Ecommerce Seller Accounting in Tally: Complete Guide

Ecommerce sellers in India face complex accounting challenges due to GST, marketplace commissions, TDS, and TCS deductions. Proper ecommerce seller accounting in Tally is essential for accurate books, compliance, and profitability.

This Saving Mantra guide explains how ecommerce sellers can manage accounting in Tally effectively.


Why Ecommerce Accounting in Tally Is Important

Tally helps ecommerce sellers:

  • Maintain GST-compliant books
  • Track marketplace-wise sales
  • Record commission, shipping, and penalties
  • Reconcile settlements with marketplaces
  • Prepare accurate tax returns

Without proper accounting, sellers may face GST mismatches and income tax notices.


Common Ecommerce Marketplaces Covered in Tally

Ecommerce sellers usually operate on:

  • Amazon
  • Flipkart
  • Meesho
  • Paytm
  • Myntra

Each marketplace follows a settlement-based payment system, which must be correctly recorded in Tally.


Accounting Treatment of Ecommerce Sales in Tally

Sales Entry

  • Record gross sales invoice
  • Apply correct GST rate and HSN
  • Create marketplace as debtor

Commission & Charges Entry

  • Marketplace commission
  • Shipping & packaging charges
  • Payment gateway fees
  • Reverse GST on commission (RCM where applicable)

TDS and TCS Accounting in Tally

TDS (Section 194-O)

  • Deducted by marketplace
  • Shown as receivable in Tally
  • Reconciled with Form 26AS

TCS under GST

  • Collected by marketplace
  • Recorded separately
  • Adjusted in GST returns

Settlement and Reconciliation Process

Ecommerce sellers receive net settlements after deductions.

Proper reconciliation includes:

  • Matching settlement reports with sales invoices
  • Adjusting commission, returns, and penalties
  • Verifying GST, TDS, and TCS deductions
  • Identifying mismatches and short payments

Regular reconciliation ensures accurate financial reporting.


Handling Returns and Refunds in Tally

Returns must be:

  • Recorded through credit notes
  • GST reversed correctly
  • Adjusted in settlement reconciliation

Incorrect return accounting may lead to GST mismatches.


GST Returns from Tally Data

With proper entries, sellers can:

  • File GSTR-1 accurately
  • Match GSTR-3B liabilities
  • Reconcile GSTR-2B
  • Avoid GST notices

Tally becomes a strong compliance tool for ecommerce sellers.


How Saving Mantra Helps Ecommerce Sellers

Saving Mantra offers specialized accounting support for ecommerce sellers, including:

  • Tally setup for ecommerce accounting
  • Marketplace-wise ledger configuration
  • GST, TDS, and TCS reconciliation
  • Monthly accounting and return filing
  • Compliance and audit support

We ensure accurate books and stress-free compliance.


Conclusion

Ecommerce seller accounting in Tally requires a structured approach to handle GST, marketplace deductions, and settlements. Proper accounting helps avoid tax notices and improves business decision-making. With expert assistance from Saving Mantra, ecommerce accounting becomes simple, accurate, and compliant.


Disclaimer

This blog is for informational purposes only and does not constitute accounting, tax, or professional advice. Accounting treatment may vary based on business model and marketplace policies. Readers are advised to consult qualified professionals before implementation.