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Cantonment Board Account Rules, 2020

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MINISTRY OF DEFENCE
NOTIFICATION
New Delhi, the 3rd March, 2020
S.R.O.2(E).—Whereas the draft of the Cantonment Board Account Rules, 2017, which the Central Government
proposes to make, in exercise of the powers conferred by section 346 read with section 125 of the Cantonments Act,
2006 (41 of 2006), was published as required under sub section (1) of section 346 of the said Act in notification of the
Government of India in the Ministry of Defence vide S.R.O. 28(E), dated the 17th August, 2017 in Gazette of India,
Extraordinary Part – II, section 4, inviting objections and suggestions from all persons likely to be affected thereby till
the expiry of forty five days from the date of publication of the said notification;
And whereas, objections and suggestions received in respect of the said draft rules have been considered by the
Central Government;
Now, therefore, in exercise of the powers conferred by section 346 read with 125 of the Cantonment Act, 2006
(41 of 2006) and in supersession of the Cantonment Account Code, 1924, except as respects things done or omitted to be
done before such suppression, the Central Government hereby makes the following rules relating to the Cantonment
Board Account, namely:-
CHAPTER I
PRELIMINARY
1. Short title, extent and commencement.–(1) These rules may be called the Cantonment Board Account Rules,
2020.
(2) They shall extend to all cantonments in India.
(3) They shall come into force on the 1stday of April, 2020.
2. Definitions.– (1)In these rules, unless the context requires otherwise,–
(a) "Act" means the Cantonments Act, 2006 (41 of 2006);
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(b) “Accounting Software System” means the software utilized for the preparation and maintenance of
accounting records under the double entry based accrual method of accounting and which has been made
available or recommended as specified in sub-rule (4) of rule (7);
(c) "accrual" means recognition of revenues and expenses as they are earned or incurred (and not as money is
received or paid) and includes recognition of transactions relating to assets and liabilities as they occur
irrespective of the actual receipts or payments;
(d) "Accrual Basis of Accounting" is the method of accounting whereby revenues and expenses are identified
with specific periods of time, such as a month or year, and are recorded as earned or incurred, alongwith
acquired assets, without regard to the date of receipt or payment of cash, as distinguished from cash basis;
(e) "Appendix" means an Appendix appended to these rules;
(f) "Auditor" means the Principal Controller of Defence Accounts, the Command, or the Controller of
Defence Accounts concerned or any officer designated so by the Controller General of Defence Accounts,
and includes any other Chartered Accountant or firm of chartered accountants or special auditor authorized
by him in writing to perform the functions of an auditor; or any other person or authority appointed by the
Government or authorized under any law for the time being in force;
(g) "authorized officer" means the Chief Executive Officer or any other officer of the Board authorized by him
in writing to perform any act or duty under these rules;
(h) "bank" means a bank referred to in sub-section (1) of section 120 of the Act;
(i) "cantonment fund" means a general operating fund of a Board as referred to in sub-section (1) of section
119 of the Act which is used to account for all financial resources of the Board, except the cantonment
development fund or any special or trust funds as provided in the Act, which comprises the net balance of
the assets of the entity after deducting all its liabilities;
(j) “cantonment development fund” means the mandatory special fund referred to in sub-section (2) of section
119 of the Act;
(k) "cashier" means any employee of the Board working in the Accounts Department entrusted with the task
of receiving cash or cheques or making disbursements or payments at any office of the Board, where
books and records are maintained: Provided that where there is more than one such person, the person so
designated or the person to whom such duties have been entrusted by the Chief Executive Officer shall be
the cashier;
(l) “Controller General of Defence Accounts” means an officer who is the head of Defence Accounts
Department in the Ministry of Defence;
(m) “Form" means a Form annexed in Schedule VI to these rules;
(n) "Head of Accounts" shall mean the head of accounts department;
(o) "Head of Department" means an officer placed in charge of a department of the Board;
(p) “original works” means public works undertaken for all new constructions, and includes special repairs to
newly purchased or previously abandoned buildings or structures, which are required for bringing them
into use or which result in an increase in future benefits flowing from the asset;
(q) “maintenance works” means the works other than original works;
(r) “President" means the President of a Board;
(s) "Principal Controller of Defence Accounts, the Command" means the Principal Controller of Defence
Accounts having jurisdiction in respect of the cantonment concerned;
(t) "re-appropriation" means the transfer of funds from one budget head to another;
(u) "suspense account" means the head of account under which transaction of a temporary character which are
not to be adjusted forthwith in the accounts as final receipts or outlay or the correct classification of which
cannot be determined, are recorded;
(v) "temporary establishment" means an establishment employed for a limited period on a definite rate of pay
and paid on a monthly basis and does not include daily labour or outsourced personnel.
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(2) Words and expressions used and not defined in these rules but defined in the Act shall have the same
meanings as assigned to them in the Act.
CHAPTER II
GENERAL
3. Effect of close holidays.–Whenever in these rules, any action or proceeding is directed or allowed to be done
on a certain day or within a specified period, then, if the office is closed on that day or on the last day of the specified
period, the action or proceeding shall be deemed to have been done in due time, if it is done on the next working day.
4. Money payable to be rounded off to the nearest multiple of a rupee.-(1) All amounts paid shall be rounded
off to the nearest rupee; an amount of fifty paise or more shall be rounded off to the next higher rupee and while an
amount below fifty paise shall be rounded off to the immediately lower rupee:
Provided that such rounding off shall not apply to any receipt of revenue by the Board or demands against the
Board which are fixed by or under any law for the time being in force:
Provided further that where applicable, the rounding off of the fraction of a rupee shall be done only in respect
of the net amount payable or receivable on a bill and not in respect of the individual items of claims or adjustments in
bill.
(2) The balance arising upon all such amounts rounded off as per sub-rule (1), shall be transferred to a ledger
account in the Accounting Software System.
5. Language for maintaining books of account.–The books of account shall be maintained both in Hindi and in
English.
6. Use of prescribed registers and Forms.–No Board shall use the registers and Forms except as prescribed in
these rules.
7. Manner of maintaining accounts.–(1)All money transactions to which any member of a Board or any officer
or employee of the Board is a party in his official capacity, shall, immediately and without exception, be brought to
account in the books of the Board and all monies received, other than monies withdrawn from the bank to meet current
expenditure, shall without delay be deposited into the bank and shall be credited to the appropriate account and shall not
be utilized to meet current expenditure of the Board.
(2) All transactions of the Board shall be identified with funds, and separate accounting records maintained for each
such fund in the manner specified in rules 11 and 12.
(3) Every Board shall maintain its books of account using the double entry system of accounting and all accounts
shall be maintained as per the accrual method of accrual basis of accounting.
(4) The accounts shall be maintained, as far as may be, on computers using the Accounting Software System made
available or recommended by the Director General.
(5) The Chief Executive Officer shall be responsible to ensure that all the accounting and financial data are
available in a manner prescribed by these rules.
(6) If for any reason the computer system or the Accounting Software System on which the accounts are to be
maintained is non-functional or is unable to give the output as prescribed in these rules, the Chief Executive Officer shall
make arrangements to manually maintain the requisite records for such time as is considered necessary.
8. Corrections in accounts.–(1)The deletion or modification of entries already authorized and passed shall not be
permitted and in the event of any error being noticed, the same shall be rectified by passing rectification or reversal entry
through a journal voucher entry authorized by the Head of Accounts.
(2) All rectification or reversal entries shall be dated only as per the date of the authorization of such entry:
Provided that –
(a) if the financial year in regard to which such correction is being made is over but the financial
statements for the said year have not been finalized, the rectification entry shall be dated as on the
last day of the financial year to which it relates;
(b) if the financial year in regard to which such correction is being made is over and the financial
statements for the said year have been finalized and the accounts for the year closed then the
rectification, reversal, transfer entries or adjustments shall be made in the accounts of the subsequent
years in which the error is noticed by clearly identifying such entry as a prior period entry.
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9. Recognition of income.–Incomes that are not recognized in accordance with the provisions of Chapter VII shall
be recognized and recorded in accordance with the policy laid down and disclosed in the statement of accounting policies
of the Board.
10. Recognition of expenditure.–The expenditure that is not recognized in accordance with the provisions of
Chapter IX of these rules shall be recognized and recorded in accordance with the policy laid down and disclosed in the
statement of accounting policies of the Board.

11. Accounts of cantonment fund and cantonment development fund.– (1) No fund shall be maintained by the
Board except those authorized by the Act or these rules.
(2) The Financial Statements of the Board shall be prepared in accordance with the provisions of these rules and
shall contain separate parts in regard to the cantonment fund and cantonment development fund that may be created
under the Act.
(3) The Board shall maintain separate accounts in respect of following funds, namely :–
( a ) cantonment fund (as specified in sub-section (1) of section 119 of the Act); and
( b ) cantonment development fund (as specified in sub-section (2) of section 119 of the Act).
(4) Where any sum is received from the Central Government or the Government of any State by way of
contributions, grants, subsidies or by any other way for any specific purpose or for the implementation of any specific
scheme or for execution of any specific project, the Board shall maintain a separate set of accounts for each such specific
purpose, scheme or project, which shall be known as “xxx Scheme Cantonment development fund” or “xxx Project
Cantonment development fund”1.
(5) The sums received or set aside for a specific purpose, scheme or project under the cantonment development
fund, shall maintain,-
(a) separate accounts and vouchers for each such purpose, scheme or project which shall be prepared
separately;
(b) separate bank account for each such specific purpose, scheme or project and receipts and
remittances shall be made only to and from the bank account of that specific purpose, scheme or
project within the cantonment development fund.
(6) The net balance at the end of every accounting period, arising out of amounts received by or accrued to the
cantonment development fund less the amount of expenditure, refund or diminution in the cantonment development fund
shall be reflected in the balance sheet of the Board, giving where considered necessary, the details of the transactions of
such fund for specific scheme or project as a separate category under the cantonment development fund during the year
by way of a schedule to the balance sheet.
(7) Unless otherwise expressly provided by any other rule or notification issued under the Act, the procedure
prescribed in these rules shall to the extent possible, apply mutatis mutandis to the cantonment development fund in
regard to the conduct, recording and accounting of the transactions in respect of the funds for specific purpose, scheme or
project as a separate category.
12. Transactions in cantonment development fund.–(1)The transactions of the cantonment development fund
shall be in accordance with the specific directions and conditions, if any, laid down by the grantor or donor of the funds
for such special purpose, scheme or project:
Provided that no such direction or condition shall have the effect of overruling the provisions of this sub-rule unless
specifically approved by the Central Government.
(2) All expenses incurred for or out of the cantonment development fund for the specific purpose, scheme or project
for which a separate account is maintained within the cantonment development fund, shall be treated as part of the
expenses of the respective specific purpose, scheme or project account or of the cantonment development fund and all
incomes shall be credited to the corresponding cantonment development fund in the manner provided in section 120 of
the Act.
(3) In the absence of any direction to the contrary by the donor or grantor of any funds for any specific purpose
scheme or project within the cantonment development fund and upon the objects for which the grant-in-aid was received
thereunder being achieved, the unspent balance, if any, shall be transferred to the cantonment fund with approval of the
Board.

1
The name of the Scheme or Project shall be inserted at “XXX”
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13. Separation of revenue and account branches.–(1) The revenue and accounts branches of every Board shall be
kept distinct from each other under separate officials and such officials shall be designated as the Head of Revenue
Department and Head of Accounts Department, respectively.
(2) All sums due to the Board shall be received by the such designated officers as specified under sub-rule (1) and
in no case shall the same person compile the accounts and superintend the collection of taxes and other revenue.
CHAPTER III
ACCOUNT CODE AND CHART OF ACCOUNTS
14. Basic components of chart of accounts.–(1) The Chart of Accounts specifies the accounting heads under
which the accounts of the Board shall be maintained and the Chart of Accounts provides the logical structure for
budgeting, recording and reporting financial transactions of the Board.
(2) The codification structure of the Chart of Accounts for the Board is based on the following three basic
components which can provide meaningful information in respect of budgets and financial transactions of the Board,
namely:–
(a) functions,
(b) objects; and
(c) funds.
(3) The three components referred to in sub-rule (2) are described as under:-
(a) function: enables classification of the financial data as per various functions or services performed
or carried out by the Board, such as providing for health services, sanitation, water supply and
roads;
(b) object: enables recording and classification as per the nature of income or expenditure, assets and
liabilities of the Board and indicates name and the classification for object code is based upon the
objective of the expenditure or source of revenue;
(c) funds: enables recording and classification of the information with regard to funds which shall
result in accounting for funds as if they are separate entities, in particular showing clearly the
earmarked securities, incomes and expenses of the fund and shall be reflected in the main balance
sheet of the Board.
15. Manner of maintenance of Funds.–The Accounts of each fund shall be maintained as per the provisions of
rules 11 and 12.
16. Codification structure.–The Accounting Software System comprises 11 digit code which shall be assigned to
each such financial item comprising a three digit function code and an object code comprising primary account code of
four digits and a secondary account code of four digitsand the detailed codification structure is prescribed in Schedules I
and II which provide the Chart of Accounts- function codes and object codes, respectively.
17. Function code.–(1) All functions carried out by a Board have been classified into ten broad categories called
the ‘Basic Functions’ and these are numbered from 0 to 9 and the first digit of the function code stands for the basic
function and the Table of the Basic Function Codes is as under, namely:-

Basic Function Code Description

0 Total of All Basic Functions i.e. where functional classification is not considered.

1 General Administration
2 Taxes and Revenue
3 Public Works
4 Water Supply and Lighting
5 Sanitation and Conservancy
6 Markets and Allied Activities
7 Public Safety, Conveniences and Recreation
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8 Health and Veterinary Services

9 Education
(2) Under each Basic Function Code, further categorization is made into ‘Main Functions’ and the main functions
are represented by the second digit of the function code.
(3) A Sub-Function Code is assigned to such main functions to further identify a sub-group or cost centre and the
sub-functions are represented by the third digit of the function code.
(4) The first two digits comprising the basic function and the main function are mandatory while the third digit
comprising the sub-function is optional and the details of the function codes are given in Schedule I.
Example– Under the Basic Function Code ‘8 ‘relating to Health and Veterinary Services, Main Function
Code '1 'shall represent Hospital Services and in the absence of any Sub-Function Code, the composite Function
Code for Hospital Services will be 8-1-0.
18. Object Code.–(1) Primary Account Code:
(a) Object Class Code:
The first digit stands for the Object Class Code and this digit indicates the basic classification into
income, expenditure, liability and asset, as under:
̵ ͳ ̵ shall denote an account relating to ‘Revenue Receipts';
̵ ʹ ̵ shall denote an account relating to ‘Revenue Expenditure';
̵ ͵ ̵ shall denote an account relating to ‘Liabilities'; and
̵ Ͷ ̵ shall denote an account relating to ‘Assets'.
(b) Major Head Code:
The Second digit is the Major Head Code, which indicates the nature or type of the account within
the Object Class Code.
Example:– Under the object class code 1 which stands for Revenue, the Major Head Code 1 shall
represent All Tax Revenue related accounts. Similarly, under the Object Class Code 2 which
represents Expenditure, the Major Head Code 1 shall represent Establishment Expenses.
(c) Minor Head Code:
The third digit is the Minor Head Code, which is a subset of the Major Head Code and provides
further details of transactions within the Major Head Code.
Example:– Under the composite Major Head Code 1-1 relating to `Tax Revenue', the Minor Head
Code 1 shall denote `Consolidated Tax on Property'.
(d) Detailed Head Code:
The fourth digit is the Detailed Head Code, which is a subset of the Minor Head Code and shall
specify the components of the Minor Head in further detail.
Example:– Under the composite Minor Head Code of Account 1-1-1 reflecting `Tax Revenues
from Consolidated Tax on Property, the Detailed Head Code 1 shall represent `Tax on Annual
Values of Land and Buildings'. The Account Code for this head will be 1-1-1-1.
(2) Secondary Account Code:
Digits in positions 5 to 8 further specify the sub-components of the Detailed Head and the Board may
individually determine the Secondary Account Heads as per its requirements.
Example– If a Board has purchased books for its Library from various suppliers, then the account code for
every supplier shall be defined as follows–
Function Code
9 – Education (Basic Function Code)
4 – Libraries (Main Function Code)
0 – All (Sub-Function Code)
Function Code= 940
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Object Code
3– Liability (Object Class)
9 – Other Liabilities (Major Head)
2 – Creditors Liabilities (Minor Head)
0 – All (Detailed Head)
0001 – XYZ Book Company
0002 – ABC Publishing House.
(This list can go up to 9999 vendors)
Object Code = 39200001
Thus Account Code for XYZ Book Company will be 94039200001
(The last four digits of the Account Code would be system generated)
19. General instructions for usage of Chart of Accounts.–(1) The digit 0 shall always be reserved for "Total" of
the function or object and where further detailing into the next level is not desired, not possible or not clearly defined, the
entry in the last digit to be considered as “0”.
(2) The digit ‘9’ has been reserved as a residuary head and items which do not fall in categories 1 to 8 are
accommodated under digit 9.
(a) The digit ‘9’ in the 2nd position of function code shall always be reserved for the residual head
"Others" within the Main Function.
(b) The digit ‘9’ in the 2nd, 3rd and 4th position of the object code shall always be reserved for the
residual head "Others" within the Major Head, Minor Head and Detailed Head in the Primary
Account Code.
Explanation 1. - For the purposes of function codes,–
(i) a “0” in the 2nd digit of the Function Code shall give the summation of the 9 basic functions;
(ii) Where sub-functions are not to be used or identified, a “0” in the 3 rd digit (after the basic
function and main function) shall give the summation of the “Basic and Main Functions”
Explanation 2.-For the purposes of object code,-
(i) a digit 0 in 4th position shall give a summation of the minor head;
(ii) a digit 0 in 3rd position shall give a summation of the major head.
(3) The digits in the Secondary Account Code may be used by the Board in accordance with the local requirements
after due authorization from the Director General.
(4) A Board, having some activity not falling within the codes prescribed, may create an item in the Primary
Account Code only after due authorization from the Director General.
(5) At the beginning of each year, the Head of Accounts shall identify and list the object codes to be utilized by the
Board and where he proposes any addition to the existing object codes, the Chief Executive Officer shall seek approval
from the Director General for using such additional or new object code and ledger accounts for only approved account
codes shall be opened.
CHAPTER IV
BUDGET
20. Manner of preparation of budget estimates.– (1) The budget of the Board shall be prepared taking into
consideration the amounts actually received and paid and not on the basis of accrued income or expenditure incurred and
the amount mentioned against various items of expenditure shall act as an authorization for actual payments up to the
extent of the budgetary provision for the said expense as sanctioned by the competent authority.
(2) The budget shall be prepared on a cash basis only.
21. Timeframe for budget preparation process.–(1) The time limit for preparation and sanction of budget shall be
as given in the following table, namely:-
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Activity for preparation of budget for the next financial year and revised Due date within the
budget for the current financial year financial year

Preparation of the Budget by the Head of Accounts for submission to the Chief 30thApril
Executive Officer

Presentation of the Budget by the Chief Executive Officer to the Board 15thMay

Sanction of the Budget, if it is not a deficit Budget, by the Board. 15thJune

Submission of the deficit Budget by the Board to the Principal Director 15thJune
Principal Director to forward the deficit Budget to the General Officer- 31stJuly
Commanding-in Chief along with his recommendations

Sanction of the deficit Budget by the General Officer-Commanding–in Chief 30thSeptember

along with his recommendations to the Government, through the Director
General, for sanction of grant-in-aid.

Note:
1. In case a Board fails to submit budget estimates within 15th June to the Principal Director, then it may not qualify for
sanction of grant-in-aid unless the Principal Director or General Officer Commanding–in-Chief agrees to condone the
delay.
2. If the budget is not sanctioned by General Officer Commanding–in-Chief by 30th September, it shall be deemed to be
sanctioned and forwarded by Principal Director for sanction of grant-in-aid by the Central Government.

