G.A.R - 7 Payment (without using Auto Fill of Statutory Payment)

Under Service Tax Rules, service tax is payable monthly or quarterly depending on the Type of organisation. All the service tax charged (for which payment is received from the service receiver) is to be paid to the credit of Government on or before 5th of the next month.

Service Tax amount shall be paid to the government account through any designated branches of the authorised banks, along with G.A.R.- 7.

In Tally.ERP 9, from Release 3.0 Service Tax payments can be recorded using S: Stat Payment feature. Using this feature you can auto fill the service tax details or manually select the service tax bills

Example: On 3-8-2012 ABC Company paid following tax for the month of April, 2012 to government through cheque (no. 045872)

 

Service Tax Rs. 60,000

Education Cess Rs.1200

Secondary Education Cess Rs.600

To record G.A R. -7 Payment without using the auto fill of statutory payment

Go to Gateway of Tally > Accounting Vouchers > F5: Payment

In F12: Configure (Payment Configuration)

Note: S: Stat Payment button will be displayed in Payment Voucher only in Single Entry Mode.

  1. Enter the Date as 3-8-2012.

  2. Press Alt + S or click on S: Stat Payment to view Statutory Payment screen

  1. In Statutory Payment screen

Note: The Types of Duty/Tax will be displayed based on the statutory features enabled in F11: Features for the company.

  1. In Account field select Canara Bank

  2. Under Particulars select Service Tax @ 12% press enter to view Service Tax Details screen

  3. In Service Tax Details screen

  1. Under Particulars select Education Cess @ 2% press enter to view Service Tax Details screen

  2. In Service Tax Details screen

  1. Under Particulars select Secondary Education Cess @ 1% press enter to view Service Tax Details screen

  2. In Service Tax Details screen

  1. Set the option Provide Details to Yes to enter Service Tax payment details.

  2. In Payment Details screen

  3. From: In this field enter the From date of the period for which the tax is paid

  4. To: In this field enter the To date of the period for which the tax is paid.

  5. Cheque/DD No: In this field user can enter either the cheque or the DD No through which the Service Tax payment is made. In this transaction payment is made through cheque no. as 045872.

  6. Name of the Bank: In this field mention the Name of the Bank through which the tax amount is paid to the Government. Select Canara Bank from the List of Banks.

In this field Tally.ERP 9 displays the List of Banks which lists all the banks which are already created to carry out the regular business, option (New Name) to create new Bank and the option Not applicable if the payment is made by Cash.  

Note: The option New Name will be selected when the authorised bank through which the payment is made is different from the regular bank where the deposit account is maintained. The Bank name created here will not be available under the List of Ledgers.

  1. Bank Account No.: Enter the bank account number in this field.

  2. Branch Name: Enter the bank Branch name in this field.

Note:Bank Account Number and Branch Name details will be defaulted automatically, if the user selects the bank which is already created to carry out the regular business (with Bank Account Number and Branch Name) in the Name of Bank field. User can change such defaulted details.

  1. Cheque Date: Enter the cheque date in this field.

  2. Challan No.: In this field enter the service tax payment challan number.

If the service tax payment challan details are not available at the time of recording the service tax payment entry, such details can be updated by altering the payment voucher.

  1. In Vch Bank Allocation screen

  2. Payment Favouring Name: In this field specify the name of the person (individual/ institution) favouring whom the cheque is issued. Specify applicable commissionerate Name to whom the payment to be made. Eg. Bangalore - I Commissionerate

  3. Transaction Type: In this field select the appropriate Transaction Type depending on the nature of payment . In this case ABC company is making payment in Cheque.

Note: Cross Instrument Using field will be displayed in Bank Allocation screen only for

the Transaction Type - Cheque.

The completed Payment Voucher is displayed as shown:

  1. Press Enter to Accept.

Note: In Tally.ERP 9 Service Tax Payment transaction can also be recorded without using S: Stat Payment Feature.

Print G.A.R.-7  Challan

To print G.A.R.-7 Challan

Press PageUp from the Accounting Voucher Creation screen, to view the earlier entered transaction.

Click on P:Print button or press Alt+P to view Voucher Printing screen.

Press Backspace and enable the option Print G.A.R.-7 Challan to Yes


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