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Technical8 min read

How Remote Desktop Protocol Works – RDP Explained for Business Users

RDP sends only screen updates and keyboard/mouse inputs over the network — not the actual files or applications. This is why it works on slow connections and why your financial data never leaves the server.

Manish Agrawal

Founder & CEO, M A Global Network · Indore, India

Trusted by 1,000+ Businesses
Quick Answer

RDP sends only screen updates and keyboard/mouse inputs over the network — not the actual files or applications. This is why it works on slow connections and why your financial data never leaves the server.

What Remote Desktop Protocol Actually Does

Remote Desktop Protocol (RDP) is a communication protocol developed by Microsoft that allows one computer to display and control the desktop of another computer over a network connection. When you use RDP to access a cloud server running Tally, you are not running Tally on your device — you are viewing and controlling Tally running on the remote server, from your device.

The key technical detail: only two types of data travel between your device and the server. First, screen image data — what the server's display currently shows, transmitted to your device's screen. Second, input data — your keyboard keystrokes and mouse movements, transmitted from your device to the server. The Tally application, the Tally database, and all financial data remain entirely on the server at all times.

Why This Architecture Works on Slow Internet

Screen image updates and keyboard/mouse inputs are small data streams. Active Tally usage — typing voucher entries, navigating menus — requires approximately 100–300 Kbps. Opening a large balance sheet report (a screen full of numbers) generates a brief bandwidth burst of 500 Kbps to 1 Mbps that completes in under a second. Idle RDP sessions use under 50 Kbps.

Comparison: a single YouTube video streams at 2,500–8,000 Kbps. A 5-user Tally RDP session requires 500 Kbps to 2 Mbps total — less than one streaming video for all five users combined. Standard 10 Mbps business broadband is comfortable for 8–10 concurrent RDP users.

Why Your Data Never Leaves the Server

Because Tally runs on the server (not on your device), the Tally database — containing all your financial records — is stored on the server's NVMe SSD. Your device receives only a visual representation of what Tally is displaying. The database itself never travels over the internet to your device.

Practical implications:

  • If your laptop is stolen, there are no Tally files on it — no financial data exposure
  • If your device gets a virus, Tally data on the server is unaffected
  • If you close the RDP window accidentally, Tally continues running on the server — nothing is lost
  • Staff working from home never have client financial data on their personal devices

The Encryption Layer

RDP connections use TLS encryption for all transmitted data — screen images, keyboard inputs, and authentication. An interceptor on the network path between your device and the cloud server sees only encrypted data. This makes RDP safe to use on public WiFi, hotel internet, 4G mobile, and any other network — the screen content and your inputs are encrypted end-to-end.

RDP vs Other Remote Access Methods

MethodWhat Travels Over InternetData on Local DeviceBlocked by Firewalls
Cloud RDPScreen images + keystrokes (encrypted)NoneRarely blocked
VPN to local serverFull network trafficPossible data copiesOften blocked
Tally.NET browserTally data for specific functionsLimited cachingRarely blocked

Frequently Asked Questions

Does RDP quality degrade on poor internet connections?+

Yes — RDP adapts its quality to available bandwidth. On low bandwidth connections, screen updates may appear at lower frame rates or with temporarily reduced colour depth. Functionality is unaffected — you can still enter vouchers, navigate Tally, and generate reports. The visual quality adapts; the data integrity and functionality do not. On Indian data centre connections from India, most connections are fast enough for near-native quality.

Can I print from a cloud server via RDP?+

Yes. RDP supports printer redirection — printers connected to your local device appear in the server session. Tally can print directly to them. Alternatively, Tally's PDF export sends a PDF to your local device through the RDP clipboard, which you print from your local PDF reader. Both methods work; PDF export is more commonly used by accounting teams for report printing.

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