diff --git a/erpnext/sandbox/test_stock_reco.py b/erpnext/sandbox/test_stock_reco.py
new file mode 100644
index 0000000..bcde49e
--- /dev/null
+++ b/erpnext/sandbox/test_stock_reco.py
@@ -0,0 +1,94 @@
+import unittest
+
+import webnotes
+import webnotes.profile
+webnotes.user = webnotes.profile.Profile()
+
+
+from webnotes.model.doc import Document
+from webnotes.model.code import get_obj
+from webnotes.utils import cstr, flt
+from webnotes.model.doclist import getlist
+sql = webnotes.conn.sql
+
+from sandbox.testdata.masters import *
+from sandbox.testdata.sle_data import sle, bin
+from sandbox.testdata.stock_reco import *
+#----------------------------------------------------------
+
+
+class TestStockEntry(unittest.TestCase):
+	def assertDoc(self, lst):
+		"""assert all values"""
+		for d in lst:
+			cl, vl = [], []
+			for k in d.keys():
+				if k!='doctype':
+					cl.append('%s=%s' % (k, '%s'))
+					vl.append(d[k])
+
+			self.assertTrue(sql("select name from `tab%s` where %s limit 1" % (d['doctype'], ' and '.join(cl)), vl))
+
+	#===========================================================================
+	def setUp(self):
+		print "====================================="
+		webnotes.conn.begin()		
+		create_master_records()
+		print 'Master Data Created'
+		
+		for d in sle:
+			d.save(1)
+		print "Existing SLE created"
+		
+		bin.save(1)
+		
+		sreco.save(1)
+		print "Stock Reco saved"
+		
+	#===========================================================================
+	def test_diff_in_both(self):
+		reco = get_obj('Stock Reconciliation', sreco.name)
+		reco.doc.docstatus = 1
+		reco.doc.save()
+		reco.validate()
+		reco.on_submit()
+		print "Stock Reco submitted"
+		
+		print "Checking stock ledger entry........."
+		self.assertDoc(self.get_expected_sle('diff_in_both'))
+
+	#===========================================================================
+	def tearDown(self):
+		webnotes.conn.rollback()
+		
+	# Expected Result Set
+	#===================================================================================================
+	def get_expected_sle(self, action):
+		expected_sle = {
+			'diff_in_both': [{
+							'doctype': 'Stock Ledger Entry',
+							'item_code':'it',
+							'warehouse':'wh1', 
+							'voucher_type': 'Stock Reconciliation',
+							'voucher_no': sreco.name,
+							'actual_qty': 15,
+							'bin_aqat': 20,
+							'valuation_rate': 150,
+							#'stock_value': 3000,
+							'is_cancelled': 'No'
+						},{
+							'doctype': 'Stock Ledger Entry',
+							'posting_date': '2011-09-10',
+							'posting_time': '15:00',
+							'item_code': 'it',
+							'warehouse': 'wh1',
+							'actual_qty': 20,
+							'incoming_rate': 200,
+							'bin_aqat': 40,
+							'valuation_rate': 175,
+							#'stock_value': 4500,
+							'is_cancelled': 'No'
+						}
+						]
+		}
+		return expected_sle[action]
diff --git a/erpnext/sandbox/testdata/sle_data.py b/erpnext/sandbox/testdata/sle_data.py
new file mode 100644
index 0000000..eab0376
--- /dev/null
+++ b/erpnext/sandbox/testdata/sle_data.py
@@ -0,0 +1,85 @@
+from webnotes.model.doc import Document
+
+# Existing SLE data
+#---------------------------
+
+sle = [
+	Document(
+		fielddata = {
+			'doctype': 'Stock Ledger Entry',
+			'name': 'sle1',
+			'posting_date': '2011-09-01',
+			'posting_time': '12:00',
+			'item_code': 'it',
+			'warehouse': 'wh1',
+			'actual_qty': 10,
+			'incoming_rate': 100,
+			'bin_aqat': 10,
+			'valuation_rate': 100,
+			'fcfs_stack': '',
+			'stock_value': 1000,
+			'is_cancelled': 'No'			
+		}
+	),
+		Document(
+		fielddata = {
+			'doctype': 'Stock Ledger Entry',
+			'name': 'sle2',
+			'posting_date': '2011-09-01',
+			'posting_time': '12:00',
+			'item_code': 'it',
+			'warehouse': 'wh1',
+			'actual_qty': -5,
+			'incoming_rate': 100,
+			'bin_aqat': 5,
+			'valuation_rate': 100,
+			'fcfs_stack': '',
+			'stock_value': 500,
+			'is_cancelled': 'No'
+		}
+	),
+	Document(
+		fielddata = {
+			'doctype': 'Stock Ledger Entry',
+			'name': 'sle3',
+			'posting_date': '2011-09-10',
+			'posting_time': '15:00',
+			'item_code': 'it',
+			'warehouse': 'wh1',
+			'actual_qty': 20,
+			'incoming_rate': 200,
+			'bin_aqat': 25,
+			'valuation_rate': 180,
+			'fcfs_stack': '',
+			'stock_value': 4500,
+			'is_cancelled': 'No'			
+		}
+	),
+	Document(
+		fielddata = {
+			'doctype': 'Stock Ledger Entry',
+			'name': 'sle4',
+			'posting_date': '2011-09-15',
+			'posting_time': '09:30',
+			'item_code': 'it',
+			'warehouse': 'wh1',
+			'actual_qty': -5,
+			'incoming_rate': 180,
+			'bin_aqat': 20,
+			'valuation_rate': 180,
+			'fcfs_stack': '',
+			'stock_value': 3600,
+			'is_cancelled': 'No'			
+		}
+	)
+]
+
+bin = Document(
+	fielddata = {
+		'doctype': 'Bin',
+		'name': 'bin01',
+		'item_code': 'it',
+		'warehouse': 'wh1',
+		'actual_qty': 20,
+	}
+)
diff --git a/erpnext/sandbox/testdata/stock_reco.py b/erpnext/sandbox/testdata/stock_reco.py
new file mode 100644
index 0000000..efcbbc5
--- /dev/null
+++ b/erpnext/sandbox/testdata/stock_reco.py
@@ -0,0 +1,43 @@
+from webnotes.model.doc import Document
+
+# Stock Reconciliation
+#---------------------------
+
+sreco = Document(
+		fielddata = {
+			'doctype': 'Stock Reconciliation',
+			'name': 'sreco',
+			'reconciliation_date': '2011-09-08',
+			'reconciliation_time': '20:00',
+		}
+	)
+
+# diff in both
+csv_data1 = [
+	['Item', 'Warehouse', 'Quantity', 'Rate'],
+	['it', 'wh1', 20, 150]
+]
+
+# diff in qty, no rate
+csv_data2 = [
+	['Item', 'Warehouse', 'Quantity'],
+	['it', 'wh1', 20]
+]
+
+# diff in rate, no qty
+csv_data3 = [
+	['Item', 'Warehouse', 'Rate'],
+	['it', 'wh1', 200]
+]
+
+# diff in rate, same qty
+csv_data4 = [
+	['Item', 'Warehouse', 'Quantity', 'Rate'],
+	['it', 'wh1', 5, 200]
+]
+
+# no diff
+csv_data1 = [
+	['Item', 'Warehouse', 'Quantity', 'Rate'],
+	['it', 'wh1', 5, 100]
+]
diff --git a/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.js b/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.js
index de89d80..2e428df 100644
--- a/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.js
+++ b/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.js
@@ -1,37 +1,7 @@
-cur_frm.cscript.onload = function(doc, cdt, cdn) {
-  cfn_set_fields(doc, cdt, cdn);
+cur_frm.cscript.refresh = function(doc) {	
+	if (doc.docstatus) hide_field('Steps');
 }
 
