A REPORT

ON

“ACCOUNTING”

At

Sandeep Prateek & Co.

By:

Student Name: - Kusum

Roll No.: - 2014503
Student Id: - wbbcm20414

Report submitted in partial fulfillment for the Degree of Bachelor's of Commerce

Department of Commerce and Management
BANASTHALI VIDYAPITH
2022

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2
 DECLARATION

I Kusum bearing Roll No. 2014503, hereby declare that this report entitled
“Accounting – Tally” has been prepared by me for the fulfillment of the
requirement for the award of the Bachelor of Commerce (B.COM.) Degree under
the guidance of “Mr. Amarjeet “.

I also declare that this project is my original work and has not been previously
submitted.

Name: -Kusum
Roll No.: - 2014503

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 ACKNOWLEDGEMENT

I have been working on this topic from 20th May 2022 to 30th June 2022 and this is a very
impressive and knowledgeable report. I extend my special thanks to my mentor Mr.
Amarjeet for his special guidance and judgment in making me understand different new
ways to work in Tally and also new concepts in E-Accounting.

He gave me lots of chances to work with him and try to extend my knowledge and
experience in the Accounting field.

Last but not the least, I want to thank my parents who were also the backbone of this
research work.

KUSUM

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 Index
S. No. Particulars Pg. No.
1. INTRODUCTION 6-9
Services offered by Sandeep Prateek & co.
Introduction to Project
2. LITERATURE REVIEW 10
3. RESEARCH METHODOLOGY 11-13
Some Shortcuts keys in Tally ERP 9
4. ANALYSIS & FINDINGS 14-24
Balance Sheet
VAT
TDS
Payroll
E way Bill
About Input Tax & Output Tx
Types of Dealer
Difference between Tally ERP 9 and Tally Prime
Tally ERP 9
5. SUMMARY 25
Reference

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 Introduction to Charted Accountant Firm

Sandeep Prateek & Co is a well-established and renowned Chartered Accountant firm,

situated in Gurgaon Sector 31, Gurgaon. They are having more than 6 Years of
experience into firm registrations, tax filings, compliances, Certifications, Audits, IPR,
etc. They are a group of highly skilled professionally qualified individuals offering
services to startups, individuals, sole proprietors, small business firms and limited
companies in India.

There main is to delight their customers by providing them quality services within time at
an affordable cost. They are not only involved in offering bookkeeping, accounting,
payroll & taxation services but also provide free tax advices and tips to their customers
so that they can achieve their business goals in time and with ease.

Services offered by Sandeep Prateek & Co.: -

• Company Registration -

✓ Private Limited Company Registration

✓ One Person Company (OPC) Registration
✓ Public Limited Company Registration
✓ Producer Company Registration
✓ Partnership Firm Registration
✓ Sole Proprietorship Registration
✓ LLP Registration
✓ Company Registration

• Special Entities Registration –

✓ MSME Registration
✓ Society Registration
✓ Section 8 Company Registration
✓ Nidhi Company Registration
✓ NGO Registration
✓ Trust Registration
✓ Telemarketing Registration
✓ FCRA Registration

• Tax Registration –
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 ✓ Professional Tax Registration
✓ Excise Registration
✓ TAN Registration
✓ PSARA Registration

• Licenses Registration –

✓ FSSAI Registration
✓ Import Export Code (IEC) Registration
✓ ISO Registration
✓ Trade License
✓ Provident Fund Registration
✓ ESI Registration

• GST Services –

✓ GST Registration
✓ GST Return Filing
✓ GST Audit

• Tax Filing –

✓ Business Tax Filing

✓ TDS Return Filing
✓ LLP Annual Filing
✓ ESI Return Filing
✓ ITR Filing

• Compliances –

✓ ROC Compliances
✓ Proprietorship Compliance
✓ Partnership Firm Compliance
✓ LLP Compliance
✓ Private Limited Company Compliance

• Company Services -
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 ✓ Partnership to LLP
✓ Private Limited to One Person Company
✓ Private Limited to Public Limited
✓ Sole Proprietorship to Private Limited Company

