Guide to file GSTR from Tally ERP using ClearTax Tally Connector

Are you maintaining Accounts on Tally? Use Tally Connector feature on ClearTax GST Desktop app to file your GSTR-1 and GSTR-3B on ClearTax GST Desktop App in no time!

No need to use the conventional excel to fetch your tally data to file GST returns.

What is ClearTax Tally Connector?

Many Businesses use Tally ERP to maintain their accounts and have to download the data in order to file a minimum of two GST returns every month.  Organisations can now focus on growing their Business as ClearTax takes care of compliance.

ClearTax GST has come up with the solution ClearTax GST Desktop App by which users can now directly export sales data from Tally into ClearTax GST for filling GST returns in a single click. Moreover, there is no need to use excel or spreadsheet or visit any other portal. Not only is the tax compliance taken care, but you can enjoy various value-additions such as smart business insights on a single dashboard- GSTR-1 v/s GSTR-3B, GSTR-2A v/s GSTR 3B, PAN-level as well as multi-branch activity dashboard and many more…

The benefits of using ClearTax Tally Connector feature are as follows:

1. Provides seamless import of sales data from Tally in a click of a button.
2. Allows you to manage all clients’ data and check their filing status on a single dashboard.
3. Validates with the GST rules while importing of data. Vouchers that do not meet GST validations will be reported in an error report.
4. Reduces your data preparation time significantly.
5. No requirement to use Excel reports to export from Tally. Easy and seamless import of data onto ClearTax GST/government portal.
6. Summarises your imported data for faster processing and reconciliation on the ‘Prepare data’ tab of the ClearTax GST in the required and simple format.

What are Prerequisites to use ClearTax Tally Connector?

Prerequisites for using Tally connector are:

1. Compatible with Tally ERP of version 6.5.4 and above
2. Sign up with ClearTax GST and download the ClearTax GST Desktop App. Sign up to begin!
3. Tally should not be customised.
4. Data to be maintained at GSTIN level (Not at the PAN level).

How to set-up ClearTax Tally Connector?

The setup is a one-time process on Tally ERP software and ClearTax GST.

On ClearTax GST software

Step 1: Login into ClearTax GST.

Step 2: Click on the ‘ClearTax GST Desktop App’ tile on the homepage to install the app.

Step 3: Click on ‘Download Now’ button and finish installing the app on your desktop.

Login to begin using the ClearTax GST Desktop app.

On Tally.ERP

Step 1: Open ‘Tally ERP 9’ on your desktop → In the ‘Gateway of Tally’ → Press ‘F12:Configure’

Step 2: Now select ‘Advanced Configuration’ to proceed further

Step 3: Under ‘Tally ERP 9 is acting as’ option → Select ‘Both’. Thereafter, Under the ‘Enable ODBC server’ option → Select ‘Yes’. Lastly, under the ‘Port’ option → Select ‘9000’ to proceed.

Note: You will be able to change this port to any other number, for example, 5000 if 9000 port is blocked by your antivirus settings.

Step 4: To save the changes made and restart Tally.ERP 9 → Click on ‘Yes’ option.

Step 5: Go to the browser → Enter “http://localhost:9000” in the search bar. This is to check whether the Tally ERP 9 server is running or not.

Note: If Tally is installed on another computer, then instead of the localhost you can enter ip address in the above URL. For example, if Tally is installed on a computer with ip address of 192.168.5.53 then enter 192.168.5.53:9000 in the browser to see the above message.

The setup is complete for connecting Tally software with the ClearTax GST software for any future use.

How to use ClearTax Tally Connector?

Step 1: Login to ClearTax GST Desktop app→ Click on ‘Import Data’ to import data into ClearTax.

Step 2: Select a ‘Business’ to import your data.

Step 3: Select the ‘Return Period’ and the ‘Document Type’ for which the data needs to be imported → Click on the ‘Continue’ button to proceed further.

Step 4: Under ‘Choose a method to import your data’ → Select ‘Tally’

Step 5: Click on ‘Tally Connector’ to directly connect your tally and import data into ClearTax

Step 6: The ClearTax GST Desktop app will establish a connection with Tally.

The following can be reasons if there is an error while connecting the ClearTax Desktop App and Tally software:

• If the Tally is running on another machine, enter it’s IP address in Tally host and click on the ‘Retry’ button.

• If the Tally is running on another port, enter the port number in Tally port and click on the ‘Retry’ button.

• In case there is another issue while establishing a connection → Click on ‘Raise a request for support’ button to get in touch with our support team or you can also use the ‘Tally Excel Report’.

Note: In case you are facing issues while connecting with Tally, click here to follow some steps to check your Anti-virus and Windows defender configuration.

ClearTax GST Desktop app is now successfully connected with Tally.

Note: In case more than one company is detected with the same GSTIN → Select the desired company → click on ‘Proceed’ button

Step 7: Select the Period for which you want to import data

Prerequistes before importing data

Make sure the same Business/GSTIN is open in Tally. If not, then go to Tally and open the business for which you want to import data. Then go back to the Desktop app and click on the ‘Retry’ button.

Click on the ‘Settings’ button to configure the ‘ODBC port number’ and ‘Host Server’ settings. Click on the ‘Reconnect’ button to proceed.

In case the data cannot be imported, make sure of the following:

• Tally is open and running in the background
• Check if your internet connection is working

After successful connection with Tally, the ClearTax GST Desktop app will start importing data from Tally for the selected period.

You can now work on different tabs in the ClearTax GST Desktop App. Click on ‘ctrl+t’ to open a tab. Please ensure that the Tally connector is being used in only one tab. Using the same in multiple tabs might lead to failure.

Step 8: After importing data, in case of errors, click on the ‘Download Error Log’ button to view the errors in the invoices/CDNs in an excel format.

You can also choose to ignore the errors and click on ‘proceed to file’.

Open the Excel sheet to view the errors in detail. You can rectify the errors in Tally against the respective invoices/credit notes or debit notes.

Once the errors are rectified → Go back to the Desktop app. Under the ‘Import data’ tab → Choose the ‘Business’ → Select the ‘Return period’ and the ‘Document type’ → Click on ‘Tally’ option to import data → Select ‘Tally Connector’ to import your data.

Step 9: Click on ‘Proceed to file’ to file your GST returns, after all the data is successfully imported.

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Advantages of ClearTax Tally Connector