-cur_frm.cscript.refresh = function(doc, cdt, cdn) {
-  cfn_set_fields(doc, cdt, cdn);
+cur_frm.cscript['Download Template'] = function(doc, cdt, cdn) {
+	$c_obj_csv(make_doclist(cdt, cdn), 'get_template', '');
 }
-
-var cfn_set_fields = function(doc, cdt, cdn) {
-  refresh_field('remark');
-  refresh_field('next_step');
-  if (doc.docstatus == 0 && doc.next_step == 'Upload File and Save Document') 
-    doc.next_step = 'Validate Data';
-  
-  if (! doc.file_list)
-    doc.next_step = 'Upload File and Save Document'
-  
-  if (doc.next_step == 'Upload File and Save Document') {
-    //alert("Upload File and Save Document");
-    cur_frm.clear_tip();
-    cur_frm.set_tip("Please Enter Reconciliation Date and Attach CSV File with Columns in Following Sequence:-");
-    cur_frm.append_tip("Item Code , Warehouse , Qty , MAR");
-    hide_field("Validate Data");
-  }
-  if (doc.next_step == 'Validate Data') {
-    //alert("Validate Data");
-    cur_frm.clear_tip();
-    cur_frm.set_tip("Please Check Remarks");
-    unhide_field("Validate Data");
-  }
-  if (doc.next_step == 'Submit Document') {
-    //alert('Submit Document');
-    cur_frm.clear_tip();
-    cur_frm.set_tip("Please Submit the document.");
-    hide_field("Validate Data");
-  }
-}
\ No newline at end of file
diff --git a/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.py b/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.py
index e133d6f..7b9d294 100644
--- a/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.py
+++ b/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.py
@@ -1,270 +1,23 @@
-# Please edit this list and import only required elements
 import webnotes
-
-from webnotes.utils import add_days, add_months, add_years, cint, cstr, date_diff, default_fields, flt, fmt_money, formatdate, generate_hash, getTraceback, get_defaults, get_first_day, get_last_day, getdate, has_common, month_name, now, nowdate, replace_newlines, sendmail, set_default, str_esc_quote, user_format, validate_email_add
-from webnotes.model import db_exists
-from webnotes.model.doc import Document, addchild, removechild, getchildren, make_autoname, SuperDocType
-from webnotes.model.doclist import getlist, copy_doclist
-from webnotes.model.code import get_obj, get_server_obj, run_server_obj, updatedb, check_syntax
-from webnotes import session, form, is_testing, msgprint, errprint
-
-set = webnotes.conn.set
+from webnotes.utils import cstr, flt, get_defaults, nowdate
+from webnotes import msgprint
+from webnotes.model.code import get_obj
 sql = webnotes.conn.sql
-get_value = webnotes.conn.get_value
-in_transaction = webnotes.conn.in_transaction
-convert_to_lists = webnotes.conn.convert_to_lists
 	
