How to do Consolidation of two companies In Tally ERP 9

consolidation of accounts in tally erp9

How to do Consolidation of two companies In Tally ERP 9

Introduction to system administration and others utilities in Tally ERP 9

Apart from the features explained in the previous lessons. Tally has many other utilities.

Tally uses technology to effectively encrypt data, define security access according to user requirements and backup data reliably. It also has the facility to import and export data to

Other application, using standard formats and drivers. Other features include access to the

Internet and e-mail using Tally.

 

Tally uses a flexi-field, flexi-length, self indexed weighted file structure for an extremely compact

database. Tally is robust and will not be affected even if there is a power failure or if the machine

is shut down while the system is still functioning. It also uses signalling quality data integrity checks

at regular levels to ensure the complete reliability of data.

Security levels and backup mechanisms have been dealt with in detail in the previous chapters.

Consolidation of accounts, import, and export of data, ODBC compliance, web enabled features

And online help is taken up for discussion in this lesson.

how to merge two company data in tally erp 9

Consolidation of  Accounts in Tally ERP

Consolidation of group accounts is often a mandatory requirement. Accounts of different companies belonging to the same management or owners are required to be consolidated

to present the financial position of the group companies as a whole . Shareholders are entitled

to know the performance of the group as a whole, as well as the performance of individual

Constituent companies. Tally makes the consolidated of account an easy task in which accounts

of any number of companies can be consolidated or kept separate.

 

To  achieve this , you will have to first create a group company which contains the accounts of

member companies. In order words, it is the parent company under which the individual companies are stored.

 

How to Create a Group Company

A group company can be created only for companies that have been loaded.

To activate the group company feature, a minimum of two companies have to be loaded.

Since you have been working with a single company (Syscon  computers ltd.) , the  Create Group Company feature will not be activated.

Create another company , for example, name  Syscon Telecom Services. Ensure that both Syscon

Computers ltd. and Syscon Telecom Services are loaded. Use  ALT+ F3 TO view the company info menu and you will see that the Create Group Company feature is activated.

 create group company in tally erp

 

Select Create Group Company and press Enter to display the Group Company Creation screen.

Enter the detail as shown.

list of company selection in tally erp.

Tally display all the loaded companies in the list of Companies. Select both the companies

In this list and accept to create the Group Company.

 

Tally then displays the company info menu. In which along with the group company created,

You can view the individual companies that were loaded. To view only the group company shut

the individual companies. The Gateway of Tally screen display as shown

company-info-menu

Alter a Group Company in tally

Select Alter and press Enter, then select the Group Company. Observe that a ‘Note’ (Changes effective on reloading only) display at the end of the screen. The details of the Group Company can

be altered as required.

 Note:

Transactions cannot be entered in a Group Company.

The Group Company will give the summary (report) level consolidation and not transaction(voucher)

level consolidation, i.e., no merging of the voucher is possible.

The member companies of a Group Company should have the same formal name and base

currency symbol.

A group company can be a member of another Group Company.

 

Split  Company Data in tally ERP

 

Tally’s  period-less accounting permits you to enter data for any number of financial years.

However, the presence of old data loads the system and slows processing speed. Splitting

Financial data over financial years helps you to retain the benefit of recording the data, while

maintaining a highly responsive system.

When data is split,

New companies are created for the respective split periods.

Full data is retained in the original company.

 

Important pre-split Activity

Before splitting data, ensure that

All unadjusted forex gains/losses have been fully adjusted by journal entries. Verify

that the item does not appear on the balance sheet.

There are no purchase bills/sales bills pending entry. Check the profit and loss account and

inventory statement for purchase/ sales bills pending. The pending bills have to be accounted

to the respective party accounts or entered in the respective ‘Bills Pending’ account.

Ensure that a backup of data exits.

 

To Split Company Data

     Load Syscon Computers Ltd.

At the Gateway of Tally, select ALT+F3: Comp Info.

Press Enter on Split Company Data.

Tally  prompts you to re- select the company name. select Syscon Computer Ltd. and the

Screen displays as shown.

how to split data company tally ERp

Since Syscon Computers Ltd. has data only for six months (

), spilt data from the mid – point(

The data can be changed in the field Spilt From.

     press  Enter and accept  to split. Tally creates two new companies – Syscon Computers Ltd.

( from 1- Apr- 2016) and Syscon Computers Ltd. (from 1-Sep-2016).

 

See also :how to do export and import of data in Tally

See also : Stock valuation In tally ERP

2 thoughts on “How to do Consolidation of two companies In Tally ERP 9”

  1. i have been using this feature in old version tally and didnt had problems . but recently have shifted to erp and after migration of data the group company shows figires of only one company on balance sheet as well as in P&L. when a entered in perticular field say sales it shows both the company sales but not on main BS or P&L page
    what could be the issue?

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