TallyPrime Setup Guide
A step-by-step master guide to set up your business profile, activate essential statutory & inventory features, and manage startup loading preferences.
Quick Company Menu
(From any screen in TallyPrime)
Save & Accept Screen
(Instantly save without pressing Enter repeatedly)
Step-by-Step: Creating a Company
On launching TallyPrime, choose Create Company from the startup menu. If a company is already open, press Alt + K (Company) > select Create.
- Company Data Path: By default, your data saves in the installation path folder. You can edit this path if needed.
- Name, Mailing Name & Address: Provide the legal name and physical address. These details print directly on invoices.
- State & Country: Select your state and country. Pre-merger UT names (Daman & Diu, Dadra & Nagar Haveli) are automatically mapped to ensure accurate tax returns.
- Financial Year beginning from: Pre-filled based on system date and selected country (e.g., 01-Apr-2020).
- Books beginning from: The exact date you began operations or recording entries (e.g., 01-Oct-2020).
- Enable Edit Log (Release 2.1+): Track changes, data migrations, splits, and alterations made to masters and transactions for audit compliance.
- Security (TallyVault & User Access): Press F12 and enable Use TallyVault Password to encrypt Company Data or Use User Access Control to lock files.
Confirm the base currency symbol and formal name. To configure additional currency attributes, press F12 and enable Provide Additional Base Currency details. Press Ctrl + A to save. The Company Features (F11) screen will display next.
Company Features (F11) Configuration
To reveal all operational settings, toggle Show more features to Yes and Show all features to Yes.
| Feature Name | Requirement | Description & Operational Benefit |
|---|---|---|
| Accounting Features | ||
| Maintain Accounts | Default: Yes | Enables core financial accounting. Setting this to No turns off financial accounting modules. |
| Enable Bill-wise entry | Recommended | Maintains balances bill-by-bill for Debtors/Creditors. Essential for tracking invoices, pending dues, installment plans, and outstanding balances. |
| Enable Cost Centres | Show more features = Yes | Allows allocation and departmental tracking of expenses/incomes to distinct cost units. |
| Enable Interest Calculation | Show more features = Yes | Calculates interest automatically using defined interest rates and flexible calculation styles. |
| Inventory Features | ||
| Maintain Inventory | Default: Yes | Tracks physical stock and inventory balances. Disable only for pure service firms. |
| Integrate Accounts with Inventory | Show more features = Yes | Reflects closing stock valuation directly in the Balance Sheet & Profit/Loss without manual journal adjustments. |
| Enable multiple Price Levels | Show more features = Yes | Assigns distinct price lists (e.g., Wholesale, Retail, Dealer) to stock items. |
| Enable Batches & Expiry Dates | Show more features = Yes | Tracks products by lot/batch numbers and sets expiration dates (crucial for pharma and perishables). |
| Enable Job Order Processing | Show all features = Yes | Manages Job Work In and Job Work Out transactions. |
| Cost Tracking | Show all features = Yes | Analyzes and tracks product-level costing across transaction lifecycles. |
| Discount Column in Invoices | Show more features = Yes | Adds a dedicated trade discount percentage/value column directly inside sale/purchase vouchers. |
| Actual & Billed Quantity Columns | Show more features = Yes | Allows recording different delivered quantities versus invoiced quantities (e.g., "Buy 2 Get 1 Free" schemes). |
| Taxation & Statutory | ||
| Enable GST | Mandatory if registered | Enables recording of CGST, SGST, IGST, UTGST, and generation of GSTR returns. |
| Enable TDS & TCS | Show more features = Yes | Records deductions and collections at source along with applicable statutory exemption limits and rates. |
| Enable VAT, Excise & Service Tax | Show all features = Yes | For historical audit entries or specific regions still utilizing legacy tax frameworks. |
| Online, Payroll & Audit | ||
| Browser Access & Tally.NET | Show more features = Yes | Access essential financial reports from any mobile/web browser and manage remote data synchronization. |
| Maintain Payroll & Statutory | Show all features = Yes | Calculates salaries, attendance, employee leaves, and statutory deductions like PF, ESI, and PT. |
| Enable Multiple Addresses | Show more features = Yes | Configures distinct branch, warehouse, or head office dispatch addresses for invoices. |
| Mark Modified Vouchers | Show more features = Yes | Flags altered vouchers after initial creation for internal control and audit reviews. |
Loading & Managing Companies
Open TallyPrime, press Alt + F3 (Select Company), and select the desired file from the list or browse directly to your custom data storage folder.
- Go to the Top Menu: Press F1 (Help) > Settings > Startup.
- Set Load companies on startup to Yes.
- Press Enter on Companies to load.
- Select the required companies from the list, then select End of List.
Working with Multiple Companies: If you run multiple businesses, create separate companies for each. Use TallyPrime's Group Company feature to consolidate figures for managerial reviews and audits.
Frequently Asked Questions
Can two companies with identical names be open at the same time?
No. If you have two companies with the exact same name in your data path, TallyPrime will not allow you to keep both loaded concurrently. You must shut the currently loaded company before opening the duplicate.
What is the difference between "Financial Year From" and "Books Beginning From"?
The Financial Year begins on the official tax calendar start date (e.g., 1st April in India). Books Beginning From is the actual date your business operations began or when you started entering transactions into TallyPrime (e.g., 1st October).
How do I reveal hidden options in the Company Features screen?
In the F11 Features screen, turn both Show more features and Show all features to Yes. This reveals advanced modules such as Cost Tracking, Multi-Currency, Job Costing, Excise, and Payroll.