• Corporate Services -

✓ Company Name Change

✓ Share Transfer
✓ Add/Remove Directors (Company)
✓ Increase Authorized Share Capital
✓ Close Company & LLP
✓ Bookkeeping
✓ Payroll
✓ TDS & Withholding Tax
✓ Expatriate Taxation
✓ International Taxation
✓ Account Outsourcing
✓ Income Tax Matters & Tax Planning Design
✓ Due Diligence
✓ Appeal to Commissioner of Income Tax
✓ Certification & Attestation Services
✓ Implementation &Review of Accounting Manual

• Audit Services –

✓ Internal Audit
✓ Stock Audit
✓ Bank Concurrent Audit
✓ Proprietary Audit
✓ Concurrent Audit
✓ Revenue Audit
✓ Audit from 15CANand 15CB of Income Tax Act
✓ Internal Finance Control (IFC) and Financial Reporting Audit

• IPR Services –

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 ✓ Trademark Registration
✓ Trademark Objection
✓ Trademark Renewal
✓ Copyright Registration
✓ Patent Registration
✓ Patent Provisional Registration
✓ Design Registration

Sandeep Prateek & Co, CA situated in Gurgaon Sector 31, Gurgaon always make
great efforts in keeping new & existing clients happy. They not only provide quality
services to their clients based on their requirements but also help them in minimizing
the tax liability and increasing the revenue. They are prompt in answering any query
submitted by their clients.

❖ INTRODUCTION TO PROJECT

During my internship, I have work done on “S.G. Industries”.

S.G. Industries is an ISO 9001-2008 Certified Company, which is conversant of highly-

advanced technology for offering quality Steel Products. The company was founded in
the year 2003 in Gurgaon, Haryana (India). Since then, incorporation has undertaken all
Engineering facilities for the production & erection the various Steel Products.
Moreover, the company has gained the trust of all the clients under the leadership of
Mr. Paban Kumar. There infrastructure is well-equipped which helps them in
undertaking simple to complex mechanical and technological fabrication & erection
projects.

S.G. Industries is promoted by experienced & technical persons who have a proven
record of completing every project in time and within the agreed cost and time
constraints. They have created several benchmarks by offering the best quality
products. The factors responsible for their constant growth are inclusive of:
o Fully equipped manufacturing facilities,
o Spacious Manufacturing Unit & use of advanced machinery,
o Customized packaging,
o Expertise in smooth and time-bound handling of high-value projects.

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 LITERATURE REVIEW

Shainesh G (2004) 1 in his paper entitled, “Understanding buyer behavior in

software services – strategies for Indian firms”, analyzed the Buying behavior in a
business market is characterized by long cycle times, group decision making,
participants from different functional areas and levels and sometimes divergent
objectives, and changing roles of the participants during the buying cycle. Due to
the technological uncertainty of software services and high levels of markets, he
found complexity in the buying process.

ZulkarnainMuhamadSori (2009) 2 in his study on “Accounting Information

Systems (AIS) and Knowledge Management: A Case Study” describes the use of
Accounting Information systems and its contribution to the knowledge
management in the selected company in Kuala Lumpur. Data for the study have
been received from Operational level managers. He has found that the use of
AIS has improved the process of generating financial reports.

ManirathWongsim (2013) 3 in his study on “The Importance of Influences

Factors for Chooses and Use of software and Hardware to support Operations in
Accounting Information Systems Adoption” found the relationships between the
quality of AIS adoption and influence factors are influenced by technology
factors. Improvement in technological factors, the capability of software and
hardware also provides a broad platform for exchanging data, coordinating
activities, sharing information, and supporting private and public sectors
influencing AIS adoption quality.

HadiSaeidi (2014) 4, in his study on “The Impact of Accounting Information

Systems on Financial Performance- A Case Study of TCS- India” found that after
the use of AIS, there was a positive relationship in knowledge and understanding
of the managers and accountants. Also, a positive relationship between decision-
making and financial performance after the use of AIS.