 # -----------------------------------------------------------------------------------------
 
-
 class DocType:
 	def __init__(self, doc, doclist=[]):
 		self.doc = doc
 		self.doclist = doclist
-		self.label = { 'item_code': 0 , 'warehouse': 1 , 'qty': 2, 'mar': 3,'stock_uom':4, 'actual_qty':5, 'diff': 6} # with mar
+		self.validated = 1
+		self.data = []
 
-	# autoname
-	#-----------------
-	def autoname(self):
-		 self.doc.name = make_autoname('SR/' + self.doc.fiscal_year + '/.######')
+	def get_template(self):
+		return [['Item Code', 'Warehouse', 'Quantity', 'Valuation Rate']]
 
-	# -----------------
-	# update next step
-	# -----------------
-	def update_next_step(self,next_step):
-		sql("update `tabStock Reconciliation` set next_step = '%s' where name = '%s'" % (next_step,self.doc.name))
-	
-
-	# -----------
-	# add remark
-	# -----------
-	def add_remark(self, text, next_step, first_time = 0):
-		if first_time:
-			sql("update `tabStock Reconciliation` set remark = '' where name = '%s'" % self.doc.name)
-		else:
-			sql("update `tabStock Reconciliation` set remark = concat(remark, '%s'), modified = '%s' where name = '%s'" % (text + "<br>", nowdate(), self.doc.name))
-		self.update_next_step(next_step)
-
-
-	# --------------
-	# validate item
-	# --------------
-	def validate_item(self, item, count, check_item = 1):
-		det = sql("select item_code, has_serial_no from `tabItem` where name = '%s'"% cstr(item), as_dict = 1)
-		if not det:
-			text = "Item: " + cstr(item) + " mentioned at Row No. " + cstr(count) + "does not exist in the system"
-			msgprint(text)
-			self.add_remark(text, 'Validate Data', 0)
-			check_item = 0
-		elif det and det[0]['has_serial_no'] == 'Yes':
-			text = "You cannot make Stock Reconciliation of items having serial no. You can directly upload serial no to update their inventory. Please remove Item Code : %s at Row No. %s" %(cstr(item), cstr(count))
-			msgprint(text)
-			self.add_remark(text, 'Validate Data', 0)
-			check_item = 0
-		return check_item
-
-
-	# -------------------
-	# validate warehouse
-	# -------------------
-	def validate_warehouse(self,wh,count, check_warehouse = 1):
-		if not sql("select name from `tabWarehouse` where name = '%s'" % cstr(wh)):
-			text = "Warehouse: " + cstr(wh) + " mentioned at Row No. " + cstr(count) + "does not exist in the system"
-			self.add_remark(text,'Validate Data',0)
-			check_warehouse = 0
-		return check_warehouse
-
-
-	# ---------------------------
-	# validate data of .csv file
-	# ---------------------------
-	def validate_data(self,stock):
-		self.add_remark('','Validate Data',1)
-
-		# check whether file uploaded
-		if not self.doc.file_list:
-			set(self.doc,'next_step','Upload File and Save Document')
-			msgprint("Please Attach File", raise_exception=1)
-
-		# validate item and warehouse
-		check_item,check_warehouse,count = 1, 1, 1
-		for s in stock:
-			count +=1
-			check_item = self.validate_item(s[self.label['item_code']],count) or 0
-			check_warehouse = self.validate_warehouse(s[self.label['warehouse']],count) or 0
-
-		if check_item and check_warehouse:
-			text = "Validation Completed Successfully..."
-			self.add_remark(text,'Submit Document',0)
-		return check_item and check_warehouse
-
-
-	# ------------------------------
-	# convert lines in .csv to list
-	# ------------------------------
-	def convert_into_list(self, stock, submit):
-		count, st_list = 1, []
-		for s in stock:
-			if submit and len(s) != 4:
-				msgprint("Data entered at Row No " + cstr(count) + " in Attachment File is not in correct format.", raise_exception=1)
-
-			l = [s[0].encode("ascii"), s[1].encode("ascii"), s[2].encode("ascii"), s[3].encode("ascii")]
-			st_list.append(l)
-			count += 1
-		return st_list
-
-	# ------------------
-	# get current stock
-	# ------------------
-	def get_current_stock(self, item_code, warehouse):
-		bin = sql("select name from `tabBin` where item_code = '%s' and warehouse = '%s'" % (item_code, warehouse))
-		prev_sle = bin and get_obj('Bin', bin[0][0]).get_prev_sle(self.doc.reconciliation_date,self.doc.reconciliation_time) or {}
-		stock_uom = sql("select stock_uom from `tabItem` where name = %s",item_code)
-		return {'actual_qty': prev_sle.get('bin_aqat', 0), 'stock_uom': stock_uom[0][0]}
-
-
-	# -----------
-	# update mar
-	# -----------
-	def update_mar(self, d, qty_diff):
-		"""
-			update item valuation in previous date and also on post date if no qty diff
-		"""
-		
-		self.update_entries_pre_date(d)
-		
-		if not flt(d[self.label['qty']]) and not flt(d[self.label['actual_qty']]):
-			# seems like a special condition when there is no actual quanitity but there is a rate, may be only for setting a rate!
-			self.make_sl_entry(1,d,1)
