Indirect Incomes Under GST in TallyPrime: 4 Steps + Example

Indirect income refers to earnings that are not directly related to your core business activities.

Examples include commission income, rent received, interest received, royalty income, etc.

If you are registered under GST and earn such income, you need to charge GST (if applicable) and record it properly in TallyPrime.

This ensures that your GST returns and financial statements stay accurate.

Table of Contents

1. Step-by-Step Guide to Record Indirect Income Under GST in TallyPrime

Let’s take an example:
You received ₹10,000 as commission from a company, and you’re required to charge 18% GST.

Step 1: Enable GST in TallyPrime

Press F11 > Statutory & Taxation
Set Enable Goods and Services Tax (GST): Yes
Enter Company GST Details
Press Ctrl + A to save

Step 2: Create or Update Necessary Ledgers

1. Indirect Income Ledger (e.g., Commission Income)

Go to: Accounts Info > Ledgers > Create
Name: Commission Income
Under: Indirect Incomes
Set GST Applicable: Yes
Type of Supply: Services
GST Rate: 18%

2. Customer/Party Ledger

Go to: Accounts Info > Ledgers > Create
Name: e.g., XYZ Pvt Ltd
Under: Sundry Debtors
GST Registration Type: Regular
Enter GSTIN and State
Press Ctrl + A to save

3. GST Tax Ledgers (if not already created)

CGST @ 9% – Under: Duties & Taxes
SGST @ 9% – Under: Duties & Taxes
(Use IGST @ 18% for interstate customers)

Step 3: Record the Sales Entry for Income

Use a Sales Voucher to record the income along with GST.

1. How to Pass the Entry:

Go to Gateway of Tally > Vouchers > F8 (Sales)
Select the party account (e.g., XYZ Pvt Ltd)
Choose Commission Income as the sales ledger
Enter amount: ₹10,000
Add GST Ledgers (CGST + SGST or IGST)
Total invoice amount will be ₹11,800
Save with a narration like:
“Being commission income for July 2025 including GST @ 18%”

Example Entry: Indirect Incomes Under GST in TallyPrime

Particulars	Amount
Commission Income	₹10,000
CGST @ 9%	₹900
SGST @ 9%	₹900
Total Invoice	₹11,800

Step 4: Verify in Reports

Go to Display > Day Book – check the sales entry
Go to GSTR-1 – the income will appear under B2B sales
Go to Profit & Loss A/c – income is shown under Indirect Incomes

2. Other Indirect Incomes You Can Record under GST in TallyPrime:

Rent Received (on commercial property)
Royalty Income
Advertisement Income
Referral Commission
Consulting Services (if not part of your core business)

3. GST Applicability Tips for Indirect Incomes under GST in TallyPrime

If GST is not applicable, set GST: Not Applicable while creating the income ledger.
Always issue a proper GST invoice for such incomes.
Make sure the HSN/SAC code is defined if required.

4. Final Thoughts: Indirect Incomes Under GST in TallyPrime

Recording indirect income in TallyPrime helps you:

Maintain correct accounting books
File accurate GST returns
Track your income sources efficiently

Just remember to set the correct GST treatment, especially for interstate vs intrastate supplies.

Let me know if you’d like a sample GST invoice format or help setting up ledgers for your income streams.