Civil Accounts Manual
(First Edition)

Issued by the Ministry of Finance,
Department of Expenditure,
Controller General of Accounts

CONTENTS

Preface
Abbreviations used in the Manual

paragraph

Chapter - 1
BROAD FEATURES OF THE DEPARTMENTALISED ACCOUNTING SYSTEM

General 1.1
Organisation of Controller General of Accounts 1.2
Main features embodied in the Scheme of Departmentalization of Accounts 1.3 to 1.6
Detailed procedure in regard to Banking arrangements for Pay and Accounts Offices 1.7
Categories of cheques and their use 1.8 to 1.11
Bank Drafts 1.12
Payment by authority 1.13
Payment Scrolls 1.15
Receipt Scrolls   1.16
Register of Valuables   1.17
Payment of loans and grants to State Governments 1.18 to 1.19
Exchequer Control   1.20
Classification of expenditure on departmentalised Accounts Organisation   1.21
Functions of the Controller General of Accounts incorporated in the Allocation of Business Rules—1961 Annexure 'A'
Memorandum of Instructions on banking and accounting arrangements issued by Reserve Bank of India Annexure 'B'
Procedure for indenting, safe custody, issue and accountal of cheque books Annexure 'C'

Chapter - 2
PRE-CHECK PAYMENT PROCEDURE IN THE CENTRAL CIVIL ACCOUNTS OFFICES

General 2.1
Tokens 2.2
Scrutiny and payment procedures 2.3
Issue of a fresh cheque in lieu of a lost one 2.4
Procedure for returning bills unpaged 2.5
Closing of the day's transactions 2.6
Form of Indemnity Bond Annexure 'A'

Chapter - 3
PROCEDURE TO BE FOLLOWED BY DRAWING AND DISBURSING OFFICERS AUTHORISED TO DRAW CHEQUE

Types of payments authorised   3.1
Quarterly assignment, receipt of bank scrolls etc. 3.2
Procedure for Payment 3.3
List of Payments and bank reconciliation 3.4
Action in the Pay and Accounts office 3.5
Cheque-books, Custody of, precautions   3.6

Chapter - 4
PRINCIPLES AND PROCEDURES OF PRE-CHECK AND POST CHECK TO BE CONDUCTED BY PAY AND ACCOUNTS OFFICES

Introductory 4.1
Check against provision of funds 4.2 to 4.3
Check of sanctions for expenditure   4.4
Check of classification in accounts   4.5 to 4.9
General checks to be exercised in respect of bills submitted for precheck 4.10
Check of Establishment pay bills 4.11
Check of pay fixation cases 4.12
Check of overtime claims 4.13
Check of Children's Education allowance/tuition fees 4.14
Check of Travelling Allowance bills 4.15
Check of Leave Travel concession bills 4.16
Check of Contingent bills 4.17 to 4.24
Cancellation of sub vouchers 4.25
Check of grants-in-aid bills   4.27
Check of Scholarship bills 4.28
Check of Loans and advances bills 4.29 to 4.30
Check of Contracts   4.31 to 4.33
Refunds of revenue   4.34
Miscellaneous bills 4.35
Post check of pre-checked bills 4.36
Post check of bills paid by cheque drawing D.D.Os. 4.37
Scrutiny of distribution of grants/appropriations, check of reappropriation orders and scrutiny with reference to the guidelines on "New Service"/"New Instrument of Service.  Appendix 'A'
Gist of instructions relating to types of expenditure to be treated as charged . Appendix 'B'
[Refer Correction Slip 37], [Refer Correction Slip 46]

CHAPTER - 5
COMPILATION, CONSOLIDATION OF ACCOUNTS, PREPARATION OF "LEDGER" AND SUMMARY OF BALANCES

Compilation of vouchers in the Accounting Section 5.1
Compilation of Receipts 5.2
Transfer Entries 5.3
Preparation of Departmental Classified Abstract 5.4 to 5.5
Consolidated Abstract   5.6
Rendition of monthly accounts by Pay and Accounts Offices 5.7
Statement of Central Transactions and Journal Entries 5.8
"Ledger" of balances under Debt, Deposit, Suspense and Remittance Heads 5.9
Computation of "Government Account" 5.10
Summary of Balances   5.11 to 5.12
Material for Statement No. 7 of Finance Accounts 5.13
Proforma Corrections 5.14
Illustrative example for preparation of "Summary of Balances" Annexure 'A'
Illustrative example for preparation of Prior Period  Adjustment Account Annexure B
[Refer Correction Slip 88]

CHAPTER - 6
MAINTENANCE OF PROVIDENT FUND ACCOUNTS

Chapter - 7
PROCEDURE FOR FINALISATION OF PENSION CASES

Procedure for payment of pensions by Postal Money Order Annexure 'A'
Forwarding letter of the Pension Payment Order to the Accountant General Annexure 'B'