-			self.make_sl_entry(1,d,-1)
-		elif not qty_diff:
-			self.update_entries_post_date(d)
-				
-	# update valuation rate as csv file in all sle before reconciliation date
-	# ------------------------------------------------------------------------
-	def update_entries_pre_date(self, d):
-		mar = flt(d[self.label['mar']])		
-
-		# previous sle
-		prev_sle = sql("""
-			select name, fcfs_stack
-			from `tabStock Ledger Entry`
-			where item_code = %s
-			and warehouse = %s
-			and ifnull(is_cancelled, 'No') = 'No'
-			and timestamp(posting_date, posting_time) <= timestamp(%s, %s)
-			""", (d[self.label['item_code']], d[self.label['warehouse']], self.doc.reconciliation_date, self.doc.reconciliation_time))
-
-		for each in prev_sle:
-			# updated fifo stack
-			fstack = each[1] and [[i[0], mar] for i in eval(each[1])] or ''
-
-			# update incoming rate, valuation rate, stock value and fifo stack
-			sql("""update `tabStock Ledger Entry` 
-			set incoming_rate = %s, valuation_rate = %s, stock_value = bin_aqat*%s, fcfs_stack = %s 
-			where name = %s
-			""", (mar, mar, mar, cstr(fstack), each[0]))
-			
-				
-	# Update item valuation in all sle after the reconcliation date
-	# ---------------------------------------------------------
-	def update_entries_post_date(self, d):
-		bin = sql("select name from `tabBin` where item_code = '%s' and warehouse = '%s'" % (d[self.label['item_code']], d[self.label['warehouse']]))
-		bin_obj = get_obj('Bin', bin[0][0])
-
-		# update valuation in sle posted after reconciliation datetime
-		bin_obj.update_entries_after(posting_date = self.doc.reconciliation_date, posting_time = self.doc.reconciliation_time)
-
-	# --------------
-	# make sl entry
-	# --------------
-	def make_sl_entry(self, update_stock, stock, diff):
-		values = []
-		values.append({
-				'item_code'					: stock[self.label['item_code']],
-				'warehouse'					: stock[self.label['warehouse']],
-				'transaction_date'	 		: now(),
-				'posting_date'				: self.doc.reconciliation_date,
-				'posting_time'			 	: self.doc.reconciliation_time,
-				'voucher_type'			 	: self.doc.doctype,
-				'voucher_no'				: self.doc.name,
-				'voucher_detail_no'			: self.doc.name,
-				'actual_qty'				: flt(update_stock) * flt(diff),
-				'stock_uom'					: stock[self.label['stock_uom']],
-				'incoming_rate'				: stock[self.label['mar']] or 0,
-				'company'					: self.doc.company,
-				'fiscal_year'				: self.doc.fiscal_year,
-				'is_cancelled'			 	: (update_stock==1) and 'No' or 'Yes',
-				'batch_no'					: '',
-				'serial_no'					: ''
-		 })
-				
-		get_obj('Stock Ledger', 'Stock Ledger').update_stock(values)
-
-
-	# -----------------------
-	# get stock reco details
-	# -----------------------
-	def get_reconciliation_stock_details(self,submit = 0):
-		import csv 
-		stock = csv.reader(self.get_csv_file_data().splitlines())
-		stock = self.convert_into_list(stock, submit)
-		if stock[0][0] and stock[0][0].strip()=='Item Code':
-			stock.pop(0)		# remove the labels
-		check = self.validate_data(stock)
-		if not check:
-			return 0
-		return stock
-
-	# validate date and time
-	# ------------------------
-	def validate_datetime(self):
-		if not self.doc.reconciliation_date:
-			msgprint("Please Enter Reconciliation Date.", raise_exception=1)
-		if not self.doc.reconciliation_time:
-			msgprint("Please Enter Reconciliation Time.", raise_exception=1)
-
-
-
-	# ----------------------
-	# stock reconciliations
-	# ----------------------
-	def stock_reconciliations(self, submit = 0):
-		self.validate_datetime()
-
-		# get reco data
-		rec_stock_detail = self.get_reconciliation_stock_details(submit) or []
-		if not rec_stock_detail:
-			msgprint("Please Check Remarks", raise_exception=1)
-
-		count = 1
-		for stock in rec_stock_detail:
-			count += 1
-
-			# Get qty as per system
-			cur_stock_detail = self.get_current_stock(stock[self.label['item_code']],stock[self.label['warehouse']])
-			stock.append(cur_stock_detail['stock_uom'])
-			stock.append(cur_stock_detail['actual_qty'])
-
-			# Qty Diff between file and system
-			diff = flt(stock[self.label['qty']]) - flt(cur_stock_detail['actual_qty'])
-
-			# Update MAR
-			if not stock[self.label['mar']] == '~':
-				self.update_mar(stock, diff)
-			
-			# Make sl entry if qty differ
-			if diff:
-				self.make_sl_entry(submit, stock, diff)
-
-		if rec_stock_detail:
-			text = "Stock Reconciliation Completed Successfully..."
-			self.add_data_in_CSV(rec_stock_detail)
-			self.add_remark(text,'Completed', 0)
-
-	# Get csv data
-	#--------------------------
 	def get_csv_file_data(self):
+		"""Get csv data"""
 		filename = self.doc.file_list.split(',')
 		if not filename:
 			msgprint("Please Attach File. ", raise_exception=1)
@@ -274,37 +27,160 @@
 		
