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This error may occur if, The Server name/IP address or Port of your Tally Gateway Server specified is incorrect. Tally Gateway Server is not installed on the computer specified in the Configure Existing License screen. Windows Firewall is blocking Tally.ERP 9, Tally Gateway Server, or both
The latest version of Tally ERP 9 silver license can be installed on multiple computers on a LAN Network but will work only on any one of the systems at a time, so if you wish to use on one computer then exit all instances of Tally ERP 9 from another one