Tally 7.2 (with VAT) 

Tally has recently launched a new VAT-enabled version of its famous accounting package. In addition to VAT, the package has also added features for doing service tax calculations and improving TDS management. The installation takes less than 5 mins and the best part is that Tally is offering it as a free upgrade for users of Tally version 6.3. Anyone with an older version than that doesn't get this benefit. Plus additional support is also being provided, wherein customers can directly chat with a Tally representative on www.tallysolutions.com to understand the VAT features. The software comes with good documentation and tutorials to help customers understand VAT better. One good thing we found was that after upgrading to this new version, none of your previous accounts or transactions are affected in any way. You can enable or disable VAT as per your requirement for any of the accounts you create in Tally, and it's pretty easy to use. It's been added to all screens of the software that need it (e.g. the company account creation screen). We could easily create new companies and also alter existing company accounts for VAT. We also created ledgers and vouchers that are affected by VAT. Everything went quite smoothly.

If you have to deal with a single company's purchases and sales, then there is just one VAT rate. But if you are a CA or an accounting professional and have to manage the purchases and sales of multiple companies, you have to be careful while entering applicable rates of various items. Thankfully, the VAT/Tax class or rate (such as InputVAT@4%, InputVAT@12.5%) comes with the package.There are new screens for VAT calculation and report generation. Another good feature is the different VAT return form structures for all the Indian states. So, you can easily choose the format you need and take printouts for filing. 

The Bottom Line: Overall, the package is quite comprehensive and helps companies quickly shift over to the new VAT structure. Though it may initially take some

time to get acquainted with it. 

Sushil Oswal