Set Up Connected GST in TallyPrime: 6 Easy Steps + 2 Examples

Setting up Connected GST in TallyPrime involves integrating your TallyPrime software with the GST system for seamless GST filing and compliance.

Connected GST allows you to generate GST returns, file them online, reconcile GST data, and ensure compliance with the GST Network (GSTN).

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1. Steps to Set Up Connected GST for Your Business in TallyPrime

Step 1: Enable GST in TallyPrime

1. Activate GST Features:
   • Go to Gateway of Tally → F11 (Features) → Statutory & Taxation.
   • Enable Goods and Services Tax (GST).
   • Configure GST details like GSTIN, registration type, and state.
2. Set GST Details for Your Business:
   • Enter details such as:
     • GSTIN: Unique GST Identification Number.
     • Applicable from: Date when GST became applicable.
     • Type of Registration: Regular Dealer, Composition Dealer, or SEZ Unit.

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Step 2: Enable Connected GST

1. Go to Gateway of Tally → F11 (Features) → Connectivity.
2. Enable Connected GST:
   • Ensure the option Enable Connected Services for GST is set to Yes.
   • Configure connectivity settings such as:
     • User credentials for GSTN portal.
     • Tally.NET ID for accessing connected services.

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Step 3: Create GST-Related Ledgers

1. Create Tax Ledgers:
   • For IGST, CGST, and SGST, create separate ledgers under the group Duties & Taxes.
   • Assign appropriate tax percentages.
2. Create Sales/Purchase Ledgers:
   • Assign relevant GST details, such as GST rates and HSN/SAC codes.
3. Create Party Ledgers:
   • Configure GSTIN, state, and GST applicability for your parties.

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Step 4: Record GST-Compliant Transactions

Record sales, purchases, and journal entries with proper GST classifications and tax details.

Example:

• Sales Invoice:
  • Goods Sold: ₹1,00,000.
  • IGST: ₹18,000.
  • Total: ₹1,18,000.
  • Ensure the HSN code and GST rates are entered in the invoice.

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Step 5: Generate GST Returns

1. Go to Gateway of Tally → Display More Reports → GST Reports.
2. Select the desired GST return, such as:
   • GSTR-1: For outward supplies.
   • GSTR-3B: For monthly GST summary.
3. Validate data for errors, such as missing GSTINs or mismatched tax amounts.

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Step 6: File GST Returns Online

1. Export GST returns in JSON format from TallyPrime.
2. Upload the JSON file to the GSTN portal.
3. Alternatively, use Tally’s Connected Services to directly upload and file GST returns.

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2. Examples of Setting Up Connected GST for Your Business in TallyPrime

Example 1: Regular Dealer Setup

• Business: A manufacturing unit in Maharashtra.
• GST Details:
  • GSTIN: 27XXXXX1234XXZ.
  • GST Rates: 18% IGST for interstate sales, 9% CGST + 9% SGST for intrastate sales.
• Transactions:
  • Record sales of goods worth ₹2,00,000 with CGST and SGST.
  • Generate and file GSTR-1 for the outward supply.

Example 2: SEZ Unit

• Business: An SEZ unit exporting software services.
• GST Details:
  • Export under LUT without IGST.
• Transactions:
  • Record zero-rated export sales of ₹5,00,000.
  • Validate and generate GSTR-1 for reporting exports.

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3. Benefits of Connected GST in TallyPrime

1. Automated GST Compliance: Reduces manual errors and speeds up filing.
2. Error Detection: Identifies missing GSTINs or mismatched entries.
3. Reconciliation: Matches GST returns with books of accounts.
4. Direct Filing: Seamlessly upload returns to the GSTN portal.

By setting up Connected GST in TallyPrime, businesses can manage their GST compliance more efficiently and avoid penalties for errors or delays.