Balance Sheet in Tally ERP 9 – Excel & PDF Format

Balance Sheet in Tally ERP 9

Balance Sheet (B/S) in tally is one of the most important reports in tally and for accounting in general for a business as well.

With the help of the balance sheet, we can easily find some of the most important things about a business like capital, assets, liabilities, GST and so on in tally.

Today, we are going to look at creating B/S in tally in various formats and understanding different related functions in tally.

A fun fact is that trial balance is just like balance sheet but it includes profit and loss account as well.

What you will learn in this post

  • How to make a Balance Sheet in Tally ERP 9
  • Horizontal & Vertical Balance Sheet Format in Tally
  • Schedule VI Balance Sheet in Tally
  • Tally Balance Sheet in Excel & PDF Format
  • Opening & Closing Balance Sheet in Tally

How to Prepare/Make a Balance Sheet in Tally ERP 9

It is very easy to prepare or make a balance sheet.

You have to do the required basic accounting entries in tally and the balance sheet will be prepared automatically by tally for you.

That is how tally works. Automatically.

Here are the steps from where you can access the balance sheet.

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Once you do the basic accounting entries in tally such as:

Tally will automatically prepare a B/S for you on the basis of the transactions that you have entered in tally.

In other words, you DO NOT have to prepare a balance sheet in tally.

It is very good for people who are not from commerce background as they don’t have to worry about the mistakes they make while preparing the balance sheet on their own.

Now, we will see how you can create different B/S formats in tally.

Horizontal & Vertical Balance Sheet Format in Tally

There are two types of balance sheet formats that are widely used all over the world.

  1. Horizontal Balance Sheet
  2. Vertical Balance Sheet

Horizontal balance sheet means liabilities and assets are written horizontally besides each other.

See the image below:

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In the above B/S, assets and liabilities are shown side by side which is called horizontal view of the balance sheet in tally.

Now, we will see the vertical view of the balance sheet in tally.

  • For that, you have to go to Configure by pressing F12 while in the balance sheet.
  • Then, select Yes for the option of Show Vertical Balance Sheet.
  • Press CTRL + A to save the options.

Now, you will see the vertical B/S in tally with sources of funds and application of funds displayed separately.

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Sources of funds in vertical balance sheet means liabilities and application of funds means assets.

The entire balance sheet is arranged as per the vertical format in tally with a single option.

Now, we will look at another type of B/S in tally.

Schedule VI Balance Sheet in Tally ERP 9 –  As per Companies Act, 2013.

If you are maintaining accounts for the private limited company or as per the Companies Act, 2013, then you need to prepare the balance sheet as per Schedule VI.

It is also called company balance sheet format in general accounting language.

In Tally, you can do it with a single click of a button.

When you are in the balance sheet in tally, press ALT + S – which is the shortcut for Schedule VI balance sheet in tally.

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In the picture above, you can see that the balance sheet has been automatically converted as per the provisions of Schedule VI of Companies Act, 2013.

There are various options as well to set the Schedule VI balance sheet such as:

  • Hiding previous year.
  • Comparing different companies within tally.
  • Note Number configuration.
  • Grouping or configuring the masters in tally as per schedule VI.
  • Show negative cash.
  • Adding disclosures.

You can manage all these options within the B/S in tally.

Now, we will move ahead and see how you can export the balance sheet in Excel and PDF formats.

Export Tally Balance Sheet in Excel & PDF Format

Once, you have finalized the balance sheet in tally, you can easily export it or print it out from tally.

However, I would suggest you to export it because, after exporting it you can see it in the computer and then if you wish, you can print it as well.

Here are the steps to export the balance sheet in tally.

  • Inside the balance sheet, press ALT + E.
  • Select either Excel or PDF as your choice of export format.
  • Have a look at all the options – they are self explanatory.
  • Finally press Enter and your balance sheet will be exported.

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Balance Sheet in Excel format in Tally ERP 9

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Balance Sheet in PDF Format in Tally ERP 9

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In the exact same way, you can export the balance sheet in PDF format from as in the picture above.

Now, we will look at how you can see balance sheets at different time intervals in tally.

Opening & Closing Balance Sheet in Tally ERP 9

In Tally, you can see the B/S for any period you want.

You can see the B/S of one day, a month, a year, 5 years or any period in tally as you wish.

Here is how you can do it.

  • While in the balance sheet, press F2. It is the shortcut for period.
  • Now, select the From and To dates according to the period that you would like to have.

If you want to see the opening balance sheet in tally, select the 1st April for both the From and To dates.

Similarly, select 31st March for both the From and To dates if you want to see the closing balance sheet in tally.

Important Business Decisions through Balance Sheet

There are a lot of important business decisions that can be taken on the basis of B/S in tally. Let’s see some of them so you can use the knowledge of B/S in real life as well.

Financial Position of the Company

B/S roughly describes the financial position of the company.

By looking at the assets and liabilities, we can make a rough guess as to how the company is financially.

If the liabilities are more, then we can say that the company is not in a good financial position. On the other hand, if the company has more assets than liabilities, we can safely assume that the company is in a better financial position.

Type of Investments

All the companies do investments but the type of investment a company does makes it a better or a bad company.

For example, if a company has made more long term investments, then it can be said that company’s funds are locked and therefore, it might face financial issues.

While, if the company has made adeqaute short term investments as well along with the long term investments, we can say that a company is in good hands.

Share Capital

If you see the share capital of a company, you can see different types of shares.  They are:

Equity Shares, preference shares and so on.

A rough assumption is that the more the equity shares, the better and the more the number of shares is with the promoter, the best.

Thus, if you go in and check that 70% of the shares are with the general public and only 30% of the shares are with promoters, it is a risky composition since the promoter has offloaded his shares on the general public and taken their money to run the company.

Comparison with Previous Years B/S

If you have prepared B/S of more than one year in tally, you can easily compare them and see the variances.

By comparing the B/S of various years, you can clearly see a trend. Whether it is upwards, downwards or flat. With the help of comparison, you can also know what changed the most and what remained the same.

For example, you can easily compare the share capital ratio of 2 years of a company and see in what year, the shares have been issued.

On the basis of that, we can further investigate that the funds gained by the issue of shares have been used and if used then, where they are used.

And, following we can see that the funds used have given some good returns or not.

In this way, we can create different trails in the B/S itself and see how the company is working and how the future looks.

This kind of reading of the B/S is very much used the people who invest in stock markets.

By, the way, you can see the stock market entries in tally as well.

Balance Sheet in Tally ERP 9 – Video

Video will be uploaded soon.

Conclusion

In this post, I have explained balance sheet preparation and all the available options as well.

By going through this post, one thing will be clear in your mind and that is balance sheet.

If you still have any questions or doubts, please comment down below.

I reply to each and every comment. 🙂

2 thoughts on “Balance Sheet in Tally ERP 9 – Excel & PDF Format

  1. KAAMIL says:

    Bro companies Act, 2013 Balance sheet format is Schedule lll not Schedule VI( Schedule VI is companies Act 1956 format)
    Companies Act, 1956 was already replaced by companies Act, 2013

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