There are 28 predefined group in Tally Prime. Which are widely used in the chart of accounts of many trading organization. Out of these 15 groups are primary group and the 13 group are profit and loss items. Understanding List of Groups

1) Bank Accounts :- This group is used to keep the name of all bank accounts including savings, current, recurring deposit etc.

2) Bank OD :- This is a sub group of bank account used to keep the overdraft facility taken by the company.

3) Branch/ Division :- This group is used to keep the name of all companies which may be branch, division etc of existing company.

4) Capital Account :- This is a primary group to hold the capital and profits of the company. The possible ledger heads that can be opened under this group are Partner’s account, Proprietor capital account or proprietor drawing account etc belong to this group.

5) Cash in Hand :- This is a primary group of current assets use to hold account of cash balances. 

6) Current Assets :- This is a primary group all the current assets of company are placed under this group.

7) Current Liabilities :- This is a primary group and all the current liabilities of company are placed under this group.

8) Deposit (Assets) :- This is a primary group of current assets mostly use to hold deposit like security deposit, fixed deposit, Rental deposit and all other such deposit.

9) Direct Expenses :- This group is use to hold ledger account of direct expense of the company, that is the expense like salary, wages, electricity bills etc.

10) Direct Income :- This group is use to hold ledger account of direct income of the company, that is the income like Discount etc.

11) Duties & Taxes :- This is a primary group of current liabilities, mainly used to keep the track of trade duties and tax like GST, TDS which is to be paid either after financial year or already paid in current year.

12) Fixed Assets :- This is a sub group and use to keep all the fixed assets of the company like Land, Building, Furniture etc.

13) Indirect Expenses :- This group is used to hold ledger account of indirect expenses of the company i.e. Advertising, Travelling etc.

14) Indirect Income :- This group is used to hold ledger account of indirect income of the company i.e. Interest received from bank etc.

15) Investment :- This is a sub group used to hold ledger account of share, bonds and other securities of the company as well as investment in other companies.

16) Loan and Advances (Asset) :- This is a primary group of current assets use to hold account like advance given for purchase of fixed assets, advance salary etc.

17) Loans (Liability) :- This is a group and used to account of the loan taken by the company.

18) Miscellaneous Expenses (Asset) :- The loss of the preliminary and preoperative expenses and other such expenses which has been capitalized to the extent of not working them off in the profit and loss account fall here.

19) Provision :- This is a primary group of current liabilities use to hold other tax provision like Income tax, Audit fees etc.

20) Purchase Account :- This is a sub group use to hold all purchase of commercial goods.

21) Reserve and Surplus :- This is a primary group of capital account like revenue reserve, capital reserve etc. This group is also called Retained Earning.

 22) Sales Account :- This is a group used to hold all sales of commercial goods.

23) Secured Loans :- This is a primary group of loan use to hold the loan taken by company from secured sources i.e. from Banks or Financial corporation etc.

24) Stock-in-Hand :- This is a primary group of current assets mainly used to hold opening and closing stock creation like Raw material, Work in progress and Finished Goods.

25) Sundry Creditor :- This is a primary group of current liabilities, all trade creditor of the company can be created under this group.

26) Sundry Debtor :- This is a primary group of current assets, all trade debtor of the company can be created under this group.

27) Suspense :- This group is used by company to maintain a suspense ledger which keep track of money received or paid by the company whose nature of transaction is not known.

28) Unsecured Loan :- This is a primary group of loan used to taken unconditionally by the company like from outside parties, including directors, relative, partners.

Creation of Group in Tally Steps :

At first Go to Gateway of Tally

Select option of Create and Press enter key

Select option of Group and Press Enter Key

Enter the Name in name field and alias if any Select under group from the List of Group Accept the screen by CTRL+A or Enter key from Keyboard. 

Alteration of Group in Tally Steps :

At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Group and Press Enter Key Select group from the List of Group Alter the group details as required Accept the screen by CTRL+A or Enter key from Keyboard.