(2) The budget so prepared shall incorporate the particulars of all items of receipts and payments, whether capital or
revenue in nature or being income or expenditure, of the Board, giving particulars of the following main principles
namely:–
(a) the actuals for the period from the 1st day of April to the 30th day of June of the current year;
(b) an estimate of the receipts and payments for the remaining portion of the current year; and
(c) an estimate of the receipts and payments during the ensuing year and an estimate of the closing balance in the
cantonment fund at the end of the current year.
(3) The budget shall clearly indicate any proposals for change in taxes, fees or other charges to be levied for the
ensuing year and the manner in which the said proposals have been given effect to in drawing up the budget.
(4) The budget shall indicate the recovery of outstanding and arrears demand of each department during the current
year.
(5) The budget shall also indicate the amount of current demand realizable, but likely to remain unrealized during
the current year and a note shall be appended explaining reasons for non-realization of current demand, if any.
(6) In drawing up the estimates of receipts and payments, further break-up as specified in Form 1S shall be
furnished, indicating separately the receipts due to and amounts payable by the Board, the amount out of such sum which
is expected to be realized or paid during the period as specified in clauses (a), (b) and (c) of sub-rule (2) of rule 21 and
information shall also be furnished in the said Form in regard to amounts expected to be received or paid during the
period as mentioned in clauses (a), (b) and (c) of sub-rule (2) of rule 21which relate to a prior or subsequent period.
(7) Notwithstanding provisions of sub-rule (6), all payments which are expected to be made during the year for
which the budget is being prepared shall be ascertained and provided for.
22. Role of the Heads of Department in preparation of budget estimates.– (1)The budget in Form 1S shall be
prepared by the Heads of Department of the Board which shall include the receipts and payments, of capital and revenue
nature, of the said departments.
(2) The budget estimates so prepared shall give the estimates up to Detailed Head level.
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23. Stores estimates.–The Board shall prepare for each department, such as public works, hospitals and hygiene,
conservancy, lighting, etc., an estimate in the Form 2M, for the stores required during the ensuing financial year and this
estimate shall be accompanied by a statement showing how the estimated requirements have been arrived at.
24. Functions of the Chief Executive Officer.–(1) The budget of each department shall be consolidated by the
Chief Executive Officer to draw up the consolidated budget of the Board in Form 1S and the Chief Executive Officer
shall also prepare a consolidated report, bringing out clearly any abnormal receipts or payments that are deviating from
the normal trend and the report shall include explanatory notes in regard to such items.
(2) Such consolidated budget of the Board (along with such other subsidiary or other statements required by any
law for the time being in force shall be furnished by the Chief Executive Officer to the Board.
(3) Where there is no budgetary deficit, both in the revised estimates for the current financial year and the original
estimates for the next financial year, the Board shall sanction the budget, with such modifications as considered
necessary.
(4) In case the budget indicates a deficit either in the current or next financial year, upon approval by the Board, the
budget proposals shall be forwarded to the Principal Director and the Principal Director shall examine the budget
estimates submitted to him and after being duly satisfied as to the appropriateness of it, forward it to the General Officer
Commanding-in-Chief for approval with his recommendations.
(5) The consolidated budget estimates shall be accompanied by the following appendices–
Form
Particulars
No.
Annexure A: Statement of original works 3M
Annexure B: Statement of investments 4M
Annexure C: Statement of cash and cash equivalents 5S
Annexure D: Statement of Fund Balances (Including Cantonment Fund and Cantonment development 6M
fund with its component parts)
(6) The budget estimate in Form 1S shall also be accompanied by Budget Variance Report (BVR) as specified in
rule 34 and Financial Statements as stated in Chapter XXIV.
25. Methodology to be followed in preparation of budget estimates.–(1) The methodology to be followed in
preparation of budget estimates is given in the following Table, namely:–
TABLE
Particulars Methodology
Estimate of receipts The estimates shall be based upon a comparison of the last three years'
receipts. Where fluctuations in the receipts are severe enough for three
years’ averages to be considered misleading, provision for a rise or fall,
as the case may be, may be made in the budget estimates, with suitable
explanatory notes for the same being added for each important variation.
Estimate of fixed income The estimates shall be based upon the actual demands inclusive of any
arrears due, which are likely to be realised.
Estimate of expenditure on fixed The estimates of expenditure on fixed establishments and on fixed
establishments and on fixed monthly monthly recurring charges on account of rent, allowances, etc., shall be
recurring charges made according to the actual sanctioned scale, irrespective of savings
and shall provide for the gross sanctioned pay without deductions of any
kind. This estimate shall include payments to be made to service
providers engaged to render services in place of vacancies existing in a
previously sanctioned scale of establishment. In the case of progressive
salaries, the rates of pay which will be due on 1st September of the year
to which the budget relates shall be adopted.
Contingent expenditure The estimates shall be based upon the average actual expenditure of the
past three years, exclusive of any special items of expenditure that may
have been incurred during those years and inclusive of any new items of
expenditure likely to arise in the budget year.
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(2) All existing liabilities, which cannot be liquidated before the commencement of the year for which the budget is
being prepared, shall be ascertained and provided for.
(3) The proposals for additional taxes, fees, etc., shall be such as to cover the whole of the anticipated expenditure
to leave the minimum balance specified in rule 28.
(4) Opening and closing balances of invested funds of the Board shall be shown separately and the invested funds
of the Board shall not be shown in the opening and closing balances and the details thereof shall be stated in the Form
4M appended to the budget estimates (Form 1S) according to face values.
(5) The balances of the cantonment fund and cantonment development fund including its component parts shall not
be included in the opening and closing balances of the budget and the details relevant to the said funds are to be
presented in the Form 6M.
26. Sanction of budget estimates.–(1) The Board shall sanction the budget estimates with such modifications as
considered necessary, where there is no budgetary deficit, both in the revised estimates for the current financial year and
the original estimates for the next financial year.
(2.) The Board shall submit a copy of the sanctioned budget to the Principal Director.
(3.) Where the budget shows a deficit, the General Officer Commanding-in-Chief, the Command, may sanction the
budget estimates in consultation with the Principal Director, with such modifications as may be considered necessary:
Provided that if the sanctioned budget estimates provide for a grant-in-aid from the Central Government, he shall,
through the Director General, forward it with his recommendations to the Central Government for release of the grant-in-
aid.
27. Communication of budgetary grants.–(1) Where the budget is sanctioned by the General Officer
Commanding-in-Chief, it shall be communicated to the Board through the Principal Director at the earliest possible time.
(2) After the budget has been passed, the details in regard to the budgetary sanction received in respect of each of
the requests made by the Department shall be communicated to the respective Departments.
(3) When any grant-in-aid is sanctioned by the Central Government to the Board, the Director General shall-
(a) immediately communicate to the General Officer Commanding-in-Chief, the Command, the sanctioned
amount of the grant-in-aid;
(b) allot the grant to the Board at the earliest.
28. Minimum balance.–The budget estimates shall be made so as to provide for a closing balance of not less than
ten per cent. of the estimated expenditure:
Provided that any expenditure that is to be met out of the cantonment development fund shall not be taken into
account.
29. Prohibition of expenditure without budgetary sanction.–A Board shall not incur expenditure for which no
provision exists, under any of the heads of the budget estimate, or in excess of the amount provided under any head,
without making provision for the excess by re-appropriation from some other head under which savings are ascertained
or anticipated as provided in rule 33:
Provided that the expenditure incurred under emergency provisions may be regulated after it incurred subject to
the condition that such regulation shall be done within a period of one month from the date of incurring such expenditure.
30. Consideration of estimate and purchase of stores.–(1) The annual estimate for stores shall be considered and
passed by the Board along with the budget.
( 2) All procurements of stores and services shall be made in accordance with the procedure laid down in Chapter 6
of the General Financial Rules, 2017 (as amended from time to time) subject to the modifications and guidelines issued
by Director General.
31. Supplementary estimates.– If any stores are required, which are not included in the sanctioned estimate, or are
required in excess of the amount or quantity entered therein, or which cannot be obtained at the rates approved by the
Board, a supplementary estimate shall be submitted for the special sanction of the Board:
Provided that in cases of emergency, the President may sanction such estimate and lay it before the Board for
approval at the next meeting.
32. Payments from cantonment fund or cantonment development fund.– No money shall be paid from the
cantonment fund or cantonment development fund unless the expenditure is–
(a) provided for in the original or revised budget estimate as sanctioned; or
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(b) sanctioned by the General Officer Commanding-in-Chief, the Command; or

(c) incurred in compliance of any order passed under section 54 of the Act.
33. Re-appropriation.–(1) Where considered necessary, a proposal for re-appropriation of budgetary allocations
shall be prepared in Form 7M by the Head of Accounts and in proposing such transfers, all anticipated transactions till
the close of the financial year shall, as far as possible, be taken into account and such re-appropriation statement shall be
accompanied by a certificate to the effect that the amounts in question are not being re-appropriated to meet a new item
of recurring expenditure not provided for in the budget estimate of the year and the proposal in Form 7M shall be
forwarded to the Chief Executive Officer.
(2) The Chief Executive Officer shall examine the proposal in Form 7M and take action as follows:–
(a) if it involves a re-appropriation of a sum within the same Minor Head Code without affecting the
Basic Function Codes, the Chief Executive Officer may sanction the re-appropriation;
(b) if it involves a re-appropriation of a sum within the same Basic Function, the Chief Executive
Officer shall place it before the Board for sanction along with his recommendations;
(c) if it involves a re-appropriation of a sum from one basic function to another basic function, the
Chief Executive Officer may recommend such re-appropriation and forward it through the Board
to the General Officer Commanding-in-Chief, the Command, along with its recommendation and
comments.
(3) Upon the Chief Executive Officer, the Board or the General Officer Commanding-in-Chief, the Command, as
the case may be, approving the said proposal for budgetary re-appropriation, the Chief Executive Officer shall direct
Head of Accounts to record the particulars of the approval in Form 8S and the said Form 8S shall then be placed for
authorization of the Chief Executive Officer and upon such authorization being received, Form 8S shall be forwarded by
the Head of Accounts to the accountant for recording the re-appropriation in the Accounting Software System.
34. Budget comparison.– The Board shall prepare an annual Budget Variance Report (BVR) at the close of the
financial year, identifying the variance between the budgeted figures and the actual incomes and expenditures, derived
from the receipts and payments statement and forward the same to the GOC-in-C, the Command alongwith reasons for
variations and the Budget Variance Report shall be analyzed and forwarded as specified in rule 24:
Provided that monthly Budget Variance Report alongwith income and expenditure report shall be placed on the
Table of the Board in the ordinary or special Board meetings, as the case may be.
35. Inevitable payments.– In the absence of any provision in the budget estimates or the temporary exhaustion of
the budget allotment under any head shall not operate to prevent payment or refund of any money due by a Board, or to
prevent record of any actual payment under its proper head of account and such claims shall however be met by way of
re-appropriation or by re-casting the budget estimate in accordance with the provisions of rules 31 and 33.

CHAPTER V
BANK ACCOUNTS
36. Bank accounts of Board.– (1) The Board shall maintain a bank account with a bank operating within its
jurisdiction or in an adjoining area.
(2) The Board shall maintain separate bank accounts in the following cases, namely:–
(a) for each fund as required to be maintained under the Act or these rules;
(b) for each earmarked grant or where so directed by the grantor or the Central Government.
37. Direct payment into or credit to bank account.–(1) The Boards may issue standing instructions or enter into
arrangements with their bankers for–
(a) collection of deposits from authorized collection centers at a specified time;
(b) salary credit for employees;
(c) such other items of receipts or payments as may be determined by the Board from time to time.
(2) A Board may frame a procedure and make arrangements for direct payment or credit into its bank account in the
cases mentioned in sub rule (1) and the said procedure and arrangements may be decided by the Board in consultation
with the concerned bank.
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(3) No money shall be paid from the cantonment fund or cantonment development fund except by cheque or
through the banking system in other non-cash form such as through Electronic Clearing System (ECS), standing
instructions issued to the bank, etc., however, payment in cash, where unavoidable, shall be made for a sum not
exceeding rupees twenty thousand, and may be made only for purposes such as payment of permanent advance to
employees or for such other purposes as may be specified by the Board.
38. Signatories to bank account.–(1) The Chief Executive Officer shall be the authorized signatory for operation
of bank account of the Board or any fund, including for signing of cheques or for issuance of instructions to the bank:
Provided that the Chief Executive Officer may at his sole discretion delegate authority in writing to the Head of
Accounts to sign cheques for an amount not exceeding twenty five thousand rupees in each case of payment:
Provided further that in all cases where the value of payment of any cheque exceeds ten lakh rupees, each such
cheque shall be signed by the Head of Accounts as well as by the Chief Executive Officer.
(2) In event of the absence of the Chief Executive Officer, the President may sign the cheques in place of the Chief
Executive Officer.
(3) In effecting payment under sub-rule (2) of rule 37, the Head of Accounts or the Chief Executive Officer or the
President, as the case may be, shall confirm that the authority under this rule is being used after having verified that
all the requirements of these rules have been complied with.
CHAPTER VI
PART A
ACCOUNTING BOOKS AND RECORDS
39. Maintenance of books of account.–(1)The Board shall maintain the books of account specified herein, in order
to record correctly the transactions of each financial year.
(2) The books of account shall normally be maintained in the Accounting Software System and certain other books
and records shall be maintained manually as specified in column (4) of Schedule III.
(3) Where the Accounting Software System is subsequently upgraded or supplemented in a suitable manner, the
Director General may direct any of the books and records mentioned in Schedule III as maintained manually to be also
maintained on the Accounting Software System.
40. General instructions for entry in books.–(1) The books of account specified in Schedule III shall be
maintained separately for each financial year or in continuity over a period as specified in column (7) and in the manner
specified in column (4) and shall be maintained and validated as per the time limit specified in column (5)and shall be
verified by the authorities specified in column (8).
(2) All entries in general cash book, bank book and journal shall be made daily in chronological order.
41. General cash book.–(1) The general cash book shall be maintained in Form 9S and the entries for recording of
receipt of cash shall be entered in column (7)and entries for recording payment in column (8)of Form 9S.
(2) The cash book shall record each transaction involving receipts or payments of cash, including withdrawals of
cash from and deposits of cash into bank at the time of receipt or payment, by the cashier.
(3) Every cash book shall be closed and balanced daily under the signature of the cashier clearly indicating the
balance as at the end of the day.
(4) The Chief Executive Officer shall, by a surprise check on at least two days in each month, personally verify the
actual cash balance with the balance shown in the General Cash Book and record a signed and dated certificate of
verification below the last entry in the General Cash Book, after taking a print out of the relevant page of the General
Cash Book.
(5) Each of the signed page certifying surprise check of cash shall be pasted in a register, called ‘surprise cash
check register’ having serially numbered pages and kept in the custody of cashier.
42. General bank book.– (1) The bank book shall be maintained in Form 10S and separate bank book shall be
maintained in regard to every bank account and every bank book shall be closed and balanced daily under the signature
of the cashier.
(2) The bank book shall record each transaction involving receipts and payments by cheque, drafts, pay-orders,
instructions, Electronic Clearing System (ECS), or in any manner through the banking system.
(3) At the end of each month the entries in the bank book shall be compared with the entries in bank statement and a
bank reconciliation statement shall be prepared in Form 48S in accordance with the procedure specified in rule 193.
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43. Journal.–(1) The journal shall record all transactions other than those involving cash or bank and shall be
maintained in Form 11S.
(2) The journal shall record entries for accrual of income or expenditure or liability and the Head of Accounts shall
examine the supporting documents and where necessary, prepare a journal voucher in Form 12S and pass a journal entry
authorizing the recording of such transactions.
Example:–Recording of accrued income for bills raised in respect of property and other taxes, recording of liability
on receipt of supplier's bills, shall be recorded in the journal.
(3) Contra entries (i.e., entries involving only cash and bank accounts and no other accounts) shall be entered
through a voucher format similar to a journal voucher provided in the Accounting Software System, into the respective
general cash book and bank book.
44. General ledger.–(1) A general ledger shall be maintainedinto which no direct entry shall be made and only
postings or transfers from the books mentioned above are permitted to be made in the general ledger and shall be
maintained in Form 13S and shall provide details of all the transactions in respect of a head of account during the
financial year.
(2) A separate page or folio shall be maintained for each Detailed Head of Accounts which has an opening balance
or transaction entry or both during the relevant period.
(3) Where Secondary Account Codes are used, a separate folio shall be used for every secondary level object code
account which has an opening balance or transaction or both during the relevant period.
(4) The transactions recorded in the general cash book, bank book and journal shall be posted to the appropriate
ledger account of the general ledger either on a real time basis or in any case by the end of each day duly authenticated
by the Head of Accounts, and from the general ledger the trial balance shall be prepared at least monthly in Form 14S
and the said trial balance shall be tallied and verified by the Head of Accounts.
45. Preparation of other accounting books and records.– A Board having the relevant assets or records or the
supplementary records and registers or both shall also regularly maintain the registers relating to the assets, establishment
and others as specified in column (7) of Schedule III.
46. Manner of keeping books of account and maintenance of records.–(1) Books of account and registers shall
be strongly bound with pages serially numbered and the number of pages in each book or register shall be certified in
writing, after actual verification, on the last page by the Head of Accounts.
(2) Printouts of the books and registers shall be taken at the end of the period as specified in column (6) of Schedule
III and the printouts shall be strongly bound and pages serially numbered.
(3) The number of pages in each such bound set of print-out shall be certified in writing, after actual verification, on
the last page by the Head of Accounts.
(4) The records and registers as maintained, and which, in the opinion of the Board, are no longer relevant due to
efflux of time, or for any other reason, may be destroyed on the directions of the authorized officer, who shall ensure that
such destruction shall be compliant with the record maintenance and destruction time limits specified in Schedule V.
PART B
SECURITY OF BOOKS AND FORMS
47. Custody of printed receipt books.–(1) Where printed receipt books in Form 15M are received, the total
number of receipt books received, number of receipts contained in each book and whether they are serially numbered
shall be examined and certified by the Head of Accounts and the custody of receipt books shall be with the Head of
Accounts and the record of stock of receipt books shall be maintained by the cashier.
(2) The cashier shall record details regarding the issue of a receipt book along with the number of receipts contained
in each book at the time of every issue to tax collector or any other official and return by him of used receipt book and at
such time the number of cancelled (and therefore unused) receipts shall be verified by the cashier and noted in the
register and the balance of unused receipts, issued receipt books, etc., shall be verified and attested by the Head of
Accounts not less than twice every year.
(3) No receipt book shall be issued to the staff of Revenue Department or any other Department unless it is
immediately required for use and the books shall be issued in serial order and fresh issue shall not be made to an
individual until the completed books issued to him earlier are returned.
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(4) Each set of receipt vouchers shall be serially arranged, strongly bound and kept in the safe custody of the
cashier.
48. Control over cheque books.–(1) The cheque books shall always be kept under lock and key in the custody of
the Head of Accounts who, when relieved, shall take an acknowledgement in writing for the correct number of cheques
made over to the relieving officer.
(2) The stock of cheque books alongwith the number of cheques contained in every cheque book shall be kept by
the Head of Accounts and the details regarding every issue of cheque book along with the cheque numbers, date on
which issued, etc., shall be recorded and attested by the Head of Accounts.
49. Issue of cheques.–(1) The cheque book in use may be made over to the cashier for writing cheques.
(2) No cheques shall ordinarily be signed unless required for immediate delivery to the person to whom the money
is to be paid and no signed cheques shall be retained in the office except under exceptional circumstances which shall, in
each case, be recorded.
(3) Every cheque shall be drawn in Hindi or English and shall be in favour of the person to whom the money is to
be actually paid and the stamp ‘Account Payee’ shall invariably be affixed on all cheques drawn for sums exceeding
twenty thousand rupees:
Provided that the stamp “Account Payee” shall invariably be affixed on all cheques where the amount exceeds
rupees one thousand only in regard to salary cheques and it shall be ensured that no payee makes it a practice to get
uncrossed cheques in his favour as a matter of course.
(4) No cheque shall be issued unless the bill duly authorised by the Head of Accounts or the Chief Executive
Officer, as the case may be, is passed and the payment voucher has been prepared.
50. Issue of duplicate receipts and vouchers.–(1) Where receipts are issued manually in Form 15M, the Chief
Executive Officer or any other official shall not issue duplicates or copies of receipts granted for money received, on the
contention that the originals have been lost, and if any necessity arises for such a document, a certificate may be given
that on a specified day, a certain sum on a certain account, was received from a certain person.
(2) Where computer generated receipts are issued, the Authorised Officer may issue a duplicate receipt generated
through the system bearing the same receipt number as that of the original upon a written application from the payer
claiming that the original has been lost and such duplicate receipt generated through the system shall bear the words
“Duplicate” across the face of the receipt.
(3) In case a cheque had been issued against a bill or deposit repayment voucher or any other voucher passed for
payment and if the said cheque is reported to have been lost, misplaced or destroyed, a stop payment advice signed by the
Authorised Officer shall be immediately issued to the bank on which the said cheque was drawn and a copy of such ‘stop
payment advice’ shall be handed over at the earliest (for information) to the Chief Executive Officer.
(4) A fresh cheque for such payment shall be issued only after the following conditions are met, namely:-
(a) the payee has issued an indemnity bond in favour of the Board, admitting therein that ‘he will be
personally liable for the amount of the cheque if it gets encashed;
(b) Head of Accounts has confirmed that the cheque was issued on behalf of the Board;
(c) not less than seven days have passed from the date of receipt of acknowledgement from the bank for
delivery of the “stop payment” advice;
(d) the bank has issued an acknowledgement that payment against the said cheque has not been released
till date.
51. Cancellation of a cheque.–(1) When a signed cheque is reported to have been lost, destroyed, time barred or is
otherwise cancelled and in regard to which entry for payment has already been recorded; such entry for payment shall be
reversed under the signature of Head of Accounts and noting shall also be made on the face of the payment voucher
prepared for issuing the original cheque stating the cheque number and the date of the cancelled cheque and the date and
number of fresh cheque issued, if any.
(2) A signed cheque when cancelled shall be defaced or stamped "Cancelled" by the drawing officer and the fact of
cancellation shall be noted in red ink, under the initials of the drawing officer, upon the cheque, and across the payment
order on the bill or voucher.
(3) The reasons for the cancellation shall also be informed to the concerned department who shall note the same in
the records maintained by it.
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52. Disposal of cancelled cheques.–(1) The cancelled cheques shall be preserved under lock and key in the custody
of the Head of Accounts, until the accounts have been audited, when they shall be destroyed by the Head of Accounts, in
the presence of the Chief Executive Officer, who shall certify to the destruction of the concerned cheque.
(2) After destroying cheques specified in sub rule (1), a statement of cheques destroyed shall be prepared recording
the cheque particulars such as bank branch on which it was drawn, its number, reason for cancellation, etc.
53. Stamp account and dispatch register.–(1) A stamp account showing purchases and issues of stamps shall be
maintained in Form 16M and at the end of every week, details of the balance of stamps on hand of each denomination
shall be shown in the remarks column.
(2) The balance of stamps on hand shall be verified once a month by the Authorised Officer and that Authorised
Officer shall make a note of such verification in the register under his signature.
CHAPTER VII
ACCOUNTING OF INCOME
54. Accounting of income of Board on accrual basis.– All items of revenue shall be recognized and recorded as
income on an accrual basis, when-
(a) the amount has been received; or
(b) the amount is receivable and approved by the competent authority, and no significant uncertainty
exists about its realization, whichever is earlier.
55. Income in regard to taxes accounted on accrual basis.–(1) Where income in regard to taxes accrues as
referred to in rule 54, a statement of demand raised or income accrued shall be prepared and submitted by the Head of
Revenue Department to the Chief Executive Officer and upon approval of the statement of demand by the Chief
Executive Officer, copies of the said approval shall be forwarded to the Head of Revenue and where the demand relates
to property tax, the same shall be in Form 17S and the summary of the said property tax demand in Form18S shall be
forwarded to the Head of Accounts.
(2) The Head of Accounts shall take steps to record, by passing a journal entry, the revenue in the respective heads
of income, and to reflect the amount receivable in the demand and collection register in Form 19S.
Example:– In case of demand raised for property, each property wise demand shall be raised in demand and
collection register and consolidated entry shall be passed in books of account crediting income account viz. "the
respective property tax account" and debiting the "property tax receivable account."
(3) The Head of Revenue Department shall generate the demand bills and arrange for serving them within thirty
days, on the respective taxpayers from whom the taxes are due.
56. Income other than taxes accounted for on the basis of demand on accrual basis.–(1) In regard to incomes or
revenues other than taxes, for which demand is raised and which are recognized and recorded as income, a statement of
demand raised or income accrued shall be prepared by the Head of Revenue Department and submitted for approval to
the Chief Executive Officer and upon approval of the said statement by the Chief Executive Officer, copies of the said
approval shall be forwarded to the Head of Revenue Department and Head of Accounts and the Head of Accounts shall
take steps to record the revenue in the respective heads of income, and to reflect the amount receivable in the respective
account.
(2) The Head of Revenue Department shall raise the requisite demands on the persons from whom such revenue is
receivable and arrange for serving the said demands to such persons within a period of thirty days.
57. Income other than taxes for which no demand is raised.–(1) In regard to other incomes which are recognised
and recorded as income, but for which no demand is raised, the person intending to make such payment shall seek
approval from the Head of Revenue Department or an authorised officer and upon the said officer validating the amount
so tendered to the Board, he shall forward a copy of such approval to the accountant, who shall on the basis of such
approval, record the income in the Accounting Software System.
(2) A copy of the said entry into the Accounting Software System duly authorised by the accountant shall be
forwarded to the cashier, who shall thereupon accept payment from the person tendering the same in accordance with
procedure specified in sub rule (1).
58. Point of recognition of income.-(1) In regard to the incomes against which the demand is raised, the point of
recognition shall be as specified below:-
Type of demand raised or income accrued Point of recording income
168 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

