What is Tally

Tally is an ERP accounting software package used for recording day to day business data of a company. The latest version of Tally is Tally
ERP 9.
Tally ERP 9 Software is one acclaimed financial accounting system and inventory management system with power computer.
Tally.ERP 9 is one best accounting software that can integrated with other business applications such as Sales, finance, Purchasing,
Payroll, Inventory, etc.
Tally software stores all the business transactions of each account in detail. Tally ERP 9 follows double entry accounting system and hence
eliminates and rectifies possible errors.

Features of Tally
1. Tally ERP 9 supports multi languages, so it is called as multi-lingual tally software. Accounts can be maintained in one language and reports can
be viewed in another language.
2. You can create and maintain accounts up to 99,999 companies.
3. Using payroll feature, you can automate employee records management.
4. Tally has feature of synchronization, the transactions maintained in multiple locations offices can be automatically updated.
5. Generate consolidated financial statements as per requirements of company.
6. Managing single and multiple groups are very important features of tally.
Versions of Tally
1. The first version of Tally was Tally 4.5 and it was released in 1990’s. It is a MS-Dos based software.
2. The second version of Tally was Tally 5.4 and it was released in 1996. It was a graphic interface version.
 3. The next version of Tally was Tally 6.3 and this Tally version was released in 2001. It is a window based version and supports in printing and
implemented with VAT (Value Added Tax).
4. The next version of Tally was Tally 7.2 and it was released in 2005. This version was added with a new features of Statutory complimentary
version and VAT rules as per state wise.
5. The next version of Tally was Tally 8.1 and it was developed with a new data structure. This version was added with new features of POS (Point
Of Sale) and Payroll.
6. Due to bugs and errors, a new version of Tally 9 was released in 2006. It has maximum features like Payroll, TDS, FBT, E-TDS filling, etc.
7. Tally.ERP 9 is the latest version of Tally and released in 2009. This latest Tally ERP 9 package offering maximum features for small business
industries to large business industries. It also updated with new features of GST (Goods & Services Tax).

Advantages of Tally ERP 9

1. Tally ERP 9 software is a low cost of ownership and it can be easily implement and customize.
2. Supports multi operating systems such as Windows & Linux and can be installed on multiple systems.
3. Tally software utilizes very low space for installation and the installation of tally is an easy method.
4. It is built in back up and restore, so the user can easily backup all companies data in a single directory, in a local system disk.
5. Supports all types of protocols such as HTTP, HTTPS, FTP, SMTP, ODBC, etc.
6. Supports multi languages including 9 Indian language. The data can be entered in one language and you can generate invoices, Po’s, delivery
notes, etc in other language.

Tally Screen Components

Tally Screen Components – After you startup the Tally ERP 9 Application, the welcome home screen of Tally ERP 9 – Power of Simplicity
displays on the screen during the Tally software loading on compute system.

Configurations in Tally ERP 9: The F12: Configuration in Tally.ERP 9 is applicable for all the companies that located in Tally.ERP 9 data
directory. The F12:Configurations may vary from menu to menu, for example if you press F12: Configuration from voucher screen the
respective screen displays on the screen.
How open Configurations in Tally ERP 9
Gateway of Tally –> Press function key F12 or click on F12:Configure
The configuration screen contains multiple settings that helps to configure the required information for master creation, voucher entry,
banking, printing, etc. The important settings that available on configurations screen are
 General
 Numeric Symbols
 Accts/ Inventory info
 Voucher entry
 Invoices / Orders entry
 Payroll Configuration
 Banking Configuration
 Printing
 E-mail
 Data configuration
 Advanced configuration
 Product T & Features
 Licensing
General: Under General configuration screen, you can configure the details of country, name style, format of dates, format of number, Table
configuration, Import/export configuration and other options.

