What is Tally ERP 9?
Tally ERP 9 is an enterprise resource planning software developed by Tally Solutions. It is used for accounting, inventory management, tax management (like GST), payroll, and other business functionalities. It is widely used in India by small and medium enterprises.
What is Tally Prime?
Tally Prime is the newer, more user-friendly version of Tally ERP 9. It offers a simplified interface, better navigation, and improved performance, while retaining all core features of Tally ERP 9. It supports GST, invoicing, inventory, payroll, and multi-user access.
What is the difference between Tally ERP 9 and Tally Prime?
- Interface: Tally Prime has a modern and intuitive interface compared to the older Tally ERP 9.
- Navigation: Tally Prime uses “Go To” search and more flexible navigation.
- Speed: Tally Prime is faster and supports multitasking.
- Data Handling: Improved data import/export options in Tally Prime.
- User Experience: Tally Prime is more beginner-friendly.
Why is Tally important for commerce students?
Tally is important for commerce students because it helps them understand real-world accounting and business processes like journal entries, GST filing, ledger creation, inventory tracking, and payroll management. Tally skills are in high demand for accounting jobs.
How to learn Tally for beginners?
- Enroll in online/offline courses
- Use Tally’s official tutorials and manuals
- Practice on Tally educational mode
- Watch YouTube tutorials
- Join commerce computer labs in schools/colleges
What are the basic features of Tally?
- Accounting Management
- Inventory Management
- Payroll
- Taxation (GST, TDS, TCS)
- Banking
- Multi-currency and multi-language support
- Financial reporting
What is ledger in Tally?
A ledger is the primary accounting unit in Tally that holds all transaction records related to an account. For example: Sales, Purchase, Bank, Cash, Expenses, etc.
What is voucher in Tally?
A voucher is a document used in Tally to record financial transactions. Common types include:
- Payment Voucher
- Receipt Voucher
- Sales Voucher
- Purchase Voucher
- Journal Voucher
- Contra Voucher
What is the shortcut key to create a company in Tally?
The shortcut key to create a new company in Tally ERP 9 and Tally Prime is:
Alt + F3 → Create Company
What is GST in Tally?
GST (Goods and Services Tax) is integrated in Tally to help businesses file their GST returns, generate GST invoices, and keep track of tax liabilities. Tally helps in:
- GST configuration
- HSN/SAC code management
- Automatic tax calculation
- GST reports and returns
How to activate GST in Tally?
- Go to F11: Features
- Enable Statutory & Taxation
- Set Enable Goods and Services Tax (GST) to Yes
- Enter your GST details
How to record a sales transaction in Tally?
- Go to Gateway of Tally
- Select Accounting Vouchers
- Press F8 (Sales)
- Fill customer, item, quantity, rate, GST
- Save the voucher
What is inventory in Tally?
Inventory refers to stock management of goods. Tally helps track:
- Stock groups and categories
- Units of measurement
- Godown-wise stock
- Stock valuation methods
- Item-wise GST
What is the use of Tally in accounting?
Tally automates and simplifies accounting by:
- Recording journal entries
- Generating ledgers
- Creating trial balance, balance sheet, P&L
- Tax computation
- Bank reconciliation
Can Tally be used without GST?
Yes. Tally can be used for general accounting, inventory, payroll, and reporting without GST enabled. GST is an optional feature.
What is Tally educational mode?
Tally Educational Mode is a free version of Tally that allows learning and practice. It has date restrictions (1st to 31st March), but all features are available.
How to download and install Tally?
- Visit www.tallysolutions.com
- Choose Tally Prime or ERP 9
- Download the installer
- Run setup and follow installation instructions
Is Tally Prime free?
Tally Prime is not free for commercial use. However, it offers a 7-day trial and an educational mode for students and learners.
What is the price of Tally Prime?
As of now:
- Single User (Silver) – ₹18,000 + GST
- Multi User (Gold) – ₹54,000 + GST
(Prices may vary over time)
What is Tally audit?
Tally Audit is a feature that allows an auditor or senior user to check all transactions entered by others. It shows alterations made to vouchers and helps in internal control.
