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How to create Single or Multiple Ledgers in Tally ERP 9?


A Ledger is the place for a common Business Activities. We will record the similar activities under a Ledger by giving a name for it. Likewise in Tally.ERP 9 Accounting Software we can create a Ledger.

How to create Single or Multiple Ledgers in Tally.ERP 9 Accounting Software.
Ledger Creation methods in Tally.ERP 9

In manual Accounting we draw a T shaped format for recording the Debits on left and Credit on right side of the format. As well in this Tally.ERP 9 Accounting Software we need not to provide format, just we give a Name for it, configure the certain options, and Record the Transactions. And the remaining process will be by the software itself.

The Basic difference between the Manual Accounting and Computerized Accounting using Tally is that while creating ledger you need to provide the Head of Ledger Account, but where as in manual accounting you prepare all Ledgers based on the journal entries and that will be decided by the Accountant at the time of Final Accounts whether it comes under which Accounts Head.

Whenever you create a Company in Tally by default it creates two ledgers first one is Cash Ledger, and the second one is Profit & Loss A/c Ledger. All the other ledgers are to be created by the user only.

In order to create a Ledger you need the Ledger Name and Head of the Accounts Group under which it needs to be set. Open Tally.ERP 9 Software and load a company where you want to create a ledger.

  1. From Gateway of Tally screen select Accounts Info under Masters,
  2. And select Ledgers in the Accounts Info. menu.

And here we can create ledgers in two different ways

Single Ledger Creation in Tally.ERP 9

Using this method the user can create one and only ledger at a time. Here he is allowed to configure all the features like Interest Calculation, Address, Cost Centers, Statutory Information etc.,

  1. Just select Create option under Single Ledger in the Ledgers menu.
  2. In the Ledger Creation screen you need to give a Name for the Ledger, and under which Group Head it should be kept either in Direct Expenses, Bank Accounts, or Fixed Assets. And the remaining things are optional.
  3. Accept the screen to save the changes.

Multiple Ledgers Creation in Tally.ERP 9

In the above method we were allowed to create only one ledger at a time. But for fast data entry purpose Tally has given second step for multiple ledgers creation. In the Multi Ledger Creation screen we are allowed to enter only Opening Balance of the Ledger. For providing additional settings like Statutory Information you need to Alter the Ledger using Ledger Alteration screen only after you have created the ledgers.

  1. Just select Create option under Multiple Ledgers in the Ledgers menu.
  2. In the Multi Ledger Creation screen you can give the Name of the ledger and set Group under which you are creating the ledger, and Opening Balance if any.
  3. Accept the screen to save the changes.

And this is how we can create a Ledger in Tally.ERP 9 using the Ledger Creation screen for single ledger creation or Multi Ledger Creation screen for creating more than a single ledger at a time.

Set Company Features before starting Business Accounts in Tally


When you create a Company in Tally.ERP 9 by default it will be loaded with default Company Features like Invoicing, Outstanding, Cost Management, etc. This powerful Accounting Software enables the user to change Company Features such as Accounting, Invoicing, Statutory and Taxation (Excise, VAT, TDS and TCS details).

How to get to the Company Features screen with Invoicing, Statutory, Add-On options in Tally.ERP 9
Company Features screen

Every Company or Proprietary firm has to set their Business Accounts in a proper way. Therefore they need to change the features of their Company in Tally.ERP 9 to meet their accounting needs. Company Features in Tally is nothing but designing your company settings as per your requirements such as whether maintaining Payroll, Debit and Credit Notes or not. And I feel this is the winners’ choice to do the same as early as you Create a Company in Tally.ERP 9.

Let me give you a demo how important this is. M/s Raghavendra Trading Co., do not take the return stock hence it is not required to handle Credit Notes. If it is not disabled from the Company features there might be a change to make a mistake entry in the Credit Note Voucher.

And in other case M/s Chaman Lal Agencies firm which is the agency for textile supply, it takes goods from one trading concern and supplies to its client. And it do not handle Stock Items only handles the Invoices, Credit and Debit Notes, hence they can disable the Inventory Accounting for their company accounts and enable the Debit and Credit Note vouchers in the Accounting Software. With the help of this availability in Tally ERP 9 one can change the Company settings in tally as per their requirements and manage better their Trading Accounts.

This wonderful business software helps its user in configuring their company features by classifying them in four categories namely

  1. Accounting,
  2. Inventory,
  3. Statutory and
  4. Tally.Net.

Each feature is explained below and you can enable them as per your requirement.

Accounting Features

Every business whether profit or non-profit organization would need to handle their account either with inventory or without inventory. This can be set under this category and as well you tell the Tally Software to allow or not to allow the following features for the specific company.

Accounting Features (F1)

  1. General: In General you maintain the firm accounts with inventory or without inventory, allow different foreign currencies for handing accounts along with your domestic currency.
  2. Outstanding Management: helps you to maintain Bill wise accounting for each ledger and allows interest calculation on outdated out-standings and advances.
  3. Cost/Profit Centers Management: assists with Payroll, and Cost Centers.
  4. Invoicing: helps you to allow the Invoicing System, Debit and Credit Notes Voucher entries.
  5. Budgets & Scenario Management and Other features like cheque printing, Godown and Office address printing, Company Logo setting.

Inventory Features (F2)

  1. In General you can specify whether to enter zero valued entries in tally or not.
  2. You can classify the Stock Item by enabling the Stock Categories, and even can maintain the Batch wise Stock information across Multiple Godowns as well you can specify actual and billing quantity using Storage & Classification.
  3. With the help of Order Processing you can maintain Sale, Purchase and Job Orders Vouchers.
  4. Under the Invoicing you can specify whether to show a separate discount column or not in the Invoicing.
  5. As well you can track additional costs of the Purchase using with Purchase Management.
  6. At the same time you can create Multiple Price Levels for better Sales Management and other things like Material in/out Stock wise cost tracking etc.,

Statutory and Taxation (F3)

You can enable almost all of the statutory or taxation detail about your company at this place only like Direct Taxes such as Income Tax, Service Taxes and Indirect Taxes like Sales Tax (Value Added Tax) etc.,

Company Features Button from Gateway of Tally Screen - Tally ERP 9
Click on Company Features button to get to the Company Features screen

As i already told you most of the features which is available in the Company Features screen. Now let us see how to set Company Features using Tally ERP 9. You can reach the Company Features screen by

  • Pressing ALT + F3 keys
  • Or by clicking the F1: Features button found in the bottom corner of Button Area. This can be accessed almost from any screen in the tally.