Delete a Group Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Group and Press Enter Key Select group from the List of Group Press ALT + D from Keyboard Then confirm it by Y key or Enter key from Keyboard.

Ledger

A ledger is a book which contain all the accounts whether personal, real and nominal which are entered in journal or subsidiary book. Tally prime contain two predefined ledger account namely Cash (under group cash in hand) and Profit and Loss (under group primary account) you have to create necessary ledger account as per requirement of your business. All financial transaction are made under ledger account heads. Every transaction/voucher can be related to a ledger account head which it belongs ledger that have transaction of same nature are classified under one group.

Creation of Ledger in Tally Steps :

At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Ledger and Press Enter Key 

Enter the Name in name field and alias if any Select under group from the List of Group Under mailing detail :

· Enter the name · Address · State · Country · Pin code · Provide Bank detail · Pan No.

§ In creation of bank account enter the A/c holder name , A/c no., IFSC Code, Bank name, Branch name o Or other details of ledger as required while creation of different ledgers. Accept the screen by CTRL+A or Enter key from Keyboard.

Alteration of Ledger in Tally Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Ledger and Press Enter Key  Select ledger from the List of ledger Alter the ledger details as required Accept the screen by CTRL+A or Enter key from Keyboard.

Delete a Ledger Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Ledger and Press Enter Key Select ledger from the List of ledger Press ALT + D from Keyboard Then confirm it by Y key or Enter key from Keyboard.

Cost Centre

Cost Centre is a unit of an organization for which transaction (usually revenue) are allocated. We can have the details of all the transaction from a cost centre. The ledger account shows only the nature of transaction. It does not give any idea of the unit or organization involved through one many have some idea about it from narration. When only cost or expense are allocated to these centre, they are termed as Cost centre. When income is also allocated to these centre, they are termed as profit centre.

Creation of Cost Centre in Tally Steps :

At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Cost centre and Press Enter Key Enter the Name in name field and alias if any Default under is selected as Primary Accept the screen by CTRL+A or Enter key from Keyboard.

Alteration of Cost Centre in Tally Steps :

At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Cost centre and Press Enter Key Select cost centre from the List of cost centre Alter the cost centre details as required Accept the screen by CTRL+A or Enter key from Keyboard.

Delete a Cost Centre in Tally Steps :

At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Cost centre and Press Enter Key Select cost centre from the List of cost centre Press ALT + D from Keyboard Then confirm it by Y key or Enter key from Keyboard. Voucher Type Vouchers are used for recording day-to-day transactions of a company. At the time of recording a transaction, you need to specify the transaction’s ledger name as well. This process help in maintaining consistency to record accounts related information. Tally provide various types of voucher for different types of transactions. You can use the suitable voucher to enter details into ledgers for recording transactions. The type of voucher that Tally provide are accounting voucher, inventory voucher, and payroll voucher.

Configuration of Voucher Type Steps : At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Voucher type and Press Enter Key Click F12 : Configure button on the Button panel The voucher configuration screen appears, 

Creation of Voucher Type in Tally Steps :

At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Voucher Type and Press Enter Key Enter the Name in name field and alias if any Select type of voucher from list of voucher type Method of voucher Numbering i.e. Automatic or Manual Accept the screen by CTRL+A or Enter key from Keyboard.

Alteration of Voucher Type in Tally Steps :

At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Voucher Type and Press Enter Key Select type of voucher from list of voucher type Alter the cost centre details as required Accept the screen by CTRL+A or Enter key from Keyboard.

Delete a Voucher Type in Tally Steps : At first Go to Gateway of Tally > Select option of Alter and Press enter key Select option of Voucher Type and Press Enter Key Select type of voucher from list of voucher type Press ALT + D from Keyboard Then confirm it by Y key or Enter key from Keyboard.

