Tally ERP 9 Audit Tools


The following are the various features that can be utilised for Tax Audit, Company Audit, Transfer Pricing Audit and VAT Audit
Data Entry
Before data entry create Company, activate the features, and configure the tally for using your data entry and reporting
Activate multi currency option if you have transactions in foreign currencies.
The success of using the various features will depend upon the accuracy of data entry made.
Never pass consolidated entry like depreciation, petty cash payment, bank payment or receipts
The reason being it will give reports which C.A.’s mind will not accept
Open Ledger account which will give its features and flavour of its character
Select an appropriate group for the account and change the group from time to time on change in debit or credit balance change.
Activate required stock features to have quantitative reports
Enter from time to time the Bank statement in tally to have bank reconciliation missing entries.

 See that VAT option is activated in your tally and enter your TIN and effective date
See that the accounts are created in purchase, sales, expenses, fixed assets transactions considering VAT set off rules
 Foreign Exchange Transactions
Enter the Import bills in foreign exchange
Enter the Export Bills in foreign exchange
Enter the Receipts in foreign exchange
Enter the payments in foreign exchange
Stock Valuation
Tally has got in built stock valuation features
You can value stock by any method regularly followed and accurate entries are made for purchase and sales transactions
Otherwise you can dis-integrate the stock and value as per your own working too.
Interest Calculation
Activate in features and
Activation while creating a ledger account or latter on as per your requirement.
Provide the rate of interest
Mode of calculation i.e. month or 365 days and advance features are available
Foreign Exchange Difference
When there are two currencies active the Balance sheet will show unadjusted foreign gain or loss for which entries are to be made periodically if not made at the time of settlement of transaction.
Amount in asset side shows loss and gain on liability side
Reporting in Tally
Apart from Statement of affairs and Profit and loss/ Income and Expenditure account, Books of Accounts, Inventory registers, stock statement the following additional reports can be generated
Statements in Rupees and Foreign Currency
 Quantitative statements for 3CD
 Stock valuation by using earlier years method and current years method of stock valuation
Payment above Rs.20,000/-
Payment/Bills above Rs.5,000/-, 20,000/- or consolidated Rs.50,000/- for TDS purposes
Maximum balance outstanding during the year for loans etc.
Delayed payment of TDS, PF, ESIC, Profession Tax etc.
40A(2)(b) reports
Negative Cash balance
Checking interest payments and receipts
Reports under TP Audit
Sales to Associated Enterprises
Purchase from Associated Enterprises
Gross Profit ratio of transactions with AE and others
Company Audits
Transaction above certain limit with parties listed in register u/s 301 of the Companies Act, 1956
Provident Fund and ESIC payment verification
Fixed Assets Register
Inventory records in Notes to Accounts
Debts more than six months
Segment reporting
Duplicate payments and Duplicate Bills
Ledger Scrutiny
Audit papers and audit trail
 MIS Reporting
Over due payments
Highest and lowest Cash balance and Bank balance for utilisation of fund
Stock reports
Export of data in XL and ODBC
For further analysis and reporting
There are certain package data of which is compatible with tally data base and can be imported in tally i.e. sales affected at certain counters can be merged in tally.

And there are various agencies, they give additional features and packages compatible with tally so tally can be used as ERP package.