Efficient Challan and Cheque Data Capture Training at RTI Allahabad

1. Session 17 RTI,Allahabad

2. Learning Objective: At the end of session, the participants understand the method to capture Challans, paid cheques, compiled accounts from PAO/LOs/any others, sanction orders, utilisation certificates of GIAs, DC bills, alteration memo and transfer entries. RTI,Allahabad

3. Session Overview: As discussed in last session, similarly the details of challans can be captured in the system. Treasury sends all the paid cheques issued by them to AG. The cheques are booked under MH 8670. The system has provision to capture these cheques. Similarly the system can capture the details of accounts rendered by PAO (Pay and Accounts offices)/LO (Liaison Officers) that only send their compiled accounts to the AG. The DDOs who have initially drawn amounts on AC bills, send the DC bills with full details of supported documents, which can be captured in VLC system. After exhausting of Grants–in-aid sanctioned by State Government, Utilisation certificates are issued. GO/Sanction Number etc. can be captured in the VLC System RTI,Allahabad

4. Contd… Alteration memos submitted by Account rendering sources indicating the correction of figures are received in AG office. The AG office then proposes a Transfer Entry to effect the rectification of the discrepancies. Transfer Entry is a book adjustment between Heads of Account done at AG for incorporation in account and for correction of account. The adjustments done till March account is called TEs whereas the adjustment after March Account till March Final is called JEs. RTI,Allahabad

5. Course Structure: • Capture of details from challan. • Capture of data from paid cheques. • Capture compiled accounts from PAO/Others • Capture of DC bills/utilisation certificates of Institutional GIAs • Capture of sanction orders/utilisation of Central Grants-in-Aid • Dealing with alteration memo. • Transfer Entries. • Exercise 17.1 and Group discussion RTI,Allahabad

6. Capture of details from Challans Introduction This process captures the details of receipts from the challans and schedules. Again as for vouchers prior to this manual checking for availability of challans is done with the covering schedule. The processing of missing challans shall be similar to that for missing vouchers (as described under preceding section). RTI,Allahabad

7. Continued… Inputs ·Challans & schedules (Hard copy) ·Covering Schedules (Hard copy) Data stores used: ·Employee Sanction Order details · Sanction Order RTI,Allahabad

8. Continued… Validations Mandatory Validations: ·Head of account not as per List of Major and Minor heads of Accounts (LMM) ·Check digit validations for account classification fails – check digit is to trap data typing errors - entry not allowed till figures corrected. ·Challan number not unique for a treasury, sub treasury, major head, challan date – challan accepted after appending a system generated alphabet to the number to make it unique. · In case of Loan challans, the SLR number and Index number are validated against the Employee Sanction Order details / Sanction Order data stores respectively RTI,Allahabad

9. Continued… Processing ·The mandatory attributes of the challan include bundle number, treasury code, month of account, head of account, challan number and date, net challan amount and DDO code. · The other attributes to be captured include bank paid, remitter’s name, gross amount, net amount, adjusted amount, nature/purpose of challan. · In case of Loan challans / schedules, the flag is set and the related attributes like principal amount, interest amount, instalment number, SLR number etc are to be captured. · Provision will be made to allow a number of challans to be booked as one entry, in which case the physical number of challans constituting that amount is to be captured. A report to this effect shall also be provided. RTI,Allahabad

10. Continued… · For all challans an option shall be provided to the data entry operator for keeping the challans in error. ·Processing of missing or misclassified challans is the same as defined for a missing voucher. ·Provision for capturing challans in response to recoveries of excess payment shall be there, where in the corresponding payment head should also be captured. This is for the reverse situation of Deduct refund vouchers. ·After the completion of data entry of challans (relating to a particular receipt Major head and a treasury), a listing of missing challans can be generated. The listing would indicate challans entered and marked as physically missing as well as challan sequences missing. · Simultaneously a flag to the effect of completion of capturing the challans corresponding to a particular major head (for a treasury) is to be set in the Monthly progress monitoring parameters. RTI,Allahabad

11. Continued… Output ·Updated Challans · Updated Monthly progress monitoring parameters. ·Listing of Missing Challans. Capturing Challans.ppt RTI,Allahabad

12. Capture of Data from Paid cheques The treasuries send all the honoured cheques paid through it to the A.G.. The references to these cheques are available in vouchers for payment made. The cheques are to be booked under MH 8670 Cheques & Bills. The system shall provide for capturing these cheques. Monthly reconciliation of total figures of a treasury can be done if the figures are available in LoP for that treasury & month of account. RTI,Allahabad