Inventory

Tally prime allows you to manage goods and service of a business entity with the help of inventory masters. Inventory is the quantity of goods or material that are stored at any given time and held for some purpose and uses. In other words, inventory simply means the goods or service that a business entity holds in stock. In Tally, you can define the inventory by creating :-

· Stock Groups · Stock Categories · Unit of Measure · Godown · Stock Items

1. Stock Group A stock group is a collection of stock items of the similar nature. Tally prime allows you to create group and classify stock item under them, as per your requirement, However you do not intend to assign stock item to a particular stock group. Tally prime allows you to alter or redefine stock group at any point of time. Grouping of stock item is done based on common behavior such as nature of goods, size, brand etc. Grouping of stock item helps in easily identification and reporting of stock item in stock segment. Creation of Stock Group in Tally Steps : At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Stock Group and Press Enter Key Enter the Name in name field and alias if any  Default under is selected as Primary Accept the screen by CTRL+A or Enter key from Keyboard. Alteration of Stock Group in Tally Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Stock Group and Press Enter Key Select stock group from the list of stock groups Alter the stock group details as required Accept the screen by CTRL+A or Enter key from Keyboard. Delete a Stock Group in Tally Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Stock Group and Press Enter Key Select stock group from the list of stock groups Press ALT + D from Keyboard Then confirm it by Y key or Enter key from Keyboard. 

2. Stock Categories Stock categories are use to distinctively classify goods based on their specific nature or type or brand in order to generate customized inventory goods. Stock categories help in an obtaining third dimensional reporting that is based on functionality, behavior, and brand on alternative or substitute for the stock item. You can create category in stock categories. If You don’t see security options, Press F12(Configure) :> Set the following options to YES : Use stock category for stock items : Yes Creation of Stock Category in Tally Steps : At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Stock Categories and Press Enter Key Enter the Name in name field and alias if any Default under is selected as Primary Accept the screen by CTRL+A or Enter key from Keyboard. Alteration of Stock Category in Tally Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key  Select option of Stock Category and Press Enter Key Select stock category from the list of stock categories Alter the stock category details as required Accept the screen by CTRL+A or Enter key from Keyboard. Delete a Stock Category in Tally Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Stock Category and Press Enter Key Select stock category from the list of stock categories Press ALT + D from Keyboard Then confirm it by Y key or Enter key from Keyboard.

3. Unit The quantity of stock item is measured in units. This feature allow you to deal with various units to measure stock. Unit of measure refers to unit on the basis of which inventory is measured as quantified that is good are purchased or sold on the basis of quantity and to measure quantity, units are defined. Unit of Measure is of two types : · Simple :- Refers to a single unit, such as pieces, kilogram etc · Compound :- Refers to a combination of two simple units. For example, if pieces and dozen are two simple units, then the relation between them can be established using a conversion factor of 12 (1 dozen = 12 pcs ) thus the multiplier factor is 12. Creation of Simple unit in Tally Steps : At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Unit and Press Enter Key Enter the Symbol and full name of symbol in formal name Accept the screen by CTRL+A or Enter key from Keyboard.  Alteration of Unit in Tally Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Unit and Press Enter Key Select Unit from the list of units Alter the unit details as required Accept the screen by CTRL+A or Enter key from Keyboard. Delete a Unit in Tally Steps : At first Go to Gateway of Tally Select option of Alter and Press enter key Select option of Unit and Press Enter Key Select Unit from the list of units Press ALT + D from Keyboard Then confirm it by Y key or Enter key from Keyboard. Creation of Compound unit in Tally Steps : At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Unit and Press Enter Key  Select the type of units : Compound Select the first unit from simple unit and enter conversion then select the second unit from simple unit Accept the screen by CTRL+A or Enter key from Keyboard.

4. Godown Godown refers to the place where goods are stored for trading purpose. In tally prime you can create godown to record stock at more than one location and obtain stock report for each godown and account for movement of stock between godown. Godown provide the current stock position because tally update every inventory transaction automatically. Creation of Godown in Tally Steps : At first Go to Gateway of Tally Select option of Create and Press enter key Select option of Godown and Press Enter Key Enter the Name in name field and alias if any Default under is selected as Primary Accept the screen by CTRL+A or Enter key from Keyboard.