Regulation 31 — Audit Regulations 2020
Original Rule Text
31. Supply of specific documents and information to Audit
Without prejudice to the generality of other provisions in this regard in these Regulations, Government departments and the agency responsible for the compilation of accounts and financial statements shall inter alia supply the following to Audit:
(1) the reasons for any significant variations between the amounts of expenditure and the amounts of receipts of the year of accounts and the corresponding amounts for the preceding year;
(2) the statement of periodic book adjustments together with the copies of the general or special orders authorising such adjustments;
(3) the explanation for differences, if any, in the cash balance as per the books of accounts and the balance as per the books of the Reserve Bank of India;
(4) the explanation for any items that are prima facie unusual including adverse and insufficient balances ;
(5) the reasons for variations, if any, between the closing balances of the preceding year and the opening balances of the year of accounts in respect of heads of accounts that do not close to Government account;
(6) the confirmation of the outstanding amounts of loan and interest on loans; (7) the details of overdue loans and interest on loans;
(8) the explanation for and analysis of variations, if any, between the amounts as per the detailed accounts kept in the form of ledgers and the corresponding aggregate amounts as per the books of accounts and financial statements;
Regulations on Audit and Accounts 2020 28
(9) the statement of outstanding guarantees including the amounts (original amounts as well as the amounts outstanding at the end of the year); (10) the confirmation of the amounts of guarantees (original amounts as well as the amounts outstanding at the end of the year) from the parties on whose behalf the guarantees were issued; (11) the details of guarantees invoked during the year; (12) the amount of guarantee fee received and the amount in arrears; (13) the details of incomplete works costing more than the limit prescribed by the audit office from time to time; (14) year-wise analysis of the amounts outstanding under ‘Remittance’ and ‘Suspense’ heads of accounts; and (15) other relevant information as may be called for by the audit office.
# Broad framework of Audit of Receipts
What This Means
Government departments and the agency compiling accounts must supply specific categories of information to the audit office. This includes explanations for variations in expenditure and receipts compared to prior years, book adjustment statements, cash balance reconciliation, explanations for unusual items, loan details, guarantee information, incomplete works data, and analysis of outstanding suspense and remittance balances. This ensures auditors have the complete financial picture needed to certify government accounts.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 115 specific categories of documents/information must be supplied to Audit
- 2Includes year-on-year variation explanations, cash balance reconciliation, and book adjustments
- 3Loan confirmations, overdue loan details, and guarantee information are mandatory
- 4Outstanding suspense and remittance heads must be analyzed year-wise
- 5Details of incomplete works above a threshold must be provided
- 6Audit can requisition any other relevant information beyond the 15 listed items
Practical Example
While preparing the Finance Accounts of a State, the AG (A&E) finds that the cash balance as per government books differs from the RBI records by Rs 200 crore. Under Regulation 31(3), the State Finance Department must explain this discrepancy. Similarly, under 31(9), the department must provide a statement of all outstanding government guarantees, including original amounts and year-end balances, for audit verification.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Is the list of 15 items exhaustive or can audit ask for more?▼
Who is the 'agency responsible for compilation of accounts'?▼
Why are guarantee details so important for audit?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.