 		if not type(content) == str:
 			content = content.tostring()
+
 		return content
 
+	def convert_into_list(self, data):
+		"""Convert csv data into list"""
+		count = 1
+		for s in data:
+			if s[0].strip() != 'Item Code': # remove the labels
+				# validate
+				if len(s) != 4:
+					msgprint("Data entered at Row No " + cstr(count) + " in Attachment File is not in correct format.", raise_exception=1)
+					self.validated = 0
+				self.validate_item(s[0], count)
+				self.validate_warehouse(s[1], count)
+			
+				# encode as ascii
+				self.data.append([d.encode("ascii") for d in s])
+				count += 1
+			
+		if not self.validated:
+			raise Exception
 
-	def getCSVelement(self,v):
-		v = cstr(v)
-		if not v: return ''
-		if (',' in v) or ('' in v) or ('"' in	v):
-			if '"' in v: v = v.replace('"', '""')
-			return '"'+v+'"'
-		else: return v or ''
 
-	# Add qty diff column in attached file
-	#----------------------------------------
-	def add_data_in_CSV(self,data):
-		filename = self.doc.file_list.split(',')
-		head = []
-		for h in ['Item Code','Warehouse','Qty','Actual','Difference','MAR']:
-			head.append(self.getCSVelement(h))
-		dset = (','.join(head) + "\n")
-		for d in data:
-			l = [d[self.label['item_code']],d[self.label['warehouse']],d[self.label['qty']],d[self.label['actual_qty']],flt(d[self.label['qty']])-flt(d[self.label['actual_qty']]),d[self.label['mar']]]
-			s =[]
-			for i in l:
-				s.append(self.getCSVelement(i))
-			dset +=(','.join(s)+"\n")
+	def get_reconciliation_data(self,submit = 0):
+		"""Read and validate csv data"""
+		import csv 
+		data = csv.reader(self.get_csv_file_data().splitlines())
+		self.convert_into_list(data)
 		
