What is Purchase Voucher in Tally, Meaning, Uses, Objectives, Advantages, Features, and How Does It Work

What is Purchase Voucher in Tally?

A Purchase Voucher in Tally is an accounting document used to record business purchases. In simple terms, whenever a company buys goods or services from a supplier, it creates a Purchase Voucher to capture details such as the supplier’s name, date of purchase, invoice number, item descriptions, quantities, rates, taxes, and total amount payable. This voucher serves as the primary source of information for both accounts payable and stock management.

In Tally, the Purchase Voucher automates many aspects of this recording process: it posts the transactions to appropriate ledgers, updates stock levels (for inventory items), and applies tax calculations as per configured tax ledgers. By using Purchase Vouchers, businesses can maintain accurate purchase records, ensure compliance with tax regulations, and streamline their bookkeeping workflows, all within the Tally accounting environment tailored for the needs of Indian enterprises.

How Does Purchase Voucher in Tally Work? The Process

Voucher Creation:

• From the Gateway of Tally, navigate to Accounting Vouchers.
• Select the Voucher type as Purchase (or press F9).
• Enter the date of purchase; by default, Tally uses today’s date but it can be changed.

Party Details:

• Specify the supplier account ledger (e.g., “ABC Traders”).
• If the supplier is new, create a supplier ledger on the fly by pressing Alt+C.

Item Details:

• If the purchase involves stock items, select the stock item or create it via Alt+C.
• Enter quantity, rate, and units of measurement for each item.

Tax and Charges:

• Tally automatically displays tax ledgers configured under the supplier or item, such as CGST, SGST, or IGST.
• Enter taxable value and Tally calculates tax amounts based on the defined percentages.
• Additional charges (like freight, insurance) can be added under separate ledgers.

Narration:

• At the bottom, add narration for clarity (e.g., “Purchase of raw materials against invoice no. 254 dated 15-06-2025”).

Acceptance and Posting:

• Save the voucher (Ctrl+A). Tally posts the debit entry to the stock/expense ledger and the credit entry to the supplier ledger automatically.
• The transaction reflects in Purchase Register, Ledger Reports, Stock Summary, and relevant tax return preparation modules.

Objectives of Purchase Voucher in Tally

Accurate Expense Recording: To capture every purchase transaction precisely, ensuring expenses reflect true business outflows.

• Supplier Accountability: To maintain a clear audit trail for payments due to suppliers, helping manage credit periods and outstanding payables.
• Inventory Control: For stock-based businesses, to update inventory levels automatically, aiding in reordering and stock valuation.
• Tax Compliance: To calculate and record GST components (CGST, SGST, IGST) accurately, simplifying return filings.
• Financial Reporting: To feed purchase data into financial statements, enabling timely and accurate profit & loss analyses.
• Audit Trail: To provide verifiable source documents for internal and external audits, enhancing transparency and governance.

Importance of Purchase Voucher in Tally

Recording purchases through a Purchase Voucher is vital for several reasons:

• Legal Evidence: A properly maintained voucher serves as legal proof of purchase in disputes, tax audits, and vendor negotiations.
• Cash Flow Management: By tracking due dates and payment terms within the voucher, businesses can plan cash outflows and avoid late payment penalties.
• Inventory Accuracy: Every purchase of stock items directly updates the inventory module, ensuring real-time visibility of stock on hand.
• Error Reduction: Automation of ledger postings and tax calculations minimizes manual errors, such as posting to the wrong account or miscalculating GST.
• Reporting and Analysis: Detailed purchase data enables robust analysis identifying high-cost suppliers, monitoring purchase trends, and detecting unusual variances.
• Compliance and Audit: Enables generation of accurate GST returns and audit reports, reducing the risk of non-compliance penalties.

Advantages of Purchase Voucher in Tally

• Speed and Efficiency: Creating vouchers in Tally takes seconds. Auto-completion features reduce repetitive typing.
• Integration: Automatically integrates with Inventory, Payables, and Tax modules, avoiding duplicate data entry.
• Customization: Voucher formats can be customized showing or hiding fields as per user requirement.
• On-the-Fly Ledger Creation: New suppliers, stock items, or expense ledgers can be created without exiting the voucher entry screen.
• Template Saving: Frequent purchase transactions can be saved as templates (via Voucher Class), enabling one-click entries.
• Real-Time Updates: Instant updating of Financial Statements and Registers, aiding timely decision-making.
• Error Alerts: Tally flags negative stock or mismatched tax configurations, prompting corrective actions.
• Access Control: Voucher entry rights can be restricted by user roles, protecting against unauthorized modifications.

Examples of Purchase Voucher in Tally

Raw Material Purchase:

• Company ABC purchases 100 kg of steel rods from XYZ Metals.
• Voucher records: Supplier “XYZ Metals”; Item “Steel Rods”; Quantity “100”; Rate “₹50/kg”; CGST 9%, SGST 9%.
• Tally debits “Steel Inventory” and credits “XYZ Metals” with ₹5,900 (including ₹900 tax).

Office Supplies Purchase:

• Purchase of office stationery worth ₹2,000 plus 18% GST.
• Voucher: Supplier “Office World”; Ledger “Stationery Expense”; Amount ₹2,000; IGST 18%.
• Debits “Stationery Expense” ₹2,000, “IGST” ₹360; credits “Office World” ₹2,360.

Service Purchase:

• Hiring a consultant for digital marketing services worth ₹15,000 plus 18% GST.
• Voucher: Supplier “Digital Solutions”; Ledger “Professional Fees”; Amount ₹15,000; CGST 9%, SGST 9%.
• Debits “Professional Fees” ₹15,000; “CGST” ₹1,350; “SGST” ₹1,350; credits “Digital Solutions” ₹17,700.