You can find the Company Features screen which is shown in the figure. Here the first 3 Features are explained about in brief just click any one of them to make changes to the features.

  1. Features is about configuring the remote accessing your company data. And last one Add-On Features is about extra add-ons for the software and its work in the particular company.

Finally accept the changes by pressing Ctrl + A Keys or press Enter key until you see Accept option. Now you have successfully gone through the Company Features. And this is how to configure the Company Features in Tally.ERP 9 Accounting Software.

How to shut or close a Company without quitting Tally.ERP 9?


Shut Company option is best used for those who work with more than a Company in Tally.ERP 9 Accounting Software. When you have selected multiple Companies in Tally.ERP 9, the selected companies will be shown under List of Selected Companies in the Left Pane of the Main Area in Gateway of Tally Screen.

Image: Gateway of Tally Screen with Company Info Menu Options
Shut Company in Tally.ERP 9

Using the Shut Company option we can close or quit a specific Company in Tally.ERP 9. To shut or quit a Company

  1. Get back to Company Info menu
  2. And select the Shut Company option.
  3. From the List of Companies choose a company name to close it.

Then the particular company will be removed from the List of Selected Companies. To select the company again choose the Select Company option.

Instead of doing the long process you can use the F1: Shut Cmp button available in Button Area to shut a company. This is how to shut or close a Company in Tally.ERP 9.

How to update Company information in Tally.ERP 9 using Alter option


After we have created a Company in Tally.ERP 9 Accounting Software, we can get back to the Company Alteration screen to change the information of the Company at any time. From the screen itself you can change the Mailing & Contact Details, Company Details, Security Control and Auto Backup settings along with the Base Currency Information.

Image: How to alter a Company in Tally.ERP 9?
Alter Company information in Tally.ERP 9

But you have to remember that the changes will affect your existing Accounting Data and reports. So, understand yourself that where that particular change will affect in your Books of Accounts, for instance, if you change the Base Currency Symbol from Indian Currency to US Dollar it will affect your internal data when printing on paper.

To alter a Company information and settings

  1. Load a company and choose the Select Company option in Company Info. Menu.
  2. Then you will be seeing the list of Company(ies), just select a company from the list, which you want to alter.
  3. If the company is enabled with Security Control just login with your Administrator Name and Password (as the Tally Administrator only having this permission).
  4. You will be seeing the Gateway of Tally Menu, hold the Alt Key and strike the F3 Key using the Keyboard.
  5. Now choose the Alter option in the Company Info. Menu, and load a company to alter.
  6. Finally, you will be seeing the same screen when you were creating a Company in Tally.ERP 9, but the screen name will be Company Alteration instead of Company Creation.

After you have changed any one, most of the, or all of the elements in the screen accept the screen to effect the changes for your company. You do not need to restart the Tally.ERP 9 application it will automatically change all the internal information relating to the particular Company.

This is how we can change the Company information in Tally.ERP 9 Accounting Software which will affect the company information.

How to select a Company from the List of Companies in Tally.ERP 9?


Tally.ERP Accounting Software allows us to work with more than a company simultaneously. And for that we must load the List of Companies data into the primary memory to work with. And even after loading them we must choose each specifically to work on.

Image: Gateway of Tally Screen with Company Info Menu Options
Selecting Company in Tally.ERP 9

To start recording the accounts of a Company in Tally we have to Select the Company to work on in Tally.ERP 9. To select a company

  1. In the Company Info. menu choose Select Company option.
  2. Then you will see the List of Companies, which are created using the Create Company option under the Company Info. menu.
  3. From the list choose any one of the companies.

The selected company will be show in Bold Font Style in the Left Page of the Gateway of Tally screen. Selecting a company will load all the Company Features, and Company Data into primary memory. After you have selected a company, the company will be listed under the List of Selected Companies in the Gateway of Tally screen.

Sometimes you will find more companies under List of Selected Companies in Gateway of Tally screen. In that case to load a specific company to work on

  1. Just keep the mouse pointer over a Company name, with which you want to work on and press the Left Mouse Button.
  2. If you want to load a company which is not there, hold the Alt Key and select the F3 Key using the Keyboard.
  3. And choose Select Company option in the Company Info. menu and select a company.

Now your company is ready to work on and this is how we to choose a company from the List of Selected Companies to work on or to select a company to work if not Company founder under the List of Selected Companies list.

How to create a Company in Tally.ERP 9 with all settings


In Tally.ERP 9 Accounting Software we can create a Company to maintain the Books of Accounts of an Enterprise. And this is the primary unit that we must create to start Recording Accounts. And here we are going to look at a deep discussion about the options available in Company Creation screen.

How to create a Company in Tally ERP 9 with all settings
Creating a Company with all settings in Tally.ERP 9

We have already learned in Getting Started with Tally.ERP 9 guide that the Company is the primary unit for holding all the Accounting information pertaining to a particular Business Unit. Therefore, we have to create Company in Tally.ERP 9 Accounting Software for recording the business information.

In the Main Area of Application User Interface, we can see the Company Info. menu. But some people might find the Gateway of Tally menu instead of Company Info. menu, do not panic because someone might have created a company.

Tally.ERP 9 will open a default Company, because of the reason we will be visiting this menu, in that case hold the Alt Key and press Function Key F3 or click on F3: Cmp Info button from Button Toolbarto reach the Company Info. menu.

