Tally.

ERP 9
Quick Setup for Service Tax in Tally.ERP 9
Did you know that in Tally.ERP 9, you can implement all statutory modules and Tally.NET service from just a single screen? Implementing company statutory modules in Tally.ERP 9 involves setting up of statutory masters by entering the required details, creation of needed voucher types and going through advance setup if required. Similarly, setting up Tally.NET also requires creation of users with different security levels and defining various authorization rights based on business requirements. Let us take an example. The standard steps required to implement statutory module for Service Tax are shown in the image below:

Remembering the sequence of creation of all these ledgers, voucher types and various settings is not a simple task. But, Quick Setup provides a one stop solution that allows users to complete all these requirements in a sequential manner from a single screen. It helps users save time, prevent errors and makes implementing statutory modules in Tally.ERP 9 a stress-free experience. Currently, Quick Setup feature in Tally.ERP 9 is available for 7 different modules and in this article lets implement Quick Setup for Service Tax. To do this:

Go to Gateway of Tally.ERP 9 > Quick Setup> Service Tax

The Quick Setup for Service Tax screen has four different sections Company Setup, Master Setup, Voucher Type Setup and Advanced Setup. It also shows the configuration details and status.

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Company Setup: The Company Setup is an option to update Companys Service Tax details. To do this, click C: Company Service Tax Details > Enter the required details> Accept the screen. Note: Service Tax Registration Code, also known as Service Tax Assessee Code, is a PAN based 15 digit alphanumeric number.

Master Setup: The master setup helps users create different ledgers with different options. They are:

Service Ledgers: These ledgers are used while recording any transaction involving Service Tax. You can create different service ledgers under different groups (Purchase Accounts, Sales Accounts, and Indirect Incomes etc.) enable Service Tax, and choose the appropriate Service Category. Tax Ledgers: To create and specify Tax ledgers with their appropriate Tax Head (Service Tax, Education Cess and Secondary Education Cess). Party Ledgers: To create ledgers either for Service Provider or Service Receiver, specify the group and enter each ledgers Service Tax Details.

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Tally.ERP 9
To create Service Ledgers:

Press Alt+S to open Service Ledgers Setup screen Enter Name of Ledger > Select appropriate group name in Under Is Service Tax Applicable is set to Yes by default Select appropriate Category Press Enter to save

You can create several service ledgers for different groups in a similar way. Furthermore, you can create tax ledgers and party ledgers from Master Setup screen in the same way. Voucher Types Setup: All the Service Tax Adjustment entries (to adjust Input Service Credit towards Service Tax Payable) can be recorded in Journal Voucher using Service Tax Adjustment Class.

Service Tax Adjustments: To create Voucher Class and record the transaction in Journal Voucher.

Lets create a Voucher Class using the steps below:

Press F7 to open Voucher Type Setup screen Retain the default Name of Voucher, Type of Voucher and Method of Vouchering Enter Service Tax Adjustment in Name of Class > Press Enter to view Voucher Type Class screen

Set User Class for Service Tax Adjustments to Yes Press Enter to save

Advanced Setup: This option can be used for the following purposes:

Configure Abatement: To set up abatement or deduction allowed by the Government on service tax value by selecting the appropriate ledger and entering the required details (Applicable From Date, Notification No., and Abatement rate).

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Tally.ERP 9
Configure Tax Rate: Instead of making alteration for lower or higher service tax rate during transactions, here, you can set up service ledgers for the same. You can select appropriate ledger and alter the tax rate details (Service Category, Applicable From Date, Service Tax Rate, Education Cess Rate and Secondary Educational Cess Rate).

To set up Abatement in Service Tax:

Press Alt+A to view Abatement Details Setup screen Keep the default Name of Ledger, Under and Category Details Set Yes to Set/Alter Abatement Details for the appropriate ledgers

Press Enter to open Abatement Details screen

Select the relevant Service Category in Category Enter Applicable From Date and Notification Number Enter the Abatement rate (%) Press Enter to save

Similarly, you can set up lower or higher rate of service tax from the Advanced Setup screen. Hence now the Quick Setup wizard is here to help you through, with a simple solution for implementing all the statutory modules and Tally.NET.

Get more Tally Tips on Tally.ERP 9 at www.tallysolutions.com/website/html/contactus/tally-tips.php

Tally Solutions Pvt. Ltd. All Rights Reserved -2011

www.tallysolutions.com