Property tax and other taxes As and when the demand is raised.
Lease or rent As and when it becomes due for collection.
Water charges As and when the demand is raised
Other income As and when it becomes due for collection.

(2) In regard to charges, fees and other revenues collected either on the basis of applications received or on the
happening of a contingency, the point of recognition shall be as specified below:–
Point of recording income
Type of fees or charges
(recording to be at the earliest occurrence)
Licence Fees As and when licence is granted.
Building processing fee, betterment fee or
As and when permission is granted.
written permission fees
Hire of cantonment property As and when it becomes due for collection based on application
received from the party and the orders passed thereon by the
competent authority.
Licence fee on advertisement As and when such right or permission is granted.
Sale of night soil and compost, etc. On actual collection or as and when it becomes due for
collection.
Miscellaneous sales and any fees imposed As and when the demand is raised based on an order or when it
under section 67 of the Act (Including sale of becomes due for collection or on actual collection, as the case
distrained property, roadside trees, stores and may be.
materials, product of lands and gardens, street
sweepings, vehicle entry fee, octroi, toll tax,
copying fee, transit fee, etc.)

59. Accounting for receipt of income accounted on accrual basis.–Amounts received against accrued income
shall be credited to the same `Receivables Account'.
Example:– In the case illustrated under rule 55, when the property tax is actually received the cashier shall pass
the entry recording receipt of money by debiting the "cash or bank account" and crediting the "property tax
receivable account." and the corresponding effect would also be given to individual property number in demand
and collection register.
60. Other incomes.–Other incomes shall also be accounted for in accordance with the accrual principle by passing
a journal voucher authorised by the Head of Accounts.
Examples:– Accrued interest on bank deposits, contractors deposits forfeited or unclaimed balances, notice fees
and revenues derived from market and slaughter houses, rent from land and building, etc.
61. Income accounted on cash basis.–Fines, penalties and interest on overdue receivables, as well as, incomes
which have not been accounted for on accrual basis and which are not received in advance shall be accounted as and
when they are actually collected or received by the Board.
62. Amount received but not due.-The amount, which is not due but received, shall be shown as a liability.
Example: – Property tax received in advance shall be shown as liability and not as revenue.
CHAPTER VIII
ACCOUNTING FOR PROPERTY TAX
63. Application.– This Chapter applies to accounting for,-
(a) tax on annual values of land and building;
(b) house tax;
(c) water tax;
(d) conservancy or scavenging tax or both; and
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(e) lighting or drainage tax or both.

64. Demand and collection register.– Demand and collection register shall be maintained in Form 19S in which
details regarding the demand raised, amount collected, amount outstanding, etc., shall be recorded and the summary of
the said details shall be recorded and maintained in Form 20S.
65. Bill of taxes.– The Board shall decide upon the rate schedule for the levy of Consolidated Tax on Property and
on the due date, the Chief Executive Officer shall issue authorisation for the levy and recovery of the said tax which shall
be communicated to the Revenue Department of the Board, and based on the said authorisation, individual demands for
every property shall be computed and posted in the demand and collection register; bills shall be prepared and presented
to the taxpayers and the number and date of issue of the bill shall be quoted in the demand and collection register.
66. Notice of demand.– (1) Notice of demand required to be issued as per the provisions of the Act in the Form set
forth in Schedule I of the Act shall be numbered sequentially and the Head of Revenue Department shall have the notices
served on the taxpayer in the manner and within the time prescribed and one copy of the notice of demand so raised by
way of demand notice shall be maintained by the Revenue Department and a second copy shall be forwarded to the Head
of Accounts.
(2) The Head of Revenue Department shall ensure that copies retained by him are bound in books and maintained in
a proper manner, and entries of demand notices issued shall be recorded in the demand notice register.
67. Remission or refund and write off.–(1) Remissions or refunds of taxes shall be allowed in accordance with
section 84 of the Act and all refunds shall be noted against the items concerned in the remarks column of the demand and
collection register to prevent double payment of such refund.
(2) Any proposal for allowing any remission or refund of property tax shall be made by the Revenue Department
and recommended by the Head of Revenue Department to the Chief Executive Officer.
(3) The Chief Executive Officer, if satisfied on the facts and circumstances of a specific case or a certain class of
cases, may authorise such remission or refund and communicate such authorisation to the Board for information and to
the Head of Accounts for necessary action by way of entries in the Accounting Software System.
68. Accounting and recording procedures.–(1) Revenue in respect of property tax shall be recognised in the
period in which it becomes due.
(2) Entry in respect of tax receivable shall be made as and when demand in respect of the same is raised.
(3) Rebate, if any, allowed on prompt payment of property tax or for any other reasons shall be treated as an
expense in the accounts through a journal voucher.
(4) When property tax recoverable is not paid in full, the part payment received shall be first credited against
earliest demand due and where part payment of the amount due against the consolidated property tax is received, the
amount so received shall be apportioned pro rata to the various taxes forming part of the consolidated property tax.
69. Property tax in dispute.– In case property tax is in dispute or where appeal has been filed against the
assessment or levy of property tax, then, only the amount expected to be realised during the financial year shall be
recognised as income.
70. Change in demand.–(1) The Authorised Officer shall record all the changes in demand due to any revision of
the assessment list in the statement of amendment in demand in Form 21M and if the assessment list is revised with
retrospective effect, the year wise impact and the overall impact on the demand due to revision of the assessment list
shall also be recorded in the said Form 21M.
(2) The Chief Executive Officer, shall approve and forward the statement of amendment in demand to the Head of
Revenue Department who shall make necessary changes in the demand and collection register and copy of the statement
shall also be forwarded to the Head of Accounts who shall pass necessary journal entries.
71. Provision for unrealised taxes.– In respect of the demand outstanding beyond two years, provisioning shall be
made to offset the assets by way of receivables on account of overdue taxes and such provisioning shall be based on the
norms laid down by the Board from time to time.

CHAPTER IX
ACCOUNTING OF EXPENDITURE
170 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

72. Charge of expenditure.–(1) Expenditure incurred shall be recognised as per the accrual system under the
appropriate head when the liability for the same has accrued.
(2) All expenditure incurred other than salary and wages (establishment expenses) shall be recognised by recording
the liability through register of bills and journal voucher passed by the Head of Accounts.
73. Recognition of expenditure.–
Sr.
Particulars Recognition
No.
1 Claims and bills submitted by third party On approval by the Head of Accounts.
Note:- Bills not rejected within thirty days of their
receipt to be accrued even if the same are not
approved by Head of Accounts.
2 Travel allowance bills, medical bills and The bills shall be recorded on approval by the Head of
other reimbursable expenditure. Accounts.
3 Salary (Establishment expenses) Shall be accounted on accrual basis on the last day of
every month.

4 Expenditure in respect of claims, To be listed by Heads of Department at the end of

bills entered in the register of bills and each year and recorded as payable by journal voucher
vouchers received though not as instructed by the Head of Accounts.
recommended for payment and which are
not covered in serial numbers 1 and 2
above.

74. Accounting of expenditure.–(1) All expenditure recognised as per rule 72 shall be recorded or debited to the
appropriate function and object code of the Expense head as indicated by the authorised officer passing the bill in the
Accounting Software System and the amount in regard thereto shall be recorded (credited) to the Primary Account Code
and to the respective creditors, contractors or vendors in the respective accounts as per the Secondary Account Code by
issuance of a payment voucher in Form 22S recording the approval by Head of Accounts.
(2) When the actual payment is made to the creditor, contractor or vendor, the amount payable shall be debited to
his ledger account to that extent.
75. Exception.– It may not be necessary for an expenditure of a sum less than five thousand rupees to be recorded
on accrual basis and the same may be recorded on cash basis after the cash or bank payment voucher is authorised for
payment by the authorised officer.
76. Procedure.–(1) Every person having any claim against the Board shall present a bill at the Accounts
Department of the office of the Board and wherever possible, such bills shall be in the Form provided for the purpose and
shall be dated and signed by the claimant.
(2) When the bill is presented on behalf of any legal entity other than an individual it should preferably be on a
letter head of the legal entity bearing necessary registration numbers relating to the goods and services for which the
claim is made and the claim from such legal entity shall also bear the Permanent Account Number allotted by the Income
Tax Authority.
(3) The procedure mentioned in sub-rules (1) and (2) shall not apply in regard to payment of establishment expenses
(salary, allowances, provident fund and pension) to employees of the Board, which shall be covered by the provisions of
Chapter X.
77. Maintenance of register of bills.– All bills presented for a claim against the Board shall be first received by the
authorised officer of the Accounts Department and entered in a register of bills in Form 23S in which full particulars
indicated in the said Form shall be filled in.
78. Numbering system.– All bills received for payment shall be entered in the sequential order in the register of
bills and the numbering sequence shall be based on sequence of bills received as generated by the Accounting Software
System.
79. Scrutiny by Head of Department.–(1) The claim bills so numbered as specified in rule 78 shall be sent by the
Head of Accounts to the Head of Department incurring the expenditure, for scrutiny of the claims.
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(2) The Head of Department or an authorised officer from his department, after examining the bill, shall prepare a
contingent claim bill in Form 24M and sign the same in token of its correctness and genuineness and the full particulars
of the bill, admissibility, deductions; and the budget head, aggregate amount of budget sanctioned and utilised till date
shall also be noted in the contingent claim bill, and the claimant's bill shall be attached thereto as a supporting document.
(3) The person preparing a contingent claim bill shall be personally responsible to ensure that the bill is correct and
complete and is providing sufficient information as to the nature of payments being made and when the bill includes
recoveries or adjustments of claims due to the Board, the contingent claim bill shall indicate the gross amount of the
claim, amount recovered or adjusted, the reasons for the recovery or adjustment and the net amount payable to the
claimant.
(4) Charges against different heads of accounts shall not, as far as possible, be included in the same contingent
claim bill.
(5) In preparation of contingent claim bill,–
(a) the Head of Accounts shall verify that the rate of tax deduction noted in the work order is suitably
updated as per the rates in force, and that other deductions and recoveries in accordance with any
law for the time being in force or under the terms of the work order, are duly noted and effected;
(b) the Head of Department shall also clearly record whether the bill being paid is the first bill, running
bill or the final bill payment;
(c) the Head of Accounts shall note that he has verified the particulars of the work order, the underlying
sanctions including financial sanction, entries in the work order register in Form 25M and
measurement book in Form 26M and found that full procedure in this regard had been complied
with;
(d) the Head of Department shall note on the contingent claim bill against a running bill, particulars of
all earlier payments made against the same work order giving sequentially, particulars of work
completed, payments made, deductions effected and the security retained in regard to the said work
andthe contingent claim bill shall mention the gross amount sanctioned for payment and the specific
deductions to be effected from the same after considering deductions made till date;
(e) where the claim Form relates to a final bill, the Head of Department shall verify in addition to what
is required, as per rule 126, that the completion certificate has been issued by an authorised officer,
the conditions for release of security and the period within which deficiencies and defects can be
pointed out have been noted and a certificate obtained to the effect that the resultant asset is ready
for use.
(6) In case security deposits have been obtained from the claimant, at the time of payment of final bill; a remark
regarding continuation of the deposit for a certain period or authorizing release of the whole or a part of the security
deposit should be made in the contingent claim bill.
(7) The contingent claim bill prepared by the Head of the concerned Department shall be forwarded for approval to
the Head of Accounts.
80. Approval for recording of credit.–(1) On receipt of contingent claim bill from the Head of the concerned
Department, the Head of Accounts shall verify the particulars in the contingent claim bill to ensure the correctness of
sanction, availability of budget and adequacy of supporting documents.
(2) Where any deficiencies are noticed in the bills, the Head of Accounts shall return such bills for rectification to
the Department concerned and make a remark in the register of bills (Form 23S) in the designated column.
(3) On being satisfied about the contingent claim being payable, he shall make notings authorizing recording of
entry for the net amount payable and thereafter the entry recording the liability to pay to the claimant and debiting the
appropriate expenditure head as noted by the Head of Accounts shall be made.
81. Approval for payment by Head of Accounts.–(1) The Head of Accounts, on being satisfied about the
contingent claim being payable and upon verification of the balance payable in the payee's ledger account with the entries
in the contingent claim form, shall approve the payment of the net amount, after deduction of tax at source and retention
money, if any and his approval shall be recorded by issuance of a payment voucher in Form 22S.
(2) The Head of Accounts shall pass necessary journal vouchers for recovery or adjustments made in the bills and
ensure that cash or cheque payment is made only for the net amount payable and the contingent claim bill duly approved
by the Head of Accounts shall then be forwarded to the Chief Executive Officer for his final sanction.
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82. Payment and accounting of claims.–(1) When payment is to be made in cash, the approved contingent claim
bill shall be forwarded to the cashier for making the entry of the payment voucher and thereafter release payment to the
claimant.
(2) When payment is to be made by cheque, the Head of Accounts shall prepare the cheque and forward the
contingent claim bill alongwith the cheque to the officers authorized to sign the cheque or sign it himself as specified in
rule 38.
(3) Upon receipt of the signed cheque, the cashier shall record the payment in the Accounting Software System,
generate the payment voucher and hand over the cheque to the duly authorized recipient of the payee after taking his
acknowledgement on the payment voucher obtained from the Accounting Software System.
(4) When payment is to be made online through National Electronic Funds Transfer (NEFT) or Real Time Gross
Settlement (RTGS) or any other digital mode, the voucher thereof shall be printed by selecting suitable option in the
system and electronic receipt or acknowledgement generated shall be tagged with the payment voucher for proper
accounting.
(5) In addition to accounting for all the expenditure incurred, it shall also be the duty of the Head of Accounts to see
that no claim is paid twice, and that budget allotments are not exceeded.
83. Numbering system of payment voucher.–(1) If the payment is made by cheque, the bill shall be stamped with
the words "paid by cheque number ________ dated _______" and if the payment is made in cash, the bill shall be
stamped with the words, "paid in cash on ______".
(2) At the end of each month, the Head of Accounts shall examine all bills of the month, except those for
establishment charges, and satisfy himself that the claims have been properly vouched and the sub-vouchers have been so
defaced as to preclude the possibility of their being used in support of any other claim.
84. Payment on duplicate bill. – When a payment is made on a duplicate bill, or a duplicate receipt is attached to
any paid bill, the Head of Accounts shall certify thereon that the original bill has not been paid or the original receipt has
not been used in support of any other bill.
85. Time barred claims.– All claims against the Board, which are barred by time under any provisions of any law
for the time being in force relating to limitation, are ordinarily to be refused and no such claim is to be paid without the
sanction of the Board, which shall consider the claim on merits of each case.
CHAPTER X
ACCOUNTING FOR ESTABLISHMENT CHARGES
86. Scale register.–(1)The entire establishment of the Board shall be recorded in a scale register in Form 27M in
which every approved post shall be entered under the signature of the Chief Executive Officer and the pay of each basic
function head which is charged as a separate section of the budget shall be treated as a distinct segment of establishment.
(2) A separate page by way of a separate section in the scale register shall be allotted for establishment relating to
each such basic function and the establishment so reflected in separate sections shall exactly correspond to the pay bill of
each such section prepared as per the basic functions.
(3) Temporary establishment shall be recorded separately at the end of the space allotted for the permanent
establishment in each section and the period for which the temporary establishment is sanctioned and the order of
sanction shall be distinctly specified in the remarks column.
(4) Upon the creation or deletion of any post in the establishment, an entry in the appropriate section of the scale
Register shall be made by the authorized officer and the said entry shall be verified in regard to the correctness of the
particulars noted with reference to the authorization received and upon being satisfied about the correctness of the
particulars recorded, the Chief Executive Officer shall sign on the authorization and the entries in the scale register.
87. Proposals for revision of establishment.– When any change, permanent or temporary, is proposed in the
number, or pay, of appointments in the establishment of the Board, a letter fully explaining the proposal and the
conditions which have given rise to such proposal shall, save in the case of the appointment of temporary employees, be
submitted to the Principal Director, the Command who will forward it to General Officer Commanding-in-Chief, the
Command with his recommendations and in the letter shall be set out–
(a) the present cost, either of the "Section" or "Sections" affected, or of the total establishment, as the
circumstances of the case may indicate to be necessary;
(b) the cost of the revision;
(c) details of the number and pay of the appointments which it is proposed to add or modify;
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(d) the ability of the Board to meet the additional expenditure from its normal income; and
(e) the date or dates from which the proposed changes are to take effect:
Provided that the proposed revision of establishment does not contravene any existing Government policy
directives, applicable to the Board, by way of any statutory provision or a specific or general order:
Provided further that provisions of rule 87 shall be subject to the provisions of the Cantonment Fund Servant
Rules, 1937, as amended from time to time, in so far as they relate to the competent authority regarding sanction for
revision of establishment of the Board.
88. Proposition statement.–(1) In cases where general revision in sanctioned scale of establishment, permanent or
temporary, is made or proposed, a proposition statement in duplicate in Form 28M, shall be submitted with full
explanation of the grounds of the change.
(2) If the change shall affect only a section or a portion of the establishment, the proposition statement shall
ordinarily be confined to the section or the portion of the establishment affected by the proposals.
(3) The financial effect of the proposed change shall be clearly stated as required to be filled in Form 28M.
(4) Where it is proposed to use the services of an outsourced service provider engaged on contractual basis for
providing services in regard to a vacancy in a sanctioned post, an entry giving the details of the services to be so
obtained, the duration, the proposed aggregate costs and particulars of the contract to been entered into shall be recorded
in Form 28AM.
89. Sanction for revision of establishment.–(1) On receipt of the proposals for permanent or temporary changes in
the establishment, the General Officer Commanding-in-Chief, the Command, with recommendation of the Principal
Director, may sanction or refuse to sanction the proposed revision or he may sanction it with the modifications that he
may consider fit and the statement of revision shall, then, be returned to the Board as early as possible with the sanction
or modification, and shall be filed for reference at the time of audit.
(2) The Chief Executive Officer may authorize the amount payable to such service provider, where the aggregate of
such amount does not exceed the amount payable for the sanctioned post where the unfilled vacancy exists.
(3) Where it is considered necessary to engage the services of a service provider to provide manpower on payment
terms requiring higher payment as compared to the vacancy against a sanctioned post or when such services are obtained
for seasonal or emergent works without existence of a sanctioned post, the Chief Executive Officer shall put up the
proposition in Form 28AM for the approval of the Principal Director:
Provided that the provisions of this rule shall be subject to the provisions of the Cantonment Fund Servant
Rules, 1937, as amended from time to time, in so far as they relate to the competent authority regarding sanction for
revision of establishment of the Board.
90. Pay of establishment.–(1) The pay of the establishment of a Board shall be drawn and paid on the last working
day of the month during which it has been earned:
Provided that when the last working day happens to be a holiday, the pay of the establishment may be drawn
and paid on the previous working day.
(2) Salary drawn for the first time for any person employed by the Board, shall be entered in the pay bill only after
authorization by the Chief Executive Officer and such authorization shall record full particulars of the person appointed,
his personal details including address, qualifications, designation, etc., on which he is appointed and such other
particulars as may be directed in this regard.
(3) In case of dismissal, transfer, resignation or death, pay shall be drawn and disbursed immediately after it
becomes due.
(4) The pay bills of establishment shall be prepared in the manner given below, namely:-
(a) the pay of the entire permanent establishment of the Board shall be drawn on one monthly pay bill
in Form 29M;
(b) salary not drawn but held over for future payment for any reason shall be separately entered in Form
29M in the manner prescribed and when the amount is subsequently drawn on a supplementary bill,
reference to the drawal shall be given in the original bill from which the charge was withheld and
vice versa in order to prevent a second claim being entertained;
(c) when salary is drawn for a broken period of the month, the reasons for drawal, the period for and
the rate at which it is drawn, shall be entered in the remarks column;
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(d) officers absent, on leave or on deputation or under suspension shall be clearly shown as such in the
monthly pay bills and officiating arrangements that may have been made shall be noted and the
amounts not payable (refundable) on account of such absence shall be recorded in Form 30M;
(e) the gross amount in regard to salary payable shall be computed on the basis of the amount payable
as per scale register;
(f) where payment is made to an outsourced service provider engaged on contractual basis for
providing services in regard to a vacancy in a sanctioned post, the said payments shall be considered
as part of establishment costs and the details of payment entered giving all details as prescribed in
Form 33AM;
( g) the pay of daily labourers shall be drawn on muster rolls in Form 31M; and
(h) fixed travelling and conveyance allowances shall be drawn in the pay bill of the officer or employee
concerned and not on traveling allowance bills.
91. Recoveries from salaries.–(1) The following recoveries shall be made, where required, by deduction from pay
bills, namely:-
(a) fines imposed on members of the establishment;
(b) recoveries on account of loans and advances given to employees;
(c) recoveries on account of pension, and provident fund subscription (as provided in Chapter XI);
(d) recoveries on account of security deposits by employees;
(e) recoveries on account of advance of pay;
(f) other recoveries (to be specifically stated in the pay bill) such as income tax, insurance premium,
recoveries on account of loans obtained by the employees from banks and other public sector
financial institutions where authorised by the Board or the Chief Executive Officer, as the case may
be;
(g) recoveries of dues of co-operative society ordered by special recovery officer or as per the orders of
any other court, etc.
(2) The above recoveries shall be properly classified and posting shall be made in to the respective ledger account.
92. Increment in pay.– To the first pay bill in which a periodical increment is drawn, an increment certificate in
Form 32M, signed by the authorised officer shall be appended.
93. Production of last pay certificate.– In the case of officials transferred to the service of the Board from
Government service or service under another Board or local authority and drawing pay for the first time from the Board,
payment shall be made only on production of last pay certificate.
94. Arrears bills. - Arrears pay shall not be drawn in the ordinary monthly bill, but in a separate bill, the amount
claimed for each month being entered separately with a quotation of the bill from which the charge was omitted or
withheld or on which it was refunded by deduction, or of any special order granting with retrospective effect a new
allowance and such bills may be paid at any time and may include as many items as are necessary.
95. Responsibility of drawing officer.–(1) The drawer of a pay bill shall be personally responsible for all moneys
drawn as pay, leave salary, allowances, advances, etc., on a pay bill signed by him and he shall make arrangement with
the bank, to disburse salaries to the employees of the Board through cheque or otherwise and for this purpose, he shall
issue a cheque with the list of employees containing their bank account numbers and the net amount to be credited to
their accounts.
(2) In case of payment of wages or temporary or urgent ‘advance’ payments, payment in cash may be made with
permission of the Chief Executive Officer and when the pay bill for such cash payments has been drawn, the money shall
be promptly disbursed to the payees concerned and their signatures may be taken in the proper column of the bill which
shall be stamped, if necessary, by the payee:
Provided that, if for any reason, it is not found convenient to obtain the receipts of the payees on the copy of the
bill, the Head of the office may maintain a separate acquaintance roll in the manner specified under rule 96 hereunder.
96. Acquittance roll.–(1) where payment of pay bill has been made through bank, a bank statement or a
confirmation from the bank shall be sufficient evidence that the accounts of employees have been so credited.
(2) In cases where payee’s signature has not been obtained on the pay bill and
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(a) the payment has been made by any means other than through bank; or
(b) where otherwise required by the Board,
the record of acquittance shall be maintained in Form 33M by the drawing officer.
97. Cheques to be drawn for net amount only.– Cheques in payment of pay bills shall be drawn for the net
amounts payable and separate crossed cheque in favour of the bank shall be given for the deductions made such as
insurance premium, provident fund subscription, etc., and the necessary statements attached thereto.
98. Payment of pay bill and other payments.–(1) Two or more cheques shall be drawn in payment of a pay bill,
one in favour of the bank where the employees have their accounts, to which the net salary shall be directly credited
through the bank for the net amount payable.
(2) At the same time a cheque shall be issued in favour of the bank or post office where the provident fund account
is maintained, and into which the subscriptions, including recoveries of loans and interest on such loans and contributions
to the provident fund are deposited.
(3) Income-tax, statutory and other deductions shall be credited within the time prescribed, to the bank account
specified under the respective statute or rule requiring such deduction to be effected from the pay bill.
Example:– A cheque for the amount of tax deducted may be drawn in favour of the Income-tax Officer, or in favour of
the bank to pay itself for credit to the “Government Account - Income tax".
99. Transfer of charge.– When an employee is transferred from one basic function to another, his pay and
allowances shall be charged to the applicable basic function head to which he is transferred, from the next succeeding
month.
100. Accounting and recording procedures.–(1) Salaries paid to the employees in accordance with the procedure
prescribed in this Chapter shall be accounted for as an expense on the same day and any amount of salary payable by the
Board but not paid in accordance with rule 90, due to any reasons whatsoever, shall be recognised as a liability on the
day on which it becomes payable.
(2) Salaries paid to the employees against which a liability was recorded as per sub-rule (1) shall be adjusted against
the liability so recorded.

