GSTR-4 Filing using Tally.ERP 9

|Updated on: October 27, 2022

If the business turnover of a trader or a manufacturer of goods is less than 1.5 Cr, then such a business can be registered under the Composition Scheme in GST regime. Such a business owner is referred to as a composite dealer.

For GST compliance, composite dealers are required to file GSTR-4 returns on a quarterly basis, in which only summary level details have to be provided. They have to issue Bill of Supply for all their sales, instead of invoices. A flat tax rate is applicable on all their taxable turnover to calculate tax liability. Do most accurate GSTR-4 filing using Tally.ERP9.

With Tally.ERP 9, composite dealers can easily manage their business and compliance needs. Below are the key enhancements for Composition scheme in Tally.ERP 9.

Easy set up for Composition Scheme in Tally.ERP 9

Composite dealers can configure tax rate and other details in Tally.ERP 9 easily with one time set up. They can define applicable tax rates, GSTIN Number and other important details. Also, changes in tax rates can be managed easily. Tally.ERP 9 maintains all of the tax history and ensures that composite dealers get their tax liability right.

Create and print 'Bill of Supply' as per GST format

Composite dealers can generate Bill of Supply' for their sales transactions and print them using Tally.ERP 9. Tally.ERP 9 generates the Bill of Supply as per GST format. If there are any errors while creating the bill, Tally.ERP 9 will raise alerts at the time of saving your bill.

Record purchases accurately in Tally.ERP 9

Composite dealers have to pay applicable taxes for purchases made from regular dealers. However, they cannot charge the same to their customers. As a result, these taxes will get added to their purchase cost. With Tally.ERP 9 tax rates can be configured at each item level. As a result, the taxes paid will get calculated on the landing cost of the item by Tally.ERP 9.

Manage advances and reverse charges

In case of advance payments and purchases of certain services, reverse charge is applicable. With Tally.ERP 9, composite dealers can enable reverse charges to raise tax liability so that it appears as part of tax liability in GSTR-4 at the time of filing.

GSTR-4 filing using Tally.ERP 9

GSTR-4 is a quarterly return that has to be filed by composite dealers. Tally.ERP 9 helps in GSTR-4 filing correctly. It detects transactions which have errors and helps to correct them, ensuring only correct transactions participate in GSTR-4.

Composite dealers can easily generate GSTR-4 in JSON format. This file can be directly uploaded on the GST portal to file GSTR-4. GSTR-4 can be exported in MS-Excel format as well as per preference. Before generating GSTR-4 in MS-Excel, you have to download the Excel Offline Utility from the GST portal. Filing GSTR-4 made simpler in this way.

A flat tax rate is applicable on the taxable turnover of composites dealers. With Tally.ERP 9, they can categorize each item under Exempt, Taxable and Nil categories. Based on this, Tally.ERP 9 calculates tax liability based on taxable turnover.

Generate e-Way Bills using Tally.ERP 9

For transporting goods worth more than Rs. 50,000/- a business needs to generate an e-Way Bill. This is mandatory within some States, while some States have made this mandatory for interstate transactions as well.

Composite dealers can key in additional transportation details right at the time when preparing invoice for consignments. This data can be exported in a JSON file and uploaded in the e-Way Bill portal for generating the e-Way Bill which also has the e-Way Bill Number on it. The e-Way Bill Number can be updated in the invoice and printed.

These are some of the key enhancements made in Tally.ERP 9 for composite dealers. For more details, visit 

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