Naveen Hanagandi (2017) 5 conducted a study on, “Consumer Buying Behavior

towards Accounting Software: A Study on Hubli-Dharwad Region”. He examined
the consumer attitude toward accounting software and to understand the
customer preferences for the accounting software. Customized accounting
software is one that can be reached to most customers through various means of
advertisements.

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 RESEARCH METHODOLOGY

Every organization needs to maintain its books of accounts for every accounting year.
Traditionally, the book keeping has been made manually by a trained accountant with
full knowledge of accountancy. But now in digital world, maintaining books of accounts
in accounting software is possible. Tally ERP.9 is most widely used accounting
software. It is simple and easy to understand for the users who have less knowledge of
books of accounts.
Tally ERP.9 contains all the features required for high performance business
management. Invoice format can be customized according to the need of the users.
There is no need of separate internet connection while using it.
Tally is a software in which we can keep the record of per day’s data of small and
medium level of business. It is a fully integrated, affordable and highly reliable software.

Some shortcut keys in Tally ERP.9: -

Alt+A Add voucher/ To alter the column

Alt+D Delete a voucher/ To delete Accounting or inventory master

Alt+I Insert a voucher/ To toggle between item and Accounting

invoice

Alt+P To print the report

Alt+W To view the tally web browser

Ctrl+Alt+B Check the Company Statutory details

Ctrl+Alt+R Rewrite the data for a company

Alt+H Help shortcut

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Ctrl+M Switches to main area of Tally Screen

F2 Change the date

F4 Contra Voucher

F5 Select Payment Voucher

F6 Select Receipt Voucher

F7 Select Journal Voucher

F8 Select Sales Voucher

F9 Select Purchase Voucher

Ctrl+F9 Select Debit Note Voucher

F10 Navigate between Accounting Reports

F11 Modify Company features specific to current company only

F12 Master Configurations, which will affect all companies in same

data directory

Ctrl+L Mark a Voucher as Optional or Regular

Alt+F4 Purchase Order Voucher

Alt+F5 Sales Order Voucher

Alt+F6 Rejection in

Alt+F7 Stock Journal/ Manufacturing Journal

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Alt+F8 Delivery Note

Alt+F9 Receipt Note

Alt+F10 Physical Stock

Esc Clear entry

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Analysis and Findings

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 S.G. Industries
(Proprietor: - Sunita Rani)
Kadipur Industrial Area, Pataudi Road, Gurgaon-122001, Haryana

Balance sheet as at 31 March 2022

Liabilities Amount Assets Amount

Proprietor’s Capital 12,918,804 Non-Current Assets

Fixed Assets
Unsecured Loans 7,000,000 -Tangible Assets 1,895,301

Secured Loans 2,500,000 Current Assets

Closing Stock 10,500,000
Duties & Taxes 400,000 Sundry Debtors 8,750,000
Cash & Bank Balance 250,000
Current Liabilities & Provisions Loans & Advances 6,500,000
Current Liabilities 6,283,333 Other Current Assets 1,206,837

29,102,138 29,102,138

Mostly, I used Tally ERP.9 during my internship. This is most popular accounting
software used in India and it is very easy to understand the feeding of input data. The
usage of Tally ERP.9 is very simple. Only we have to do is learning shortcut keys and

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accounting concepts. It is easy to make invoices, generate reports and to prepare tax
compliances reports.
After installing Tally ERP.9, we have to purchase license to work on it. Otherwise, it has
educational mode also. In Education mode, there is no need of license and use to learn
all the topics and methods initially. This mode is mostly used by students to learn Tally
ERP.9 basics. This Education Mode is available in every version of Tally, Like, Tally
ERP.9, Tally Prime, etc.
This accounting software makes accounting more accurate. We only need to feed input
data, all the reports, vouchers, invoices generated automatically by the software.
In Tally ERP.9, we can prepare Cash Book, Journal, Ledger, Sales and Purchase
Vouchers, Debit and Credit Entries, Payroll, Cash Flow Statement, Fund Flow
Statement, Balance Sheet, Profit and Loss Account, Ratio Analysis, E-Way Bills, TDS,
TCS, GST also.
So, during my internship, my mentor worked on many companies, preparing their sales
voucher, purchase voucher, balance sheet, E-Way bills, etc.
I also tried to work with them on tally, and really I enjoyed it very much. It is very easy
than manual accounting. I learn shortcut keys and it makes my work easy.
Formats are premade and calculation is also done in that software, we have to just put
the input data.
I have prepared sales and purchase vouchers of S.G. Industries of last 3 months. Also
my mentor told me how to create company, how to prepare financial statements,
Budgets and how to alter the changes or delete some vouchers and invoices. We can
also restore the company after deleting it.
Also how to check our mistakes while preparing the books of accounts in accounting
software.
But I also face some problems initially while entering data. I got confused how to put
data in that format and how to calculate the amount. But with the regular use, I
understand all the methods.