From here you can start creating Company by selecting the Create Company option. Then you can see the Company Creation screen. Here we will learn each and every element available in the screen.

Here you have to provide

  1. Your Organization Name
  2. Mailing Address
  3. Contact information.

After that you can skip all the other elements available in the screen, but it is recommended to understand them and fill as per your requirement, which indirectly affect the Statutory, Inventory, and Security settings of your company.

Directory

It is the Hard Disk location of the Accounting Data of your Company. Whenever you select a company it will be fetched from that location and as well when you close the Tally the modified data is replaced back in that location only.

Statutory compliance for

Based on the country you chose the Base Currency and Statutory Features are applied automatically to your Company.

Enable Auto Backup

By enabling the Auto Backup, Tally backups your data frequently while working with Tally.

Maintain

If you have to maintain Inventory Accounts select Accounts with Inventory, otherwise you can select Accounts Only. Even you can change this option to Accounts With Inventory afterwards if it required.

Financial Year from

You can set the beginning date of the financial year i.e. 1-4-2011 or 1-1-2011 or anything it would fit for your firm or government imposed accounting period.

Books beginning from

This could be date equal or less than the date of starting date of the Financial Year, Where the actual books of accounts you want to start recording. i.e. 15-7-2011, 30-7-2011 or 1-7-2011.

TallyVault Password (If any)

It is an enhanced security system, which allows the Tally.ERP 9 to encrypt the data, which involve conversion of data from normal Tally information to unrecognizable information. If you give the password for it, only authorized person can access to reconvert it to normal Tally accessible format.

Use Security Control

If the books of accounts in Tally.ERP 9 are maintaining in a computer where it is been accessing more than a person then it is better to set to Yes otherwise No.

After that you can alter the Base Currency Information as per your Accounting figures and currency. When you reach the last element just press the Enter Key and accept it to create a Company in Tally.ERP 9.

What does Company Info contains in Tally.ERP 9 Accounting Software


The Company Information menu which is seen in Tally.ERP 9 screen as Company Info is used to perform all the Company related actions like Selecting, Creating, Altering, Backing up, and Restoring Company in Tally ERP 9 Accounting Software.

Introduction to Company Info Menu in Tally ERP 9
Company Info Menu in Gateway of Tally screen.

This is the first menu displayed in the Main Area of the Tally Interface when you open Tally software after activating the Licensee. Even you can see this menu every time you open tally, if there is no default company created.

If there is a Default Company created, you will not see the Company Info menu, when you launch Tally application. If you have loaded a Company to work with, you can reach to the Company Info menu by use the Alt + F3 Shortcut Keys using your keyboard from Gateway of Tally screen. Now let us see the basic options available in this menu.

Create Company

This is the first function to perform a user to start tally for the first time when he opens Tally application. This redirects the user to create company for his business accounts. You can learn about creating company from this article How to Create Company in Tally ERP 9.

Select Company

After creating company, user can select a particular company from a list of companies created in Tally. This helps to select a company from the list of companies to work with.

Login as Remote User

If you have Tally .NET subscription you can work with a company located in remote computer with your login id and passwords using this option.

Backup

You can backup your data into USB Drive, CD or DVD and can carry with you. And even you can backup your company data in your computer local disk drive. Backup is nothing but storing your tally data in some other location.

Restore

If your data in tally is out-dated and the updated data is located somewhere else you can restore the data using this option. Restoring is nothing but replacing your existing data with the updated data or importing new company data.

Exit

If you want to quit from tally application you select this option. This is the common option available in every menu screen.

And this is not the end of this section. And some other options available when you see the Company Info menu after loading a company. It will be added with some extra options related to company. You learn about those company related options in the coming articles.

What does Gateway of Tally screen contains in Tally.ERP 9?


The Main Area is the central point of the Tally.ERP 9 User Interface, where the user can record as well as view the accounts. The Gateway of Tally Screen is the starting point for performing any kind of action, and this screen has been split into two panes, the Left Pane and Right Pane.

Understanding Gateway of Tally Screen with Company Info Menu Options in Tally.ERP 9
Gateway of Tally screen in Tally.ERP 9

Right Pane and Left Pane

The Right Pane will be showing you the Menus for performing the Creating, Altering, Recording, and Viewing Accounting Data and Reports, where as the Left Pane will show you the List of Companies loaded/ selected for working. In the Left Pane you can see the Current Period, Current Date, and List of Selected Companies.

Current Period

This indicates the currently loaded Company’s Accounting Period (range of date between which we can perform set of actions) e.g., 25-3-2014 to 28-3-2014. To change the current accounting period just hold the Alt key and strike the F2 function key using the Keyboard.

Current Date

It refers to a date, on what date we are performing a set of actions, like recording accounts or viewing the reports, e.g., 28-3-2014. To change the Current Date just strike the F2 Function Key using the Keyboard.

List of Selected Companies

It will show us the list of selected companies with which we are going work. The Current loaded company will be shown in the Bold Font Style. As well it shows the date of the last Voucher Entry recorded for each and every selected company. To load a particular company from the list of selected companies, just strike the F3 Function Key using the Keyboard and select a company. The loaded company will be shown in the Bold Font Style.

How to Operate Tally.ERP 9 Software wihtout Computer Knowledge


This is the ending point in Getting Started with Tally.ERP 9 section and the starting point for the Recording Accounts in Tally.ERP 9 section. Till now we have read about Tally.ERP 9 Application Software its history, features, elements, installation process. And it’s time to start recording Accounts in Tally.ERP 9.

How to open, work with, and close Tally.EPR 9 Accounting Software?
Open, Operate, and Quit Tally.ERP 9

Before starting recording of accounts in Tally.ERP 9 we must open the Application in our Computer and after that it is advisable to understand that how to operate the Software.