Can we use Tally on mobile?
Tally is primarily desktop-based, but Tally Prime offers remote access. There are third-party apps and services that allow Tally data viewing on mobile.
What is TDL in Tally?
TDL stands for Tally Definition Language. It is used to customize Tally’s features, reports, and interface based on business needs.
What are the advantages of Tally?
- User-friendly and fast
- GST-ready
- Customizable with TDL
- Multi-user and multi-location support
- Banking integration
- Secure and audit-enabled
What are the disadvantages of Tally?
- Limited graphic user interface
- No full-fledged cloud access
- Limited CRM or HRM features
- Not ideal for very large enterprises
What jobs can I get after learning Tally?
- Accountant
- Accounts Executive
- Tax Assistant
- GST Consultant
- Tally Operator
- Bookkeeper
- Office Admin
What is payroll in Tally?
Payroll in Tally is used to manage employee salaries, attendance, deductions, bonuses, and payslips. It automates payroll accounting and compliance.
What are groups in Tally?
Groups in Tally classify ledgers into predefined categories such as:
- Capital
- Assets
- Liabilities
- Expenses
- Income
This helps in generating accurate financial statements.
How to back up Tally data?
- Go to Gateway of Tally
- Press F3: Company Info
- Select Backup
- Choose source and destination
What is TallyVault?
TallyVault is a security feature that encrypts company data with a password. Only users with the correct password can access the data.
Can we use Tally without internet?
Yes. Tally is an offline software. You only need the internet for updates, remote access, or licensing verification.
What are statutory features in Tally?
Statutory features include compliance tools for:
- GST
- TDS
- TCS
- VAT
- Payroll Statutory
These help generate reports and file returns with government authorities.
Here are 30+ deeper and more practical questions that commerce students or professionals may ask about Tally ERP 9 and Tally Prime, especially when using it for real-world business applications. Each question is written as an H2 title, followed by a detailed, plain-language answer ideal for blog or website content.
How to reconcile bank statements with Tally?
Use the Bank Reconciliation feature in Tally:
- Go to Gateway of Tally → Display More Reports → Account Books → Bank Book
- Select the bank ledger
- Press F5: Reconcile
- Match the bank statement entries with those in Tally and mark them as reconciled
How to customize invoices in Tally Prime?
You can:
- Go to Alter Invoice Format from F12: Configure while in voucher entry
- Add your logo, change layout, show/hide columns
- Use TDL (Tally Definition Language) for advanced customization
How to manage multiple GSTINs in one company in Tally?
- Create multiple locations (States)
- Assign each location its unique GSTIN
- Enable Set/Alter GST Details for each location in Company GST Configuration
How to generate e-Invoice from Tally?
Tally Prime supports e-Invoicing:
- Go to F11 → Enable e-Invoicing
- Enter API credentials provided by the GST portal
- Generate invoice and click on Exchange with IRP
- IRN and QR code will be added to the invoice
How to create cost centers and cost categories in Tally?
Cost Centers help track department-wise or project-wise expenses:
- Enable in F11 Features → Cost Centre Management
- Create Cost Categories (e.g., Departments, Projects)
- Assign cost centers while entering vouchers (sales, purchases, etc.)
How to use Tally for project accounting?
- Create cost centers for each project
- Tag expenses/income to relevant cost centers
- Generate cost center-wise profit/loss report for project-wise profitability
How to import and export data in Tally?
You can export and import masters or vouchers in XML or Excel format:
- Export: Go to any report → Press Alt + E
- Import: Go to Gateway of Tally → Import Data
How to create stock groups and stock items in Tally?
- Go to Inventory Info → Stock Groups/Items → Create
- Define units of measurement, rate, and GST details for each item
- Useful for inventory management and reports
How to handle reverse charge mechanism (RCM) in Tally?
- Enable RCM in GST configuration
- Create ledger under Purchase – RCM applicable
- Record RCM transaction using Journal Voucher (F7) and post GST payable
How to adjust input tax credit (ITC) in Tally?
