Para 7.3.9 — MSO (Audit)
Original Rule Text
7.3.9 The Union Government (Civil) Report, as well as the Audit Reports (Civil) of certain State Governments in respect of which separate Reports (Commercial) and Reports (Revenue Receipts) are prepared do not contain audit observations pertaining to
(i) Government Companies (including deemed Government Companies under Section 619B of the Companies Act) and Corporations and
(ii) Direct and Indirect taxes of the Union Government, which are covered respectively in the Report (Commercial) and the Reports (Civil) - Revenue Receipts, dealing separately with Direct and Indirect Taxes levied by the Union Government. These, however, include observations relating to departmentally managed commercial and quasi-commercial undertakings, the relevant material being prepared as prescribed later in paragraphs 7.3.12 and 7.3.13 in respect of the Commercial Audit Reports. The synoptic statement containing the summarised financial results will, however, be prepared in Form MSO (Audit)-15.
What This Means
The Union Government (Civil) Audit Report and certain state reports do not include observations about Government Companies, Corporations, or Union tax revenues, which are covered in separate Commercial and Revenue Receipts reports. However, departmentally managed commercial undertakings are included, with their financial results summarized in the prescribed form MSO (Audit)-15.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Union Civil Report excludes Government Companies, Corporations, and tax revenues
- 2Government Companies and Corporations are covered in the Commercial Audit Report
- 3Direct and Indirect Tax observations go in separate Revenue Receipts reports
- 4Departmentally managed commercial undertakings ARE included in the Civil Report
- 5Summarized financial results use Form MSO (Audit)-15
Practical Example
While preparing the Union Government (Civil) Audit Report, the DG of Audit excludes observations about Hindustan Aeronautics Limited (a government company covered in the Commercial Report) and Customs duty evasion cases (covered in the Revenue Receipts Report). However, findings about the Government of India Press — a departmentally managed undertaking — are included, with its financial summary in Form MSO (Audit)-15.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Are government company audit findings included in the Civil Audit Report?▼
What about departmentally managed commercial undertakings?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.