E-Governance in Panchayati Raj

1
8 Formats, Guidelines and List of Codes
Presented by Local Fund Audit
Organisation Government of Orissa
2
Introduction(Need for Simplified Format)

• Devolution of Power to PRIs consequent upon 73rd
  Amendment of Constitution.
• Recommendations of 11th FC for proper control and
  better accountability.
• Easy adoption at the grass root level.
• Uniform maintenance of accounts all over the
  country.
• Facilitation of generation of Financial Report
  through information and communication technology.

3
Salient Feature of the Format

• Assigning digital code to every Head of A/c.
• The first 4 digit is the Major Head representing
  - function.
• Second 3 digit is the Minor Head representing
  Programme/ Unit of Exp.
• The third tier two digit is the object head
  representing object item of expenditure.
• Provision of opening of Separate object head as
  per requirement.
• Opening of the Minor Head 800- Other Receipts
  and 800- Other Expenditures as per requirement.

4

contd

• Distinct two digits Sub-Head for the Central
  Schemes.
• Provision for two digits Alpha numeric Sub-Head
  for States Scheme.
• Separate Minor Head for assigned revenue under
  the Receipt Major Head.
• Keeping up accounts in two parts
• a) Part-I- Transaction of Panchayat Funds
• b) Part-II- Provident fund, Loans etc.
  
  

5
Functions and Corresponding Major Head

• 29 functions classified under 23 Major Heads.
• 3 Additional Major Heads
• i) 2049- Interest Payments.
• ii) 2071- Pension and Other retirement
  Benefits.
• iii) 2515- Panchayat Raj Programmes.
• Separate Major Heads to record transactions
  under Loans, Pension and provident fund,
  Insurance and Pension fund deposit and advances
  and civil advances.
• Recording of unclassified transactions under
  8658-Suspense Accounts for the time being.

6
Accounting Procedure

• Accounts are maintained on Cash Basis.
• Period of Accounts is the Financial year.
• Daily transactions with proper Head of Account to
  be recorded in Cash Book with arrival of CB.
• Transfer of Every Day transactions to the
  Register of Receipts/ Register of Payments.
• Monthly reconciliation of Bank and Treasury
  Account.
• Maintenance of monthly Receipt and Payment
  accounts up to object head level.
• Maintenance of Consolidated abstract Account.
• Maintenance of Annual Accounts of receipts and
  payment.
• Annual reconciliation of receipt and expenditure
  figures with department etc.

7

Contd

• Preparation of Budget basing on the above
  classification.
• Maintenance of Registers like
• - Receivable and Payble
• - Movable and Immovable Property.
• - Inventory
• - Demand Collection and Balance
• Correction of Mistakes.

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