Tally automatically calculates ITC:
- Ensure correct GST ledger grouping and rates
- Go to Display → Statutory Reports → GST → GSTR-3B
- Input tax credit gets adjusted against output tax in GST returns
What is multi-currency accounting in Tally?
Tally supports multiple currencies:
- Enable in F11 Features
- Create foreign currencies with exchange rates
- Use during sales/purchase transactions for foreign clients/vendors
How to handle inter-branch transactions in Tally?
- Create different cost centers or godowns for each branch
- Record inter-branch stock transfers via Stock Journal
- Maintain branch-specific ledgers for financial tracking
Can Tally Prime generate GSTR-1 and GSTR-3B?
Yes. Go to:
- Display More Reports → Statutory Reports → GST
- Choose GSTR-1 or GSTR-3B
- View, validate, and export JSON for portal filing
What is the process to upgrade from Tally ERP 9 to Tally Prime?
- Download Tally Prime
- Install it on the same machine
- Your Tally ERP 9 license will work with Prime
- Migrate company data by opening the ERP 9 company in Prime—it auto converts
Can we integrate Tally with Excel or other ERP software?
Yes. Tally allows:
- Export to Excel/XML
- TDL customization for automation
- API-based integration with third-party systems (with developer support)
How to setup user-wise access control in Tally?
- Go to Security Control → Types of Security
- Create roles (Admin, Data Entry, Viewer, etc.)
- Assign roles to users with specific privileges
How to record debit note and credit note in Tally?
- Use Ctrl + F9 for Debit Note
- Use Ctrl + F8 for Credit Note
- Useful for purchase return and sales return respectively
How to handle advance payments and receipts in Tally?
- Use Receipt Voucher (F6) or Payment Voucher (F5)
- Tag it to a pending invoice or keep it as advance
- Adjust against invoice later using Against Reference
How to automate salary calculation in Tally?
- Create employee groups and payroll units
- Define pay heads (Basic, HRA, Deductions)
- Use Payroll Voucher (Ctrl+F4) monthly
- View payroll reports for each employee
Can we file GST returns directly from Tally?
Tally doesn’t file directly but:
- Exports GSTR-1, GSTR-3B, and GSTR-9 in JSON or Excel
- You can upload the JSON file to the GST portal
What is the use of Control Accounts in Tally?
Control accounts are ledger groups like Sundry Debtors, Sundry Creditors, etc.:
- Help group multiple ledgers
- Essential for trial balance and reporting
What is BOM (Bill of Materials) in Tally?
BOM is used in manufacturing:
- You define raw materials required to produce a finished good
- Record production via Manufacturing Journal
How to manage prepaid expenses or accruals in Tally?
Use Journal Entries:
- For prepaid: Debit Prepaid Expense, Credit Bank
- For accruals: Debit Expense, Credit Outstanding Expense
- Adjust monthly using journals
Can Tally generate audit reports?
Yes:
- Use Audit & Compliance → Audit Reports
- Useful for tracking altered vouchers, unapproved entries, etc.
How to manage petty cash in Tally?
- Create a Petty Cash Ledger
- Record entries under Payment Voucher (F5)
- Categorize small expenses properly
How to enable remote access in Tally Prime?
- Buy a Tally.NET subscription
- Create a Tally.NET user ID
- Connect company to Tally.NET
- Access remotely through another system with Tally Prime
How to view cash flow and fund flow statements in Tally?
- Go to Display → Cash/Fund Flow
- Tally automatically prepares it based on your vouchers
- Great for financial planning and liquidity analysis
How to handle bad debts in Tally?
- Use Journal Voucher
- Debit Bad Debts Account, Credit the customer’s ledger
- Ensure proper grouping under Indirect Expenses
How to record depreciation in Tally?
- Use Journal Voucher
- Debit Depreciation Account, Credit Asset Account
- Enter as per rates defined under Companies Act/Income Tax
How to track overdue payments in Tally?
- Use Outstanding Reports
- Go to Gateway of Tally → Display More Reports → Outstanding
- View Receivables, Payables, Aging Analysis
WH Type 
Leave a comment