Regulation 88 — Audit Regulations 2020
Original Rule Text
88. Forwarding of statement of bodies and authorities receiving assistance
Governments and Heads of Departments which sanction grants and/or loans to bodies or authorities shall furnish to the audit office by end of July every year a statement of such bodies and authorities to which grants and/or loans aggregating rupees ten lakh or more were paid during the preceding year indicating:
(a) the amount of assistance;
(b) the purpose for which the assistance was sanctioned; and
(c) the total expenditure of the body or authority.
What This Means
Governments and Heads of Departments that sanction grants or loans must send an annual statement to the audit office by the end of July each year. This statement must list all bodies and authorities that received grants or loans of Rs 10 lakh or more during the preceding year, along with the amount, purpose, and the total expenditure of each recipient body. This annual reporting helps the audit office identify which entities are auditable.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Annual statement must be furnished to audit office by end of July each year
- 2Covers bodies receiving grants/loans of Rs 10 lakh or more in the preceding year
- 3Statement must include: amount of assistance, purpose, and total expenditure of the body
- 4Both Governments and Heads of Departments have this obligation
- 5This helps the audit office maintain a comprehensive register of auditable entities
Practical Example
By July 31, 2026, the Ministry of Social Justice must send the AG (Audit) a list of all organizations that received Rs 10 lakh or more in grants/loans during FY 2025-26. The list includes entries like: 'National Trust for Welfare of Persons with Autism — Rs 15 crore grant — for disability rehabilitation — total expenditure Rs 18 crore.' The AG (Audit) uses this to identify which bodies meet the Section 14 thresholds for audit.
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 the threshold Rs 10 lakh when Section 14 requires Rs 25 lakh for audit?▼
What happens if a department fails to submit this annual statement?▼
Does this include grants from centrally sponsored schemes routed through states?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.