Car loan entry

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

09 April 2015 Rep.Sir,

purchase new car

hdfc loan sanction amt 6600000

disbursement amt 6460928

deduct from hdfc loan
1 advance EMI OF RS 139072

then how to jv passed in tally of advance emi

CA Shekhar R. Maske

CA Shekhar R. Maske (Expert)
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09 April 2015 Disbursement is for Rs. 6460928 then loan is for same amount. Where is advance emi?

Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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18 July 2024 In Tally, you can record the journal entry for the advance EMI paid on the HDFC loan as follows:

1. **Create a Ledger for Advance EMI:**
Before recording the journal entry, ensure you have a ledger created in Tally for "Advance EMI" if it doesn't already exist. Here’s how you can create it:
- Go to Gateway of Tally > Accounts Info > Ledgers > Create.
- Enter the name as "Advance EMI" under the appropriate group (typically under Loans & Advances or Expenses).
- Save the ledger.

2. **Record the Journal Entry:**
To record the advance EMI paid, you'll make a journal entry in Tally. Here’s the journal entry format:

**Date:** [Date of the transaction]

**Particulars** | **Debit Amount** | **Credit Amount**
-------------------------|------------------|-----------------
Advance EMI (Expense) | 139072 |
HDFC Loan (Liability) | | 139072

**Explanation:**
- **Debit:** Advance EMI (Expense): Enter the amount of the advance EMI paid (139072) under the appropriate expense ledger you created earlier.
- **Credit:** HDFC Loan (Liability): Credit the same amount (139072) under the HDFC loan ledger to reduce the loan liability by the amount of the advance EMI paid.

3. **Save the Journal Entry:**
- After entering the details correctly, press Enter to save the journal entry.

This journal entry records the payment of the advance EMI on your HDFC loan in Tally. It properly reflects the reduction in loan liability and the corresponding increase in the expense incurred for the advance EMI payment. Adjust the ledger names and amounts as per your specific Tally setup and the actual amounts involved in your transaction.

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