Did you know that Tally.ERP 9 now know as TallyPrime, offers a simple and intuitive Pre-closure of orders process eliminating the need to go through a time-consuming order adjustment procedure?

For any business dealing with sales or purchase orders, a requirement may arise to Pre-Close orders due to various reasons like order cancellations, lack of stocks, goods returned due to defects etc. Pre-Closing orders affects the inventory report and itis extremely important for a business to get accurate inventory reports.

For example, a sale of goods involves receiving the order and raising the sales invoice against the goods delivered. The same cycle also applies for purchase of goods. When this sales or purchase cycle does not happen completely due to partial fulfillment of orders, a business owner usually has to close the orders. Earlier, these orders were listed under ‘Pending sales or purchase Orders’ but now, Tally.ERP 9 has simplified the Pre-Closure of Orders process and users can now manually close the orders either from the Pending Sales/Purchase Orders reports or directly from the Order Voucher itself. Users can also include remarks while closing the orders and these remarks can be tracked from the Order Summary reports.

Sales or Purchase Orders also can be closed from:

  • Purchase/Sales Order (in Alteration mode)
  • Receipt/Delivery Note
  • Purchase/Sales Invoice

In this article, we will take sales transaction cycle as an example to illustrate the Pre-Closure of orders in Tally.ERP 9. The similar process is also used in the purchase cycle.

1. Pre-Closure of Order from Sales Order Voucher

Let’s consider a company for which an order was canceled completely. To pre-close this order completely, follow the steps below:

First we need to open the Sales Order in alternation mode by going to ‘Gateway of Tally-> Display->Inventory Books > Sales Orders Book-> Select the relevant Sales Order’.

  • Press Ctrl+C or click ‘Pre-Close’ button to close the total order is as shown:
  • Enter the reason (e.g. ‘Cancelled Order’) and date of closure in ‘Closed on’. Press ‘Enter’ to save.

    Pre-Closing Sales Order can also be done via the Item Allocation screen and this option enables user to pre-close not only total orders but also partial orders. For partial closure:

    On the open ‘Sales Order’ screen->Press ‘F12: Configuration’-> Select ‘Yes’ for ‘Use Pre-Closure order details’ -> Press ‘Ctrl+A’ to accept the change

    Press ‘Enter’ until the ‘Item Allocation for:’ screen is opened

  • Enter the quantity in ‘Pre-Close Quantity’
  • Enter the reason for Pre-Close (e.g. ‘Shortage of Stocks’) and press ‘Enter’ to accept the screen.

2. Pre-Closure of Orders from Delivery Note

To pre-close from Delivery Note:

  • Open the Delivery Note in alteration mode by going to ‘Gateway of Tally->Display Menu -> Statements of Inventory -> Statistics -> Select ‘Delivery Note’->Select the respective ‘Delivery Note’.
  • Press ‘F12: Configuration’->Select ‘Yes’ for ‘Use Pre-Closure order details’. Press ‘Ctrl+A’ to accept the screen.
  • Once this setup is done, you can pre-close the orders from ‘Item Allocation’ screen in ‘Delivery Note’ just as you did for the ‘Sales Order’.

3. Pre-Closure of Orders from Sales Invoice

To pre-close from Sales Invoice:

  • Open the Sales Invoice in alteration mode by going to ‘Gateway of Tally -> Display Menu -> Account Books -> Sales Register -> Select the respective month for which the Sales Invoice was raised -> Select the respective ‘Sales Invoice’.
  • Press ’F12: Configuration’->Set ‘Yes’ to ‘User Pre-Closure order details’

Once the change has been made, orders can be Pre-Closed from Item Allocation screen in the same way as you did in ‘Sales Order’ and ‘Delivery Note’.

4. Pre-Closure of Orders from Order Details Screen

As mentioned before, Pre-Closing of orders can be done not only from the transaction screens but also from the ‘Order Details’ screen. This feature enables users to pre-close multiple orders partially and fully from just one screen. For this:

  • Go to ‘Gateway of Tally -> Display -> Statement of Inventory -> Sales Order Outstandings -> All Orders’
  • Press ‘F12:Configuration’->Set ‘Yes’ to both ‘Show Pre-Closure order details’ and ‘Show Reason’
  • Select the two orders using the Spacebar key and click ‘Pre-Close’ button

For partial Pre-Closure, you can enter the partial quantity of the orders needed to be closed on the ‘Pre-Close Quantity’. Similarly, for full Pre-Closure, enter the ‘Balance Quantity’ in ‘Pre-Close Quantity’. Also, enter the date of closures in ‘Closed on’ and reason for Pre-Close in ‘Reason for Pre-Close’ for both the orders as shown below:

Users can get various benefits from the Pre-closure of Orders feature, including accurate Pending Order summaries, easier management of material, reduced processing time, better efficiency, and increase in business performance.