Audit Feature in Tally ERP 9- Company Law Audit trial notification
As you are aware, the Ministry of Corporate affairs has been modernized up to considerable extent since few years. The Ministry has been issuing various rules and circulars with the effort to strengthen reporting for the corporate entities.
Through this article we try to share some of the important update with reference to the Companies Act and how build controls in tally to accommodate the need.
MAINTAINING AUDIT TRAIL:
Recently, the MCA vide notification dated 24th March 2021, amended the Companies (Accounts) Rule, 2014 applicable w.e.f 1st April 2021, to provide that, Every company which uses accounting software for maintaining its books of accounts, shall use only such accounting software which has the following features mainly,
1. Recording of the Audit trail of each and every transaction.
2. Creating an edit log of each changes made in the books of accounts along with the date on which the said changes were made and ensuring that the audit trail cannot be disabled.
Therefore, considering the above amendment, every company is required to maintain an audit trail and log details of every transaction in the accounting software itself which the company is using currently. Moreover, the said log details are also required to be preserved by the company on the server.
It is important to note here that the Companies need to make sure that their accounting software are capable of meeting the requirement of the rules, in the event if they are not then as a piece of advice, we suggest getting in touch with your software vendor and get the same done ASAP.
How to enable and use audit feature in Tally ERP 9
Many are asking, how to find out the user responsible for creating, editing and deleting a particular voucher or masters using audit feature in Tally ERP 9. Tally allows us to track the user activity by enabling audit feature in security control.
This is helpful for large scale organization employing many accounts staffs, and can avoid disputes among the staff with regards to a wrong entry. By using this feature management can analyze the performance of staff better. and track changes made by users in
Voucher Date changes
Ledger Masters changes
Changes made in Amounts in vouchers
Before activating audit features it is important that you must know how to activate security control and How to create User.
To activate audit feature in tally you should do the following
Load the company, in which audit feature is to be activated, then
Gateway of Tally>>Company Info (Alt+F3)>>Alter
Select the company
Under Security control, make sure that “Use Tally Audit Features “is activated. If not Make this to Yes
Find out the user made changes in transactions
How to find out who entered a voucher in case of a dispute among users?
Let’s find out this with an example.
The activity sequence must be in the following manner to find out the responsible person
On 01.10.2012 Rahul entered a payment transaction conveyance paid Rs. 5,425
The administrator must accept Rahul’s transaction after 01.10.2012
On 28/11/2012 Prem edited this transaction to Rs. 4,525
How an administrator can accept user’s entry?
Login with administrator password, or use a password which has the right to accept or audit user entry.
Gateway of Tally>>Display>>Statement of Accounts>>Tally Audit>>User
Select the user entered the data, Here Rahul
Press enter again, now you will see types of voucher entered by Rahul
In this example Rahul entered payment voucher, so select payment voucher and press enter. The next screen is the month of entry, select the month, here it is October.
Press enter again, now you will get list of entered altered payment voucher, you can check the accuracy of the voucher entry here. After verification on the right hand side of the window you can see F7: Accept one and F7: Accept All,
F7 is used to accept a single voucher, and Alt+F7 is used to accept all voucher entered in October.
Let’s use Alt+F7, or Accept all buttons to accept the voucher entered by rahul. The item will disappear from the list after accepting the voucher.
Assume that user Perm edited this voucher on 28/11/2012. And he has changed the amount Rs.4,525.00.
In such case, to find out the responsible person for entry and edit
Go to Daybook
Gateway of Tally>>Display>>Daybook
Select the voucher date here the date is 01-10-2012, then press F12 to access configuration window.
In the configuration screen locate Option, show Entered /Altered By, and Set this option to Yes, Press enter and save.
The name of the user who have entered and altered that particular transaction displayed in the day book. This can be viewed by data entry operator and administrator based on the options allotted to them.
Voucher Alteration History Add-On in Tally.ERP 9
To activate the add –on follow the steps. From Gateway of Tally→Click on F11 Features→ Add-On features→ Set to Yes against Enable Vch Alt History Module.
Enable Security Control Enable Security Control for the data by assigning administrator password as shown below from Company. Alter Screen (Press Alt+F3 from Gateway of Tally)
To view the Voucher Alteration History, Go to
Display→ Exception Reports→ Voucher Alteration History
If you want us to set it up for you- Schedule a free 15minutes Call- MS Teams
To know more about what we do at Techadwise: Click Here
Reach out to me: Instant Messenger- WhatsApp