How to create company in Tally ERP 9

Step 1: After login to Tally, double click on the option create company under company information. To create company in Tally, follow the
following navigation path Gateway of Tally > Company Info > Create company
 Step 2: The
company creation window displays on the screen as show below image
Note: Use the enter key or Tab key or Arrow key or Mouse to navigation between the fields in Tally.
Step 3: On company creation screen, update the following details
1. Directory: It is a path where the company date will be stored on system. By default, the tally directory will updated as
C:\Users\Public\Tally.ERP9\Data and you can change the path as per your requirements.
2. Name: Update the name of company that identifies in Tally ERP 9.
Primary Mailing Details
1. Mailing Name:The mailing name of company will be automatically updated as per the given name of company, however the mailing name can be
changed as per the requirements.
2. Address: Update the complete address details of company
3. Statutory Compliance for: Choose the country name as India from the given list of countries.
4. State: Choose the state from the given list of states.
5. Pin Code: Update the Pin Code of company, where it is located.
Contact Details
1. Telephone No: Update Company landline/ Telephone number
2. E-Mail: Update the company e-mail id
3. Mobile No: Mobile number for contacting
4. Fax no: Update the Fax number
5. Website: Update the official website address of company

Books and Financial Year Details

1. Financial Year From: Update the financial year starting date, all Indian companies financial year start from 1st April and ends on 31st March.
Tally considers the 12 months from the date given for financial year. The financial year will be automatically displayed on Tally system, if FY starts
in middle of year, you can specify the exact date from here.
2. Books Beginning from: Specify the books beginning date.
Security Control
 1. Tally Vault Password: By enabling Tally vault password, the company data is secured in an encrypted form. The data is not accessible without
the password, if you lost the password that will be not recovered.
2. Use Security Control: Enabling securing control helps only authorized users are allowed to enter/edit/delete the vouchers on Tally.
Base Currency Information
1. Base Currency Symbol:
2. Formal Name: INR (India Rupees
3. Suffix Symbol to Amount: No
4. Add spaces between the amount and symbol: Yes
5. Show amount in Millions: Yes
6. Number of decimal Places: 2
7. Word representing amount after decimal: Paisa
8. No of decimal places for amount in words: 2

How to Alter/ Delete / Shut Company in Tally

In this Tally ERP 9 tutorials, you will learn how to alter company, delate company and shut company in Tally software.

How to Alter Company in Tally

After creation of company in tally, the given company information can be alter/ modify/ change as per requirements.
Step 1: To Alter company in Tally: Gateway of Tally >> Press Alt+F3 > Alter
Step 2: Under list of companies, choose the company name (Tutorial Kart) and click on name of company to alter.
Step 3: On company alteration screen, add and modify the required details and use Ctrl+ A options to save the details. Here we have added
contact details of phone number.
How to delete company in Tally ERP 9
If you delate company in Tally, it removes the complete information of company from Hard drive, all the files and directories that are
associated with company will be deleted permanently and it can not be reversed.
To delete company in Tally ERP 9: Gateway of Tally > Alt+F3 > Alter > Alt+D.
Step 1: After using Alt+F3 keys, the company information screen displays on the screen. Here the delete option will be not available. Click on
alter option.
Now selection company and click Alt+D and click on YES option to delete the company in Tally ERP 9.
How to shut company in Tally ERP 9
Shut a company in tally does not mean that delete a company, it means close. After you work with company, press Alt+F1 if you choose
more than one company or choose Quit button to close the present company.

After updating all the required details of company, choose Yes to save the entered details in Tally.
 How to Create Group in Tally and How to Alter & Display
In this Tally Tutorial, we shall learn how to create group in Tally ERP 9 and how to alter and display created groups.
If you are creating groups in Tally for the first time, it is recommended to enable
 Provide advanced information in masters
 Allow advanced entries in masters
Path: Gate way of Tally –> F12: Configure –> Accts / Inventory Info –> Accounts

How to create Group in Tally

Maintain the following Sundry Debtors Ledgers Accounts in Tally.ERP 9
 Main Groups: South India Debtors Group and North India Debtors Group under Sundry Debtors
 Sub-Groups: Bangalore debtors, Vijayawada debtors and Hyderabad Debtors under South India Debtors
 ABC limited & Tech solutions grouped under North India Debtors.
Step 1: Go to Gateway of Tally and click on accounts Info
Step 2: Under Accounts info, choose the option Groups.
Step 3: Under Single Group menu, choose the option create to create single group in Tally ERP 9
Step 4: On Group creation screen, update the following details.
 Name: Enter the name of group and press enter to continue
 Under: Choose the group name from list of groups as Sundry debtors (You can move to group name pressing upper or lower key).
After entering the required details, press enter or Ctrl+A / A:Accept to save the details.
Note: After creation of new group in Tally, created group displays under the list of groups.
Also create other groups using above procedure
 South-India-debtors under Sundry Debtors
 Bangalore debtors, Vijayawada debtors and Hyderabad Debtors under South India Debtors
 ABC limited and Tech Solutions under Bangalore Debtors.
Tally.ERP 9 allows to create any number of groups under all default groups. Here we have created two groups under Sundry Debtors i.e.
South India Debtors and North India Debtors. And three sub-groups (Bangalore debtors, Vijayawada debtors and Hyderabad Debtors)
created under South India Debtors.

