Para 4.3.21 — MSO (Audit)
Original Rule Text
4.3.21 There should normally be no balance under this head at the close of the year. In order to ensure this, the list of outstanding items should be reviewed monthly and the Divisional Officer addressed if the provisions of Article 185 of Account Code, Volume III, appear to have been ignored.
# Schedule of Debits to Stock
What This Means
There should normally be no outstanding balance under this account head at the end of the financial year. To ensure timely clearance, the list of outstanding items must be reviewed every month. If items remain outstanding due to non-compliance with the rules in Article 185 of Account Code Volume III, the Divisional Officer should be contacted.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1No balance should remain under this head at the close of the year
- 2Outstanding items must be reviewed monthly
- 3Non-compliance with Article 185 of Account Code Vol III should be flagged
- 4Divisional Officer must be addressed if provisions are being ignored
Practical Example
At the end of March, an auditor reviews the inter-divisional settlement account and finds Rs 2 lakh still outstanding from October. Since Article 185 requires timely clearance, the auditor writes to the Divisional Officer pointing out the six-month delay and requesting immediate action to clear the balance before year-end closing.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why should there be no balance at year-end?▼
How often should outstanding items be reviewed?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.