CHAPTER XI
EMPLOYEE BENEFITS
PART A
PROVIDENT FUND
101. Applicability.– These rules shall apply to employees appointed to a post prior to the 1st January, 2004 or to
whom the provisions of general provident fund or contributory provident fund are applicable.
102. Subscription to provident fund.– In the case of employees permitted to subscribe to the Contributory
Provident Fund or General Provident Fund as provided in Part-III and Part-IV of the Cantonment Fund Servants Rules,
1937, the amounts subscribed by employees and contributed by the Board (including sanctioned bonuses, if any), shall be
noted in the appropriate columns of the pay bill, and shall be paid into the bank or post office savings bank, not later than
four days from the date of payment of salary.
103. Investments.– The provident fund may be invested in Government securities in accordance with the post
office savings bank rules or in fixed deposits with bank.
104. Provident fund ledger.–(1) Provisions of rule 102shall apply mutatis mutandis to both General Provident
Fund and Contributory Provident Fund maintained by the Board.
(2) A provident fund account of each subscriber shall be kept separately in a provident fund ledger in Form 34M
and the said account shall show the amount of the subscription of each subscriber, the contribution of the Board and
interest accrued on the respective contributions.
(3) Amounts credited or debited to the provident fund shall, on the same day, be posted on the provident fund ledger
of the subscriber, the credit side of which shall tally with the entries in the pay bill.
(4) The entries for interest accrued may be made once a year only, except in the case provided by clause (5),
provided, the monthly computation of interest shall be maintained and kept available in the broadsheet format as
specified in Form 35M.
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(5) As soon as possible after the close of the month, the minimum balance at the credit of the account during the
month, shall be entered in column (14) of the ledger in Form 34M and carried into the broadsheet or used for the purpose
of computation of interest as per sub-rule (4).
(6) At the close of the financial year the columns of the broadsheet shall be totalled, and the amount of interest
earned on the entire amount of the sums deposited during the year to the credit of the Board, less any amount already
entered during the year as per sub-rule (7), shall be distributed among the individual accounts proportionately to the sums
of each column (disregarding fractions of a rupee) of the broadsheet.
(7) When an amount is paid, transferred, or closed during the currency of a year, the payment of interest for broken
periods shall be calculated at the rate prevailing for post office savings banks deposits or savings bank deposit of the
banks, whichever is higher.
(8) The amount of interest so calculated shall be entered in column (7) of the ledger in Form 34M against the
account concerned and in the appropriate place in the broadsheet, before payment is made.
105. Annual statement of account balance to subscriber.– At the close of each year the Head of Accounts shall
send to each subscriber a statement of his account in the fund showing opening balance as on the1st April of the year, the
total amount credited or debited during the year, the total amount of interest credited as of the31st March of the year and
closing balance as on that date and the subscribers shall satisfy themselves as to the correctness of the annual statement
and errors, if any, shall be brought to the notice of the Head of Accounts within three months from the date of receipt of
the statement and any error in the account noticed by the subscriber, brought to the notice of the Head of Account shall
be rectified.
106. Control and recovery of advances from provident fund.– The recovery of advances made from the
provident fund shall be watched by the Head of Accounts through the recovery effected and recorded in the pay bill
[Column (18) of Form 28M] and where an advance has been given, the net amount of advance remaining due at the end
of each financial year from the subscriber, after adjusting the recovery effected and other debits or credits during the year
shall be mentioned, in the annual statement of account balance to be sent to the subscriber under rule 105.
107. Dead accounts.– When an account is written off under the General Provident Fund (Central Services) Rules,
1960 or Cantonment Provident Fund Rules as a dead account, it shall be closed in the provident fund ledger, and the
money standing to the credit of such subscriber shall be drawn out of bank account of the provident fund and credited in
the bank book as a miscellaneous receipt and if the amount is subsequently claimed, the fact of payment shall be noted
against the entry in each account of the provident fund ledger to avoid a double payment.

PART B
PENSION-CUM-GRATUITY
108. These rules shall apply to employees appointed to a post prior to the 1st January, 2004 and covered under Part
II of the Cantonment Fund Servants Rules, 1937.
109. The Board shall contribute to pension fund an amount equal to the total of ten per cent. of the basic pay (pay as
per pay band plus grade pay) of all employees covered under these rules:
Provided that if there is any shortfall between the amount payable towards pensionary benefits and gratuity to
the retiring or retired employees of the Board and the balance in the pension fund, the Board shall credit the requisite
amount from cantonment fund to the pension fund from time to time.
110. The contribution of the Board to the pension fund shall be made within four days from the date of payment of
salary.
111. The contribution to pension fund by the Board and the interest earned on the said fund shall be suitably
recorded on due dates in the books of that fund and in the accounts of the Board, where applicable.
112. Pensions payable to the retired employees shall be debited to the pension fund and not to the cantonment fund
and no amount from the pension fund shall be spent for any other purpose without the previous sanction of the Central
Government.

PART C
NATIONAL PENSION SCHEME
113. National Pension Scheme (NPS) shall apply to employees appointed to the Board on or after the 1st January,
2004.
114. The subscription of employees, contribution of the Board towards National Pension Scheme and conditions
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governing the maintenance of the scheme shall be as prescribed by the Pension Fund Regulatory and Development
Authority read with instructions issued by the Director General in concurrence with the finance wing of the Ministry of
Defence.
CHAPTER XII
WORKS
115. Division of works.–(1)All works conducted by the Board shall be divided into the following two categories,
namely:–
(a) original works; and
(b) maintenance works.
116. Preparation of technical estimates of works.–(1) The Chief Executive Officer may sanction execution of
maintenance works after following due procedure in accordance with the provisions of rule 119 subject to financial limit
for execution of contract given in section 127 of the Act.
(2) The technical estimates prepared by an engineer or expert agency for all works shall have to be vetted by an
engineer of the Board, Military Engineer Services, Central Public Works Department, any other agency of the Central
Government or the State Government, any other body substantially financed by the Central Government or the State
Government or having an expertise in civil or electrical works and the competent authority for vetting of technical
estimates of works shall be as per the following table, namely:–
Estimated cost of works Competent authority for vetting of Competent authority for vetting
technical estimates for original works of technical estimates for
(In Rs.)
maintenance or repair works in
each case
(1) (2) (3)
Up to 10 lakh - Junior Engineer or equivalent
Up to 50 lakh Assistant Engineer or equivalent Assistant Engineer or equivalent
Up to 2 crore Executive Engineer or equivalent Executive Engineer or equivalent
Beyond 2 crore and upto 5 crore Superintendent Engineer or equivalent Superintendent Engineer or
equivalent
Beyond 5 crore Chief Engineer or equivalent Chief Engineer or equivalent
117. Sanction of technical estimates and execution of works.– The following procedure shall be adopted for
sanction of technical estimates and execution of works, namely:–
(a) preparation of detailed design and estimates should precede any sanction for works;
(b) no works shall be undertaken until budgetary provision for the same has been sanctioned, or necessary re-
appropriations are made as specified in rule 33, and if not, the prior sanction of the General Officer
Commanding–in-Chief has been obtained and if the estimate for the works exceeds fifty lakh rupees, the
same shall be required to be vetted by another technical officer or engineer who is at least one level higher
than the one who has prepared the technical estimates or who is an officer of Central Public Works
Department or Military Engineer Services or any of the agencies referred to in sub-rule (2) of Rule 116.
(c) subject to availability of budgetary provisions, the Board may sanction execution of–
i. original works estimated to be less than fifty lakh rupees in value; and
ii. all maintenance works;
(d) no original works other than those mentioned in sub-clause (i) of clause (c), shall be executed by the Board
unless the detailed plans and estimates of such works have been submitted to the Principal Director, if the
estimated amount is upto five crore rupees and to the General Officer Commanding-in-Chief, the
Command, if the estimated amount exceeds five crore rupees for consideration:.
Provided that the proposals relating to water supplies and sewage collection shall be submitted to
the Principal Director for approval in accordance with sub-section (2) of section 188 of the Act.
118.Tenders. – (1) For small works undertaken departmentally by the Board, procedure in regard to tenders shall
not apply.
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(2) Open tenders shall be called for works estimated to cost ten lakh rupees or more.
(3) Limited tenders shall be called for works costing less than ten lakh rupees from at least six firms,
companies or entities who have previously been empanelled or who have worked for any of the
organizations mentioned in sub-rule (2) of rule 116.
(4) The estimates shall be prepared in accordance with the existing schedule of rates of Military Engineer
Services or Central Public Works Department or Public Works Department of the State in which the Board
is located and only in case the scheduled rates are not available, the estimates shall be prepared at
prevailing market rates.
(5) The procedure prescribed by the Military Engineer Services regarding invitation of tenders, award and
execution of works or any other related issues including monitoring of works, shall be followed by the
Board to the extent possible, unless it is inconsistent with the provisions of the Act or any rules made there
under.
119. Repairs and maintenance works.– For carrying out works for repairs and maintenance of roads, buildings,
streets, drainage, water supply and other such civil or electrical works, the Board shall invite periodic tenders as per
procedure laid down in this regard and such invitation or tenders shall be based on the list of such works proposed to be
done during the period and shall be issued on the basis of schedule of rates and procedure as specified in rule 118 and on
finalization of the tender and execution of the contract, the Chief Executive Officer may issue work orders to the
contractor based on such estimates approved by the Board or him, as the case may be, during such period and subject to
the estimated amount of works for which such contract has been awarded.
120. Contract upon the selection of contractor.– Upon the selection of the contractor for execution of any works
in accordance with the prescribed procedure, a contract shall be signed and the contract shall record the terms of the
award of the works and shall be signed on behalf of the Board in the manner provided in section 128 of the Act, after the
same has been signed by the contractor and the said contract document shall, as far as may be, contain all significant
terms that may be required to be incorporated in contracts of such nature.
121. Additional works.– While a work is in progress, if any additional item of works is considered necessary
which is not contingent on the execution of the work as first sanctioned, it shall have to be covered by a supplementary
contract.
122. Variation in original estimates.– Any deviation from the approved estimates shall not be made without the
sanction of the authority which approved them in the first instance:
Provided that, in case the deviation is felt necessary due to site conditions or due to inescapable work, the Chief
Executive Officer shall be competent to approve a deviation not exceeding ten per cent. of the approved estimates.
123. Works order register.– A works order shall be prepared by the authorized officer of the Engineering
Department after following due procedure as specified in this Chapter and a works order number shall be allotted to it
and an entry of the works order shall then be made in the works order register, which is to be maintained in Form 25M.
124. Works order numbering system. – Every works order shall bear a unique sequential number and this
numbering sequence shall be based on the running serial number of the works orders issued during the year, indicating
the sequence of issuance of works order.
125. Measurement book. – (1) All works executed by the Board shall be inspected by the Overseer or the Junior
Engineer or any other officer deputed for the purpose of taking measurements at least once a month and the measurement
of works shall be in any case be done within two weeks of presentation of the running or final bill by the contractor.
(2) Small works, namely, works whose aggregate value does not exceed fifty thousand rupees, may be measured
after their completion.
(3) Upon receipt of the first claim bill from the contractor or on measurement being taken in respect of any works as
provided in sub-rule (1), an entry on a fresh page of the measurement book in Form 26M shall be made by the authorized
officer giving the reference to the works order number and recording all the particulars of the works order as required to
be filled in the said Form.
(4) All works done and all materials received, have to be measured by the Overseer or the Junior Engineer or other
official deputed for taking measurements and the measurements shall be entered in a measurement book in Form 26M,
under his dated initials and all entries shall be in ink.
(5) The measurements entered in the measurement book shall also be signed by the contractor or his authorized
representative in whose presence the measurements are taken.
(6) The measurements and calculations in the measurement book shall be checked by an official of the Engineering
Department other than the official who noted the measurements, and by the Accounts Department.
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(7) From the measurement book all quantities shall be clearly traceable in the bill, and when a bill is passed, a
diagonal line in red ink shall be drawn across the connected entries in the measurement book, and a reference quoted
therein to the number and date of the bill.
(8) The measurement book shall be serially machine numbered by the Board when they are taken into stock and
their pages shall be similarly machine numbered and the books when completed shall be filed in the office of the Board,
where their return shall be monitored through the stock book of forms.
(9) The Engineering Department shall ensure that measurements are taken as the work proceeds and not allowed to
fall into arrears and the officials responsible shall also satisfy themselves, by judicious checks at site, of a proportion of
any measurements taken by their subordinates.
126. Completion report or certificate.– (1) When a work is completed, the Head of Engineering Department shall
submit a completion report or completion certificate in Form 36M to the Head of Accounts as per the procedure
prescribed and when any of the estimates has been exceeded, he shall compare and explain all differences between the
quantities, rates and cost of the work executed and that estimated for.
(2) In instances where any non-compliance or deficiency is noted in the execution of the contract, which is not
severe enough to result in rejection of the bill altogether, the Head of Engineering Department shall make record of it
separately and recommend the suitable deduction or penalty there under.
(3) When a building or a work is taken over from contractor as completed, a written and dated certificate to that
effect including also the state of building or work when taken over shall be given to the contractors by the Engineering
Department and at the end of the defects liability period, if applicable, the Engineering Department shall give a similar
certificate and in certifying the state of buildings or work, the Engineering Department shall include details of defects
remaining to be rectified by the contractor. .
127. Payment to contractors.– (1) Bills of contractors shall be submitted and paid as per the contract and final
bills shall be marked clearly as such.
(2) The page numbers of the measurement book shall be noted on the bill at the time it is passed, and the serial
number in the register of works shall be similarly noted at the time the bill is entered in such register and payment shall
usually be made up to nine-tenths of the value of work done, the balance being retained as security and the balance
amount shall be paid when the completion report or certificate has been signed and after the defect liability period, if any,
has expired.
128. Payment of final bill.– (1)Final payment for a work shall not be made until–
(a) bills of contractors are submitted and paid as per terms and conditions of the contract and final bills are
marked clearly as such and all bills are technically checked by the Engineering Department before making
payment to contractor by the concerned section;
(b) a personal certificate of the official in-charge of the work in the format given below is given -
“I, ___________executing officer of __________ (Name of the work) am personally satisfied that
the work has been executed as per terms and conditions laid down in the contract and the
workmanship is in accordance with the norms and standards generally followed in the industry”;
(c) the amount expended for the works is capitalized to bring a capital asset into the books, if the
expenditure is of capital nature.
(2) If the project is executed by more than one contractor and a final bill is presented for payment by one of the
contractors before the entire project is completed, then the release of payment for the same shall be authorized by the
Head of Engineering Department certifying satisfactory execution of his contract and in such cases, payment of the said
final bill of the contractor shall be done notwithstanding non-compliance of clause (b) of sub-rule (1) of this rule.
129. Deposit works undertaken by Board.– (1) The departments of the Central Government, State Government or
any autonomous body may use the services of the Board, for execution of certain works or schemes particularly in case
of works carried out in the jurisdiction of the Board and such works shall be carried out as ‘deposit works’.
(2) The procedure regarding sanction and issue of tenders for such deposit works carried out by Board shall be same
as prescribed in rules 116 to 127.
(3) In case of deposit works, the gross estimated expenditure of the work may be paid in one lump sum or in
installments as agreed mutually and money received from the agency for the above shall initially be accounted as a
liability of the Board.
(4) The Board may also be provided certain percentage of the value of the works completed as their administrative
charges as decided mutually and these charges are accrued along with the bills for expenditure.
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(5) For deposit works undertaken by the Board, the subsequent expenditure for repairs and maintenance may be
done either by the Board or the agency as per the terms agreed upon with the Government department or autonomous
body.
(6) The Board has to send to the Government department or autonomous body, a statement showing the outlay
incurred during each quarter on the works concerned and accordingly, the amount shown as spent during the month shall
be adjusted by debit to the account of the Central Government or State Government or autonomous body and the unspent
balances, if any of completed deposit works shall be retained or refunded as per the terms mutually agreed upon.
(7) The deposit works are to be shown separately in the budget estimates.
130. Delegated works.– (1) The Board may use the services of the Military Engineer Services, Central Public
Works Department, Public Works Department of the State in which the Board is located and any other Department of the
Central Government or State Governments, for execution of certain works or schemes, particularly in case of works
carried out outside the jurisdiction of the Board, which shall be carried out as ‘delegated works’.
(2) The procedure regarding sanction and issue of tenders for such delegated works carried out for the Board shall
be same as prescribed in rules116 to 127.
(3) In case of delegated works, the gross estimated expenditure of the work may be paid in one lump sum or in
installments as agreed mutually and the money paid to the agency for the above shall initially be accounted for as an
advance given by the Board.
(4) The Board may be required to pay certain percentage of the value of the works completed as administrative
charges to the executing agency and these charges are accrued along with the bills for expenditure.
(5) Such executing agency shall submit a statement showing the outlay incurred during each quarter on the works
concerned and accordingly, the amount shown as spent during the month shall be adjusted by crediting in the agency’s
account and the unspent balances, if any, of completed delegated works shall be refunded by the agency as per the terms
mutually agreed upon.
(6) Delegated works are to be shown separately in the budget estimates.
CHAPTER XIII
WORK IN PROGRESS
131. Meaning of work-in-progress. – Work-in-progress means an expenditure on capital assets, which are in the
process of construction or completion on the balance sheet date and this includes assets undergoing substantive repairs,
additions or alterations, which are of such nature as shall enhance the working life or the utility of the asset.
132. Maintenance of register, accounting and recording procedures.– (1) The Board shall maintain a work-in-
progress register in Form 37M in which details of expenditure incurred on projects involving capital expenditure shall be
recorded and it shall be kept in the personal custody of the Head of Engineering Department.
(2) The register shall contain entries of every work of a capital nature commenced and the entry shall be based on
the work order, which shall bear a unique numbering sequence and works commenced and under construction, erection
or installation on existing projects and expenditure on new projects including advances for capital works and project
stores shall be entered in the register and the running bill presented for payment for work-in-progress shall correspond to
quantity of work done as recorded in the measurement book and the bill amount and the amount approved for payment
shall be recorded in the register of work-in-progress in relevant columns at the time of preparing the payment voucher.
(3) The total amount recorded in the register, as on balance sheet date shall be included under the head work-in-
progress in the balance sheet and it shall comprise the amount paid on the said work plus the amount of bills passed for
payment but not paid.
133. Procedure to be followed during completion of works.–(1) When the work resulting in a capital asset is
completed, the Head of Engineering Department shall, except in cases covered by sub rule (2) of rule 128, put the
following note below the relevant page of entries in the work-in-progress register “Work completed and asset is ready for
use and completion certificate No _____ has been issued on______", and thereupon, suitable entries shall be made in the
fixed asset register for the asset so created.
(2) When a completion certificate in Form 36M is received by the Head of Accounts, he shall record a journal entry
transferring the balance from the work-in-progress account to appropriate category of the fixed asset.
134. Period end procedures.–At the end of the financial year, the concerned department shall submit to the Chief
Executive Officer, a summary statement of status of capital work-in-progress, detailing budget allocated to the project
and expenditure incurred till date on capital projects that continue to be in progress on balance sheet date, and on receipt
of the above statement approved by Chief Executive Officer, the Head of Accounts shall verify that the total expenditure
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incurred on each work as stated in the statement tallies with the respective capital work in progress account and that all
completed works are transferred to the respective fixed assetaccount as per rule 133.
CHAPTER XIV
FIXED ASSETS
135. Fixed assets. – Fixed assets shall be used over an extended period and these are the assets held for providing
services and are not held for resale in the normal course of operations of the Board.
136. Nature of fixed assets.–(1) Fixed assets are generally tangible but can also include intangible items such as
rights and licences.
(2) The broad classification of fixed assets as per chart of accounts shall be as under–
Type of Asset Definition Examples
(1) (2) (3)
Immovable assets Assets which are attached to the earth, or Land and buildings, sewerage, drainage
are large as to prevent normal movement system, roads, bridges, water and sewerage
from one place to another treatment plants, etc.
Movable assets Assets which can be moved from one Furniture andfixtures such as chairs,
place to another cabinets etc.; vehicles such as ambulances,
buses etc. office and other equipment such as
fax, computer peripherals, etc.
Intangible assets Assets which have no physical existence Software licenses, rights to waterways, toll
and which cannot be seen and touched rights, easements, etc.