VAT

Value Added Tax (VAT) is a type of indirect tax levied on goods and services for the
value added at every point of production or distribution cycle, starting from raw material
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and going all the way to the final retail purchase. VAT was introduced on April 1, 2005.
Under it, the amount of value addition is first identified at each stage, and then tax is
levied on the same. The end consumer has to pay the complete VAT while purchasing
goods; buyers at earlier stages of production receive reimbursements of tax they have
paid. Because the consumer bears the entire tax, VAT is also a consumption tax.

In July, 2017, Government introduced Goods & Services Tax (GST) to make indirect
taxes structure simpler. Though GST replaced VAT on most goods, but VAT continues
to be the tax levied on such goods which are not covered under new regime.
Like, Alcohol, Petroleum, Electricity, Fruits, Vegetables, etc.
GST is the new and advanced method of the taxation system. This taxation system was
introduced to eliminate the key issues under the VAT regime such as cascading effect
tax on tax levied on a product at every step of the sale. The end user had to pay the tax
on the already paid tax.

After introduction of GST, there are many benefits in taxation like:

1. Cascading effect
2. Simple online procedure
3. Lesser compliances
4. Separate treatment for e-commerce compliances

TDS

TDS means Tax Deduction at Source. The concept of TDS was introduced in the
income Tax Act, 1961, with the objective of deducting the tax on an income, at the
source of income. It is one of the methods of collecting Income Tax, which ensures
regular flow of income to the government.

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 Payroll

Payroll refers to a series of accounting transaction involved in the process of paying

employees for the services rendered after taking all the statutory and non-statutory
deductions into account, in conformance with the terms of employment, company policy
and the law of the land.

In Tally ERP.9,
It is fully integrated with accounts to give you the benefits of simplified payroll
processing and accounting.
It has user defined classifications and sub-classifications for comprehensive reporting.
This may relate to the employees, employee groups, pay components, departments,
etc.
It provides the facility to create user-defined earnings and deductions Pay Heads.
It provides auto-fill facility to expedite the Attendance, Payroll & Employer Contribution
processes.

EWay Bill

EWay Bill is an Electronic Way bill for movement of goods to be generated on the eWay
Bill Portal. A GST registered person cannot transport goods in a vehicle whose value
exceeds Rs. 50,000 without an eWay Bill that is generated on ewaybillgst.gov.in.

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This bill a\can also be cancelled or generated through SMS. Validate the GSTIN with
the help of the GST search tool before using it.
When an eWay bill is generated, a unique EWay Bill Number (EBN) is allocated and is
available to the supplier, recipient, and the transporter.

Inter-State movement of goods has seen rise in numbers of generation of EWay bills
ever since its implementation began from 1st April 2018.

State-wise implementation of EWay bill system has seen a good response with all the
States and Union Territories joining the league in the generation of EWay bills for
movement of goods within the State/UT.

EWay bill is required at the time of delivery of goods only. So, if invoices are raised but
goods are not delivered yet, then Part-A can be generated on the e-way bill and Part-B
details can be entered later on upon delivery. The validity of e-way bill begins when
Part-B is entered.

About Input Tax & Output Tax

Input Tax: -
o Input Tax is the amount paid by the registered person on business
purchases and imports.
o Input Tax is the Tax shown in our purchase bills.
o Apart from Trade Purchases, Tax on Capital Goods purchases like A.C.,
Computers, etc... is also considered for this Input Tax.