13. Capture Compiled Accounts from PAOs / LOs / any others • This process captures the details from other account rendering sources like some PAO (Pay and Accounts Offices) and LO (Liaison Officers) that only send in their compiled accounts to the A.G. · These accounts are received in two parts ·The first part is Major Head wise (for Service Heads) / Minor Head wise (for DDR heads) Statement Capture Compiled Accounts-MH.ppt ·The second part are Classified Abstracts, which have breakup upto Tier 5/6 (Detail head/Objecthead) level. Compiled Accounts-Classified Abstracts.doc · The processing would be exactly similar to the process defined under Capture of Compiled Accounts under Public Works, Irrigation and Forest compilation module. RTI,Allahabad

14. Capture of DC Bills / Utilization Certificates of Institutional GIAs Introduction The DDO who has initially drawn amounts on AC bills sends the DC Bill, giving account for the advances drawn under the AC Bills, the expended amount and the details of the balance amount, if any, being remitted to the Government. The DC Bill has to be supported by the documents showing details of the reference AC Bill number on which amounts were drawn, the month when drawn, the G.O. sanctioning the amount along with the details of challan (showing the balance amount being remitted back). One DC bill can be used to settle amounts outstanding against any number of AC bills. RTI,Allahabad

15. Continued… After the Grants-In-Aid sanctioned by the State Government to the ancillary bodies / institutions is exhausted by expenditure, a Utilisation Certificate is issued by each ancillary body. It is sent to the concerned compilation section, showing details of their expenditure, which should, in principle, tally with all the Vouchers issued by the DTOs. This certificate contains details not only of the sanctioned and expended amounts of the Grants-In-Aid, but also the balance un-utilised amounts remitted back. This process captures details of DC bills and Utilisation Certificates submitted by the accounting sources. RTI,Allahabad

16. Continued… Inputs · Utilization Certificates (hard copy) · DC Bills (hard copy) Data Stores used · Voucher (Types: Grant-In-Aid, AC bill) Validations · For a DC bill, amounts settled against each AC bill should tally up to the total DC bill amount (in case of a single DC bill sent to adjust multiple AC bills) · All the specified AC bills are present. Vouchers with specified Grant-In-Aid GO number and date present. RTI,Allahabad

17. Continued… Processing of DC Bills · The details of DC bills are to be entered along with details of their corresponding AC Bills and amounts to be settled against each. · After the complete AC amount is adjusted, the voucher record for AC bill will be updated to reflect DCs settled. · The entries shall also made in Objection book & Adjustment register & AC/DC bill register after authorisation, to clear off the AC bill kept under objection. · If the corresponding AC bills are absent (in case of very old AC bills etc) entries are just accepted with a warning. RTI,Allahabad

18. Continued… Processing of Utilization Certificates · On receipt of the Utilization certificate for the Grant-In-Aid, the user can specify the GO number and date and the corresponding Grant-In-Aid voucher flag is updated. · Provision is made to capture remarks with some details of the utilization certificate. · If the corresponding Grant-In-Aid vouchers are absent (in case of very old GIA vouchers etc) entries are just accepted with a warning. Outputs · Updated DC Bill data store · Updated Voucher (types Grant-In-Aid, AC Bill) data store. Capturing DC Bills.ppt RTI,Allahabad

19. Capture Sanction Orders / Utilizations of Central Grants-In-Aid Introduction Grants-In-Aid are sanctioned by Ministries of Central Government to the State Government to meet expenditure, pertaining to that Ministry in the State. Ministries of the Central government advise the concerned Central PAO to release certain amounts of money as Grants-In-Aid to the State Government. This is done by means of a Sanction Letter/Government Order, which contains details of the Major Head that is affected by the Grant-In-Aid. RTI,Allahabad

20. Continued… The concerned Central PAO advises RBI, Nagpur to credit the account of the State to the tune of the Grant-In-Aid and debit the same amount from the account of the Ministry (Central PAO). RBI, Nagpur acts on the advice sent by the Central PAO, and adjusts the accounts of the concerned accounting circles. As a confirmation of this adjustment, a CM is sent to AC Section of the A.G. of the State that is receiving the Grant. Two TEs are proposed to transfer the Grant-In-Aid from MH 8658 Suspense, 110 CAO RBS to the Final Head of Account. This process captures the details of sanctions from Central Government ministries towards Grants-in-Aid given to the State government / Clearance Memo references / TE references and the corresponding Utilisation certificates received. RTI,Allahabad

21. Continued… Inputs · GO (Hard copy) · Clearance memoranda (Hard Copy) · TE (Hard copy) · Utilisation Certificates for the Central GIA (Hard copy) Data stores used: · Central GIA Validations · The GO number to be unique. RTI,Allahabad

22. Continued… Processing ·On receipt of GO for sanction of Grant in Aid from central government to the State, the sanction number and date are captured. · The transfer of funds to the State Government as per the sanction are captured from the Clearance memoranda & corresponding Transfer Entry proposed by the Account current section of the A.G.. · The data store is updated when Utilisation Certificates corresponding to a Grant-In-Aid are received. • The updations would be done in steps as and when each of the details are made available at the A.G.. Output · Updated Central GIA Capturing GIA Sanction Order.ppt RTI,Allahabad