(3)The types of fixed assets are further classified into class of fixed assets and each class of asset corresponds to each
entry in the column (2) of Schedule IV.
137. Maintenance of fixed asset register and the procedure for accounting for fixed asset.–(1) All fixed assets
shall be carried at cost less accumulated depreciation and the ledger accounts of fixed assets shall have nomenclature at
Minor Head or Detailed Head level as per classification mentioned in Schedule II.
(2) The Board shall maintain separate fixed asset registers in respect of immovable properties in Form 38M and
movable and intangible properties in Form 39M, respectively, for recording transactions relating to fixed assets and the
register of immovable assets shall be maintained by the Engineering Department and the other registers shall be
maintained by the concerned departments; and the registers shall be updated in respect of additions, disposals, significant
repairs or renewals and depreciation of the assets and the registers shall be kept in the personal custody of the Head of
Department.
(3) All fixed assets shall be entered in the register and every fixed asset or group of fixed assets of similar nature
shall be maintained on a separate page in the register.
138. Maintenance of record of expenditure.–Expenditure incurred and payments made in the course of
construction of an asset shall be recorded in the work-in-progress register in Form 37M and in the case of purchased
assets, initial entries shall be made in the register of bills and entries shall be made in the fixed asset register only at the
time when the asset is ready for use and the liability to pay for the related expenditure has arisen and where an asset is
constructed by any agency of the Board, the register shall also record the completion certificate number.
139. Acquisition of fixed assets – Capitalization.–(1) Fixed assets shall be recorded at cost actually incurred in
order to make the asset ready to be put to use and such cost shall include ancillary charges such as freight, insurance and
site preparation, which are necessary to place the asset into its intended location and condition for use.
(2) If the assets are acquired free of cost by way of grant, the same shall be recorded at nominal value of one rupee.
140. Addition and improvement of fixed assets.–Any addition to or improvement to the fixed asset that results in
increasing the utility, capacity or useful life of the asset shall be included in the cost of asset.
141. Revenue expenditure on fixed assets.– Revenue expenditure in the nature of repairs and maintenance
incurred to maintain the asset and sustain its functioning such that the benefit likely to be derived from such expenditure
resulting in increasing its utility, useful life or benefit for a period normally less than three years, shall be debited to the
appropriate expense account.
142. Revaluation of fixed assets.-(1) Fixed assets are recorded at cost less depreciation till date and if revalued, the
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increase in net book value arising on revaluation shall be credited to a reserve account under the respective fund as
“Revaluation Reserve” and decrease in net book value arising on revaluation of fixed assets shall be charged to income
and expenditure account under the head "Loss on Revaluation of Fixed Asset".
(2) If the fixed assets are revalued, depreciation shall be provided on the basis of the revalued figures and the
amount of additional depreciation arising due to revaluation of asset shall be transferred to the income and expenditure
account from revaluation reserve account.
143. Depreciation on fixed asset.–(1) Depreciation shall be charged on each individual fixed asset other than land,
which is a part of the group of assets listed in Schedule IV and the depreciation on the respective asset shall be charged
on a straight line basis as per the rates prescribed in column (5) of the said Schedule.
(2) On any addition to fixed assets made during the year, full depreciation shall be charged irrespective of the date
on which the asset is installed or put to use and no depreciation shall be charged in the year in which the asset is sold,
discarded, scrapped, demolished or treated as obsolete or condemned.
(3) Depreciation provided in the financial statements shall be duly recorded in the fixed asset registers and the
balance in the respective ledger accounts shall be tallied and reconciled at least once a year.
(4) No depreciation shall be provided on land, as the same is non-depreciable asset.
(5) All assets or group of assets costing less than five thousand rupees shall be depreciated at hundred per cent. in
the year of purchase:
Provided, such assets shall also be recorded in the fixed assets register at a depreciated value of one rupee per
such asset.
144. Disposal of fixed asset. – Fixed assets may be disposed of by way of transfer or disposition or retirement of
the asset and the surplus or deficit, if any, on disposal of fixed asset with reference to the Written Down Value shall be
transferred to the income and expenditure statement.
145. Physical verification of fixed assets.– The authorised officer shall carry out physical verification as per the
fixed asset register at least once during the year and the balance as per physical count if found correct shall be certified
by him and any discrepancy found shall be reported to the Chief Executive Officer, for appropriate action as per
procedure given in rule 203.
CHAPTER XV
INVESTMENTS
146. Investments.–Investments shall be made in the manner provided in the Act and in accordance with the policy
made by the Board from time to time.
147. Maintenance of investment registers.–The Board shall maintain an investment register in Form 40M
showing all investments held by the Board and details of investment made from cantonment fund, cantonment
development fund including its component parts, earmarked funds and specific grants shall be recorded in the investment
register and the investment register shall be kept in the personal custody of the Head of Accounts and the register shall be
regularly updated in respect of additions to or disposals of the investments.
148. Accounting procedure.–(1) All investments are initially recognised at cost and the cost of investment shall
include cost incurred in acquiring the investment and other incidental expenses incurred for its acquisition.
(2) Long-term investments shall be valued at cost, including acquisition charges such as fees, brokerage and duties,
and if there is any decline in the value of investment which is considered to be other than temporary in nature, it shall be
reduced from the cost of investment and shall be debited to the income and expenditure account and any appreciation in
market value of both short-term and long-term investments over the cost of investments shall be ignored.
(3) If the appreciation is in respect of investments for which provision for diminution in value or fall in value was
made in earlier years, the value of the said investments shall be appreciated by an amount not greater than the provision
for diminution or fall in value made in earlier years.
149. Accounting of investments - Incomes and gain or loss.–(1) Interest on investments shall be recognised as and
when due, and shall be accrued proportionately at the end of each financial year and nothing of the interest
accrued shall be made in the investment register.
(2) Investments may be held to maturity or may be disposed of before the maturity date and on disposal of
investment, the profit earned or loss incurred shall be recorded as income or expenditure in the income and expenditure
account and in case of cantonment development fund investments or grant–in-aid investments, the profit realised or loss
incurred shall be adjusted in the cantonment development fund or grant–in-aid account.
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150. Physical verification of investments.–(1) At least once during the year and at the end of the financial year,
the Head of Accounts shall conduct physical verification of investments and reconcile the same with the balance as
shown in the investments register and the balance in ledger accounts.
(2) Each of the investment certificate or instrument or document shall be verified by the Head of Accounts to
confirm that the investment stands in the name of the Board and he shall also verify whether the interest or dividend is
actually received as per the terms of the agreement.
(3) Head of Accounts shall submit a report to the Chief Executive Officer, certifying therein that there is no
discrepancy in the investments made by the Board and in case any discrepancy is found, the details thereof shall be
reported to the Chief Executive Officer for appropriate action as per procedure given in rule 203.
CHAPTER XVI
INVENTORY
151. Stock book.– The functions relating to inventory, involving procurement, storage, issue, disposal and
accounting thereof shall be under the charge of the Head of Stores Department and the Head of Stores Department shall
maintain the record of each kind of inventory department-wise, on separate pages in the stock book, which shall be
maintained in Form 41M.
152. Procedure for receipt of inventory.–(1) The Head of Stores Department may authorise an official of the stores
department to perform the duties of store keeper.
(2) Items of inventory delivered to the stores which are giving reference of purchase order or indent issued by an
authorised officer of the Board shall be accepted by the store keeper and upon receipt of materials, the Head of Stores
Department shall have the same inspected, measured and verified as required and thereafter the delivery challan
forwarded by the person delivering the goods shall be acknowledged by the Head of Stores Department.
(3) Where inspection and measurement of the goods delivered is likely to take time, a noting that ‘the goods are
accepted subject to verification’ shall be made on the delivery challan by the store keeper.
(4) Upon receipt of inventory, the storekeeper shall prepare a material receipt note in Form 42M.
(5) The material receipt note shall be prepared in quadruplicate, two copies being forwarded to the department
indenting or ordering the inventory, third copy being sent to the supplier and the fourth copy being retained in the stores
department.
(6) Where certain items of fixed assets are delivered by the supplier to the Head of Stores Department, the fact shall
be noted on the material receipt note and in addition to the procedure described above, the following steps shall be taken,
namely:–
(a) a copy of the material receipt note shall be forwarded directly to the Head of Accounts to enable the
recording of entry for capitalisation of fixed asset at the appropriate time by the Head of Accounts;
(b) an entry in regard to the fixed asset held in custody of stores shall be separately made in the stock
book, making a clear noting that the said item being part of fixed assets shall not be included in the
periodic listing of inventory.
153. Scrutiny of bills.– The supplier of materials shall submit the bill to the Head of Accounts and on making the
entry of such bill in the register of bills in Form 23S as specified in rule 77, the Head of Accounts shall forward the
supplier’s bill to the authorised officer who ordered or indented the inventory and thereafter, authorised officer shall
verify the supplier's bill and relevant material receipt note forwarded to him by the Head of Stores Department in
accordance with the provisions of sub-rule (5) of rule 152 after being satisfied about the receipt of appropriate material at
appropriate rate, he shall,–
(a) affix a rubber stamp on the material receipt note and suppliers bill giving cross-references of the indent
or order number, material receipt note number and supplier’s bill number;
(b) forward to the Head of Accounts, with a copy to Head of Stores Department, the duly approved
suppliers bill along with material receipt note stating as follows:
“It is hereby certified that the inventory referred to in material receipt note number __ and in
suppliers bill number __ is in accordance with the quantity, specifications and other terms mentioned
in the purchase order number ___ and may accordingly be processed for payment”.
154. Issue of material.–(1) Issue of material shall be made only on receipt of material requisition note in Form
43M and the requisition prepared by the authorised officer of the requisitioning department shall be presented in
duplicate to the store keeper for issue of inventory.
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(2) The person drawing the requisition shall indicate in the requisition the person to whom the inventory is to be
handed over and copy of the material requisition note should be retained by the concerned department.
(3) If the inventory as specified in the requisition is available in the stores, it shall be issued on the basis of an
authorisation by way of material issue note in Form 44M signed by the Head of Stores Department.
(4) At the time of handing over the material, acknowledgement of the person who is taking delivery of the item
shall be obtained on two copies of the material issue note and an acknowledged copy of the material issue note shall be
returned to the requisitioning department for their record and the material issue note shall carry a noting made by the
stores department of the balance in stock of the said item of inventory after the issue of quantity referred to in the said
material issue note.
(5) If the materials as specified are not available in the stores, the Head of Stores Department shall return the
material requisition note to the issuing department with a noting "not in stock".
(6) When any articles are sold to the public or used on works done for private persons, the entry in column (14) of
Form 41M shall clearly indicate to whom the articles have been sold or on what particular work they have been used, and
necessary references shall be given in the remarks column to admit the recovery or adjustment of the cost being traced to
the appropriate account.
155. Return of material.–(1) If the inventory supplied is found to be defective or not in accordance with the terms
specified in the agreement, the Head of Stores Department shall return it back to the supplier concerned without taking
the material in stock book and if the material receipt note has already been issued, the material will be returned along
with a letter stating therein the reasons for the return of such materials.
(2) The material receipt note already issued shall stand cancelled in such a case and suitable noting to that effect
shall be made on the office copy of the material receipt note and the details of the materials returned shall be
communicated by Head of Stores Department to the Head of Department who had ordered or indented the material and to
Head of Accounts.
156. Annual physical verification of inventory.–(1) The physical verification of all items of inventory shall be
carried out on the last day of the financial year and at such other time intervals as the Chief Executive Officer or Board
may decide and the verification shall be carried out by the Head of Stores Department in the presence of official from
accounts department as designated by the Chief Executive Officer for the purpose.
(2) The Head of Stores Department and authorised officershall jointly certify the correctness of the stock book
balance with the inventory physically verified and in case of any discrepancy, the details shall be put up to the Chief
Executive Officer for his necessary action.
(3) Stores shall be reconciled with the balances as per the stock book and nominal discrepancies identified shall be
rectified and incorporated in the stock book after the approval of the Chief Executive Officer.
(4) The authorised officer shall also carry out verification to identify obsolete, damaged, condemned, non-moving
or slow-moving items and report shall be prepared of such items at least once every year and decisions in regard to action
to be taken shall be arrived at by a committee constituted by the Board for the purpose.
(5) The value of physically verified closing stock shall be incorporated in the financial statements.
157. Accounting and recording procedure.– (1) An entry recording receipt of inventory shall be made in the
stock book on the basis of the material receipt note after the authorised officer of the indenting department certifies the
correctness of the inventory so received in the manner specified in clause (b) of rule 153.
(2) An entry for issue of the item of inventory shall be made in the stock book at the time of issue of material and
the entry shall be as per the material issue note authorised by the Head of Stores Department as specified in sub-rule (3)
of rule 154.
(3) Any item of inventory received free of cost by the Board shall be recorded at one rupee in the stock book and all
other articles shall be recorded on the basis of actual cost in accordance with provisions of sub-rule (1).
(4) When the authorised officer of the department indenting or ordering the material sends the duly approved
supplier’s bill as specified in rule 153, the accrual of expenditure shall be recorded as per the procedure provided in
Chapter IX.
(5) Suitable adjustment in value in respect of damaged or deteriorated and slow moving items identified and
reported in accordance with provisions of rule 156 shall be made in the stock book by the Head of Stores Department
with due authorisation of the Board in regard to such adjustment.
(6) Where the Committee has recommended write-off of any damaged or deteriorated goods, the entry to write-off
such sum shall be passed by the Head of Accounts only after approval of the Board.
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158. Valuation of closing stock at period-end.– (1) The inventory held shall be valued in accordance with the first
in-first out method at cost or market value, whichever is less.
(2) At the end of every year, the Head of Stores Department shall send a report of closing stock in Form 45M and
the said report shall be sent to the Head of Accounts and the Chief Executive Officer, within a period of three weeks from
the close of the financial year.
CHAPTER XVII
CASH AND BANK
159. Definitions.– In this Chapter, unless the context otherwise requires, “cash” includes money in any form and
comprises cash in hand and demand deposits with banks.
160. Custody of cash.– The cash that shall be received in the custody of the Board shall be kept in a strong box, the
keys of which shall be kept in the custody of the cashier or authorised officer.
161. Accounting and recording procedures.–(1) All money received by the Board shall be acknowledged by a
receipt issued on behalf of the Board.
(2) Where the money is tendered to an authorised official at an office of the Board, where the receipt of money is
immediately recorded through the Accounting Software System, the receipt shall be issued in Form 46S through the
system and in all other cases, including where money is tendered to tax collectors or other authorised officials in the
field, the receipt shall be issued in Form 15M.
(3) Three copies of the said receipts shall be prepared, the first copy to be handed over to the payer, second copy to
be attached to the challan submitted to the cashier in accordance with the provisions of rule 162 and third copy shall be
retained in the receipt book and all three copies of the receipt shall be signed by the tax collector or the authorised officer
in token of receipt of the money.
(4) Entry in respect of receipt of cash or bank shall be passed when money is received in cash or by cheque or by
credit into the bank account of the Board which shall include sums received through Electronic Clearance System (ECS),
payment gateway, bank advice, etc:
Provided that the payment received against demand based on property assessment shall be automatically linked
with the cantonment board accounts while for other receipts, suitable steps shall be taken for reconciliation of bank
receipts with the Bank Book of the Board.
(5) The Head of Revenue shall monitor that the amounts so received as taxes or charges, as are recorded through the
accounting software system are suitably reflected against the demand from individual taxpayers as recorded in the
demand and collection register for the taxes or charges.
(6) Where a cheque received by the Board is dishonoured by a bank on presentation, the fact shall be reported at
once, to the tenderer of the cheque with a demand for payment in cash and the Head of Accounts shall pass a reversal of
the entry for collection of cheque and shall also intimate the Head of Revenue who shall monitor that the effect of such
reversal is suitably reflected in the demand and collection register:
Provided that the Board shall not accept any liability for loss or damage which may possibly occur as a result of
delay in intimating that the cheque has been dishonoured.
(7) Entry in respect of payment of cash or from bank shall be passed as and when any payment by cash or cheque or
advice has been approved by the authorised officer and the voucher forwarded to the cashier for disbursement or
payment.
(8) Entry for recording deposit of cash into bank, withdrawal of cash from bank and for transfer from one bank
account to the other shall be recorded on the basis of contra voucher in Form 12S as specified in sub-rule (3) of rule 43
and the entry shall be recorded on the same day the money is withdrawn, deposited or transferred from the bank.
(9) Entry for recording deposit of cash or cheque into the bank shall be made by the cashier at the time of sending
the same for deposit into the bank and upon passing such entry, the Accounting Software System shall generate a pay-in-
slip in a format acceptable to banks and counterfoil of such pay-in-slip duly acknowledged by the bank shall be kept in
the custody of the cashier.
162. Procedure where cash is collected by tax collectors.–(1) The tax collectors shall enter all the details relating
to every receipt, namely, for both tax and non-tax revenue items in the Accounting Software System separately and
obtain from the system the challan in Form 47S evidencing remittance of money to the Board at the end of the day and
shall submit the actual receipts issued by them in Form 15M to the cashier and the cashier shall verify that the details in
the challan regarding the amount, receipt number, etc., are in agreement with the actual receipts submitted by the tax
collectors before giving acknowledgement of receipt on the challan in Form 47S.
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(2) Any cancelled or unusable receipts shall also be submitted to the cashier and he shall ensure that the same are
noted and eventually destroyed as per the prescribed procedure.
163. Accounting for payments.– The entry for payments shall be made by credit to the cash or bank account and
debit to the payee's account and an expense account may be debited directly only when payment is made in accordance
with the provisions of Chapter IX.
164. Reversal of stale cheque.– When any amount drawn in cash or cheque remains unpaid owing to the absence
of the payee or otherwise, a report of such cheques remaining unpaid for a period exceeding sixty days shall be prepared
by the cashier from the reconciliation statement in Form 48S and presented to the Chief Executive Officer every month
and in all such cases of unpaid cheques, the entry in the bank account shall be reversed by the amount being transferred
to a `Stale Cheque Account' and when a fresh cheque is issued, the Stale Cheque Account shall be debited.
165. Responsibility for maintenance.–(1) The cash and bank book though maintained by the cashier, its proper
maintenance shall be the responsibility of the Head of Accounts or such other authorised officer as specified by the Chief
Executive Officer.
(2) The Head of Accounts shall count the cash on hand at least once a week and the balance as per actual count
shall be compared with the cash book balance and upon verification, the balance of cash on hand shall be certified by
him; and excess or deficit, if any, noted and reported to the Chief Executive Officer.
(3) The Chief Executive Officer shall carry out at least four times each year a surprise check of the cash book
balance and the cash balance as per actual count and shall record a certificate of verification under his signature below
the last entry in the cash book when such verification was carried out.
(4) The Chief Executive Officer or authorised officer shall also verify at the end of the month that the cash balances
maintained are appropriate and that money received by the Board is deposited into the bank in a timely manner.
CHAPTER XVIII
PERMANENT ADVANCE
166. System of permanent advance.– (1) Payments in respect of expenses incurred for the Board are generally
made by cheque or Electronic Clearance System in accordance with the procedure laid down in Chapter IX, provided,
this procedure shall not be applied where,-
(a) expenditure is very small and is treated as petty expenditure; and
(b) expenditure is to be incurred by the Heads of Department and the processes laid down cannot be
followed because of operational reasons.
(2) To enable the smooth functioning of the activities of the Board the system of permanent advance to authorised
officials may be followed as specified in rules 167, 168 and 169.
167. Contingent expenses and charges.– For certain expenditure to be incurred for the Board, where the amount
and the payee for such sum cannot be determined in advance, the authorised officer shall be entitled to incur such
expenditure out of advance paid to him in his personal name.
168. Procedure for permanent advance.–(1) An advance paid to the Chief Executive Officer or an authorised
officer to meet certain contingent expenses and charges of the Board shall be referred to as a permanent advance.
(2) Payment of permanent advance to the Chief Executive Officer may be made, as follows:-
(a) in case of Category I and II Cantonment Boards, an advance upto an amount of one lakh rupees; and
(b) in case of Category III and IV Cantonment Boards, advance upto an amount of fifty thousand rupees.
and such advance may be authorised by the Board in response to a written request by the Chief Executive Officer and
such request shall mention the purpose for which the permanent advance is required and the normal time within which
the said advance shall be adjusted..
(3) The Chief Executive Officer may approve a permanent advance to an authorised officer of a sum not exceeding
twenty five thousand rupees, taking into consideration the nature of his duties and requirements and upon such approval
being granted, the Chief Executive Officer authorising payment of permanent advance shall forward a copy of the
authorisation to the cashier who shall make an entry in the register of permanent advances in Form 49M and thereafter
the cashier shall disburse the sanctioned amount to the authorised officer and the permanent advance so authorised, shall
be paid in the name of the official seeking the advance and shall be duly dated and acknowledged by the official
receiving it.
(4) Each holder of a permanent advance shall, on first receiving it, and thereafter, on the 1st of April every year sign
an acknowledgement in regard to the amount held by him on permanent advance account and in case he has made some
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payments on account of the Board, the balance actually held by him and the balance in permanent advance account shall
be reconciled by him and the cashier.
(5) The authorised official who is in receipt of a permanent advance shall maintain a record of each payment made
by him from his permanent advance, and shall, preserve all sub-vouchers and receipts in support of the payment, to each
of which he shall assign a serial number.
(6) At the earliest possible time, and in any case, before the end of each year, the officer in receipt of the permanent
advance shall render a full account to the cashier or Head of Accounts along with the receipts, sub-vouchers, etc.,
referred to above and such statement shall be from the date of the last such statement submitted by him to the date of
submission of the statement and the Head of Accounts on being satisfied about the correctness and adequacy of the
receipts and vouchers submitted by the officer, shall record the repayment of whole or part of the permanent advance in
the register of permanent advances.
(7) Unless the authorised officer is to transfer or relinquish the charge held by him, or wishes to surrender the
permanent advance granted to him, the cashier shall disburse to the authorised officer the amount by which the
permanent advance was reduced upon acceptance of the expense vouchers and he shall accordingly restore the balance in
the permanent advance account of the said authorised officer to the sum sanctioned as a permanent advance to that
authorised officer.
169. Accounting and recording procedure.– The permanent advance when first drawn shall be charged in the
cash book to the head "Permanent Advances" and shall be debited to the Secondary Object Code Account of the
authorised officer to whom the advance is paid.
CHAPTER XIX
LOANS AND ADVANCES TO STAFF
170. Application.– This Chapter shall apply to advances made to the staff as a welfare measure and not to
permanent advance and provident fund advance which are dealt with by Chapter XVIII and Chapter XI, respectively.
171. Accounting and recording procedures.–(1) Loans and advances paid or payable shall be recognised as and
when sanctioned and they shall be accounted as assets of the Board.
(2) Where interest is chargeable on the advance to staff, the same shall be recognised as income of the Board for the
respective year; even if the same is not due for recovery from the employee in the said year.
172. Recovery of advance.– The recovery of loans and advances given to employees shall be made from their
monthly salary and the amount recovered along with interest, as recorded in the monthly pay bill shall be adjusted against
the advance made to the employee and the record of such loans and advances to employees and the recovery thereof, as
well as procedures applicable thereto, shall apply mutatis mutandis in accordance with the provisions of rule 106.
173. Year-end procedures.– At the end of the year, details of individual balances in respect of advances to staff
shall be taken and reconciled with the total of advances to staff as per the primary object code balance and upon
reconciliation of the same, the amount outstanding from each employee shall be furnished to the employee.
CHAPTER XX
GRANTS-IN-AID
174. Bank accounts.– A separate bank account shall be opened in the case of each grant–in-aid received by the
Board for execution of any specific project or plan or scheme.
175. Receipt of grants–in-aid.– (1) Grant–in-aid received or receivable shall be recorded in the books by Head of
Accounts as and when the sanction orders in respect of them are issued and the grant–in-aid amount is received or is
likely to be received.
(2) Ordinary grants–in-aid, which are of revenue nature, shall be recognised as income of the Board.
(3) Grant–in-aid received or receivable in respect of specific revenue expenditure shall be recognised as income in
the accounting period in which the corresponding revenue expenditure is charged to the income and expenditure account
and in accordance with the conditions attached with the grant–in-aid.
(4) Grants–in-aid towards capital expenditure shall be treated as a liability till such time that fixed asset is
constructed or acquired and on construction or acquisition of a fixed asset out of grant–in-aids received, the value of the
asset so constructed or acquired shall be capitalised under the respective head to the extent of the amount of grant–in-aid
utilised and the grant–in-aid earlier reflected as a liability shall also be correspondingly transferred to the cantonment
development fund (utilised)or to the cantonment fund, as the case may be.
188 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

