We have bought MS Angles etc., and fabricated it to few stands, trolleys etc.,

Yes.                 

How to put the entry is my question ?

Labour charges paid are in the head of Indirect Expenses - All the items bought for the process are in Stocks

These have to be removed from the respective heads/ledgers/stock items and a new fixed asset has to be created.

How to put this entry in TALLY ?

Journal Entries (Step-by-Step)

A. Raw Material Purchase (Already Passed)

B. Labour Charges Paid

C. Transfer Raw Material Consumed to Capital WIP

(Use Journal Voucher or Stock Journal)

Amount = Cost of MS Angles, Rods, Paint, Primer etc. actually consumed

D. Transfer Labour Cost to Capital WIP

E. Capitalisation to Fixed Asset (On Completion)

Asset value = Material + Labour

F. GST ITC Treatment (Important)

If ITC blocked (chairs, tables, trolleys etc.):

If ITC allowed (Plant & Machinery only):

• No reversal required

• Asset capitalised excluding GST