You can set credit limits for ledgers accounts grouped under Sundry Debtors and Sundry Creditors at the time of ledger creation or from the alteration screen or also at the time of invoicing. To activate Credit Limits feature in Tally.ERP 9,
Go to F11 Features > Accounting Features > Set Maintain Budgets and Controls to Yes
To set Credit Limits for Single Ledger Account, follow the steps given below:
Go to Gateway of Tally> Accounts Info> Ledgers> Create / Alter (under Single Ledger)
Select the required party ledger from the List of ledgers to set credit terms. The single Ledger Alteration screen is displayed. You can set credit limits for both amount and period here.
To set credit limits for multiple ledgers:
Go to Gateway of Tally> Accounts Info> Ledgers> Credit Limits (under Multiple Ledgers)
Select the required group of ledgers from the List of Groups to set credit terms. The Multi Ledger Limit Alteration screen is displayed. The list of ledger accounts under the selected group is displayed. You can now set credit limits for both amounts and periods here.
Specify the amount of credit limit against the ledger account in this field. You can set the amount limits in foreign currency if required, for ledgers involving forex transactions.
Credit period can be either specified in No. of days or the due date (for eg., 31.10.09) and are calculated from the Voucher date or Invoice date or the effective date, as applicable i.e., if only Voucher Date exists, it is considered as the effective date for calculation for Credit Days otherwise if effective date is specified in the Voucher, it is considered for calculation for due date.