(5) Unspent balance, if any, remaining after completion of the objective for which the specific grant–in-aid, shall
be transferred to the cantonment fund unless such unspent balance is required to be refunded to the grantor:
Provided that unspent balance, if any, of the grant-in-aid received from the Central Government shall be
refunded forthwith after completion of objective.
176. Expenses out of grants–in-aid.– Any expense incurred out of grant–in-aid shall be recorded in the books of
account as per procedure prescribed in Chapter IX and the payment voucher should mention the grant against which such
expenditure is incurred.
177. Interest earned from temporary investments out of grants.– The provisions of section 120 of the Act,
where applicable, shall first be applied in the manner as mentioned therein and where not applicable, income earned out
of investments made from unutilised grant money, shall be credited to a separate income account, except where specific
condition in regard to treatment of such income has been laid down by the grantor.
178. Write off of grant–in-aid receivable.– Grants-in-aid recognised as receivable but not received shall be
reviewed each year and the Board may consider writing-off the grants-in-aid that have been recognised as receivable on
the basis of the grant-in-aid sanction order but has remained outstanding for a period exceeding three years.
179. Refund of unutilised grant.– The unspent or unutilised balance of grant-in-aid may be required to be refunded
or may lapse though sanctioned and the entries initially recorded to recognise the grant-in-aid shall be reversed in the
year when the lapsing or refund of grant becomes certain.
CHAPTER XXI
SECURITY DEPOSITS AND OTHER DEPOSITS
180. Deposits.–(1) The deposits received by a Board may be classified as-
(a) short-term deposits such as earnest money deposit and hall booking deposit; and
(b) deposits taken for a longer period such as water connection deposit and security deposit.
(2) Deposits shall usually be received in cash or by demand draft (hereinafter referred to as cash deposits) and in
case of certain contracts, deposit by modes other than cash or demand draft may also be permitted by the Board and in
such cases, the depositor may furnish to the Board, permitted securities in lieu of deposit (for example- bank fixed
deposits, etc.).
(3) Particulars of cash deposits received shall be maintained by the Board in Form 50S and receipt of non-cash
deposit furnished to the Board by way of securities including bank fixed deposits, shall be acknowledged and the
particulars of such security received recorded in a register maintained in Form 51M.
181. Accounting and recording procedure.–(1) Upon acceptance of any cash deposit, a receipt shall be issued in
accordance with the procedure prescribed in rule 180.
(2) All such deposits are recorded as a current liability under the head “Deposits” and further classified into the
appropriate detailed head.
(3) Upon condition of deposit being fulfilled, the amount repaid to the depositor shall be entered in the same
account so that the amount in that account is squared off.
182. Short-term deposits.–(1) Each category of short-term deposit shall be recorded in Form 50S under separate
Minor Head code and further by way of a Secondary Account Code.
Example.– Tender deposits for purchase of stationery shall be recorded as a separate Minor Head code
from tender deposits received from a civil contractor carrying out a painting job.
(2) The earnest money deposit which is initially received in short-term deposit account of the tenderer who is
awarded the contract may not be required to be repaid and in such case, this amount shall be transferred to the security
deposit account by passing a journal entry, if so decided.
183. Other deposits.– The register in Form 50S shall contain details such as the type of deposits received,
particulars of, work order number, water meter and property against which deposit is received, conditions of the deposit,
date and due date of repayment; and separate pages shall be set apart for different classes of deposit.
184. Refund of deposit.–(1) Security deposit shall be returned to the depositor or contractor, according to the terms
and conditions of the agreement and only after the satisfactory completion of the work to the full satisfaction of Chief
Executive Officer or the authorised officer.
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(2) Depositor seeking refund of the deposit shall furnish the original deposit receipt to the cashier and at the time of
authorisation of refund by payment voucher, the Head of Accounts shall verify that the amount is actually outstanding
and the amount shall be refunded after obtaining approval from the Chief Executive Officer.
(3) The cashier shall at the time of issuance of refund, record the words "refund issued on _______ (date)” and
record particulars of the payment of refund on the face of the deposit receipt, which shall be attached to the copy of the
payment voucher.
(4) In case of return of non-cash deposits, the cashier shall at the time of release of the security deposited, record the
words "securities deposited released on ______ (date)” on the acknowledgement obtained from the depositor and he shall
make an entry in the remarks column of the register maintained in Form 51M giving reference of the acknowledgement
so obtained and the name of the person to whom the security was released.
185. Time barred and unclaimed deposits.–(1) If the deposit, which is refundable, is not claimed for three
complete financial years after the repayment of such deposit is due; such deposit shall be treated as lapsed and transferred
to the credit of the cantonment fund under the head Lapsed Deposit account.
(2) At the end of each year, the Head of the Department concerned shall prepare a list of all lapsed deposits and
forward it to the Head of Accounts and upon being satisfied that the depositor has actually not claimed the amount for
three complete accounting years, the Head of Accounts shall, on authorisation from the Chief Executive Officer,
recognise the income by passing necessary journal entry.
(3) The deposits credited to the Board’s revenues shall not be repaid without the sanction of the Board and when so
repaid, the entry for the repayment shall be made by the cashier by debiting to the Lapsed Deposit Repaid account as an
expenditure of the current year.
186. Register of bank guarantees received.– The register of all bank guarantees received by the Board shall be
maintained by the cashier in Form 52M and the nature of bank guarantee, the period of its validity, its major conditions,
if any, the purpose or work order against which it is received and other details relating to the same shall be recorded in
the said register.
CHAPTER XXII
PERIOD END PROCEDURES
187. Daily procedures.–(1) The cash and bank book shall be posted and balanced daily and the closing cash and
bank balance of the day shall be carried forward to the next day as opening balance for that day.
(2) The cash and cheque collection shall be remitted to the Accounts Department and deposited with the bank and
the amount collected shall be remitted or deposited on the same day or if that is not possible, on the next working day and
if the Board maintains bank accounts in more than one location, it shall be ensured that the funds are transferred to the
main bank account at such periodicity as may be specified by the Board.
(3) The Head of Accounts shall carry out a verification of number of receipts issued each day as reported by the
collection centre with challan and cash or cheque deposited with the cashier and he shall make noting of the same in
remarks column of the cash book at the end of the day where the balance for the day is drawn up.
188. Month end procedures.–(1) The bank reconciliation shall be carried out as provided in Chapter XXIII on a
monthly basis for each of the bank accounts maintained by the Board and the same shall be signed by the Head of
Accounts and Chief Executive Officer every month.
(2) The Head of Accounts shall print the classified abstract in Form 53S and present the same to the Chief
Executive Officer.
(3) Where the Board is raising a periodic demand for water charges, the Head of Revenue Department shall upon
the demand being raised with the approval of the Chief Executive Officer, record the amount demanded in the water
charges demand, arrears and collection register in Form 54M and at the end of every month, based on information made
available by the cashier, the authorised officer from the revenue department shall record in the appropriate columns of the
said Form, the sums collected during the month against the water charges demanded.
(4) The entries in the ledger accounts from the cash book, bank book and the journal book shall be scrutinised at
least once in every month by the Head of Accounts or other authorised officer and necessary rectification entries shall be
passed immediately in respect of any errors that come to light.
(5) A printout of the trial balance shall be taken from the Accounting Software System in Form 14S at least at the
end of every month and the hard copy shall be presented to the Chief Executive Officer under the signature of the Head
of Accounts and the Chief Executive Officer, after satisfying himself about the correctness of the transactions reflected,
shall initial each page of the trial balance and return the approved copy to the Head of Accounts for being filed and
maintained.
190 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

(6) Appropriate measures shall be taken to ensure the integrity and security of software as well as the accounting
data and the authorised officer shall take and maintain backup files at least on monthly basis and ensure the proper and
secure storage of the said data in accordance with directions issued by Director General from time to time.
(7) In addition, period end procedures that are required to be performed at least at the end of the month are listed
below-
(a) payment of pension contribution, provident fund contribution, leave salary contribution; etc., in
respect of employees on deputation;
(b) one half of the salary of the Chief Executive Officer shall be remitted by the Board to the Central
government; and
(c) payment of Government dues for example- cess, royalty, etc., if any.
(8) The Chief Executive Officer shall also carry out surprise physical check of actual cash with the cash balance
shown in the General Cash Book at least twice in each month in the manner provided in sub-rule (4) of rule 41.
189. Quarterly procedures.–(1) At the end of each quarter, the Head of Stores Department or the authorised
officer shall prepare a report of closing stock in Form 45M from the entries made in the stock book for the stocks held in
the stores and receipts and issues made for various purposes.
(2) The Board shall also prepare the financial statements like the balance sheet, income and expenditure statement,
and receipts and payments account at the end of each quarter.
(3) In addition, period end procedures that are required to be performed at the end of each quarter are listed below,
namely:-
(a) reconciliation of deposits, advances, receivables and incomes with respective ledgers accounts and
registers;
(b) accrual of interest on borrowings, wherever applicable; and
(c) accrual of interest on advances and investments, wherever applicable.
190. Half yearly procedures.– The following half yearly procedures shall be carried out by the Board, namely:-
(a) recording of provision for claim bills entered in register of bills but remaining unpaid pending
approval; and
(b) reconciliation of work-in-progress account with relevant items as appearing in fixed asset register
in Form 38M and relevant completion certificates issued during the year in Form 36M.
191. Annual procedures.–(1) All the period-end procedures, including the passing of adjustment entries performed
at the end of each quarter shall also be performed at the end of each accounting year and in addition to that, further
period-end procedures required to be performed at the year end have been stated in the succeeding sub-rules.
(2) The physical verification of stores and consumables shall be carried out on the last day of the accounting year in
the manner specified in rule 156.
(3) The authorised officer shall carry out physical verification of fixed assets on the last day of the accounting year
in the manner specified in rule 145.
(4) At the end of the year, the Accounts Department shall obtain a confirmation of balance amount from all persons
to whom permanent advances have been sanctioned.
(5) The Head of Accounts shall carry out a detailed scrutiny of all ledgers to verify that all entries necessary to
record the transactions of the Board during the financial year and to reflect the true and fair picture of the income and
expenditure and assets and liabilities of the Board have been correctly effected and wherever any provision or write-off is
considered necessary and appropriate as per the rules, or where any error or deficiency in regard to the entries made in
the books of account comes to his notice, he shall pass necessary rectification entries immediately.
(6) In addition to sub-rule (5), the Board shall create provision for depreciation on various types of assets in
accordance with the rates specified in Schedule IV and shall disclose the Policy in this regard in the financial statements.
(7) The Board shall also prepare the financial statements like the balance sheet, income and expenditure statement,
and receipts and payments account for the financial year.
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CHAPTER XXIII
BANK RECONCILIATION STATEMENT

192. Preparation of bank reconciliation statement.– Bank reconciliation is a procedure by which the cashier
shall reconcile the bank balance as shown in the bank book of the Board with the bank balance as per the pass book or
statement received from the bank and bank reconciliation statement for each bank account of the Board shall be prepared
every month by the cashier in Form 48S as per the procedure prescribed in this Chapter.