How to Display a Group in Tally

After groups are created in Tally ERP 9, you can display all the created groups with details. However in display mode, users are not allowed
to edit/ alter the data.
Step 1: Path: Gateway of Tally > Accounts Info > Groups.
Step 2: Click on the option display under single group to displays groups in Tally.
Step 3: Under list of groups names, choose the required group name and click on that particular group to display on the screen.
Now the ledger (Bangalore Debtors) display on the screen as

Click on Q: Quit to close the screen.

How to Alter Group in Tally ERP 9
After groups are created in Tally.ERP 9 application, the details can be alter as per the requirements. To modify/ alter group in tally, refer
below steps:
Step 1: Goto Gateway of Tally -> Accounts Info –> Groups.
Step 2: Under single group, click on alter option.
Step 3: You can search the group from the given search field and click on that group name to modify the details.
Step 4: On Group Alteration screen, update the required details and click A: Accept to save the details.
Now learn how to create ledgers for ABC limited and Tech Solutions under Bangalore Debtors.

Create Single Ledger in Tally.ERP 9

In this Tally tutorial, we shall learn how to create single ledger in Tally step by step.
Note: In this lesson, we are going to create ledger Axis Bank Account under Bank Account.
The date that required for ledger depends upon the features opted by us. If the settings of accounting features (F11) of company were “NO”
for all options, than the ledger screen provides with minimal information.
Tally.ERP 9 automatically creates two ledger accounts i.e. Cash in Hand and Profit & Loss Account. We can create the ledger accounts as
per requirements of an organization. We can not create another profit & loss account in tally, and we can create any number of cash
accounts with different names (Petty Cash).
How to create ledger account in Tally ERP 9
Path: Gateway of Tally –> Accounts Info –> Ledgers –> Single Ledger –> Choose Create
Step 1: From Gateway of Tally Screen, click on accounts info
Step 2: In the next screen, choose “Ledger”

Step 3: In the next ledger screen, choose the option create under single ledger
Step 4: On ledger creation screen, update the following details
 Name: Enter the name of ledger account, and the name should be unique.
 Under: Choose the group name from list of group, that pertains to ledger account.

After maintaining all the required details, choose Yes option under Accept to save the configured details in Tally.ERP 9.
How to display single ledger in Tally
After creation of single ledger account in Tally, you view the details of ledger by choosing the option display. Refer below steps how to
display single ledger
Path: Gateway of Tally –> Accounts Info –> Ledgers –> Single Ledger –> Choose Display

Choose the ledger account from list of ledgers

Now the complete details of ledger account display in the screen as shown below image.
How to Alter Single ledger in Tally
Path: Gateway of Tally –> Accounts Info –> Ledgers –> Single Ledger –> Choose Alter

On select ledger screen, choose the ledger account from the list of ledgers
Now modify/ alter the required details for ledger account and click on A:Accept to save the changed details in Tally ERP 9.

Create ledgers in Tally

In this Tally tutorials, we shall learn how to create ledgers (multiple ledgers) in Tally.ERP 9. After creation of groups, you can create ledgers
under groups in Tally.
Step 1: Goto Gateway of Tally and Choose Accounts Info.

