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Why Is Delivery Challan Used?

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By Author: insightssuccess
Total Articles: 172
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The formal document which is created when goods are transported from one place to another which may or may not result in sales is called delivery challan.
Why is delivery challan used?
As per the GST law, a tax invoice is created when the taxable goods are taken out, the taxable goods are those which are produced by using raw materials in which input tax credit is availed. The provider must prepare a tax invoice, which is required by law, and supply items to the customers.
The tax involved in the tax invoice is paid by the supplier. There are cases in which goods are not taken out for sale and in such cases, tax invoice can’t be generated and the delivery challan comes into use.

How to make delivery challan in tally?
Step 1: open tally ERP 9 and select the company from the company info.
Step 2: In the gateway of tally ERP 9 select F11 in the feature and select inventory feature, accept the inventory feature after writing yes in the front using the tracking number.
Step 3: Select inventory vouchers from the gateway of tally and click on the option ‘Dely Note’ which is the short ...
... form for ‘delivery note’.
Step 4: Write the reference number in the delivery note, select the party name. After filling in the details a yellow pop up with a tracking number is shown. After that, write quantity, rate and amount and then accept the delivery voucher.
Step 5: go to display > daybook, here in the voucher entry you will be able to see a delivery note which works as a delivery challan and print it.

Read More: https://insightssuccess.com/why-is-delivery-challan-used/

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