Creating a Company involves providing basic information about the company whose
books of accounts are to be maintained in Tally.
Go to Gateway of Tally > (Alt+F3) Company Info.
> Create Company
Above is displayed an International Company Creation Screen.
Note that the State and PIN Code fields are not available.
The screen for India/SAARC would be:
A detailed explanation
on each field is given:
The data path where you
want the company to be created is specified in theDirectory field.
This field is skipped
by default when you create the company in the data path given in the Tally.INI file. If you want to change it, use the backspace key and modify
it to the path required.
Enter the name of the
company whose books are being opened. If you are a professional accountant and
are maintaining the books of your clients, give the Client Company's name.
Mailing Name and Address
In addition to the
Company Name, Tally provides the facility to enter the Mailing Name field. It displays the Company Name by default. You may change
it as required, if the mailing name is different from the Company Name. The
mailing name and address details are picked up for inclusion in any report that
needs the company name and address as heading. For example:Balance Sheets,
Statement of Accounts, and so on.
Tally's reports print
the mailing name and address as given:
Tally does NOT restrict
the number of lines for the address details. Tally accommodates all the entered
information and vertically compresses the same.
Note:
1. In the space
provided for the Address details, observe the vertical compression as
compared to the Mailing Name field where there is horizontal compression.
2. You can specify any length for the mailing name and you are permitted to
give any number of lines for the address. The information is completely
visible.
3. Tally handles compressed information correctly while printing. It
adjusts the reports accordingly.
Select the Country
from the List of Countries. The Statutory
Features and Base Currency Symbol are enabled in accordance with the country selected. For
example, if the accounts belong to a company in India, the base currency would
be Indian Rupees. The Base Currency will appear with respect to the Country
selected.
You can select the
appropriate state from the predefined list.
Specify the PIN Code (Postal Index Number) of the specified address.
Enter the Telephone number.
Enter the E-mail address that will be used to e-mail documents, reports
and data from Tally.
Currency symbol is the
symbol of the base currency, that is, the currency that will be used to
maintain the books of account.
Maintain
Tally displays a drop
down for the Type of Company with two optionsAccounts only and Accounts with Inventory
However, at a later
date (if required) you can choose to alter the information as Accounts-with-Inventory.
Select Accounts-with-Inventory, to maintain both financial accounts and
inventory.
In most countries, the
books of accounts of a company are maintained for a stipulated period like, 12
months, 15 months, and so on. This stipulated period is referred to as
the Financial Year.
For example, if you
enter April 1, 2005 as the date, the Financial Year will be from April to March
ending with March 31, 2006. If you enter October 1, 2005 as the Financial Year From then the financial year will be from October
2005 to September 2006 ending with 30th of September every year.
Tally presumes that
you wish to maintain books from the beginning of the financial year. Hence,
Tally displays the date given in
Financial Year From field automatically.
The date for Books beginning from can be changed, in case of companies, which
are incorporated in the middle of the year. If your company is new, you can opt
to start the books of accounts from the date of actual establishment of the
company (date of incorporation) but close books according to the Financial Year
as specified by you. Tally provides the required flexibility in such a case by
allowing you to give the date when the books of accounts actually began. Tally
will open books from this date and close as on the last day of the Financial
Year.
This concept can be
applied even when you are migrating to Tally from any other system or from a
manual accounting system on any day during the Financial Year. Close books in
that other system on the previous day and start books on Tally from this day.
You are allowed to give opening balances of all Ledger accounts including
Revenue accounts.
TallyVault is an
enhanced security system, which allows for encryption of the company data.
Encryption involves converting normally accessible Tally information into
unrecognisable information, which can only be reconverted by authorised
persons.
Set this to Yes, if you want to initiate a password-protected system to control
access to Tally data. Else, set this to No.
Then Tally prompts you
to enter the Name of User and Password (if any).
After verification
Tally imports the latest statutory masters. Wait till the screen shows that 100%
of import is complete.
This completes the
Company Creation process in Tally.
The Base Currency
Information is found in the bottom frame of the Company creation Screen. Base
Currency is the currency in which your accounts would be maintained. Financial
statements are prepared in the base currency by default and these are normally required
to be submitted to local statutory authorities. The Base Currency information
in Tally varies with the country selected for Statutory Compliance.
The currency symbol
given earlier in the Company Creation screen is displayed here automatically.
Formal Name
Formal Name is the
full name
of the currency specified.
Number of decimal
places
The number of decimal
places for the base currency is set to 2 by default. However,
you have the option of specifying up to 4 decimal places. Indian
currency has 2 decimal places whereas certain other countries require 3
decimal places and so on.
Show Amounts in
Millions
This is useful for
companies, which require reporting the financial statements in millions. This
is possible only if Allow Multi-Currency is enabled in F11: Features.
Is Symbol Suffixed to
Amounts
Put a space between
Amounts and Symbol
This facility is
provided to users who require a space between the amount and the symbol.
However, putting a space between the amount and symbol could give an
opportunity for misuse incase of cheque printing. Hence, the flexibility to
turn this option on and off as required is provided.
Symbol for Decimal
Portion
Enter the symbol for
decimal portion.
Decimal Places for
Printing Amounts in Words
You can specify the
number of decimal places for printing the amount in words. This number should
be equal to or lesser than the number specified in Number of Decimal places field in company creation or currency master
screen which will appear in Invoice and Cheque printing screen.
For
example, if the currency is expressed upto 3 decimal places, the numeric to be
printed in words can be restricted to 2 decimal places
1. In the space provided for the Address details, observe the vertical compression as compared to the Mailing Name field where there is horizontal compression.
2. You can specify any length for the mailing name and you are permitted to give any number of lines for the address. The information is completely visible.
3. Tally handles compressed information correctly while printing. It adjusts the reports accordingly.
