Rule 75 — General Financial Rules 2017 (amended July 2024) - Rule 75
GFR 2017
Original Rule Text
Rule 75. Accounting Principles. The accounts of the Central Government shall be kept on cash basis. The transactions of the Government shall be recorded in the accounts as and when they actually take place.
What This Means
Rule 75 establishes that all Central Government accounts must be maintained on a cash basis. This means transactions are recorded when money is actually received or paid out, not when they are committed or accrued. This is a foundational accounting principle that ensures government accounts reflect actual cash flows rather than estimated or projected amounts.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Government accounts are maintained on cash basis
- 2Transactions recorded when they actually occur
- 3No accrual-based entries in government accounts