Increase in Input Tax (VAT)
You can record a transaction for increase in input tax in journal voucher.
- Gateway of Tally > Vouchers > press F7 (Journal).
Alternatively, press Alt+G (Go To) > Create Voucher > press F7 (Journal).
Note: You can create a journal voucher from Gateway of Tally > Display More Display > VAT Reports > select the VAT or CST form.
- Press Alt+J (Stat Adjustment). In the Stat Adjustment Details screen,
- Select Type of duty/tax as VAT.
- Select Increasing Input Tax, as the Nature of adjustment.
Note: Based on the selection made for Nature of Adjustments, the Additional Details option either appears or disappears.
- Press Ctrl+A to return to the voucher.
- Debit the expense ledger and enter the amount.
- Credit the input VAT ledger. Enter the tax Rate and Assessable Value in VAT Details screen. The journal voucher appears as shown below:
- Accept the screen. As always, you can press Ctrl+A to save.
The states with Increasing Input Tax available as the Nature of Adjustment are given below:
|
State Name |
Additional Details |
Voucher Entry |
|
Assam |
Set off for tax paid under Section 10 (1A) Sales |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Chandigarh |
Installment of Input Tax on Stock Held on Appointed Day |
Debit: Expenses ledger. Credit: VAT ledger. |
|
Chhattisgarh |
— |
Debit: VAT ledger (in the Rate field of VAT Details screen, the tax rate should be specified as 1%). Credit: Expenses ledger. |
|
Dadra and Nagar Haveli |
Change in Use of Goods, for Purchase for Which Credit Allowed |
Debit: VAT ledger. Credit: Purchase ledger. |
|
Opening Stock |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Other Adjustments |
Debit: Purchase ledger. Debit: VAT ledger. Credit: Party ledger. |
|
|
Switch Over |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Tax Credit for Purchase of Second-Hand Goods |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Transitional Opening Stock |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Delhi |
Change in Use of Goods, for Purchase for Which Credit Allowed |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Not Applicable |
Debit: VAT ledger. Credit: Expense ledger. |
|
|
Opening Stock |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Switch Over |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Tax Credit for Purchase of Second-Hand Goods |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Other Adjustments |
Debit: Purchase ledger. Debit: VAT ledger. Credit: Party ledger. |
|
|
Balance Tax Credit on Right to Use Goods |
Debit: Purchase ledger. Debit: VAT ledger. Credit: Expenses ledger. |
|
|
Goa |
Entry Tax Paid |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
ITC on Net Present Value Scheme |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
|
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
|
Himachal Pradesh |
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Jharkhand |
Attributable Input Tax Towards Exempted Sales |
Debit: Expenses ledger. Credit: VAT ledger. |
|
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
|
Kerala |
Adjustment Against Arrears |
Debit: Ledger grouped under Current Liabilities. Credit: VAT ledger. |
|
Madhya Pradesh |
Others |
Debit: VAT ledger. Credit: Ledger grouped under Current Liabilities. |
|
Maharashtra |
Tax Credit Not Claimed on Goods Return |
Debit: VAT ledger. Credit: Purchase ledger. |
|
Odisha |
Adjustment of ITC Towards Transfer Rights |
Debit: Expenses ledger. Credit: VAT ledger. |
|
Adjustments Towards Transfer Rights – Previous Return |
Debit: Expenses ledger. Credit: VAT ledger. |
|
|
Debit note issued to buyer (insufficient VAT in sales) |
Debit: VAT ledger. Credit: Party ledger. |
|
|
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
|
Refund disallowed |
Debit: VAT ledger. Credit: Expense/income ledger. |
|
|
Puducherry |
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets/Purchase Accounts. |
|
Other Adjustments |
Debit: Purchase ledger. Debit: VAT ledger. Credit: party/cash ledger. |
|
|
Switch Over |
Debit: VAT ledger. Credit: Purchase ledger. |
|
|
Tax Adjustment Towards Transfer of Right to Use |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
|
Tax Credit of Purchase of Second-Hand Goods |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets/Purchase Accounts. |
|
|
Punjab |
Goods Received Back After Job Work |
Debit: VAT ledger. Debit: Surcharge ledger. Credit: Current Assets ledger. |
|
Rajasthan |
Opening Stock |
Debit: VAT ledger. Credit: Purchase ledger. |
|
Uttarakhand |
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Uttar Pradesh |
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
West Bengal |
Opening Stock |
Debit: VAT ledger. Credit: Ledger grouped under Current Assets. |
|
Short Claimed Earlier |
Debit: VAT ledger. Credit: Purchase/expense ledger. |