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Output Tax: -
o Output Tax is the total amount of sales tax charged at current rate of sales
tax on taxable sales made during the month.
o Output Tax is the Tax charged on all the Taxable sales of a VAT Dealer.
For Example, Tax shown as Output Tax and it becomes Input Tax for our
Customer.

Types of Dealer
• Registered Dealers: -
A dealer whose gross annual turnover is above the VAT threshold limit is
required to register under VAT. This is mandatory. A new dealer will be allowed
30 days’ time from the date of liability to get registered dealer will be eligible for
input tax credit.

• Unregistered Dealers: -
A dealer whose annual turnover is less than Rs. 5 Lakhs is an Unregistered
Dealer and has been granted the status of a Consumer. So, the VAT paid by an
Unregistered Dealer is treated as his cost and is charged no further VAT on his
sale.

• Composite Dealer: -
Dealers with an annual gross turnover not exceeding a prescribed limit can opt
for a composition scheme with a payment of tax at a small percentage of gross
turnover. Dealers are not entitled to input tax credit and required to submit VAT
returns in a separate format.

Difference between Tally ERP.9 and Tally Prime: -

Tally ERP.9 Tally Prime

Data can be accessed from Data can be accessed from any path or drive.
specific path.

Data Status not available on Data Status such as Migration Required or Repair
screen. Required.

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Multi-Tasking not possible in a Multi-Tasking is easily possible in a single instance
single instance of Tally. of Tally.

Old Logo New Logo

New look & colour of Tally

Old look & colour of Tally

Cluttered Supplementary detail Smart & Filtered Supplementary detail screen.

screen.

Gateway of Tally > F12 F1 (Help) > Upgrade > F12 (Configure) to show all
(Configure) Product & Features > product releases.
F12 (Configure) to show all
product releases.

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 Creating a company in Tally ERP.9

➢ Open Tally Software.

➢ Go to Create Company Screen and select Create Company from the Company
Info.

➢ In the company creation screen, enter all the details related to company.

➢ Now, your Company is created.

Creating Group in Tally

➢ Go to Gateway of Tally and click on account info.

➢ Under Account Info, Select Groups.

➢ Under Single Group Menu, choose the option create.

➢ Under this, fill the required details.

➢ After entering the required details, press Ctrl+A to save the details.

➢ Similarly, we can Alter the details by selecting the Alter option.

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 Create Single Ledger in Tally ERP.9

➢ Go to Gateway of Tally Screen, click on account info.

➢ In this, Select Ledger.

➢ Now choose create option under single ledger.

➢ Now enter the required details and press enter.

➢ Similarly, we can Alter the details by selecting the Alter option.

Creating Cost Centre in Tally

➢ Go to Gateway of Tally and click account info.

➢ Click on Cost Centre.

➢ Under the Head Single Cost Centre, Select Create.

➢ Enter the required details for the creation of Cost Centre.

➢ Now press enter after entering all the details.

➢ Similarly, we can Alter the details by selecting the Alter option.

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 Creating single Stock Group in Tally

➢ From Gateway of Tally screen, choose Inventory Info.

➢ Under this, choose stock groups.

➢ Under single Stock Group, choose create option to create single stock group.

➢ Now enter the required details.

➢ After entering all the required details, press enter.

➢ Similarly, we can Alter the details by selecting the Alter option.

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 Summary

The period from 20th May,2022 to 30th June 2022 of my internship is amazing.
Initially, I faced some difficulty in Tally but after regular practicing, it makes my
work very easy and with the guidance of my mentor Mr. Amarjeet it becomes
simpler to input data.
He motivates and encourages me during the internship. I have done all the all
the taxation configuration, Payroll, TDS, VAT, Service Tax.

Also in this report I have mention all the details which I have done during my
internship, how to create company, ledger, group, stock group, cost Centre.

This my amazing Internship where I got the chance to learn some amazing
accounting and practicing with Charted Accountant who have full knowledge of
Accountancy.

REFRENCE

▪ shodhganga.inflibnet.ac.in
▪ Tally - Wikipedia
▪ Business Software for SMBs in India | Tally Solutions

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