Simplest way to learn GST in Tally.ERP9
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Creating Expense and Income Ledgers in GST Invoice in Tally.ERP9

Supply of goods or rendering of services may involve additional expenses, which can either form part of stock items or service value, or can be charged separately. When such an expense is recovered from customers, it becomes an income.

While accounting for expenses and incomes, the ledgers have to be grouped under Direct ExpensesIndirect ExpensesDirect Incomes or Indirect Incomes.

To create an expense ledger

1.    Go to Gateway of Tally > Accounts Info. > Ledgers > Create.

2.    In the option Appropriate to select,

o     Goods, if the expense or income value has to be included in the stock item cost.

o     Services, if the expense or income value has to be included in the service value.  

o     Both, if the expense or income value has to be included in stock item cost or service value.

3.    Select the Method of Calculation based on the selection made for the option Appropriate to.

If the option Appropriate to is set to Goods, select the Method of Calculation as:

o     Based on Quantity, if the expense or income amount has to be distributed based on the quantity entered for each stock item in the invoice.

o     Based on Value, if the expense or income amount has to be distributed based on the value of each stock item or service selected in the invoice.

You can use the expense ledger in a sales invoice for recording your additional expenses along with the sale of your goods or services. For detailed information, refer to Recording Sales of Composite Supply Under GST.


Example of GST Sales Invoice having Discount on Sale & Packaging Charges as below…

You can view the tax details by clicking A: Tax Analysis. Click F1: Detailed to view the tax break-up.

Note :  Packing Charges and Discount on Sale is calculated Proportionately on the basis of Value of Goods.


Similarly, you can use this ledger for creating purchase invoices as well.


FAQ @ GST Invoicing and Printing
FAQ @ GST Features and Tax Calculations
Unregistered Dealers under GST
Recording Transactions under GST
Licensing and Migration for GST
Table-wise Report of GSTR-1
Using Multiple addresses for Ledger Account
Create A Voucher Class for Inclusive of Tax Calculations
Creating Voucher Types in Tally.ERP9
Restarting Voucher Numbering
Renewing Your Tally Software Service subscription for Tally.ERP 9
How to Upgrade to the Latest Tally.ERP 9 Release
How to Update Your Tally.ERP 9 License
How to Reactivate Tally.ERP 9 License
Surrendering Tally.ERP 9 License
Activating Tally.ERP 9 License
Configuring Tally.ERP 9 License from Tally Gateway Server
Summary of Exceptions- GSTR-2
Table-wise Report-GSTR-2
Returns Summary – GSTR-2
Computation Details- GSTR-2
Status Reconciliation- GSTR-2
Returns Summary- GSTR-1
Computation Details- GSTR-1
Summary of Exceptions- GSTR-1
Table-wise GSTR-1
Status Reconciliation-GSTR-1
Reversal of Tax Credit under GST
Refund of Tax Credit under GST
Recording Transitional Credit under GST
Adjustments Against Tax Credit under GST
Liability for interest, Penalty, Late Fee, and other Dues in GST
Advance Payment to Supplier under Reverse Charge in GST
GST Payment Voucher
Sales Returns under GST
Export Sales under GST
Sales of Mixed supply under GST
Sales of Composite Supply under GST
Nil-Rated GST-Sales
Exempt GST-Sales
GST-Sales to Consumer (B2C large and small invoices)
GST-Sales Involving Consignee (ship to) and buyer (bill to)
GST-Sale of Works Contract Services
Local GST-Sales
Interstate GST-Sales
GST-Sales of Goods and Services in a Single Invoice
Restart Voucher Numbering in GST Sale
Purchase Returns under GST
Record Inward Supply Of Services As Imports under GST
Raise Tax Liability under GST Purchase
Claim Tax Credit On The Liability Of Imports under GST Purchase
Nil Rated GST-Purchases
Exempt GST-Purchases
SEZ GST-Purchases
GST-Purchase of Works Contract Services
Local GST-Purchase
Interstate GST-Purchase
Updating / Creating a Sales Ledger under GST
Updating/Creating a Purchase Ledger under GST
Setting up GST Rates
Activating GST
Providing GST-related details
Sales Inclusive of Tax in Tally.ERP9
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