-		from webnotes.utils import file_manager
-		file_manager.write_file(filename[1], dset)
 
-	# ----------
-	# on submit
-	# ----------
+	def validate_item(self, item, count):
+		""" Validate item exists and non-serialized"""
+		det = sql("select item_code, has_serial_no from `tabItem` where name = '%s'"% cstr(item), as_dict = 1)
+		if not det:
+			msgprint("Item: " + cstr(item) + " mentioned at Row No. " + cstr(count) + "does not exist in the system")
+			self.validated = 0
+		elif det and det[0]['has_serial_no'] == 'Yes':
+			msgprint("""You cannot make Stock Reconciliation of items having serial no. \n
+			You can directly upload serial no to update their inventory. \n
+			Please remove Item Code : %s at Row No. %s""" %(cstr(item), cstr(count)))
+			self.validated = 0
+
+
+	def validate_warehouse(self, wh, count,):
+		"""Validate warehouse exists"""
+		if not sql("select name from `tabWarehouse` where name = '%s'" % cstr(wh)):
+			msgprint("Warehouse: " + cstr(wh) + " mentioned at Row No. " + cstr(count) + " does not exist in the system")
+			self.validated = 0
+
+
+
+	def validate(self):
+		"""Validate attachment data"""
+		#self.data = [['it', 'wh1', 20, 150]]
+		if self.doc.file_list:
+			self.get_reconciliation_data()
+
+			
+
+	def get_system_stock(self, it, wh):
+		"""get actual qty on reconciliation date and time as per system"""
+		bin = sql("select name from tabBin where item_code=%s and warehouse=%s", (it, wh))
+		prev_sle = bin and get_obj('Bin', bin[0][0]).get_sle_prev_timebucket(self.doc.reconciliation_date, self.doc.reconciliation_time) or {}
+		return {
+			'actual_qty': prev_sle.get('bin_aqat', 0), 
+			'stock_uom' : sql("select stock_uom from tabItem where name = %s", it)[0][0], 
+			'val_rate'  : prev_sle.get('valuation_rate', 0)
+		}
+
+
+	def make_sl_entry(self, is_submit, row, qty_diff, sys_stock):
+		"""Make stock ledger entry"""
+		in_rate = self.get_incoming_rate(row, qty_diff, sys_stock)	
+		values = [{
+				'item_code'					: row[0],
+				'warehouse'					: row[1],
+				'transaction_date'	 		: nowdate(),
+				'posting_date'				: self.doc.reconciliation_date,
+				'posting_time'			 	: self.doc.reconciliation_time,
+				'voucher_type'			 	: self.doc.doctype,
+				'voucher_no'				: self.doc.name,
+				'voucher_detail_no'			: self.doc.name,
+				'actual_qty'				: flt(is_submit) * flt(qty_diff),
+				'stock_uom'					: sys_stock['stock_uom'],
+				'incoming_rate'				: in_rate,
+				'company'					: get_defaults()['company'],
+				'fiscal_year'				: get_defaults()['fiscal_year'],
+				'is_cancelled'			 	: (is_submit==1) and 'No' or 'Yes',
+				'batch_no'					: '',
+				'serial_no'					: ''
+		 }]		
+		get_obj('Stock Ledger', 'Stock Ledger').update_stock(values)
+		
+		
+	def get_incoming_rate(self, row, qty_diff, sys_stock):
+		"""Calculate incoming rate to maintain valuation rate"""
+		in_rate = flt(row[3]) + (flt(sys_stock['actual_qty'])*(flt(row[3]) - flt(sys_stock['val_rate'])))/ flt(qty_diff)
+		return in_rate
+
+
+	def do_stock_reco(self, is_submit = 1):
+		"""
+			Make stock entry of qty diff, calculate incoming rate to maintain valuation rate.
+			If no qty diff, but diff in valuation rate, make (+1,-1) entry to update valuation
+		"""
+		for row in self.data:
+			# Get qty as per system
+			sys_stock = self.get_system_stock(row[0],row[1])
+			
+			# Diff between file and system
+			qty_diff = row[2] != '~' and flt(row[2]) - flt(sys_stock['actual_qty']) or 0
+			rate_diff = row[3] != '~' and flt(row[3]) - flt(sys_stock['val_rate']) or 0
+
+			# Make sl entry
+			if qty_diff:
+				self.make_sl_entry(is_submit, row, qty_diff, sys_stock)
+			elif rate_diff:
+				self.make_sl_entry(is_submit, row, 1, sys_stock)
+				sys_stock['val_rate'] = row[3]
+				sys_stock['actual_qty'] += 1
+				self.make_sl_entry(is_submit, row, -1, sys_stock)
+
+			if is_submit == 1:
+				self.add_data_in_CSV(qty_diff, rate_diff)
+				
+			msgprint("Stock Reconciliation Completed Successfully...")
+			
+
+	def add_data_in_CSV(self, qty_diff, rate_diff):
+		"""Add diffs column in attached file"""
+		
+		# add header
+		out = "'Item Code', 'Warehouse', 'Qty', 'Valuation Rate', 'Qty Diff', 'Val Rate Diff'"
+		
+		# add data
+		for d in self.data:
+			s = [cstr(i) for i in d] + [cstr(qty_diff), cstr(rate_diff)]
+			out += "\n" + ','.join(s)
+		
+		# write to file
+		fname = self.doc.file_list.split(',')
+		from webnotes.utils import file_manager
+		file_manager.write_file(fname[1], out)
+		
+			
+
 	def on_submit(self):
-		self.stock_reconciliations(submit = 1)
+		if not self.doc.file_list:
+			msgprint("Please attach file before submitting.", raise_exception=1)
+		else:
+			self.do_stock_reco(is_submit = 1)
+			
+
+
+	def on_cancel(self):
+		self.validate()
+		self.do_stock_reco(is_submit = -1)
diff --git a/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.txt b/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.txt
index 771068d..27b1749 100644
--- a/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.txt
+++ b/erpnext/stock/doctype/stock_reconciliation/stock_reconciliation.txt
@@ -5,16 +5,18 @@
 	{
 		'creation': '2010-08-08 17:09:26',
 		'docstatus': 0,
-		'modified': '2011-04-25 11:46:21',
+		'modified': '2011-11-18 17:32:21',
 		'modified_by': 'Administrator',
 		'owner': 'Administrator'
 	},
 