Step 2: Under account info, choose the option Ledgers

Step 3: Click on create under multiple ledgers option to create multi ledgers in Tally
Step 4: On multi ledger creation screen, enter the following details
Under Group: Choose the Bangalore Debtors under the list of groups, however you can search group by entering the group name in the
given under group text field.
Step 5: Under Group: Bangalore Debtors screen, update the following details.
1. Name of Ledgers: Enter the name of ledger that you like to create in Tally
2. Under: The under group field will be automatically filled by Tally as Bangalore Debtors ( As we are creating ledgers under Bangalore Debtors).
3. After entering the details, press enter to continue. You will get messages as Accept: Yes or No, choose Yes to accept the updated details in
Tally.ERP 9.
Successfully we have created multiple ledgers in Tally ERP 9.
How to display Multiple Ledgers in Tally.ERP 9
After ledgers are created in Tally application, we can check multiple ledger by choosing the display option.
Path : Gateway of Tally –> Accounts Info –> Ledgers –> Multiple Ledgers (Display).

On select group screen, choose the group name “Bangalore Debtors” from the list of groups.
Now the multi ledger screen displays as shown below.
Note: In this display mode, users are not allowed to modify any changes. For this user are required to choose the alter option.

How to change/ alter multi ledgers in Tally ERP 9

The path for alter multiple ledger is same as create and display. Through this alter mode, you can change the details as per the
requirements.
Path: Gateway of Tally –> Accounts Info –> Ledgers –> Multiple Ledgers –> Choose Alter

From the list of the groups, choose the required group name for alteration.
On multi ledger alteration screen, you can update the following details
 Add or delete the ledgers
 Opening Balance – Dr/Cr
Press enter and Accept the details to save in Tally.
Cost centre in Tally
In this Tally Tutorial, we shall learn how to create, display and alter cost centre in Tally ERP 9 step by step.
Enable Cost Centre in Tally
Before creation of cost centre in tally, make the following configuration settings to enable cost centre in Tally.ERP 9. By enabling cost
centres in accounting features helps you to create cost centres under account info.
Step 1: Go to Gateway of Tally > F11: Features > click on F1: Account Features.

Step 2: In the next screen, enable the option for Maintain Cost Centres as “Yes”
Click A:Accept to save the changed details in Tally.ERP 9.
How to create cost centre in Tally
Path: Gateway of Tally –> Accounts Info –> Cost Centres.
Step 1: Go to Gateway of Tally and click on Accounts Info.

Step 2: Now click on the option “Cost Centres”

Step 3: In the next screen, under single cost centre option click on the option create.
Note: If you want to create multiple cost centres in Tally, choose the option create under multiple cost centres.

Step 4: On cost centre creation screen, update the following details

 Category: Tally automatically create primary cost centre where all the cost centres are to be assigned. Primary cost centre is a default cost centre until we
create new one. Choose the category as Primary Cost Centre.
 Name: Enter the name of cost centre.
 Alias: You can can call the cost centre with other name, for e.g. Head Office, Branch, etc.
 Under: Update the parent cost centre for this cost centre from the list of cost centres.
After entering the required details for cost centre creation, choose A:Accept to save the details.

How to display Single Cost Centre in Tally

Path: Gateway of Tally –> Accounts Info –> Cost Centres –> Single Cost Centre -> Display
On select the cost centre screen, choose the cost centre from the list of cost centres.
Now the cost centre displays on screen with details.
Stock Groups in Tally
Stock groups in Inventory are similar to groups in accounting master. Stock groups in tally helps in classification to stock items according to
their behavior. The grouping of stocks in tally enables to identify and report in statements as per stock wise. Similar stocks can be are
grouped under stock groups according their characteristics, brand, product type, etc.
Examples of Stock Groups
Tutorial Kart sells Laptops, PC’s and Music system. Below are the structure of stock items that being sold.

Group A Computers

A1a – 13 Inch Laptop

A1 – Lenov0 A1b – Lenovo 16 Inch PC

A2a – Dell 13inch Laptop

A2 – Dell A2b – Dell 16 inch Pc

A2a – HP 13inch Laptop

A3 – HP A3b – HP 16 inch PC

In above example, all the laptops and Pc’s are grouped under computers and main stock group computer will be created in tally.

Group B – Music System

A2a – Blue Ray Player

B1 –
Sony B2b – DVD player
In above examples, music products are grouped under music system and main stock group music system will be created in tally.
How to open Stock groups in Tally ERP 9
Step – 1: Gateway of Tally > Inventory Info.
After opening the Tally application, from the Gateway of Tally screen choose the inventory info under Master tab.

