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How to make Tally Entries for Sale of Property which incurs LTCL based on Indexation workings

03 December 2024

Dear All,

I am looking forward for how to pass Tally Accounting Software entries for Sale of my Apartment which was bought in Nov 2008 for Rs 36,93,373/- Sold Oct 2024 for Rs 61,00,000/- as per indexation workings it incurs Longterm capital loss of Rs 36,86,091/- (Though this is just notional value for income tax workings perspective, I would need to know how we need to pass this in Tally for Accounting purpose?). TDS 1% of Rs 61000/- is paid by the buyer against my PAN in income tax website & I received the amount of Rs 60,39,000/- as Cheque from the buyer.

Appreciate a response in this regard,

Vijay

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Rama chary Rachakonda (Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294) (5318 Points)
Replied 03 December 2024

To pass Tally Accounting Software entries for the sale of your apartment, follow these steps:

1. Create a new voucher: Go to Accounting Vouchers > Sales > F6 (Other Sales)

2. Debit: Capital Goods Account ( Apartment) - Rs 36,93,373 Credit: Incomes Account (Capital Gains) - Rs 61,00,000

1. Long-term Capital Loss: Create a separate voucher Debit: Incomes Account (Capital Gains) - Rs 36,86,091 Credit: Capital Loss Account - Rs 36,86,091

1. TDS Entry: Create another voucher Debit: TDS Payable Account - Rs 6,100 (1% of Rs 61,00,000) Credit: Income Tax Payable Account - Rs 6,100

1. Receipt of Payment: Create a receipt voucher

Debit: Bank Account - Rs 60,39,000

Credit: Incomes Account (Capital Gains) - Rs 60,39,000.

Note that Tally ERP 9 has a specific module for accounting and tax purposes, so ensure you're using the correct features and vouchers for your entries.

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NARENDRA (ACCOUNTS MANAGER) (2026 Points)
Replied 03 December 2024

Originally posted by : Rama chary Rachakonda
	To pass Tally Accounting Software entries for the sale of your apartment, follow these steps: 1. Create a new voucher: Go to Accounting Vouchers > Sales > F6 (Other Sales) 2. Debit: Capital Goods Account ( Apartment) - Rs 36,93,373 Credit: Incomes Account (Capital Gains) - Rs 61,00,000 1. Long-term Capital Loss: Create a separate voucher Debit: Incomes Account (Capital Gains) - Rs 36,86,091 Credit: Capital Loss Account - Rs 36,86,091 1. TDS Entry: Create another voucher Debit: TDS Payable Account - Rs 6,100 (1% of Rs 61,00,000) Credit: Income Tax Payable Account - Rs 6,100 1. Receipt of Payment: Create a receipt voucher Debit: Bank Account - Rs 60,39,000 Credit: Incomes Account (Capital Gains) - Rs 60,39,000. Note that Tally ERP 9 has a specific module for accounting and tax purposes, so ensure you're using the correct features and vouchers for your entries.

Sir, Beg a pardon, but the Apartment was bought in 2008, as we assume he would have passed that entry in that particular year. So the property value will automatically come as an opening balance in the year 24-25. He was sold his property in 24-25, so he should passed the entry in following manners :

Dr, to the customer - 6100000

Cr. to the property - 6100000

2. passing tds entry :

TDS ( Receivable ) A/c Dr. -61000

Customer A/c Cr - 61000

3. Bank Receipt

Bank A/c Dr. - 6039000

Customer A/C Cr. -6039000

Capital gain compute while making his computation so indexation value will not come in his books of accounts.

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