 	# These values are common for all DocType
 	{
-		'_last_update': '1309508840',
+		'_last_update': '1321617633',
 		'allow_attach': 1,
+		'autoname': 'SR/.######',
 		'colour': 'White:FFF',
+		'default_print_format': 'Standard',
 		'doctype': 'DocType',
 		'max_attachments': 1,
 		'module': 'Stock',
@@ -23,7 +25,8 @@
 		'section_style': 'Tray',
 		'server_code_error': ' ',
 		'show_in_menu': 0,
-		'version': 85
+		'subject': 'Date: %(reconciliation_date)s, Time: %(reconciliation_time)s',
+		'version': 105
 	},
 
 	# These values are common for all DocField
@@ -37,6 +40,7 @@
 
 	# These values are common for all DocPerm
 	{
+		'amend': 0,
 		'doctype': 'DocPerm',
 		'name': '__common__',
 		'parent': 'Stock Reconciliation',
@@ -53,11 +57,9 @@
 
 	# DocPerm
 	{
-		'amend': 1,
 		'cancel': 1,
 		'create': 1,
 		'doctype': 'DocPerm',
-		'idx': 1,
 		'permlevel': 0,
 		'role': 'Material Manager',
 		'submit': 1,
@@ -66,11 +68,9 @@
 
 	# DocPerm
 	{
-		'amend': 0,
 		'cancel': 0,
 		'create': 0,
 		'doctype': 'DocPerm',
-		'idx': 2,
 		'permlevel': 1,
 		'role': 'Material Manager',
 		'submit': 0,
@@ -79,44 +79,21 @@
 
 	# DocPerm
 	{
-		'amend': 1,
 		'cancel': 1,
 		'create': 1,
 		'doctype': 'DocPerm',
-		'idx': 3,
 		'permlevel': 0,
 		'role': 'System Manager',
 		'submit': 1,
 		'write': 1
 	},
 