Open or Launch Tally.ERP 9

In order to start working with Tally.ERP 9, we have to launch the application which is nothing but opening the Tally Software. After you have Installed Tally.ERP 9 in your computer you can find the Tally.ERP 9 Icon on your computer Desktop. Just keep the cursor over it and double click the left mouse button.

As soon as you double click the icon on the desktop, Tally.ERP 9 application software will be opened with a flashing screen of the Company Logo. We have introduced about the interface elements of the Application Software in Tally User Interface article.

Functioning with Standard Input and Output Devices

It is similar to a normal Windows Application Software and we can work using both the Mouse and Keyboards. The functioning of the mouse will be different in Main Area than the other elements of the screen. Go through the Introduction to Tally.ERP 9 Interface part to better understand this section.

Using Mouse in Main Area

  1. Press and release the left mouse button by keeping the pointer on an item, to choose the item.
  2. Position the mouse pointer on an item and double-click the left mouse button, to select the item.

Using Keyboard in Main Area

  1. Use the Up or Down Keys to move from one item to another item.
  2. Press Bold Format Styled Character used in an item from your keyboard to select the item.

Using Keyboard in Button Areas

In Horizontal Button Area and Button Toolbar elements we can use the Mouse as usually but come to the Keyboard shortcut keys we can use the with the help of Alt and Ctrl key along with the starting character.

  1. To select a button located on either of the button areas you need to press the starting character or a function key by holding the Alt key if the starting character is in single underline otherwise you need to hold the Ctrl key if the starting character is in double underline.

Quit Tally.ERP 9

You can close the Tally.ERP 9 accounting software by selecting the Quit option available in any one of the Menu screens in the Main Area, or reach the Gateway of Tally screen and press Esc Key in your keyboard and select the Yes option.

What is the meaning of Masters and Vouchers in Tally.ERP 9


As we discussed earlier Accounting Data can be recorded and maintained in Tally.ERP 9 Accounting Software with the help of Masters and Vouchers. We can change data in Tally.ERP 9 whenever, and as many times as we wish.

Image: What are the uses of Masters & Vouchers in Tally.ERP 9

Accounting Data will be recorded in Tally.ERP 9 using the Vouchers, and this voucher entry should be linked to the Masters which is the standing data in Tally.ERP 9 and it is not expected to change frequently. Masters are just like Ledgers in our common accounting which we discussed about it in How the Business Transactions are recorded in Tally.ERP 9 section.

Masters in Tally.ERP 9

Masters are the containers of the Accounting Data. These are the heads, which will be set once and used in many places such as Accounting Voucher Creation, Reports Generation etc. Data stored in Masters is independent. In Masters we can only create, alter, display or delete the Ledgers, Stock Item and their inter-related elements like Groups, Stock Categories, Unit of Measure, about which we discuss later. And Masters have been classified into

  1. Accounting Masters
  2. Inventory Masters
  3. Payroll Masters and
  4. Statutory Masters

Vouchers in Tally.ERP 9

Vouchers (similar to Journal) can be changed frequently if there is any mistake found while entering business transaction like wrong figures, selecting wrong Master.Data entered in Accounting Vouchers will be linked to Masters, so the whole transfer process will be done automatically by the software itself. In Tally.ERP 9 there will be pre-defined Vouchers available for every specific kind of transaction like Sales, Purchases, Receipts, Payments, Journal, Credit and Debit Notes. We just have to open the available Voucher type to record the business transaction. And even we can create our own customized Voucher Types as per our requirements. This is the final phase in the process of the recording and maintaining accounts in Tally.ERP 9. As like Masters in Vouchers also we will be having

  1. Accounting Vouchers,
  2. Inventory Vouchers and
  3. Payroll Vouchers

What is the Input Data that Tally receives for recording Accounts


Let us think in general that when we have a business transaction, it will be having some basic elements about the transaction like Date when the transaction took place, how much it affected the worth of business, and nature of the transaction.

Image: Accounting Data in Tally.ERP 9

Date of the transaction

Date of transaction tells that when the particular transaction took place in the business year.

Worth of the Transaction

Worth of transaction represents how much of work processed.

Nature of Transaction

Nature of transaction will be indentified as Income, Expenditure, Asset, or Liability.

And these three basic elements of the business transaction form the Accounting Data. And this Accounting Data will be recorded, organization, and maintained using the Masters, and Vouchers.

What is the Input Data that Tally receives for recording Accounts

What is the definition of a Company in Tally.ERP 9?


Maintaining, and recording of business information of any specific organization under a specific name is referred as an Accounting Unit. It might be a Limited Company, a Partnership Firm, a Proprietorship, a Trust, a Society, a College, or a School. And this is termed as Company in Tally.ERP 9 Accounting Package. Whatever the Accounting data that we wanted to record in this software, first we must give a name for the set of Accounting data or records.

Image: What is a Company in Tally.ERP 9?

Tally.ERP 9 supports to create unlimited Companies. Company will contain information about the enterprise of which the business accounts are recorded and maintained in the software like name, contact details, Book keeping system of the business.

In Gateway of Tally Screen can see Company Info.(Information) menu, where we can Create a Company in Tally.ERP 9.

How does a Business Transaction recorded in Tally.ERP 9?


In general accounting practice first we pass business transactions in Journaland after that we transfer the amount either in Credit or Debit side of the corresponding Ledger Account pertaining to a particular Business Unit (Organization or Firm). After finalization of the Ledger balance within specific period we create Trail Balance of the firm and later prepare the Trading, Profit and Loss Account and Balance Sheet statement. The manual work will be classified as follows.

Image: How Accounting Transactions are recorded in Tally.ERP 9
  1. Drawing up the traditional tabular format for Journal, Ledger Account, Trail Balance, Trading and Profit & Loss Account, and Balance Sheet by keeping the heading as a Business Unit name.
  2. Passing business transactions in Journal with Debit and Credit figures.
  3. Transferring the debit and credit figures to the corresponding Ledger Accounts.
  4. Interpreting the balanced figures of the Ledger Accounts to the Final Account Statements.

