Para 2.3.2 — MSO (Audit)
Original Rule Text
2.3.2 Audit of receipts embraces the audit of all tax and non-tax receipts of the Central and the State Governments and Union Territories. It also requires the Comptroller and Auditor General to satisfy himself that the rules and procedures in that behalf are designed to secure an effective check on the assessment, collection and proper allocation of revenues and are being duly observed and to make, for this purpose, such examination of the accounts as he thinks fit and report thereon.
What This Means
Audit of receipts covers all tax and non-tax revenues of the Central Government, State Governments, and Union Territories. The CAG must satisfy himself that the rules and procedures for assessing, collecting, and allocating revenue are designed to be effective and are actually being followed in practice. The CAG has the discretion to examine accounts to whatever extent he considers appropriate and report on his findings.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Covers all tax and non-tax receipts of Centre, States, and UTs
- 2CAG must check that revenue rules and procedures are well-designed
- 3Must verify that procedures are actually being followed in practice
- 4CAG has discretion on the extent of examination
- 5Covers assessment, collection, and proper allocation of revenues
Practical Example
The CAG's office decides to conduct a detailed audit of GST collection in a major state. They examine whether the assessment procedures prescribed under GST law are robust, test-check whether field offices are actually following these procedures, and verify that collected GST is properly allocated between the Centre and the State as per the sharing formula.
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 difference between tax and non-tax receipts?▼
What does 'proper allocation of revenues' mean?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.