Para 3.4 — MSO (A&E)
Original Rule Text
3.4 Each Grant or Appropriation specified in the Schedule to an Appropriation Act is a single total sum appropriated to the purposes set out in it. The particulars of Grant in that Schedule are, however, based on the detailed estimate drawn up for the information of the Legislature. The distribution in these estimates between the various sub-heads and items thus gives broadly the purposes for which the Grant is made and the expenditure should be recorded against the Grant and the sub-head of the Grant under which provision is made for the service.
Note :- While the initial responsibility for the preparation of the Budget Estimates of ‘Voted’ and ‘Charged’ expenditure rests with the executive, the Accountant General has to see that the classification indicated in the estimates conforms to the provisions of the Constitution and is also in accordance with the forms of accounts prescribed by the President on the advice of the Comptroller & Auditor General of India. He may also make suggestions which may serve to promote clarity of accounts for the better information of the Legislature.
What This Means
Each Grant in the Appropriation Act is a single total sum appropriated for specified purposes. The detailed estimates presented to the Legislature break this total into sub-heads and items, which broadly indicate what the Grant is meant to fund. Expenditure must be recorded against both the Grant and the appropriate sub-head. While the executive prepares the estimates, the AG must ensure the classification follows constitutional provisions and prescribed accounting forms, and may suggest improvements for clarity.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Each Grant is a single total sum for specified purposes
- 2Detailed estimates break the Grant into sub-heads and items
- 3Sub-heads broadly define the purposes for which the Grant is made
- 4Expenditure must be recorded against the correct Grant and sub-head
- 5AG must verify classification follows constitutional provisions and prescribed forms
- 6AG may suggest classification improvements for better legislative information
Practical Example
The Agriculture Department's Grant of Rs 500 crore is broken into sub-heads: Crop Husbandry (Rs 200 cr), Soil Conservation (Rs 150 cr), and Agricultural Research (Rs 150 cr). A Rs 10 crore expenditure on seed distribution must be recorded under 'Crop Husbandry.' If the AG notices that 'Crop Husbandry' mixes subsidies with administrative costs, he may suggest separate sub-heads for the next year's estimates.
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 the relationship between a Grant and its sub-heads?▼
Can the AG change the classification in the estimates?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.