The same concept has been interpreted in Tally.ERP 9 Accounting Package but with few alterations. We just do three things in this software i.e. Creating Business Unit (here we called as Company), Creating Ledger Accounts (here called as Ledger), and Passing the entries in Journal (here called as Accounting Voucher Creation). Tally.ERP 9 automatically transfers the figures from Accounting Voucher to Ledger Accounts and as well prepares Trail Balance, Profit and Loss Account and Balance Sheets of the organization. The process is as follows.

  1. Company creation.
  2. Ledger creation, which holds the summary of a specific kind of business transaction.
  3. Accounting Voucher Creation which is similar to passing business transactions in Journal.

How Tally.ERP 9 screen (Interface) is divided based on functioning


We have come through the Startup Screen of the Tally.ERP 9 Account Software and now we are in Gateway of Tally screen. As like Microsoft Office Word Application Software, Tally.ERP 9 is also having the default Windows Application elements like Title Bar, Minimize, Maximize, Close Buttons,andStatus Bar. Apart that it will be having its own specific elements like Buttons, and Bars in Gateway of Tally, Data Creation, and Reports screens.

Learn Tally ERP 9 from its Starting Screen (User Interface)
Tally.ERP 9 Screen

To get started with Tally.ERP 9 Accounting Software one must understand the User Interface of the Business Accounting Software before implementing the business accounts in this package. One must have expertise in Accounts but advisable to understand the interface of this simple accounting software where you implement trading accounts.

When you open Tally.ERP 9 you could see a screen just similar as shown above, this screen is called Gateway of Tally. As it is the gateway for your business data hence it is called as Gateway of Tally. The Tally screen is basically divided into 6 areas. Each area has been created for a specific function to perform.

Horizontal Button Bar

This is the top most strip of output, input functions attached just below the Title Bar of the Tally window. You can print, export or e-mail reports, statements using the buttons available on it and as well you can set Language to display your accounts and even to type in your own language. Tally supports most of the Indian Languages like Hindi, Gujarati, Telugu, Tamil, Kannada and even Arabic and some other Languages as well. Apart that you can get local help about the Tally.ERP 9 usage from Help button, about the technical queries you can see under Support Centre button, and Control Panel reveals about your user details and product License details.

Main Area

All the accounting related functions like Voucher Creation, reporting, statements are done here. Hence it is the main area of the Tally Software. This area has been divided into two sections, when you are neither Creating Voucher, nor viewing the Reports in this section.

Left Pane

The Left Pane shows loaded Companies, Date of last voucher created in each company; as well you can find the currently using company name in bold format.

Right Pane

The Right Pane shows the options to perform operations like company related information, creating Ledgers, Stock Items, Voucher Creation, Printing, Reporting etc.,

And finally you can see X(close) button in the right top corner in Main Area to quit the Tally Application.

Button Area

You can find a strip of buttons lying on the most right side of the Tally screen in Green Color. It helps the user to Select, Alter, and Configure Features of a Company, setting the Date and Period in the Gateway of Tally Screen. It changes as per the function that you perform in the main screen like when entering transactions through Vouching Creation screen you can see different buttons for Purchase, Sales, Payment transactions.

If you open a Ledger Voucher (Account) screen you can see buttons for displaying the same statement in Quarterly, Monthly even in Daily wise reports. The buttons available in Button Area will changes as you change Main Area.

Calculator Pane

Below the Main Area on the right side you can find Calculator Pane for performing basic calculations for your rough work.

Information Panel

The remaining panels beside the Calculator Pane are known as Information Panel which reveals the information about the name, version, and license details of Tally.ERP 9 software. Let us see them in detail.

Product

It is the first pane from the left side of the Information Panel it shows the Logo of the product.

Version

It tells the user about series and release of the product has been installed in your computer. You can find the Edition of the product and number of Users allowed to access the software.

License

This section reveals the information about the licensed product details like Serial Number of the product, Account ID for which the product has been sold and subscription period. If it is not licensed one it shows as it is Education Mode.

Configuration

The network configuration of the Tally would be shown here. And even it shows you the Stat file (Statutory Information updates) information.

Status Bar

At the bottom of the Tally Window you can find this Task Bar in light brown color. It shows you the Tally Solutions Copy Right text, Date and Time of the system on the right side. On the left side it shows you in which screen or report the user is performing functions.

What is Tally.Net subscription of Tally.ERP 9 Accounting Software


As I already told you about the Tally.Net, that will allow you to connect to your Company Data remotely over Internet Connection. Apart that Tally Solutions will be informing you about the updates made to the software and allows you to install the Latest Software Package to work.

What is Tally.Net Subscription in Tally.ERP 9
Tally.Net Subscription

If you have subscribed to Tally.Net Subscription you can use Login as Remote Tally.Net option in the Startup screen of the Tally.ERP 9 Software to access the Company Accounts available in different location by providing the Tally.Net User id or Password. If you have a Legal Software then can use the Login as Remote User option available in Company Info. menu.

Suppose I renewed my Tally.Net subscription on 1st day of September 2011 and installed Tally.ERP 9 Series A Release 4.31 but Latest Release 5.03 available, I wanted to upgrade my software with the Latest Release 5.03. My Tally.Net subscription already expired on 31st August 2012. As per the subscription I can only upgrade to Release launched upto that date i.e. upto Tally.Net subscription expiry date. The Releases launched after the 31st August 2012 (after expiry of Tally.Net subscription) will not be permissible for me to Reactivate my License in that release. Hence, I can only upgrade to Release 3.61 as it is launched on 17th August 2012 which is released before my subscription expiry date.

So, in order to get these services without interruption we need to subscribe to Tally.Net annually once. And this is what a Tally.Net subscription.

What is License version of Tally.ERP 9 and how do you benefit.