Chapter—8
INTER-GOVERNMENTAL AND INTER-DEPARTMENTAL ADJUSTMENTS AND PROCEDURES FOR PAYMENT OF GRANTS/LOANS TO STATE GOVERNMENTS AND UNION TERRITORY GOVERNMENTS/ADMINISTRATIONS AND REPAYMENT BY THEM

General 8.1
Transactions arising in the accounts of the P. A. 0. which are adjustable by the Accounts Officer of another Government/ Department 8.2
Transactions arising in the books of Accounts Officers of other Government/Department which are adjustable in the books of the P.A.O. 8.3
Procedure for Settlement of March Transactions 8.4
Procedure for recovery of cost of work done by departmental officers functioning on P.W.D. System of account 8.5
Settlement of debits on account of supplies effected 8.10 to 8.11
Settlement of Customs duty 8.12
Supplies made by Medical Stores Depot 8.13
Settlement of transactions between Railways/Defence/P&T (other than Telecom. Wing) 8.14
Settlement of transactions between Central and State Govts. 8.17 to 8.21
Settlement of expenditure incurred on National Highways 8.22
Payment of loans/grants to Union Territory Governments 8.23
Procedure for drawal by Union Territory Administrations on Central Govt. Demands for Grants   8.24
Procedure for adjustment of items of Central civil receipts/ expenditure arising in the books of P & T and Defence Departments 8.25
Procedure for transmission of P.L.I. Lists Annexure 'A'
Detailed Procedure for Payment of loans/grants to State Governments by the Central Government Annexure 'B'

Chapter - 9
RECOVERIES, PAYMENTS AND ACCOUNTING FUNCTIONS ARISING IN RESPECT OF CENTRAL GOVERNMENT EMPLOYEES SENT ON FOREIGN SERVICE

Definition of Foreign Service   9.1
Leave Salary/Pension Contributions   9.2
Maintenance of Leave account, grant of leave and leave salary payments etc. while on foreign service 9.3
Pay and Accounts Office specified for the purpose 9.4
Maintenance of Register of recoveries of foreign service contributions 9.5
Heads of account for credit of leave salary/pension contributions 9.6
Discharge of liability in regard to earned leave/leave on average pay due to a Government Servant deputed to Public Sector Undertaking on his final absorption therein 9.7
Simplification of adjustment on account of allocation of leave salary and pensions between Departments of Central Government/Union Territory Governments and Administrations 9.8
Deputation of Central Government Officials to State Governments and vice-versa 9.9
Payment for Foreign Service contributions etc. during the period of foreign service out of India 9.10
Rates of monthly contribution for pensionary benefits payable during active foreign service Annexure A
[Refer Correction Slip 56], [Refer Correction Slip72]

Chapter - 10
LOANS, ADVANCES, GRANTS-IN-AID, GUARANTEES AND INVESTMENTS

General   10.1
Classification   10.2
Procedure for payment of loans and advances sanctioned by Central Government 10.3
Procedure for repayment of loans and advances and interest thereon 10.4
Loan Registers and Broadsheets 10.5
Utilisation Certificates 10.6
Long-term advances to Government servants 10.7
Short-term advances to Government servants 10.8
Grants-in-aid 10.9
Guarantees given by the Central Government 10.10
Investments 10.11
Permanent Advances   10.12
Loans and advances by Central Government—Interest rates and terms and conditions   Annexure 'A'

Chapter - 11
APPROPRIATION ACCOUNTS (CENTRAL CIVIL)

Chapter - 12
GUIDELINES FOR THE INTERNAL AUDIT OF THE DEPARTMENTAL ACCOUNTS ORGANISATIONS

Register showing particulars of paid vouchers furnished to Internal/Statutory Audit Annexure 'A'
Register showing settlement of Test Audit Notes issued by Statutory Audit Annexure 'B'

Chapter - 13
MISCELLANEOUS

Finance Accounts of Central Government 13.1
Procedure for payment of Arrear Claims 13.2
Procedure for receipt, repayment and accountal of Deposits 13.3
Procedure for transfer of balances between PAO of the same organisation 13.4
Budgetary and accounting arrangement consequent on reorganisation of Ministries 13.5
Opening of Letter of Credit by Public Sector Banks in favour of foreign suppliers 13.6
Personal Deposit Account 13.7
Investigation of cases by the Special Police Establishment— Procedure for production of records 13.8
Calculation of accounting charges for Proforma accounts of Departmental Commercial Undertakings 13.9
Accounting and reconciliation of transactions falling under P.W. Remittances, Forest Remittances etc. 13.10
Custody of duplicate keys, Promissory Notes etc. 13.11
Raising and pursuance of Objections 13.12
Review of Balances 13.13
Adjustment of Gain or Loss by Exchange 13.14
Acquisition of Stores on defered Payment terms 13.15
Period of retention of Accounts Records 13.16
Abstract of Register of receipts and payments relating to Personal Deposit Account Annexure 'A'
[Refer Correction Slip 54]

LIST OF FORMS

Correction Slips