23. Dealing with Alteration Memorandum Introduction Alteration Memorandum (AM) is a accounting statement submitted by the accounting sources along with the accounts, indicating the correction of figures as submitted in the accounts. It generally happens if the account sources identify a mistake/ misclassification/ omission of certain transactions in the subsequent months after the submission of their accounts. The compilation section at the A.G. then proposes a Transfer Entry after the accounts are compiled according to the accounts rendered, to effect the rectification of the discrepancies (if it corresponds to the current years transactions only). Capturing Alteration Memo.ppt RTI,Allahabad

24. Transfer Entries Proposing of Transfer Entry / Journal Entry Introduction A Transfer Entry is a book adjustment between heads of account done at A.G. for incorporation in account and for correction in account. After posting the Detail books & consolidated abstract for the heads, involved in TEs, will reflect the effect of TE. These transactions can be due to intimation of error rectification from external account rendering sources or can be originated at various A.G. sections. RTI,Allahabad

25. Continued… • The adjustments done before the closure of March Preliminary accounts are called TEs whereas those done between the March Preliminary and March Supplementary are called JEs. • After March Supplementary also, Proforma TEs can be raised. These do not have any accounting impact on the current or previous year’s accounts except that all reports referring to last year’s data will show last year’s data after rectification as per these Proforma TEs. • This function describes the processing for proposing of a Transfer Entry/ Journal Entry by a section and its modus for acceptance by a different section/sections. · For a Transfer Entry it would be possible to effect either the 2 heads directly across sections using the same TE and two authorisations, or using 2 TEs (proposed which moves items to suspense and responded which moves from suspense to relevant head) and each authorised by its relevant authority only. In the latter case the link between the two TEs is maintained through the TE General no. RTI,Allahabad

26. Continued… Processing Proposing a Transfer Entry · TE number is generated by the system from a running sequence of total number of TEs proposed by the section. · Details of the TE being proposed is entered by the originating section. · A/C head to be specified on TE should be to the level of detail as specified in the budget. The associated heads of account for any head can also be entered for both sides of a TE (for situations where one MH becomes functional minor head under a different MH of account) · System shall allow inclusion of heads, which were used before availability of current budget, to transfer amounts to the correct/ approved Heads of account as per current budget. RTI,Allahabad

27. Continued… · If it is an internal TE, the details of the proposing section, TE Number, Amount, Source head of account, destination head(s) of account and the transaction type are to be maintained. · If it is an external TE details of the TE Number, the source head of account, the amount being transferred, the destination head(s) of account, transaction type, description of the proposing section, month of account, month of booking, date of proposing are to be maintained. · For an internal TE which effects another section’s head as well, this proposed TE will be authorised by the proposing section authorities before being sent across to the receiving section. · A TE can effect any number of account heads simultaneously. RTI,Allahabad

28. Proposing a Transfer Entry in response to another Transfer Entry/ Suspense Slip ·To facilitate this process, each authorising authority will be able to see suspense slips & TEs entered by other sections pending action from his side. He can then raise a fresh responding TE. ·If a TE is being generated in response to another TE raised by originating section (which has raised suspense) or in response to a Suspense slip, the details from the first TE/Suspense slip can be directly copied on to the responding TE details. For all such response TEs entered, the authorisation by that section’s authority would update the TE general number of the contra TE as well. ·The details of the TE General Number (which is the running serial number of the number of TEs booked by the section) and the booking section id will be registered against the corresponding entries of originating TE / suspense slip in their respective data stores. RTI,Allahabad

29. Authorising a Transfer Entry ·At the receiving section this process has to be preceded by the manual process of receiving a copy of the TE proposed and the supporting voucher/schedule from the proposing section. It is to be authorised electronically by the concerned authority (AAO/AO/SAO) of the receiving section, depending on the monetary limits of the transaction) and is then ready for posting. ·To facilitate this process, each authorising authority will be able to see Suspense Slips and TEs booked by other sections pending action from his side. The actions could be either raising a fresh TE, or authorising the TEs booked by his section. ·For an external TE or an internal TE with both heads within the section in-charges purview, his authorisation alone is sufficient. Authorisation in such cases will generate the TE general Number and update it in the Transfer Entry data store for the TE record. RTI,Allahabad

30. Posting a Transfer Entry ·During posting, the details of TE reference number and dates to be updated against corresponding data stores as maintained in the TE updations data store. ·Hard copy of the TE is to be generated at both stages of authorisation. Outputs ·Hard copy of the proposed/booked TE. ·Updated Transfer Entry Data store. ·Updated Suspense slip data store Capturing Transfer Entry.ppt RTI,Allahabad