The Licensed Version of the Tally.ERP 9 Accounting Software will allow you to avail off all the features including Remote Login, Voucher Dates, and Auditing etc.. For this licensed version you have to pay one time Activation charges. With the Licensed version you will be provided the following services where the non-Licensed users will not get them.

  1. Tally License Serial Number which is the unique key for your product for life time.
  2. A User Account in Tally Solutions website for life time.
  3. Chat Support and Phone Support will be provided for free of cost for life time.
  4. When you purchase the Tally.ERP 9 will come with one year Tally.Net Subscription. Using this Tally.Net you can access the Company Data remotely from other computer through Internet Connection, which expire on yearly basis.

Which Accounting Software is best to learn Tally.ERP 9


When a successful Software Product launched into the market; countless effort of programmers and developers will be behind it. And obviously the price will be based on the quality of the software. Tally.ERP 9 stood in the number one place in Indian Business Market and it is the one of the best Accounting Softwares around the World.

Which Accounting Software is best to learn Tally.ERP 9
Which Software is best to Learn Tally.ERP 9

If we go for any Cloud Accounting Software like Quickbooks or Standalone Accounting Software like Tally.ERP 9, it will be for free access for a period of time as a Trail License after the lapse of the trail period you need to purchase it.

You will lose your valuable money, if you do not satisfy with the features of the software. And it might not be sufficient for you to learn the Software with the trail period. Tally.ERP 9 is completely free Accounting Software to learn without limited trail period and you can learn it using the Educational Mode available from the Startup screen of the Tally.ERP 9 Software.

If you are satisfied with the Educational Software you can get the Licensed Software for your business needs. Otherwise you download the Tally Latest Software for free of cost and install it after that you can learn Tally.ERP 9 Accounting Software using the Educational Version.

And this is how we can start learning the Tally.ERP 9 Accounting Software either using the Licensed Version or Educational Version.

Introduction to Startup screen of Tally.ERP 9 Accounting Software


After you have installed Tally.ERP 9 Accounting Software you can see the Startup Screen followed by a flash of a slogan of Tally Solutions Power of Simplicity and the Tally Logo. This is the first screen that you seen before Activating or Reactivating your Tally License. And you will obviously see this screen every time you launch the application, if you do not activate your license in your computer.

What is Startup screen an introduction about it
Startup Screen in Tally.ERP 9

This screen is the front door of the Tally.ERP 9 Accounting Package, which invites the user to continue with any of the following 3 options to proceed to work on or Q : Quit option to exit without working.

Licensing Operations

This section will help you to configure your software as Legal one by selecting the any one of the following options

A : Activate License

The Activate License is the one time process that you need to do in order to use the Software as Licensed one. As usual, the Tally Administrators from Tally Solutions Pvt. Ltd., will do this process for free of cost, if you have purchased the Licensed Software. And it is recommended to contact your Tally software License Key seller regarding this.

As soon as you select this option you will be navigated to the Activate License screen where you have to provide

  • Serial Number, which you can find in your Software Pack or CD or either in your email message received from Tally Solutions Pvt. Ltd.,.
  • And mention the Activation Key which you get from Tally Solutions Pvt. Ltd.,in your email id.
  • Type your email id for E-Mail ID for Administrator and that you need to remember every time you either Surrender or Reactivate your Serial Number. Repeat the E-Mail ID. It is also termed as Tally.Net ID
  • Give name to your Account it could be either your Company name or Personal Name to identify your Account.
How to activate Tally.ERP 9 License
Activating License

C : Configure Existing License

As the name hints it enables you to configure your Existing License in different Directory in your computer Hard Disk Drive. You can change the License file path of your Tally.ERP 9 Accounting Software directly from here without opening Tally.ini file. After configuring your license tally will automatically restarts to make the changes.

How to Configure Existing Tally.ERP 9 License
Configuring Existing License

V : Reactivate License

After Activating your License in any computer system you can go with this option to Reactivate your License in difference system if the license is surrendered earlier. To Reactivate License in your computer select this option and you need to provide your E-Mail id of Tally Administrator and Tally.Net password which you have already received from Tally Solutions to your mail id. These are the secret one and it should not be expressed to others. Select the Serial Number of your product and that will be activated in your Computer.

How to Reactivate Tally.ERP 9 License
Reactivating surrender license

B : Buy Rental License

If you do not want to go with life time purchasing of the License you can take the license for Rent for a specific period. It costs between few hundred rupees per month (in India).

L : Login as Remote Tally.Net User

This option allows you to access the Company Data available in remote computer even though the license is not activated in your computer. Before you proceed, the remote computer must allow you to connect to their Company Data.

How to Login Remotely to a company using Tally.Net User in Tally.ERP 9
Logging into Remote Company using Tally.Net User

After you have selected this option you will be navigated to the Login as Remote Tally.Net User screen, where you need to provide your Tally.Net credentials to login to your account.

All the above options except Configure Existing License will need the Internet connection for configuring your License settings and login as Tally.Net user in Tally.ERP 9 software in your computer.

W : Work in Educational Mode

What are the options that we have earlier needs a Purchased License, but this option does not need any Legal Version of the Tally.ERP 9 Accounting Package! Tally Solutions Pvt. Ltd., with the intention of making everyone to learn the Software for a free of cost, has included this option in the Startup screen itself. But we will not access the most advanced features like Tally.Net, Automatic Bank Reconciliation apart that the most important thing that we need to know the Date element. With Educational mode we can only record the transactions only on 1, 2 and 31 of every month. So, you can not make Voucher Entries for the 30th day of April, June, September, and November months as well for February month it can be either 28 or 29 (Leap Year).

Select Work in Educational Mode option available in the Startup screen of the Tally.ERP 9 software, then you can see I: Silver Education Mode (Single User) option under it. Just go with this option to start the application in Education mode. The Gateway of Tally screen will welcome you with Company Info. (Information) menu.

