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Sales entry in tally for sales made on ebay, snapdeal etc.

AMit JIndal (Sales) (24 Points)

28 October 2014

Hi Friends,

Iam stuck on makeing entry on Tally 9 , kindly explain how to pass this entry in Tally

I sell a prouct for 500 in Snapdeal

but i get paid only 400 and 100 is charged by snapdeal as fees and comission

so how to pass this entry??

My doubts are is the sale to me made on 400 the amount i sold for, or 500 the total amount of 500 shown in snapdeal

kdinly revet asap plz plz plz

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11 Replies

Mihir (Wealth Manager) (5293 Points)
Replied 28 October 2014

You may treat snapdeal as a consignee and debit his account with the commission paid.

Sales......500 cr

Bank.....400 dr

Consignee(snapdeal) comm.....100 dr

Wait for more replies.

Vishal Gupta (CA) (59 Points)
Replied 29 October 2014

At the time of raising sales invoice on customer:-

1. Snapdeal (Debtor) A/c. Dr. 500

To Sales A/c. 500

At the time of receipt of payment from Snapdeal:-

2. Bank A/c. Dr. 400

Commission A/c. Dr. 100

To Snapdeal A/c. 500

amit (ca) (11 Points)
Replied 29 October 2014

What about TDs and vat ?.

Sunil Kumar (Director - Finance) (30 Points)
Replied 29 October 2014

At time of Sales: Dr SnapDeal : 500 Cr Sales : (500-vat) Cr Output Vat : (vat) At time of receipt: Entry 1. Dr Bank : 400 Cr Snapdeal : 400 Entry 2. Dr Commission : 100 Cr Snapdeal : (100-tds) Cr TDS payable : (tds) (TDS amount to be collected from Snapdeal)

Sunil Kumar (Director - Finance) (30 Points)
Replied 29 October 2014

CA Devesh Thakur (CA ) (303 Points)
Replied 24 March 2015

Cn anybody tell me what if snapdeal is charging CST on the invoice generated online for the sales made outside delhi & seller is registered under DVAT, either seller is supposed to considered it as a retail invoice and pay DVAT or he should pay CST at the rate prevailing in DVAT.

kapil kumar (a/c) (28 Points)
Replied 14 November 2015

If you sell through snapdeal you will be pass entry (VAT rate Current in UP 14.5%) Snapdeal A/c............Dr.......500 To Sales A/c........Cr...................436.68 To Output VAT.....Cr....................63.32 And you will pass second entry. Snapdeal Commission....Dr.....100 To Snapdeal................Cr...............100 Third entry you will be pass. Bank A/c .........Dr........... 400 To Snapdeal.......Cr.............400

SATISH Jain (Owner) (22 Points)
Replied 29 November 2016

Can we consider snapdeal sale invoice as VAT retail invoice or CST Invoice ?

saju (accountant) (25 Points)
Replied 30 November 2016

Hello,

When You are selling through snap deal , I think ,the buyer would be someone else than snapdeal. So in my openion, When a sale is happening, You should make the following entry.

Customer A/c .....Dr 500

To sales A/c 500

When sale consideration is received from snap deal.

Bank A/c ..............Dr 400.00

To Snap deal A/c 400.00

( Amount transferred by snap deal on behalf of customer)

As per snapdeal FAQ for vendors, it is understood that they are charging commision on sale. Commision normally attract TDS of 5 % with an yearly limit of 15000. But in your case it is 500, hence no need to deduct TDS. Lets make this entry as follows.

Commision Paid--- Dr.......... 100

To,Snap deal A/c ........................ 100

Now lets, adjust the balance amount of customer a/c to snap deal to close , the customer a/c and snap deal account by passing an adjusting journal entry.

Snap Deal a/c ....dr 500.00

To Customer A/c 500.00

( Being amount settled by snap deal on behalf of the customer)

For making sales entries in tally erp please refer this

Niraj Kumar Sinha (Sr. Officer, SPSIL) (648 Points)
Replied 30 November 2016

Sales tax is charged on the base of consingee address. In this case consignee is out of delhi so Vat will be charged by you and retail invoice will be issued (if you are not registered in CST). And if you are registered in CST then charge CST on invoice and issue Retai invoice.