-	# DocPerm
-	{
-		'doctype': 'DocPerm',
-		'idx': 4,
-		'permlevel': 1,
-		'role': 'System Manager'
-	},
-
 	# DocField
 	{
 		'doctype': 'DocField',
-		'fieldtype': 'Button',
-		'hidden': 1,
-		'idx': 1,
-		'label': 'Validate Data',
-		'oldfieldtype': 'Button',
-		'options': 'get_reconciliation_stock_details',
-		'permlevel': 0
-	},
-
-	# DocField
-	{
-		'doctype': 'DocField',
-		'fieldtype': 'Section Break',
-		'idx': 2,
-		'label': 'Summary',
-		'oldfieldtype': 'Section Break',
+		'fieldtype': 'HTML',
+		'label': 'Steps',
+		'options': '<div class="field_description"><b>Steps:</b><br>1. Enter Reconciliation Date and Time<br>2. Save the document<br>3. Attach csv file as per template.<br>4. Submit the document</div>',
 		'permlevel': 0
 	},
 
@@ -125,14 +102,12 @@
 		'doctype': 'DocField',
 		'fieldname': 'reconciliation_date',
 		'fieldtype': 'Date',
-		'idx': 3,
 		'in_filter': 0,
 		'label': 'Reconciliation Date',
 		'oldfieldname': 'reconciliation_date',
 		'oldfieldtype': 'Date',
 		'permlevel': 0,
-		'reqd': 1,
-		'search_index': 1
+		'reqd': 1
 	},
 
 	# DocField
@@ -140,7 +115,6 @@
 		'doctype': 'DocField',
 		'fieldname': 'reconciliation_time',
 		'fieldtype': 'Time',
-		'idx': 4,
 		'in_filter': 0,
 		'label': 'Reconciliation Time',
 		'oldfieldname': 'reconciliation_time',
@@ -152,97 +126,20 @@
 	# DocField
 	{
 		'doctype': 'DocField',
-		'fieldname': 'next_step',
-		'fieldtype': 'Select',
-		'idx': 5,
-		'label': 'Next Steps',
-		'oldfieldname': 'next_step',
-		'oldfieldtype': 'Select',
-		'options': 'Upload File and Save Document\nValidate Data\nSubmit Document\nCompleted',
-		'permlevel': 1
-	},
-
-	# DocField
-	{
-		'doctype': 'DocField',
 		'fieldname': 'remark',
 		'fieldtype': 'Text',
-		'idx': 6,
 		'label': 'Remark',
 		'oldfieldname': 'remark',
 		'oldfieldtype': 'Text',
-		'permlevel': 1
-	},
-
-	# DocField
-	{
-		'doctype': 'DocField',
-		'fieldname': 'company',
-		'fieldtype': 'Link',
-		'idx': 7,
-		'in_filter': 1,
-		'label': 'Company',
-		'oldfieldname': 'company',
-		'oldfieldtype': 'Link',
-		'options': 'Company',
-		'permlevel': 0,
-		'search_index': 0
-	},
-
-	# DocField
-	{
-		'doctype': 'DocField',
-		'fieldname': 'fiscal_year',
-		'fieldtype': 'Select',
-		'idx': 8,
-		'in_filter': 1,
-		'label': 'Fiscal Year',
-		'oldfieldname': 'fiscal_year',
-		'oldfieldtype': 'Select',
-		'options': 'link:Fiscal Year',
-		'permlevel': 0,
-		'search_index': 0
-	},
-
-	# DocField
-	{
-		'doctype': 'DocField',
-		'fieldname': 'amended_from',
-		'fieldtype': 'Data',
-		'idx': 9,
-		'label': 'Amended From',
-		'permlevel': 1
-	},
-
-	# DocField
-	{
-		'doctype': 'DocField',
-		'fieldname': 'amendment_date',
-		'fieldtype': 'Date',
-		'idx': 10,
-		'label': 'Amendment Date',
-		'permlevel': 1
-	},
-
-	# DocField
-	{
-		'doctype': 'DocField',
-		'fieldtype': 'Section Break',
-		'idx': 11,
-		'label': 'Attachment',
-		'oldfieldtype': 'Section Break',
 		'permlevel': 0
 	},
 
 	# DocField
 	{
 		'doctype': 'DocField',
-		'fieldtype': 'HTML',
-		'idx': 12,
-		'label': 'Attachment HTML',
-		'oldfieldtype': 'HTML',
-		'options': 'The attachment must be a CSV(Comma Seperated Value) file',
-		'permlevel': 1
+		'fieldtype': 'Button',
+		'label': 'Download Template',
+		'permlevel': 0
 	},
 
 	# DocField
@@ -251,8 +148,8 @@
 		'fieldname': 'file_list',
 		'fieldtype': 'Text',
 		'hidden': 1,
-		'idx': 13,
 		'label': 'File List',
+		'no_copy': 1,
 		'oldfieldname': 'file_list',
 		'oldfieldtype': 'Text',
 		'permlevel': 1,