Tally with GST: A Practical Guide for Accounting Jobs

Almost every small and medium business in India needs someone who can keep its books, raise GST-compliant invoices and prepare data for tax returns. That is why “Tally with GST” appears in so many job ads for accounts assistants, billing executives and back-office staff. This guide explains what Tally is today, which GST concepts you must understand, which returns you will hear about at work, and how to build the practical skills employers actually test in interviews.

Tally today: TallyPrime and Tally.ERP 9

For many years the standard product was Tally.ERP 9. In 2020, Tally Solutions launched TallyPrime as its successor, and TallyPrime is now the current product line, updated through regular releases. Some offices still run Tally.ERP 9 on older computers, so you may come across both, but new learning should focus on TallyPrime.

The accounting logic is the same in both: groups, ledgers, vouchers and reports. What changed is the interface. TallyPrime uses a cleaner menu, a “Go To” search (Alt+G) that lets you jump to any report or voucher, and simpler navigation through features and configuration. Newer releases have also added more GST-related tools, such as features for preparing and reconciling return data. Exact menus can differ slightly between releases, so always check the version installed at your workplace.

Accounting basics you must know first

Tally is a tool; accounting is the skill. Employers quickly notice candidates who can press keys but cannot explain why an entry is correct. Before going deep into the software, be confident with:

• Golden rules of accounting for personal, real and nominal accounts.
• Double-entry system: every transaction has a debit and a credit of equal value.
• Journal, ledger and trial balance: how entries flow into accounts and how totals are checked.
• Final accounts: trading account, profit and loss account and balance sheet.
• Capital vs revenue items, outstanding and prepaid expenses, and depreciation.
• Bank reconciliation: matching your books with the bank statement.

If you are from a non-commerce background, spend a little extra time here. It makes everything in Tally easier to understand.

Core Tally skills employers expect

Company creation and masters

You should be able to create a company with the correct financial year, address and GST details, then set up masters: groups and ledgers (customers, suppliers, bank, expenses, tax ledgers) and, for trading businesses, stock groups, stock items and units of measure with HSN/SAC and GST rate details.

Voucher entry

Daily work in Tally is mostly voucher entry. The common function keys in TallyPrime are:

You should also know how to record credit notes and debit notes for returns and rate differences, and how to use features (F11) and configuration (F12) settings to switch on options such as inventory, cost centres or GST.

Reports

Be comfortable reading the Day Book, ledger statements, trial balance, profit and loss account, balance sheet, stock summary, outstanding receivables and payables, and the GST reports. Interviewers often ask you to find a figure in a report rather than just enter a voucher.

GST concepts every accounts assistant should understand

The Goods and Services Tax (GST) has applied across India since July 2017. Its main building blocks are:

• CGST and SGST/UTGST on supplies within the same state or union territory (intra-state).
• IGST on supplies between different states (inter-state) and on imports.
• GSTIN: the 15-character GST registration number; the first two digits are the state code.
• HSN and SAC codes: classification codes for goods and services. The number of HSN digits required on invoices depends on the business’s turnover.
• Input Tax Credit (ITC): the GST paid on purchases that a registered business can generally set off against GST payable on sales, subject to conditions, including the supplier reporting the invoice so that it appears in your auto-drafted statement.
• Reverse charge: certain supplies where the recipient, not the supplier, pays the tax.
• Composition scheme: a simpler option for eligible small businesses that pay tax at a fixed rate on turnover and generally cannot claim ITC.
• E-way bill and e-invoicing: an e-way bill is generally needed to move goods above a specified value; e-invoicing (generating an IRN and QR code through the Invoice Registration Portal) is mandatory for businesses above a notified turnover threshold.

GST rates were rationalised in September 2025, moving most goods and services into a two-rate structure of 5% and 18%, with a higher special rate for a small set of luxury and “sin” goods, while some essentials remain exempt or at nil rate. Rates for specific items can still change through notifications, so always check the current rate for an item rather than relying on memory or an old price list.

GST returns you will hear about at work

Most of the return filing itself is done on the GST portal, often by a CA or senior accountant. As an accounts assistant, your job is usually to make sure the data in Tally is complete and correct so that returns can be prepared without errors. Here are the main returns:

Due dates, turnover limits and form details are revised from time to time by the GST Council and CBIC, and late filing attracts late fees and interest. Always check the latest dates on the official GST portal or with your firm’s CA.

Practical tip: Every month, before GSTR-3B is prepared, compare the purchase invoices in your Tally books with GSTR-2B. Note missing invoices, wrong GSTINs or mismatched amounts and follow up with suppliers early. Accountants who reconcile ITC regularly save their employers money and are valued highly.

Using GST in Tally: a typical workflow

1. Enable GST for the company and enter the GSTIN, state and registration type.
2. Create tax ledgers for CGST, SGST and IGST under the Duties & Taxes group.
3. Set GST details (HSN/SAC and rate) at the stock item, stock group or ledger level, as your business needs.
4. Record party details correctly, including GSTIN and state, so that Tally can decide between CGST+SGST and IGST.
5. Enter sales and purchase vouchers and check that tax is calculated as expected.
6. Review GST reports for exceptions such as missing GSTIN, wrong HSN or incomplete information, and correct them.
7. Export or prepare return data for GSTR-1 and GSTR-3B as per your firm’s process, and reconcile ITC with GSTR-2B.
8. Record tax payment and set-off entries after returns are filed.

Beyond GST: TDS, payroll and other skills

Many accounts jobs also involve:

• TDS and TCS: deducting or collecting tax at source on certain payments and receipts, and keeping accurate records for returns.
• Payroll: employee masters, salary structures, attendance, and statutory deductions such as PF and ESI where applicable.
• Inventory: godowns, batches, reorder levels and stock valuation.
• Advanced Excel: most accountants export reports from Tally to Excel for analysis and reconciliation. Our Advanced Excel guide lists the functions that help most.
• Other software: some businesses use Busy or other accounting software, so it helps to understand that the principles carry over.

Jobs and interview preparation

Tally with GST skills are useful for roles such as accounts assistant, Tally operator, billing executive, GST assistant at a CA firm and back-office executive. Pay depends on city, employer, experience and how confident you are with GST and reconciliation, so treat any figure you see online as a rough indication only.

Common interview tasks

• Create a company and enter a few purchase and sales vouchers with GST.
• Explain when to charge IGST instead of CGST and SGST.
• Pass a journal entry for depreciation or an outstanding expense.
• Find a party’s outstanding balance or a month’s sales total in reports.
• Explain the difference between GSTR-1 and GSTR-3B, or between GSTR-2A and GSTR-2B.

Practise these until you can do them calmly and quickly. Accuracy matters more than speed, but both count.

Learning Tally with GST at NETWORK NET

Our Tally with GST course covers accounting basics, Tally masters, inventory, vouchers, advanced accounting, GST, TDS/TCS, payroll and reports, with plenty of hands-on practice. Tally with GST and Busy are also part of the first semester of our ADCA diploma, which suits students who want office and design skills too. If you are new to computers, start with basic computer skills for jobs before moving on to accounting software.

Want to become job-ready in accounting? Explore the Tally with GST course or contact NETWORK NET to ask about batch timings.

Frequently asked questions