Upgrading Tally.ERP 9 Accounting Software with Latest Release or Version


Tally Solutions Pvt. Ltd., will be updating the Tally.ERP 9 Accounting Software on continues basis with minor improvements for it. There are different methods for upgrading to latest release for different Tally.ERP 9 Software users based on their License Type. The method for upgrading the software for the Educational and Licensed user would vary.

How to Quickly Upgrade Tally.ERP 9 Accounting Software with Latest Release or Version.
Upgrading to Latest Tally.ERP 9 Release or Version

For Licensed Version Users

If you have purchased the software you can upgrade to the latest release launched within your Tally.Net Subscription period. You can upgrade to the latest release by using the Uninstall and Install Method and Installation Quick Setup Wizard methods

Uninstall and Install

This is the common procedure that everyone would know. You have to follow the following steps to upgrade to the latest release.

  1. Surrender your Tally.ERP 9 License from your computer with Tally.Net credentials.
  2. Uninstall the Tally.ERP 9 Application Software from your computer.
  3. Download the Latest Release of Tally.ERP 9 Installation file from Download Centre in Tally Solutions official website.
  4. Complete the normal Installation procedure that we have explained earlier.

Installation Quick Setup Wizard

The earlier method is a hard, time consuming, and lengthier process, where you need your Tally.Net Id and passwords for Surrendering and Reactivating your license after Installing Latest Release. But, in this Installation Quick Setup Wizard method is simple, fast and easiest method than the earlier. And you do not need to download the Installation file, remember Tally.Net ID and passwords for Surrendering from and Reactivating the License in your computer.

All you have do is that just open the Tally.ERP 9 accounting software and follow the below steps.

  1. From the Gateway of Tally Screen you can see the Version section in Information Panel.
  2. Here you can find the Installed Release in your computer and the Latest Release available to upgrade, just click on Latest Install Rel. <release number> Option. You can see the latest Release number in the place of <release number> like Rel. 5.03.
  3. In the Installation Quick Setup Wizard take the Back Up of your Company Data and after that select Install Now option.
  4. You can find the Congrats message about the Installation of new Release in your computer.
  5. Press any key then Tally.ERP 9 Accounting Software will be re-launched automatically. In the Version section you can find that your Tally.ERP 9 has been upgraded to the latest release.

For Educational Version Users

We can upgrade to the new Release or Version from the old Release or Version with our Tally.Net Subscription, if we have the purchased the License of Tally.ERP 9 and for Educational Mode users it is not available. For Educational Version all you have to do is uninstall and Install the Latest Release by downloading the Latest Release from the Download Centre of Tally Solutions official website.

There is no question of Surrendering and Reactivating the License as the Educational Mode is for free users as they do not have the Tally.ERP 9 Serial Number.

And this is how we can Upgrade Tally.ERP 9 Accounting Software from Old Version to New Version either using the Install and Uninstall Method of Installation Quick Setup Wizard method.

How to Install Tally.ERP 9 Accounting Software in Windows XP, 7 or 8


After you have started the installation process of the Accounting Software all the things will be shown in the Installation Wizard and you have to choose the appropriate settings for your Software as per your requirements like Disk Drive path, your Country name, and Start up Language.

How to install Tally.ERP 9 Accounting Package
Installing Tally.ERP 9 Accounting Software

Just download the Tally.ERP 9 Software from the Tally Download Center and follow the below instructions.

  1. Run the downloaded Installer File by double clicking it. If it asks the Administration permission to run the file login as Administrator instead of User of Guest Account Type.
  2. InstallShied Wizard will run, after that you will be navigated to the Tally.ERP 9 Installer window just click on Nextbutton to move forward in Installation Wizard for Tally.ERP 9 window.
  3. In the Edition screen Single User ratio button should be selected. If you have purchased the Multi User License edition then select the Multi User ratio button and proceed to the next step.
  4. By default Tally.ERP 9 Configuration screen will be having the OS installed Local Disk Drive path in general e.g. C:\Tally.ERP9. It is recommended to install the software in non OS installed Local Disk Drive, hence change the Directory location for tally installation in the Application Directory text field automatically the Data, Configuration and other Directory paths will be changed automatically, and approach to the step.
  5. Here Install Operating System Language Support checkbox must be selected to support the Multi-Lingual feature of Tally.ERP 9. Select the Country to which you belongs to, and click on the Install button to start the installation after configuring the above settings for the Tally.ERP 9 Software in your computer
  6. As soon as you select the Install button you can see the Setup Status window. And finally you can see the message about the status of your installation. Just click on Finish button to launch the Tally.ERP 9 software.

You can learn about what is New Installation and what is Upgradation of Tally.ERP 9 software in our earlier article.

Now the Tally.ERP 9 Accounting Package has been installed in our computer system, after that you may either learn the Tally.ERP 9 Software by taking to W : Work in Educational Mode option orActivate License option if you have purchased a Legal Software. You can directly click on the Shortcut File of the Tally.ERP 9 Application file to launch the software later. By default, the InstallShield Wizard will create a shortcut file in the User’s Desktop.

This is how we can install the Tally.ERP 9 Accounting Software in our Computer.

What is New Installation and Upgradation of Tally.ERP 9 Software


Tally.ERP 9 Accounting Package comes with a single Executable File format, which can be downloaded directly from the Tally Solutions Download Centre portal, that contains Latest Version. And the Old Versions of the Tally Software can be found in Earlier Versions of Tally & Tally.ERP 9 webpage. And it is recommended to continue with the latest Release for accessing all the powerful features of Tally.ERP 9.

What is New Installation and Upgradation of Tally.ERP 9 Accounting Software
Difference between New Installation and Upgradation of Tally.ERP 9 Software

For every Tally.ERP 9 Software version you can find two sets of files one is the Light Installer, which contains only Software where as the Full Installer contains the Tally User Manual, a help file along with the Software. This Software runs only in Windows Operating System (OS) and doesn’t run in Multi User Operating Systems like Linux or Unit and other Single User Operating Systems (OS). You have to choose the corresponding file based on your OS Bit type, it might be either 32 Bit or 64 Bit Windows OS.

