Para 10.4 — MSO (A&E)
Original Rule Text
10.4 In case of Remittance transactions, it should be seen that debits and credits are cleared either by receipt or payment in cash or by book adjustment under the relevant Service or Revenue heads of accounts or have been paired off by corresponding credits or debits within the same or in another accounts circle. An important part of this work is the scrutiny of balances from month to month in order to effect their early clearance and to determine the accuracy of the outstandings at the end of the year.
What This Means
For remittance transactions, the AG must verify that all debits and credits are properly cleared, either through cash settlement or by book adjustment under the correct revenue or service heads. An important part of this work is reviewing outstanding balances month by month to ensure early clearance and to confirm the accuracy of any remaining outstanding amounts at the year-end.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Remittance debits and credits must be cleared by cash or book adjustment
- 2Clearing must happen under the correct revenue or service head of accounts
- 3Transactions may be paired within the same or across different accounting circles
- 4Monthly scrutiny of outstanding balances is essential for early clearance
- 5Year-end outstanding amounts must be verified for accuracy
Practical Example
The AG's office reviews the remittance register for March and finds 45 unmatched debit entries from various treasuries. The team traces each entry: 30 are matched with credits from other treasuries that arrived in April (inter-circle remittances), 10 are cleared by book adjustment under the correct expenditure heads, and 5 remain unmatched. For these 5 items totaling Rs. 12 lakh, the AG initiates correspondence with the receiving treasuries to determine why acknowledgement has not been received.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
How are remittance transactions cleared?▼
Why is monthly scrutiny important for remittance balances?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.