on which the sales invoice was passed by the supplier.
2. In Party A/c name, select the supplier’s ledger or the cash ledger.
3. Select the purchase ledger applicable for local taxable purchases.
4. Select the required items, and specify the quantities and rates.
5. Select the central and state tax ledgers.
You can view the tax details by clicking A: Tax Analysis. Click F1: Detailed to view the tax break-up.
2. Interstate Purchase (Outside State)
The purchase of goods or services from a supplier from another state attracts integrated tax.
To record an interstate purchase:
- Follow the steps used for recording a local purchase transaction as above, with the following changes:
- Select the purchase ledger ( you can use one ledger for both local and Interstate Purchase or you create separate Ledger ).
- Select the integrated tax ledger.
Depending on the location of the supplier i.e. State in address section, you can record a Local or Interstate Purchase transaction with the applicable GST rates.
3. Purchase Voucher with some Additional Charges / Discount etc.
Some Purchase Voucher includes some Additional Charges like…Delivery Charges, Insurance Charges, Installation Charges, Rounded Off, Discount on Purchase etc.. etc..
>> Additional Charges included Before GST in Purchase Bill
The main situation is that whether all those additional charges are charged before GST or after GST. If those Expenses charged before GST, then all those Expenses should be created under Purchase Group without affecting Inventory value, GST Not Applicable, but it must be include in assessable value calculation for GST with Appropriation to Goods & Method of valuation should be Based on Value.. as given below screen :
>> Additional Charges included After GST in Purchase Bill
Ledger creation will be as below ( with Not applicable in all cases and should be under Purchase Account Group)
– Ledger Creation : ‘ Insurance on Purchase ‘ & ‘ Discount on Purchase’
– Ledger Creation : ‘ Rounded Off (+/-)’
You can create a Ledger ‘Rounded off (+/-)’ to round-off the invoice value automatically.
2. Set Type of Ledger? as Invoice Rounding .
3. Select the Rounding method as Normal Rounding and enter the Rounding limit to 1 .
4. Under Statutory Information, all options should be set to Not Applicable .
>> Purchase Bill with Additional Charges / Discount both Before and After GST
Here we have one sample of Purchase Bill with Additional Charges or Discount on Purchase both Before and After GST :
Transactions:
Purchase the following Items from Acer India Ltd. with Delivery Charges of Rs.500 charged before GST and Insurance Charges on Purchase of Rs.150 charged and with a Discount on Purchase @2% received after charging GST .
| Laptop ACER 4720Z | 2 Nos. | 32500 |
| Laptop Compaq A901TU | 1 Nos. | 38500 |
| Laptop HCL MiLeap | 1 Nos. | 35000 |
Note :
>> In above case, value of Delivery Charges on Purchase of Rs.500 charged before GST and thus this value has included with Item Rate proportionally on the basis of item value.
>> But the expenses Insurance Charges on Purchase as well as Discount on Purchase are included in Bill after GST and thus these expenses or Incomes are charged independently in their ledger without affecting item rate or value.
>> Discount on Purchase Value or % should be given with (-) symbol, to deduct from the Bill value.
>> These can be viewed in Tax Analysis ( Alt+A) in Purchase voucher wit Detailed (Alt+F1) as below:
4. Record Expenses with GST in Purchase Voucher (F9)
A business may incur day-to-day expenses such as rent, telephone bills, Internet Bill, stationery, petty-cash expenses, and so on, to carry out the operations. These expenses attract GST.
If you are a registered dealer and purchasing from another registered dealer, and paid GST at the time of payment or purchase, you are eligible to claim the Input Tax Credit. Ensure to enable the expense ledger with GST.
| Note : If it is a URD purchase of more than Rs. 5,000, you need to pay GST and then claim ITC. |
You can record an expense using a purchase voucher. This will auto-calculate the GST amounts.
Setup:
You have to create the Expenses Ledger with GST Applicable and with all GST Details like Nature of Transactions, Taxability, GST Rate etc. etc.
Say, for example, create a Expenses Ledger ‘Printing and Stationary’ which attracts GST 5% as below:
1. Go to Gateway of TallyERP9 > Accounts Info > Ledger > Create
2. Under Statutory Information, Set/alter GST Details should be YES with GST Applicable. Then you will get GST Details for Ledger Screen as below:
3. Select ‘Purchase Taxable’ under Nature of transaction lists as displayed above.
4. Mention GST Rate under Tax Type
5. Select Goods or Service accordingly, then Press CTRL + A ( to Save)
5. Purchase of Capital Goods with GST in Purchase Voucher (F9)
Purchase of capital goods are recorded as fixed assets and is taxable. Input tax credit can be availed.
You can record taxable purchases of fixed assets (capital goods).
Creating a Fixed Assets ( Capital Goods) with GST Details : [ Example : Furniture ( GST 18%) ]
1. Go to Gateway of TallyERP9 → Accounts Info → Ledger → Create
2. Under Statutory Information, Set/alter GST Details should be YES with GST Applicable. Then you will get GST Details for Ledger Screen as below:
3. Select ‘Purchase Taxable’ under Nature of transaction lists as displayed above.
5. Select ‘Capital Goods’ in case of Nature of goods
6. Mention GST Rate under Tax Type 5. Select Goods or Service accordingly, then Press CTRL + A ( to Save)
6. Purchase of ‘Nil-Rated’ , ‘Exempted’, Items & Goods using Tally.ERP9
For Setting Items and Goods.. ( click here… )
Transactions:
Purchase the following items in Cash from Registered Dealer which are Nil Rated and Exempted
| Name of Items | Quantity | Rate | Value |
| Moong Dal | 70 Kg. | 85 | 5950 |
| Salt | 25 kg | 25 | 625 |
| Bread | 60 Pcs. | 22 | 1320 |
| Fruits | 20 Kg. | 110 | 2200 |
Purchase Invoice of above goods are given below :
To see the Tax Analysis (Alt+A) with Details (Alt+F1) of the above invoice :
7. Purchase Return / Debit Note Voucher (Ctrl+F9)
Debit Note is a document issued to a party stating that you are debiting their Account in your Books of Accounts for the stated reason or vice versa. It is commonly used in case of Purchase Returns, Escalation/De-escalation in price, any other expenses incurred by you on behalf of the party etc.
All features and functions of Purchase Voucher and Debit Note Voucher are same. So just like Purchase Voucher, you can record transaction in Debit Note either in Accounting Invoice or Item Invoice.
A Debit Note can be entered in voucher or Invoice mode (either Accounting / Items).
Debit Note can be entered in voucher or Invoice mode.
You need to enable the feature in F11: Accounting or Inventory features .
- To use it in Voucher mode you need to enable the feature in F11 :Accounting Features – Use debit and credit notes .
- To make the entry in Invoice mode enable the option F11: Accounting Features – Record debit notes in invoice mode .
To go to Debit Note Entry Screen,
- Go to Gateway of Tally > Accounting Vouchers.
- Click on Ctrl+F9: Debit Note on the Button Bar or press Ctrl+F9.
Pass an entry for the goods Purchased Returned to Supplier ACER India Ltd.:
(A) Item Invoice Mode :
This Debit Note will pass through Item Invoice ( by pressing ALT+I).
(B) Accounting Invoice Mode :
The Supplier ‘Intel Solutions’ (local supplier) given Scheme Incentive for the given month for Rs. 50,000 with GST adjustment @ 18% .
This Debit Note will pass through Accounting Invoice ( by pressing ALT+I).