193. Procedure.–(1) It shall be the duty of the cashier to close and balance the bank book on a daily basis and he
shall as far as possible obtain daily bank scrolls (i.e. the bank's record of the transactions between the bank and the Board
for receipts and payments at any particular date) and the bank statement for each bank account of the Board shall be
obtained each month.

(2) If there is a difference between the balance as per the bank statement and balance as per books at the end of each
month; then the entries in the bank scrolls or bank statement shall be checked with the entries in the bank book and in
checking these items, the cashier shall check entries not just by amount but also taking into consideration the cheque
number, entry number, or name of the payee or payer, etc.

(3) The cashier shall first compare the entries in the bank book with the entries in the bank statement and the items,
which match, shall be suitably marked in the Accounting Software System and thereafter the following process shall be
followed, namely:-

(a) the unmarked items shall first be listed and a printout of such items be taken from the Accounting
Software System;

(b) the items in the said list shall then be compared with the unmatched items reflected in the preceding
months reconciliation statement and those items from the preceding months reconciliation statement
that are matched shall also be suitably marked in the Accounting Software System and the
corresponding items marked off from the reconciliation statement of the preceding month;

(c) a fresh list of unmarked and unreconciled items shall be obtained and the cashier shall scrutinise the
list and identify the additional entries to be made, based on inputs obtained in regard to some of the
unmatched entries and where certain entries appearing in the bank statement but not recorded in the
bank book of the Board indicate need for immediately recording such entries, effect will be given
by passing these entries forthwith;

(d) based on the entries specified in clause (c), a fresh list of unmarked and unreconciled items shall
once again be obtained from the Accounting Software System and these items remaining unmarked
shall then be suitably classified as provided in the Accounting Software System;

(e) upon the correct classification of all such unmarked items appearing in the bank book or in the bank
statement, the reconciliation statement shall fully reconcile the balance as reflected in the bank book
of the Board with the balance as shown in the bank statement;

(f) the cashier shall present such tallied reconciliation statement in regard to each bank account of the
Board to the Head of Accounts within two weeks from the end of the month;

(g) where any reconciliation item remains uncleared in the bank reconciliation statement of the Board
for more than four months, the cashier shall prepare a list of such items giving therein full
particulars and suitable explanation for the items remaining uncleared;

(h) where the cashier considers it necessary to reverse the entry remaining uncleared in the bank
reconciliation, such a recommendation shall be made in the statement and the said statement shall
be forwarded to the Chief Executive Officer, who if satisfied, shall authorise such reversal entry or
other appropriate action to be taken and on the basis of the said authorisation, the cashier shall take
necessary action and pass the necessary reversal entries.
192 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

CHAPTER XXIV
FINANCIAL STATEMENTS
194. Introduction.–(1) Financial statements prepared by the Board shall provide information about the financial
position, performance and cash flows of the Board and the financial statements shall comprise the following, namely:-

( a ) Balance Sheet;
( b ) Income and Expenditure Statement;
( c ) Receipts and Payments Account;
( d ) Disclosure of significant accounting policies;
( e ) Notes to Account; and
( f ) such other statements as may be specified by any law for the time being in force to regulate
disclosure of financial and other information by the Board.
(2) The following financial statements shall be prepared in the Form prescribed under column (2) of the Table
below and these financial statements shall be prepared by the Head of Accounts at the end of every accounting period
and for such other period as may be directed by Director General.

Financial Statement Form Number Purpose

(1) (2) (3)

Balance Sheet 55S Discloses the financial position of the Board as at a given date
Income and Expenditure 56S Discloses the income and expenditure for that period derived on
Statement an accrual basis i.e. income earned during the year whether
actually received or not and all the expenditure incurred
whether actually paid or not

Receipts and Payments 57S Discloses the actual funds received and the amount spent
Account during the accounting periods. It is based on actual receipts in
cash and bank, and actual payments effected, and is similar to
the cash based system followed hitherto

Schedules to the - Discloses the further break-up (up to Detailed Head code) of
financial statements any account head appearing in the financial statements.
Such schedules may be appended to the financial statements of
a Board whenever required or considered necessary.

Notes to accounts - Discloses the other significant matters considered necessary to

disclose in order to give a clearer understanding of the financial
statements, and subsidiary reports, as required

Statement of significant - Discloses the important accounting policies followed by the

accounting policies Board for accounting for its transactions and in the preparation
and presentation of the financial statements

(3) The financial statements mentioned in sub-rule (2) shall be forwarded by the Board in duplicate to the
Controller of Defence Accounts for audit and furnishing a certificate of correctness.
Notes:
(1) Where considered appropriate, the income and expenditure statement may in addition to previous year's
figures, give the budgeted figures for the accounting period.
(2) The receipts and payments account shall give the actual figures for the period along with the
corresponding budgeted figures as specified in Form 57S.
(3) Refer to Appendix for preparation of opening balance sheet.
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195. Subsidiary reports.– Subsidiary reports and statements as required by the Act, rules made there under and
executive directions issued from time to time by the Central Government shall be prepared and annexed to the annual
financial statements prepared at the end of the financial year.
196. Other disclosures.– The Board may also provide other important financial information by way of disclosure,
such as-
(a) details of income, expenditure, receipt or payments out of grants;
(b) details of utilisation of funds under MPLADS or MLALADS;
(c) percentage of properties defaulting on property tax both in terms of number and value in comparison to
total properties and income earned.

CHAPTER XXV

AUDIT OF FINANCIAL STATEMENTS

197. Introduction.–(1) The financial statements of the Board prepared under these rules (including those relating to
the provident fund and the pension fund accounts of the Board) shall be audited by an Auditor and the cost of such audit
shall be paid by the Board.

(2) The audit shall be carried out for such period or periods as may be specified by the Central Government, which
shall, in no case, be greater than the period of a financial year:

Provided that fees for the audit of accounts of the Board by the Defence Accounts Department shall be charged
at the rates specified by Central Government from time to time and shall be assessed on the sanctioned strength of the
audit party and the number of days sanctioned for the completion of audit.

(3) The Board shall at the time of audit, produce all accounts, registers, documents and subsidiary papers which
may be required by the auditor to enable him to carry out the audit.

(4) All documents in the Form of Schedule I, II and III and all Forms numbered from 1S to 57S in schedule VI
under these rules shall be auditable.

198. Objection statements.– The audit enquiries issued by the auditor in the course of audit shall be returned to him
promptly and in any case before the close of audit, over the signature of the Chief Executive Officer, with explanations or
notes showing the action taken or proposed to be taken to settle the observations or objections raised and the Auditor
shall return for further action any of his observations or objections on which final or sufficient action has not, in his
opinion, been taken; and shall before concluding the audit bring them to the notice of the President.

199. Audit note.– If the objections or observations are not settled even after the explanations or clarifications
offered by the Chief Executive Officer with regard to any material issue, the officer carrying out the audit shall prepare
and submit an audit note to the Principal Controller of Defence Accounts, the Command and the Principal Controller of
Defence Accounts, the Command, shall forward a copy of the audit note along with his remarks to the President, and the
General Officer Commanding-in-Chief, the Command for necessary action.

200. Consideration of audit note.–(1) As soon as the audit note has been received in the office of the Board, the
same shall forthwith be taken into consideration and, the President shall convene a meeting of the Board to decide upon
the action to be taken in regard thereto and the action so taken shall be indicated in the form of a reply to the audit note,
which shall be sent to the Principal Controller of Defence Accounts, the Command, as promptly as possible at the latest
within one month of the date of receipt of the audit note and copy shall at the same time be sent, each to the Principal
Director and the General Officer Commanding-in-Chief, the Command and similar annotated copy shall be kept in the
office of the Board, and shall be placed before the audit officer at his next visit.

(2) In cases where, in the opinion of the Principal Controller of Defence Accounts, the Command, suitable action
has not been taken on the audit note, he shall send the case for orders, to the General Officer Commanding-in-Chief, the
command or, if the circumstances so warrant, to the Government as he thinks fit.
194 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

201. Audit report.–(1) The auditor shall, within a period of three months from the end of the financial year,
complete the audit, and prepare an audit report and the report shall mention or include the following, namely:-

(a) whether, in his opinion, proper books of account as required by the Act and rules have been kept by
the Board so far as it appears from his examination of those books;

(b) whether the Board's balance sheet, income and expenditure statement and receipts and payment
account dealt with by the report are in agreement with the books of account;

(c) whether the financial statements give a true and fair view-

(i) in case of the balance sheet, of the state of affairs of the Board as on the last day of the
financial year; and

(ii) in case of income and expenditure statement, of the surplus or deficit of the Board for the year
ended on that date.

(2) Where any of the matters referred to in clause (a) or (b) or (c) of sub-rule(1) is answered adversely or with
qualification, the auditor's report shall state the reason for the same and give the financial impact of such qualification.

(3) Where an audit note referred to in rule 199 has not been settled as on the date of audit report in regard to any of
the observations or objections contained in such note, the said note or a summary thereof, as may be considered
appropriate by the auditor, shall also be given as an annexure to the audit report.

(4) The audit report along with the annexures thereto and the financial statements dealt with in the audit report shall
be submitted to the President by the Chief Executive Officer along with a copy each to the Principal Controller of
Defence Accounts, the Command and to the Principal Director and the President shall thereafter convene a meeting of
the Board to consider and adopt the duly audited financial statements and such meeting shall be held not later than four
months from the end of the financial year or first month from the receipt of the audit report, whichever is later.

202. Infructuous expenditure.- Infructuous expenditure already incurred shall be allowed to stand in the accounts
but the irregularity in respect thereof shall not be condoned or recovery waived except with the previous sanction of the
Central Government:

Provided that,-

(a) where the amount of such expenditure does not exceed fifty thousand rupees in any individual case,
the irregularity may be condoned or recovery waived by the Principal Director; and

(b) where the amount of such expenditure exceeds fifty thousand rupees but does not exceed two lakh
fifty thousand rupees, the irregularity may be condoned or the recovery waived by the General
Officer Commanding-in-Chief, the Command.

203. Inquiry into losses.–(1) Whenever any material loss of monies, stores or other property of the Board, through
embezzlement, fraud, theft, or other cause is discovered, an investigation shall forthwith be made into the loss by the
Board or by some person appointed, by order, in this behalf by Board and if such loss incurred exceeds fifty thousand
rupees, the report of such investigation, shall be furnished with the Principal Director and a copy of the said report shall
also be forwarded to the General Officer Commanding-in-Chief, the Command.

(2) The General Officer Commanding-in-Chief, the Command, shall, if necessary,-

(a) arrange with the Principal Controller of Defence Accounts, the Command, for an expert
examination of accounts in connection with the loss;

(b) take such further steps as may be appropriate to the circumstances including recommending to
recover the money and to punish the offenders, if any;

(c) take steps to prevent recurrence of such losses.

(3) The action taken under sub-rule (1) shall not in any case debar the local authorities from taking any action which
may be deemed necessary.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 195

(4) Money, the value of stores or other property thus lost, shall not be written off in the accounts, except with the
previous sanction of the Central Government:

Provided that,-

(a) losses the amount of which does not exceed fifty thousand rupees in any individual case may be
written off as per directions of the Board, after obtaining final audit report from the Principal
Controller of Defence Accounts;

(b) losses exceeding fifty thousand rupees but not exceeding two lakh fifty thousand rupees in any
individual case may be written off as per directions of the Principal Director, after obtaining final
audit report from the Principal Controller of Defence Accounts;

(c) losses, the amount of which exceeds two lakh fifty thousand rupees but does not exceed five lakh
rupees in any individual case may be written off as per directions of the General Officer
Commanding-in-Chief, the Command, after obtaining final audit report from the Principal
Controller of Defence Accounts.

(5) Whenever there is an estimated loss of more than five lakh rupees, due to natural causes such as, fire, flood,
earthquake and landslide or due to man-made causes like theft and terrorist activity, intimation about such occurrence
and the loss shall be sent within forty-eight hours to the Central Government.

204. Irrecoverable items of revenue.–(1) Money due in respect of land rent (including house rent), sales of wood,
fruits, grass and miscellaneous contracts, which have been ascertained to be irrecoverable shall not be written off the
accounts except with the previous sanction of the Central Government:

Provided that,-

(a) any such irrecoverable amount which does not exceed twenty-five thousand rupees in any
individual case may be written off as per directions of the Board, after obtaining final audit report
from Principal Controller of Defence Accounts; and

(b) any irrecoverable amount which exceeds twenty-five thousand rupees but does not exceed one lakh
rupees in any individual case may be written off as per directions of the General Officer
Commanding-in-Chief, the Command, after obtaining final audit report from Principal Controller of
Defence Accounts.

(2) Licence fees which have been ascertained to be irrecoverable may be written off by the Board:

Provided that where the sum written off in favour of any one person exceeds five thousand rupees, the sanction
of the Board shall be first obtained, after obtaining final audit report from Principal Controller of Defence Accounts:

Provided further that where the sum written off in favour of any one person exceeds twenty-five thousand
rupees, the sanction of the General Officer Commanding-in-Chief, the Command shall be first obtained, after obtaining
final audit report from Principal Controller of Defence Accounts:

205. Remission of rent for land, etc.– Remission of money due in respect of land rent (including house rent), sale
of wood, fruits, grass and any other revenue from miscellaneous contracts may, for special reasons requiring alleviation
of hardship, such as the failure of crops, be sanctioned by the Board, up to a limit of twenty-five thousand rupees in any
individual case; by the General Officer Commanding-in-Chief, the Command, after obtaining final audit report from
Principal Controller of Defence Accounts, for any amount exceeding twenty-five thousand rupees but not exceeding two
lakh fifty thousand rupees in any individual case; and by the Central Government, for any amount exceeding two lakh
fifty thousand rupees.
196 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

SCHEDULE I
[see rules 16 and 197]
FUNCTION CODES
BASIC MAIN SUB- COMPOSITE
FUNCTION FUNCTION FUNCTION FUNCTION
CODE CODE CODE CODE
1 2 3 4 5 6 7
1 General Administration
1 Cantonment Board
9 Others 119

2 Chief Executive Officer

9 Others 129

3 Elections & Census

1 Elections 131
2 Census 132
9 Others 139

4 Finance, Accounts and Audit

1 Finance 141
2 Accounts 142
3 Budget 143
4 Audit 144
9 Others 149

5 City Planning
1 Town Planning and Layout 151
2 Building Permissions and Regulations 152
3 Survey of land 153
9 Others 159

6 Ward Administration
9 Others 169

7 Common Services
9 Others 179

8 Stores
9 Others 189

9 Others
9 Others 199
2 Taxes and Revenues

1 Collection of Taxes
9 Others 219

2 Collection of Miscellaneous revenue

9 Others 229

3 Refund of Taxes
9 Others 239

4 Miscellaneous Refunds
9 Others 249

9 Others
9 Others 299
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 197

BASIC MAIN SUB- COMPOSITE

FUNCTION FUNCTION FUNCTION FUNCTION
CODE CODE CODE CODE
3 Public Works

1 Roads, Bridges and Foothpaths

1 Roads 311
2 Bridges and fly-overs 312
3 Footpaths and pavements 313
4 Parking Facilities 314
5 Road-side drains 315
9 Others 319

2 Buildings
1 Administration Buildings 321
2 Educational Buildings 322
3 Hospitals 323
4 Markets 324
5 Commercial Buildings 325
6 Residential Buildings 326
9 Others 329

9 Others
9 Others 399

4 Water Supply and Lighting

1 Water purchases

9 Others 419

2 Water Distribution

9 Others 429

3 Water Treatment

9 Others 439

Transmission Mains, Distribution pipelines and Water

4 meters

9 Others 449

5 Water Storage
9 Others 459

6 Tankers Supply
9 Others 469

7 Groundwater Services, Tubewells, Open wells and small-

piped water supply
9 Others 479

8 Lighting
9 Others 489

9 Others
9 Others 499
198 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

BASIC MAIN SUB- COMPOSITE

FUNCTION FUNCTION FUNCTION FUNCTION
CODE CODE CODE CODE
5 Sanitation and Conservancy

1 Sewerage, Drainage and Sullage

1 Sewage Lines 511
2 Sewage Treatment Plants 512
9 Others 519

2 Solid Waste Management

1 Collection and Transportation 521
2 Waste processing 522
3 Dumping Grounds 523
4 Cleaning of gutters and nallahs 524
9 Others 529

3 Public Toilets
9 Others 539

4 Conservancy
1 Road cleaning 541
2 Litter bins 542
9 Others 549

9 Others
9 Others 599

6 Markets and Allied Activities

1 Markets
9 Others 619

2 Slaughter Houses
9 Others 629

3 Licensing services
9 Others 639

4 Cantonment Board property on rent

1 Shopping Premises 641
2 Office Premises 642
3 Industrial Premises 643
4 Street Premises 644
5 Grounds 645
6 Bonded warehouse 646
9 Others 649

5 Advertisement on Cantonment Board property

9 Others 659

9 Others
9 Others 699
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 199

BASIC MAIN SUB- COMPOSITE

FUNCTION FUNCTION FUNCTION FUNCTION
CODE CODE CODE CODE
7 Public Safety, Conveniences

1 Fire fighting
9 Others 719

2 Ponds
9 Others 729

3 Gardens
1 Parks and Gardens 731
2 Tree Tending 732
9 Others 739

4 Guest houses
1 Sarais 741
2 Guest houses 742
3 Dak bunglows 743
9 Others 749

5 Transport
9 Others 759

6 Recreation
1 Fairs and festivals 761
9 Others 769

9 Others
9 Others 799

8 Health and Veterinary services

1 Hospitals
1 OPD 811
2 IPD 812
3 Speciality services 813
4 ICCU 814
5 Operation Theatres 815
6 Medicenes 816
7 Linen/Diet 817
9 Others 819

2 Dispensaries
1 Primary Health Centres 821
2 Maternal and Child Health Services 822
9 Others 829

3 Registration of Births and Deaths

9 Others 839

4 Epidemic Control
9 Others 849

5 Preventive Medicine
1 Vaccination 851
9 Others 859
200 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

6 Veterinary Services
1 Veterinary dispensaries 861
2 Destruction of rabid animals 862
3 Animal birth control 863
9 Others 869

7 Charitable Medical Institutions

9 Others 879

9 Others
9 Others 899

9 Education

1 Primary Schools
1 Kindergarten 911
2 Primary Schools 912
9 Others 919

2 Secondary Schools
1 Secondary schools 921
2 Higher Secondary schools 922
9 Others 929

3 Higher Education
1 Vocational education 931
2 Graduation 932
3 Medical Education 933
9 Others 934

4 Libraries
9 Others 949

5 Museums
9 Others 959

9 Others
1 Adult Literacy 991
9 Others 999

SCHEDULE II
[see rules 137(1) and 197]
OBJECT CODES
Part A - Revenue Receipts

S.No. OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
(1) (2) (3) (4) (5) (6) (7) (8)

1 Revenue Receipts 1 Tax Revenue

1 Consolidated Tax on Property
1 Tax on annual values of land and buildings 1111
2 Water tax 1112
3 Conservancy and Scavenging Tax 1113
4 Lighting and Drainage Tax 1114
5 Education Tax 1115
8 Holding Tax 1118
9 Others 1119

2 Taxes other than property tax

1 Advertisement tax 1121
2 Tax in lieu of Excise 1122
9 Others 1129
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 201

3 Tax on animals and vehicles

1 Vehicle Tax 1131
2 Wheel Tax 1132
3 Animal Tax 1133
4 Rickshaw Tax 1134
5 Cycle Tax 1135
9 Others 1139

4 Tax on trades and profession

1 Tax on trades and profession 1141
2 Hawker Tax 1142
9 Others 1149

5 Tax on entertainment and performances

1 Theatre Tax 1151
9 Others 1159

6 Octroi and Tolls

1 Octroi 1161
2 Toll Tax 1162
3 Local Body Tax 1163
4 Passenger Tax 1164
9 Others 1169

9 Others
1 Compensation in lieu of profession tax 1191
2 Tax on Manufacture of Brick and Lime 1192
8 Surcharge 1198
9 Others 1199

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
2 Realisation under Special Act 1 Pounds

9 Others 1219

2 Hackney Carriages
1 Income from Hackney Carriages 1221
9 Others 1229

3 Service Charges
1 Service Charges- MoD 1231
9 Others 1239

4 Assigned Revenue and Compensation

9 Others 1249

9 Others

9 Others 1299

3 Revenue from property (other than taxation) 1 Land

1 Lease Premium 1311
2 Lease Rent 1312
202 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

3 License fees 1313

4 Ground Rent 1314
5 Agricultural rent 1315
6 Dhobighat rent 1316
7 Rent from Taxi stand 1317
9 Others 1319

2 Building
1 Income from buildings belonging to Government 1321
2 Shops 1322
3 Guest Houses 1323
4 Markets 1324
5 Income from buildings other than property of Governm 1325
6 Income from Cantonment Fund Buildings 1326
7 Halls 1327
9 Others 1329