Import Purchase:

• Import of machine spare parts valued at USD 1,000. After customs, landed cost ₹80,000.
• Voucher: Supplier “Global Spares, USA”; Ledger “Import Purchases”; Amount ₹80,000; IGST on imports.
• Debits “Import Purchases” ₹80,000; “Cess” or “IGST on Imports”; credits “Global Spares, USA” ₹80,000.

Components of Purchase Voucher in Tally

A Purchase Voucher in Tally comprises several key fields and components:

• Voucher Type: Pre-defined as “Purchase” (but can be customized to “Purchase Invoice”).
• Date: Transaction date, defaulting to the current date but editable.
• Supplier/Party Ledger: The account to be credited (supplier’s name).
• Inventory Details: Stock Item Name, Quantity, Rate, Units.
• Expense/Cost Ledgers: If items are non-stock (e.g., services, expenses), ledger selection moves under the line items.
• Tax Ledgers: CGST, SGST, IGST, Cess, or custom tax ledgers linked for automatic tax calculation.
• Additional Charges: Freight, insurance, packing charges recorded under separate ledgers if applicable.
• Bill-wise Details: To track outstanding bills and manage due dates, enabling easy reconciliation.
• Narration: Descriptive text for internal record-keeping.
• Voucher References: Against reference to debit or credit notes, useful for returns and adjustments.

Features of Purchase Voucher in Tally

• Voucher Class & Numbering: Automatic voucher numbering and customizable numbering schemes via Voucher Classes.
• Bill-wise Tracking: Enables assignment of due dates and bill references, simplifying credit management.
• Foreign Currency Handling: Supports multi-currency transactions with real-time conversion rates.
• Reverse Charge Mechanism: Configurable for autoposting of reverse charge entries under GST.
• Document Attachment: Attach digital copies (PDF, images) of supplier invoices for audit trail.
• Multi-Godown Support: Allocate stock purchases across multiple warehouses or godowns.
• Batch & Expiry Management: Capture batch numbers and expiry dates for perishable or regulated items.
• Statistical Details: Capture dimensions like weight, volume, or custom measures alongside quantities.
• Customization through TDL: Tally Definition Language (TDL) allows adding custom fields or altering voucher layouts.

What is Purchase Voucher in Tally Used For?

• Payables Management: Tracking outstanding amounts due to suppliers and scheduling payments.
• Stock Valuation: Updating opening and closing stock values automatically for accurate balance sheets.
• GST Filing: Preparing GSTR-2 (purchases) details by exporting purchase vouchers into the GST return module.
• Cost Analysis: Allocating purchase costs to cost centers or departments for internal profitability analysis.
• Vendor Performance: Analyzing purchase volumes, lead times, and cost trends to negotiate better terms.
• Budget Monitoring: Comparing actual purchase figures against planned budgets to control overspending.

How to Use Purchase Voucher in Tally?

Enable Purchase Voucher:

• From Gateway of Tally → F11: Features → Accounting Features, set Enable Purchases to Yes.

Configure Voucher Types:

• Go to Gateway of Tally → Accounts Info → Voucher Types → Alter, choose “Purchase”, and configure numbering and integrat­ion options.

Set Up Ledgers:

• Under Accounts Info → Ledgers, create supplier ledgers, expense ledgers, and tax ledgers (CGST, SGST, IGST).

Define Stock Items (Optional):

• If inventory is used, define items under Inventory Info → Stock Items, specifying opening balances and valuation methods.

Enter a Purchase Voucher:

• Gateway of Tally → Accounting Vouchers → F9 (Purchase).
• Fill in the required fields: date, supplier, items/expenses, tax ledgers, additional charges.
• Use F12: Configuration within the voucher to toggle fields like “Bill-wise details” or “Reference no.”.

View and Verify:

• After saving, check Display → Day Book or Display → Statement of Accounts → Outstanding to confirm the entry.
• Review stock changes via Display → Inventory Books → Stock Summary.

Generate Reports:

• Run Display → Statutory Reports → GST Reports to ensure purchase entries appear correctly in GSTR-2.
• Use Display → Account Books → Ledger, select a supplier to see all purchase transactions.

Definition of Purchase Voucher in Tally

A Purchase Voucher in Tally is a ledger-based accounting document that debits purchase or stock ledgers and credits supplier ledgers, capturing all relevant details of a purchase transaction including item descriptions, quantities, rates, taxes, and additional charges thereby automating postings, inventory updates, and tax computations within the Tally environment.

Meaning of Purchase Voucher in Tally

The Purchase Voucher meaning in Tally refers to its role as the formal record of goods or services acquired by a business. It represents an obligation to pay the supplier and simultaneously an increase in assets (stock) or expenses. In Tally, this specialized voucher ensures that every purchase transaction is transparently recorded, categorized, and reflected in financial statements and compliance reports.

Summary

• A Purchase Voucher in Tally captures supplier details, item data, taxes, and narration in one entry.
• It automates ledger postings, stock updates, and GST calculations for accurate financial records.
• Purchase Vouchers support objectives like expense tracking, inventory control, and compliance.
• The process involves voucher creation, supplier selection, item entry, tax application, and saving.
• Key components include date, party ledger, stock items or expense ledgers, tax ledgers, and narration.
• Advanced features cover bill-wise tracking, multi-currency, reverse charge, attachments, and batch management.
• Purchase Vouchers are used for payables management, stock valuation, GST filing, cost analysis, and vendor evaluation.
• Users set up ledgers, configure voucher types, and enter vouchers through the F9 purchase screen.
• Tally’s integration across accounting, inventory, and tax modules ensures real-time updates and error reduction.
• The Purchase Voucher is both a legal document for audits and a practical tool for day-to-day bookkeeping in India.