Step 2: Next under Inventory Information, displays list of inventory masters where you can maintain inventory master data.
 1. Stock groups
2. Stock Categories
3. Stock items
4. Unit of Measures
5. GoDowns
6. Voucher Types
7. Copy Allocation details
To work with stock groups in tally, click on stock groups option.
Step 3: Under stock groups, it display two types of stock groups
1. Single Stock Group
2. Multiple Stock groups
From this screen, you are allowed to create, display and modify single stock group and multiple stock groups in tally.
Through stock groups, it helps you to find the total sales, as per brand wise at particular period of time.

Create single stock group in Tally

Stock groups in Tally are used to classifies the products according their common behavior. To create single stock group in Tally ERP 9 use
the following navigation paths: Gateway of Tally > Inventory Info > Stock Groups > Single Stock Group > Create.
Refer below step by step procedure for creation of single stock group in Tally ERP 9.
Step 1: From Gateway of Tally screen, choose Inventory Info.
Step 2: In next screen, under inventory info choose stock groups.
Step 3: Under single stock group, choose create option to create single stock group in as per requirements of company.
Step 4: In next screen “Single Stock Group Creation” enter the following details.
 Name: Enter the name of stock group that has to be created in Tally. Here we have given “Television” as a new single stock group.
  Under: Choose stock group as Primary
 Should quantities of items to be added: Choose options as Yes

After entering all the required details, choose “A:Accept” to accept the updated details.
Now successfully we have created single stock group in Tally.
Create multiple stock groups in Tally
After creation of single stock group, the next step is creation multiple stock groups in SAP. To create multiple stock groups in Tally, follow the
navigation Gateway of Tally > Inventory Info > Stock groups > Multiple stock groups > Create.
Refer below step by step procedure of creation of multiple stock groups in Tally ERP 9.
Step 1: From Gateway of Tally Screen, choose the option Inventory info.

Step 2: Choose the option stock groups under Inventory Information.

Step 3: Under stock groups, it displays two types of groups
1. Single stock group
2. Multiple stock group
We already created single stock group in Tally, here we are going to create multiple stock groups. Now choose “Create” option under
multiple stock groups.

Step 4: In the next screen multi stock group creation, you need to choose the group under the list of groups for under group. Here we have
given Television (double click on Television to choose) as under group.
How to Create Stock Category in Tally
Stock category in tally can be created by using two methods, i.e
 Single stock category
 Multiple stock category
Before creation stock category in tally, you need to set “Yes” for Maintain Stock Categories in F11: Features. Gateway of Tally > F11:
Features > Inventory Features
How to Create Single Stock Category in Tally
Step 1: Navigation to Gateway of Tally and than choose the option Inventory Info

Step 2: Under inventory info, choose Stock Categories option to create stock category in Tally.ERP 9.
Step 3: Under Single stock category, choose “Create” option to create single stock category in Tally.
Step 4: In next screen “Sintock creation” update the following details.
 Name: Enter the name of stock category that has to be created in Tally, here we have given name of stock category as “32 Inches TV”
 Under: By default choose “Primary”
 Press enter to continue and click on Yes to accept the data.
How to create multiple stock categories
Step by step procedure to create multiple stock categories in Tally.
Step 1: – Choose the option “Create”under multiple stock categories to create multiple stock categories in Tally.ERP 9.
Step 2: In next screen multi stock category creation, choose under category as “All Items” by choosing all items, you can assigned under
Prime category.
Step 3: Now enter name of category and press enter to continue. Choose under category as “Primary“.
After maintaining all the required details, press A:Accept to save the configured details in Tally ERP 9.
Step 5: Now update the Stock group as shown below .

Name of Stock Group Under Should Quantities of Items be Added

Sony Tv Television Yes

Samsung Tv Television Yes

Xiami Tv Television Yes

Philips Tv Television Yes

After maintaining required details for multi stock group creation, choose A:Accept to save the configured details in Tally.
Tally Information

Company

Create, Display, Alter,Delete,Shut

Gateway -> Alt +F3 -> Company Information

Select

Shut

Alter

Split

Tally Vault

Group

Gateway -> Accounts Information -> Group -> Ledger

Create

Display

Alter

Quit

Gateway -> Inventory Information -> Group -> Stock Item ->

Create

Display

Alter

Quit
Esc Quit

Alt+ F3 Company information

F2 Date

Alt + F2 Period

Alt + D Delete