Para 3.23.27 — MSO (Audit)
Original Rule Text
3.23.27 For some payments of miscellaneous nature, such as remittance vouchers, cheques, discount vouchers, etc., nothing more than a minimum audit can be prescribed generally. This minimum consists in verifying that there is a sufficient voucher for the payment and that there is sufficient authority for making it.
- Chapter–24 Internal Audit
- Introduction
What This Means
For certain miscellaneous payments like remittance vouchers, cheques, and discount vouchers, only a minimum level of audit is required. This minimum audit consists of two checks: verifying that a proper voucher exists for the payment, and verifying that there is sufficient authority (sanction or legal basis) for making the payment. No detailed audit of these transactions is prescribed.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Miscellaneous payments receive only minimum audit
- 2Remittance vouchers, cheques, and discount vouchers fall in this category
- 3Two checks form the minimum audit: sufficient voucher and sufficient authority
- 4This is a pragmatic approach given the high volume and low risk of such transactions
- 5Detailed audit procedures are not prescribed for these items
Practical Example
A treasury processes 500 remittance vouchers in a month for inter-departmental fund transfers. The auditor does not examine each transaction in detail but verifies for a sample that each voucher is properly filled out and that the authority for the remittance (such as a departmental order or inter-governmental agreement) exists on record.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why is only minimum audit prescribed for these payments?▼
Can the auditor still raise objections on these payments?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.