What is New Installation of Tally.ERP 9 Software?

If you are first time installing the software in your computer you have to configure the installation location for the Tally Software files to be loaded in your computer. By default it will take the OS installed Local Disk Drive path for installation. For the security purpose it is highly recommended to choose the Local Disk Drive path other than the OS installed.

What is Upgradation of Tally.ERP 9 Software?

To start the upgradation of the Tally.ERP 9 it is recommended to take Backup of your Company Data. And to update the existing Tally.ERP 9 software with Latest Release you have to set the Local Disk Drive path of your old version in the Tally.ERP 9 Configuration screen while installing the software. When you set the software installed Local Disk Drive path in the respected fields the heading will change from New Installation to Upgradation. And overrides the software files but it will not erase the existing Company Data files. However it is recommended to take the Backup of your Company Accounts before upgrading the version/release.

What kinds of Tally.ERP 9 Softwares are being used in the Market


When there is a New Software launched by a company it will be available in their official website to showcase it to the users. Likewise Tally.ERP 9 Accounting Software is also available in their website. In order to avail off all the features of Tally software we must purchase a License Key of the Software.

What is the meaning of Demo, Licensed, and Pirated Softwares
Demo, Legal, and Pirated Tally.ERP 9 Software

In practical we don’t buy Software, but we only purchase the License Key of the software to access the complete features. Let’s understand three concepts lying in Software Purchase.

Demo Software

It is also referred as Educational Software, the main intention of the demo software is to make the people realize the usage of the software for their needs and to know performance of the software. Every software is available in the market will be provided with the free version with limited features and even for a limited time. We can download them from the official website of the seller and can learn the software with few restrictions over the functioning of the software.

Legal Software

It is also known as Licensed Software. This is fully featured software and the user can work with all the functions available in the software. By purchasing the software the user will be provided with the Serial Number and License Key of the software. Using these, user can unlock the restrictions to avail off the full features.

Single User License

With this license only one user is allowed to use the software.

Multi User License

Here the software will be available to more than one user. Other Accounting Software in the market limit the number of users like 5 users, 10 users, but whereas Tally.ERP 9 will not limit the number of users - it is unlimited under Multi User License.

Pirated Software

This is a Cracked Software, with all the functions available in the Legal Software but it has damages. While using this software you would face some unsaved change to your data. That means it is unsecured software.

Likewise, Tally.ERP 9 accounting software is available in these three forms for learning purpose you can use the Demo Software in Educational mode. For Business purpose we highly recommend you to use the License version rather than a Pirated Software.

Brief history about Tally.ERP 9 and its versions since Tally 3.0


Mr. Bharat Goenka is the man behind the success of wonderful accounting software, Tally.ERP 9. Tally Solutions Pvt. Ltd was started in early 1980s. He was dreaming then to develop the current Tally.ERP 9 Software with the help of Remote Technology to enable the Senior Management to access information even out of their office only with the help of the finger tips and not over email, phone call or fax paper.

What is the History of Tally and its version from Tally 3.0 to Tally.ERP 9
History of Tally Software and its versions from Tally 3.0 to ERP 9

And this Business Accounting Software has dynamically transformed to Tally.ERP 9 from simple Accounting Software Tally. Every improvement in the software is referred as Version. The Version number of the software will indicate whether it is updated or outdated software. When the new version is released the software will be available with some major improvements. Let us understand in detail about each version of the Tally Software with following information.

Tally 3.0, 4 and 4.5 version

From Tally 3.0 to Tally 4.5 versions Tally Accounting Package was only used to run in Microsoft DOS (Disk Operating System), and it was unable to run in Windows OS. At this stage the performance of the Tally was fast yet not user friendly. Here Tally was supporting only Basic Accounting needs of small business operations, and the user has to run the Predefined Commands to operate the software. So, the user has to bear the commands in his mind to operate the application and it was very complicated to do so. To overcome the pitfall, Tally 5 had been developed.

Tally 5 version

With Tally 5 version Tally Software introduced its operating in Windows OS. It became user friendly and very easy to operate with Graphical User Interface of the software, where the earlier versions were to be operated with Standard Commands. There was no any enhancement in the Business Operations only supported the Basic Accounting as the earlier version did.

Tally 5.4 version

Inventory maintenance has been introduced with this version. Recording the Stock quantity and generating the stock reports was developed.

Tally 6.3 version

Locking the software with single computer was introduced with this version. By Hardware Lock facility duplication of the software usage was eradicated.

Tally 7.2 version

Tally 7.2 version onwards the Tally Software was able to handle the Statutory Operations by recording the VAT, Service Tax, TDS like transactions and able to generate the Statutory Forms for smooth, and accurate functioning of the Statutory Filing.

Tally 8.1 version

Earlier Tally was only able to work in English language but now onwards it supported Multi-Lingual, and supported FBT, and Excise operations.

Tally 9 version

International Taxation and Payroll has been introduced.

Tally.ERP 9 version

Excise for Manufactures, and Remote Login (Tally.Net) features launched.

And finally Tally.ERP 9 version launched with Series A in the year 2009, with which Mr. Bharat Goenka’s goal has been achieved. From Tally.ERP 9 version onwards the improvements in the software called as Releases.

Releases are like editions of a book. Eg. Tally.ERP 9 Series A Release 5.03. Updates to the software will be done in continues basis, and these updates may be related to rectification of mistakes, addition of new features, statutory changes from the earlier versions. The first Release of Tally.ERP 9 was 1.0 and the right now the latest release available is Release 5.03.

It is simple to install and use the software, and you can download it for free of cost from the Tally Solutions Download Centre, where you can download the Latest Release 5.03 and if you want to download the old versions of the Tally Software you can get them from the Earlier Versions of Tally & Tally.ERP 9.