Para 5.12 — CAM
Original Rule Text
5.12 COMPUTATION OF GOVERNMENT ACCOUNT
5.12.1 After the closure of accounts of every financial year, the progressive figures of the heads of account falling in the following categories will be closed to Government account and not carried over to the following year. This includes: (i)the heads of account under sectors A, B, C, D, G & H in the Consolidated Fund,
(ii) those under the Major Heads 8675-Deposits with Reserve Bank and
(iii) 8680-Miscellaneous Government Account falling under Sector 'L' in the Public Account. The total of the progressive figures under them will be worked out at the end of each year, to arrive at the balance under "Government Account", in the manner shown in Annexure "C". The closing balance under "Government Account" (CAM-42 format) will be carried over to the "Summary of Balances" statement, as described and shown through illustrative example in the subsequent paras.
5.13 SUMMARY OF BALANCES
5.13.1 The statement of "Summary of Balances" (CAM 43 format) is to be prepared by Pr.Accounts Office comprising of sector-wise balances, in the format indicated in APPENDIX 5.1. The statement will be used to enter the closing balance under "Government Account" and the closing balances under various debt, deposit, suspense and remittance heads which close to balance. The totals under the Debit and Credit sides of the statement should be equal.
5.13.2 The statement for the consolidated transactions of Government of India as a whole, is shown through sector wise balances by the office of CGA, through Statement Number- 5 of the Finance Accounts.
5.13.3 An illustration for preparing Sector-wise 'Ledger', "Government Account" and "Summary of Balances" is appended at APPENDIX 5.1.
5.14 SUBMISSION OF MATERIAL FOR STATEMENT No.5 OF FINANCE ACCOUNTS TO CGA
5.14.1 The PAOs should submit a copy of the 'Ledger' with details upto minor heads to the Principal Accounts Office and by the prescribed date, every year. The Principal Accounts Office will tally the figures in the 'Ledger', (after excluding those under P.S.B. Suspense) with that prepared by it from the SCT. After this verification, it will consolidate/total the figures for all its PAOs, and prepare a statement of " Summary of Balances". Each Principal Accounts Office will finally send one copy each of the Sector-wise 'Ledger', 'Government Account' and 'Summary of Balances' to the CGA office every year, by the prescribed date.
What This Means
This para explains how the Government Account is computed at the close of each financial year. Certain categories of heads - revenue, capital, loans, grants (Sectors A, B, C, D, G, H of Consolidated Fund), plus Major Heads 8675 (Deposits with Reserve Bank) and 8680 (Miscellaneous Government Account) - are closed to Government Account rather than carried forward as balances. The Principal Accounts Office computes the total progressive figures under these heads to arrive at the closing balance of the Government Account, which is then entered in the Summary of Balances statement. This is a key year-end exercise that feeds into the Union Government Finance Accounts.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1At year-end, progressive figures under revenue, capital, loans, and grants heads are closed to Government Account
- 2Major Heads 8675 and 8680 in Public Account also close to Government Account
- 3The closing balance of Government Account is computed using the format in Annexure 'C' of CAM
- 4The result feeds into the Summary of Balances (CAM 43 format) prepared by the Principal Accounts Office
Practical Example
At the close of March, the Principal Accounts Office of a Ministry begins year-end closing. The total expenditure under all revenue and capital heads (Sectors A-D), plus inter-state settlement (Sector G) and contingency fund (Sector H), along with the figures under Major Head 8675 and 8680, are computed and netted. The resulting figure becomes the closing balance of Government Account. This balance is entered in Form CAM-42 and carried into the Summary of Balances (CAM 43), which forms part of the Ministry's material submitted for the Union Government Finance Accounts.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What is 'Government Account' in this context?▼
Which heads close to Government Account?▼
What is the Summary of Balances?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.