3 Rent on Fixed Assets

1 Plant and Machineries 1331
2 Vehicles 1332
3 Office equipments, computers and peripherals 1333
4 Furnitures and fixtures 1334
5 Electrical Installations(Water Meters, etc.) 1335
9 Others 1339

9 Others
1 Frontage Board 1391
9 Others 1399

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
4 Grants, Contributions and Subsidies 1 Grants from Central Government
1 Ordinary Grant 1411
2 Special Grant 1412
3 Contribution towards tha Pay of CEO 1413
9 Others 1419

2 Grants from State Government

1 Teaching/Education Grant from DEO of State Govern 1421
2 Teaching/Education Grant 1422
9 Others 1429

3 Grant from Other Agencies

9 Others 1439

9 Others

9 Others 1499

5 Fees, User Charges and Fines 1 Fees

1 Fees from Educational Institutions 1511
2 Fees from Medical Institutions 1512
3 Fees from Markets 1513
4 Fees from slaughter houses 1514
5 Fees from Bonded Warehouses 1515

7 Testing & Supervision Fees 1517

>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 203
9 Others 1519

2 Conservancy Charges
1 Conservancy Charges to Military Establishment 1521
2 Conservancy Charges - Government 1522
3 Conservancy Charges - Railway 1523
4 Conservancy Charges - Air Force 1524
5 Conservancy - User Charges 1525
6 Conservancy Charges - Others 1526
9 Others 1529

3 Registration, License and NOC fees

1 Registration fees 1531
2 License fees 1532
3 Water Connection and Security Fees 1533
4 Fees for Registration under RTI Act 1534
5 Application Fees 1535
6 Dog Badges Fee 1536
7 License fees for Trade & Profession 1537
9 Others 1539

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
4 Building Permission/Development Fees
1 Building sanction/Development Fee 1541
2 Numbering Fees 1542
3 Betterment Charges 1543
9 Others 1549

5 Fines and Penalties

1 Fines under the Cantonment Act 1551
2 Warrant Fees 1552
3 Demand Notice Fees 1553
4 Damage Charges 1554
5 Compounding Fees 1555
6 Proclamation Fees 1556
7 Distraint Fees 1557
9 Others 1559

6 Hawking and Market charges

1 Hawking fees 1561
2 Parking Fees 1562
3 Hoarding Fees 1563
4 Picketing Fees 1564
9 Others 1569

7 Cess Charges
1 Local Cess 1571

9 Others 1579

9 Other Charges
1 TTIP/ Mutation Fees 1591
2 Copying charges 1592
3 Charges on trees, fruits, grass, wood 1593
4 Grazing Fees 1594
204 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

5 Testing & Supervision Fees 1595

6 Processing Fees 1596
7 Cable Laying/Trench Charges 1597
8 Vaccination Charges 1598
9 Others 1599

6 Income from Sales and Hire Charges 1 Sale of water

1 Water Charges 1611

9 Others 1619

2 Sale of Forms and Publications

1 Sale of Statutory Forms 1621
9 Others 1629

3 Sale of Scrap
1 Sale of Scrap Through Tender 1631
9 Others 1639

4 Sale of Nightsoil
1 Sale of Vermicompost 1641
9 Others 1649

5 Recovery of Charges

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
1 Electricity Charges 1651
9 Others 1659

9 Others
1 Forest Revenue 1691
9 Others 1699

7 Income from Interest and Dividends 1 Interest From Bank

1 Interest on Term Deposits with Banks 1711
9 Others 1719

2 Interest on Post Office Deposits

1 Interest on Term Deposits with Post Office 1721
9 Others 1729

3 Interest on Deposits in Financial Institutions

9 Others 1739

4 Interest on Loans and Advances

9 Others 1749

5 Interest on loans and Advances to Employees

1 Interest on Vehicle Advance 1751
9 Others 1759

6 Dividends

9 Others 1769

9 Others
1 Interest on Tax 1791
9 Others 1799

9 Other Income 1 Garden Receipts

>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 205

9 Others 1919

2 Recoveries from services rendered to Private Individuals

1 Recovery for Services Provided 1921
9 Others 1929

3 Rebates & Discounts

1 Discount received on Bills Payable 1931
9 Others 1939

9 Others
1 Contract for removal of dead bodies 1991
2 Sullage Water 1992
3 Damages/ Restoration Charges 1993
4 Income from Fairs and Exhibitions 1993
9 Others 1999

Object Codes
Part B - Revenue Expenditure

Sr.No OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
(1) (2) (3) (4) (5) (6) (7) (8) (9)
2 Revenue Expenditure 1 Establishment Expenses

1 Salary and allowances to CEO

1 Salary 2111
2 Allowances 2112
9 Others 2119

2 Salary other than salary to CEO

1 Basic Pay 2121
2 Grade Pay 2122
3 DA 2123
4 HRA 2124
5 CCA 2125
9 Others 2129

3 Allowances
1 Washing allowance 2131
2 Uniform Allowance 2132
3 Overtime Allowance 2133
9 Others 2139

4 Benefits
1 LIC 2141
2 GIS 2142
3 Medical Reimbursement 2143
4 Leave Pay 2144
5 Bonus 2145
9 Others 2149

5 Contributions
1 Monthly contribution to Pension Fund 2151
2 Contribution to National Pension Scheme 2152
9 Others 2159

6 Honorarium
1 VP 2161
206 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

2 Other Elected Members 2162

3 Consultants 2163
4 Retired Staff 2164
9 Others 2169

7 Pension and Terminal Benefits

1 Transfer by CB to Pension Fund 2171
2 Gratuity 2172
9 Others 2179

9 Others

9 Others 2199

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
2 Administrative Expenses/ Contingencies

1 Office Expenses
1 Printing 2211
2 Stationery 2212
3 Official Postage and Postage labels 2213
4 Refreshment expenses 2214
5 Programme and Meeting Expenses 2215
6 Electricity Expense 2216
9 Others 2219

2 Rent, Rates and Taxes

1 Rent 2221
2 Taxes - GST 2222
9 Others 2229

3 Information & Communication Technology

1 Telephone & Fax 2231
2 Internet & IT Leased Lines 2232
3 Mobile Charges 2233
4 Digitization 2234
9 Others 2239

4 Books and Periodicals

1 Books, periodicals and maps 2241
9 Others 2249

5 Vehicle, Travelling and Conveyance

1 Vehicle Fuel 2251
2 Vehicle Maintenance 2252
3 Vehicle Hire Charges 2253
4 Other vehicle expenses(Registration, licenses) 2254
5 Travelling Expenses (TA/DA) of CEO 2255
6 Travelling Expenses (TA/DA) of Other Staff 2256
9 Others 2259

6 Fees
1 Legal fees 2261
2 Professional Fees 2262
3 Engineering Fees 2263
4 Audit Fees 2264
9 Others 2269

7 Advertisement and Publicity

1 Advertisement charges 2271
9 Others 2279
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 207

9 Others
1 Security expenses 2291
2 Training Expenses 2292
9 Others 2299

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE

3 Interest and Finance Charges

1 Interest on loan from Central Govt

9 Others 2319

3 Interest on loan from Bank

9 Others 2339

4 Bank charges

1 Bank Charges - General 2341

2 Bank Charges - Cheque Dishonour 2342

9 Others 2349

9 Others

9 Others 2399

Purchases, Repairs, Maintenance and

4 Works
Contracts

1 Purchase of Water

9 Others 2419

2 Purchase of Consumables

1 Office 2421

2 Stores 2422
208 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE

3 Stationery 2423

4 Cost of Medicine 2424

5 Other Hospital Supplies 2425

6 Hospital Food 2426

9 Others 2429

3 Purchase of materials for distribution to public

1 Distributions at Special Camps 2431

9 Others 2439

4 Works contract / Repairs / Maintenance

1 Land 2441

2 Buildings 2442
3 Office Equipments 2443

4 Roads,footpaths & pavements 2444

5 Drainage & Sanitation 2445

6 Water Supply 2446

7 Miscellaneous Equipments 2447

8 Miscellaneous Public Improvement 2448

9 Others 2449

5 Hire Charges
1 Hire Charges - Heavy Equipments 2451

2 Hire Charges - Office Equipments 2452

9 Others 2459

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE

9 Others
1 Cost of work done for private individuals 2491
2 Cost of deposits work 2492
9 Others 2499

5 Depreciation
2 Building
1 Buildings inside Cantonment Board Area (RRC) 2521
2 Buildings outside Cantonment Board Area (RRC) 2522
3 Sheds inside Cantonment BoardArea 2523
4 Sheds outside Cantonment BoardArea 2524
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 209
5 Permanent Reservoirs (Lakes, Ponds, Wells, Etc.) 2525
6 Temporary Reservoirs 2526
9 Others 2529

3 Other Fixed Assets

1 Concrete Roads 2531
2 Tar and Other Roads 2532
3 Water Bound Macadam (WBM) Roads 2533
4 Bridges, Flyovers, Subways 2534
5 Roadside Drains, Sewerage Systems, Gutters 2535
6 Other Drains, Culverts, Etc. 2536
9 Others 2539

4 Plant and Machinery

1 PVC & Metal Pipelines (Water Distribution System) 2541
2 MS Steel / PVC Water Storage Tanks 2542
3 Mark II Pumps & Hand Pumps 2543
5 Machinery (As per Definition) 2545
9 Others 2549

5 Electrical Installations
1 Generator plant 2551
2 Air Conditioners 2552
3 Elevators 2553
4 Street Lighting 2554
5 Signals 2555
6 Water Meters 2556
7 Touch screen kiosks 2557
9 Others 2559

6 Vehicles
1 Commercial Vehicles 2561
2 Staff Vehicles 2562
9 Others 2569

7 Office Equipments
1 Computers & Peripherials 2571
2 Photo Copier and others 2572
9 Others 2579

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE

8 Furniture and Fixtures

1 Furniture 2581
2 Fittings & Fixtures 2582
9 Others 2589

9 Intangibles and Other Assets

1 Computer Software 2591
9 Others 2599

6 Grants, Revenues and Subsidies

1 Grants to Charitable and Medical Institutions

9 Others 2619

2 Grants to Municipalities and local bodies

9 Others 2629
210 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

3 Grants to Educational Institutions

9 Others 2639

4 Grants to Community & Citizens

1 Scholarships 2641
9 Others 2649

9 Other Contributions
1 AURC 2691
2 Computerizaton 2692
3 ABAS Pilot Project 2693
9 Others 2699

7 Provisions and Write- offs

1 Discount
1 Rebate on Property Tax 2711
9 Others 2719

2 Sundry Writeoffs
1 Balance on Rounding written off 2721

9 Others

9 Others 2799

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
9 Miscellaneous/Other Expenses

1 Animal Control
1 Rewards for Animal Catching, Destruction, Etc. 2911
2 Animal Birth Control 2912
3 Cost of Feeding Animals 2913
9 Others 2919

2 Refunds
1 Refund of taxes 2921
2 Miscellaneous Refunds 2922
3 Octroi 2923
9 Others 2929

3 Charges on account of indigent persons sent for treatment

9 Others 2939

4 Charges for Survey of Land

9 Others 2949

5 Conservancy
1 Expenditure on Military Conservancy 2951
2 Expenditure on Private Conservancy 2952
3 Expenditure on Civil Conservancy 2953
9 Others 2959
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 211
8 Prior Period Adjustments
1 Prior Period Expenses / (Income) 2981
9 Others 2989

9 Others
1 Payments to Central Government 2991
| 9 Others 2999

Part C - Liabilities

OBJECT
S.No OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
(1) (2) (3) (4) (5) (6) (7) (8) (9)
3 Liability 1 Cantonment Fund and Reserves

1 Cantonment Fund

1 Cantonment Fund Opening Balance (Balancing Figure) 3111

2 Cantonment Fund Adjustment Account 3112
9 Others 3119

2 Cantonment development fund

1 Cantonment development fund 3121
2 Cantonment development fund (Women and Child Welfare Fund) 3122
9 Others 3129

3 Capital Reserve

9 Others 3139

4 Statutory Reserve
1 Salary Reserve 3141
2 Water Supply Reserve Fund 3142
9 Others 3149

5 General Reserves
1 General Reserve 3151
9 Other 3159

6 Loan Repayment Reserve

9 Others 3169

7 Trust/Agency Reserves
1 Pension Fund 3171
2 G.P.F. 3172
3 Trust Fund 3173
9 Others 3179

8 Balance of Income Over Expenditure

1 Balance of Income Over Expenditure 3181
9 Others 3189

9 Other

9 Others 3199
212 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
2 Grants, Contributions for Specific Purpose
1 Government of India
1 Grant from Central Finance Commission 3211
2 IUDP 3212
3 JNNURM 3213
4 USDISMT 3214
9 Others 3219

2 State Government
1 State Govt Grant Scheme - I 3221
2 State Govt Grant Scheme - II 3222
3 State Govt Grant Scheme - III 3223
4 MP/MLA Fund 3224
5 DPDC Funds 3225
6 Education/Teaching Grant 3226
9 Other 3229

3 CBs,Other Govt. Agencies, Institutions and NGOs

1 Contribution From CBs (Balance) 3231
9 Others 3239

4 Financial Institutions

9 Others 3249

9 Others

9 Others 3299

3 Secured and Unsecured Loans

1 Loans from Governement of India

9 Others 3319

4 Secured Loans from Banks & Financial Institutions

1 Loan for water supply 3341
2 Loan for housing 3342
9 Others 3349

5 Unsecured Loans
1 Unsecured Loans 3351
9 Others 3359

9 Others

9 Others 3399

4 Interest on Loans

1 Interest on Loans from Governement of India

9 Others 3419

3 Interest on Secured Loans from Banks & Financial Institutions

9 Others 3439
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 213

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
5 Interest on Unsecured Loans
1 Interest on Unsecured Loans 3451
9 Others 3459

9 Others
9 Others 3499

5 Employers Liability

1 Salary and Wages Payable

1 Net Salary Payable - CB Staff 3511
2 Net Salary/Wages Payable - Others 3512
9 Others 3519

2 Other Allowances Payable

1 Washing allowance 3521
2 Uniform Allowance 3522
3 Overtime Allowance 3523
9 Others 3529

3 Refunds Payable to staff

1 Excess Recovery Refund 3531
9 Others 3539

4 Benefits payable to staff

1 Medical Reimbursement 3541
2 Tution Fees 3542
3 Insurance of Employees 3543
4 Leave Travel Concession 3544
5 Uniform to Staff 3545
6 HRD Activities 3546
7 Bonus and Rewards 3547
9 Others 3549

5 Deductions from salary-payable to funds

1 Provident Fund 3551
2 General Fund (Licence Fee of Quarters) 3552
3 National Pension Scheme Contributions 3553
9 Others 3559

6 Deductions from salary on account of Government Taxes

1 Income Tax 3561
2 Professional tax 3562
9 Others 3569

7 Deductions from salary - payable to respective institutions

1 L.I.C. 3571
2 Post Office 3572
3 Banks 3573
4 G.I.S. 3574
5 Relief Funds 3575
6 Courts 3576
7 Co-operative societies 3577
9 Others 3579

8 Deposit from Staff

1 Security Depositfrom Staff 3581
9 Others 3589
214 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
9 Others

2 Amount payable to National Pension Fund 3592

3 Amount Payable to GPF 3593
5 Loss of Pay 3595

9 Others 3599

6 Supplier's and Contractor's Liability

1 Earnest money Deposits

1 EMD from Suplliers of Materials 3611
2 EMD from Labour Contracts 3612
3 EMD from providers of Professional Servies/Consultancy 3613
9 Others 3619

2 Security Deposits
1 SD from Suplliers of Materials 3621
2 SD from Labour Contracts 3622
3 SD from providers of Professional Servies/Consultancy 3623
9 Others 3629

3 Bills passed for payment but not paid

1 Creditors for Supllies/Materials 3631
2 Creditors for Labour Contracts 3632
3 Creditors for Professional Servies/Consultancy 3633
8 Miscellaneous Vendors 3638
9 Others 3639

4 Bills received but not passed for payment

1 Creditors for Supllies/Materials 3641
2 Creditors for Labour Contracts 3642
3 Creditors for Professional Servies/Consultancy 3643
9 Others 3649

5 Disputed claims

9 Others 3659

6 Bills for utilities / Services

1 Electricity 3661
2 Water 3662
3 Telephone 3663
9 Others 3669

7 Retention Money/Refunds payable to Contractors / Suppliers

1 Retention Money of Suplliers of Materials 3671
2 Retention Money of Labour Contracts 3672
3 Retention Money of providers of Professional Servies/Consultancy 3673
9 Others 3679
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 215

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
9 Others
1 Staff Account For Expenses Booked against Advances 3691
9 Others 3699

7 Liability to Public
1 Deposits from Public
1 Short Term Deposits 3711
2 Long Term Deposits 3712
3 Deposit for Buildings/Halls 3713
4 Deposit for Ground/Land 3714
9 Others 3719

2 Revenue Deposits

9 Others 3729

3 Deposit Works

9 Others 3739

4 Refunds payable to Public

1 Sale proceeds 3741
2 Excess revenue collected 3742
9 Others 3749

5 Taxes received in advance

1 ALV Based tax Received in Advance 3751
9 Others 3759

9 Others

9 Others 3799

8 Amount payable to Government

1 All recoveries on behalf of Goverment

1 Education Cess 3811
2 Employment Guarantee Cess 3812
3 TDS (Income Tax) on Supplies/Materials Contract 3813
4 TDS (Income Tax) on Labour Contracts 3814
5 TDS (Income Tax) on Professional Contracts/Consultancy 3815
6 State Govt Taxes 3816
7 Service Tax Collected 3817
9 Others 3819

2 Land price payable to Goverment

9 Others 3829
216 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
3 Amount payable for supplies
1 Payables to Govt Suppliers 3831
9 Others 3839

4 Amount payable for goods & services (GST)

1 GST Payable 3841
2 RCM GST Payable 3842
3 TDS on GST 3843
9 Others 3849

5 Amount payable for staff on deputation

1 CEOs Moiety of Pay 3851
9 Others 3859

9 Others

9 Others 3899

9 Other Liabilities

1 Provisions for Expenses

1 Office Expenses 3911
2 Other Administrative Expenses 3912
9 Other 3919

2 Provision for Interest

9 Others 3929

9 Others

9 Others 3999
Part D - Assets

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
(1) (2) (4) (5) (6) (7) (8) (9) (10)
4 Assets 1 Fixed Assets
1 Lands
1 Land Inside Cantonment Board Area 4111
2 Land Outside Cantonment Board Area 4112
3 Forest Land 4113
4 Gardens and Parks 4114
5 Ponds and Lakes 4115
9 Others 4119

2 Buildings and Premises

1 Buildings inside Cantonment Board Area (RCC) 4121
2 Buildings outside Cantonment Board Area (RCC) 4122
3 Sheds inside Cantonment BoardArea 4123
4 Sheds outside Cantonment BoardArea 4124
5 Permanent Reservoirs (Tanks, Wells, Etc.) 4125
6 Temporary Reservoirs 4126
9 Others 4129

3 Other Fixed Assets

1 Concrete Roads 4131
2 Tar and Other Roads 4132
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 217
3 Water Bound Macadam (WBM) Roads 4133
4 Bridges, Flyovers, Subways 4134
5 Roadside Drains, Sewerage Systems, Gutters 4135
6 Other Drains, Culverts, Etc. 4136
9 Others 4139

4 Plant and Machinery

1 PVC & Metal Pipelines (Water Distribution System) 4141
2 MS Steel Tanks 4142
3 Mark II Pumps & Hand Pumps 4143
4
5 Machinery (As per Definition) 4145
9 Others 4149

5 Electrical Installations
1 Generator plant 4151
2 Air Conditioners 4152
3 Elevators 4153
4 Street Lighting 4154
5 Signals 4155
6 Water Meters 4156
7 Touch screen kiosks 4157
9 Others 4159

6 Vehicles
1 Commercial Vehicles 4161
2 Staff Vehicles 4162
9 Other Vehichles 4169

7 Computers, Peripherials & Office Equipments

1 Computers & Peripherials 4171
2 Photo Copier and others 4172
9 Others 4179

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE

8 Furniture and Fixtures

1 Furniture 4181
2 Fittings & Fixtures 4182
9 Others 4189

9 Intangibles and Other Assets

1 Computer Software 4191
9 Others 4199

2 Accumulated Depreciation
2 Buildings and Premises
1 Buildings inside Cantonment Board Area (RRC) 4221
2 Buildings outside Cantonment Board Area (RRC) 4222
3 Sheds inside Cantonment BoardArea 4223
4 Sheds outside Cantonment BoardArea 4224
5 Permanent Reservoirs (Tanks, Wells, Etc.) 4225
6 Temporary Reservoirs 4226
9 Others 4229

3 Other Fixed Assets

218 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

1 Concrete Roads 4231

2 Tar and Other Roads 4232
3 Water Bound Macadam (WBM) Roads 4233
4 Bridges, Flyovers, Subways 4234
5 Roadside Drains, Sewerage Systems, Gutters 4235
6 Other Drains, Culverts, Etc. 4236
9 Others 4239

4 Plant and Machinery

1 PVC & Metal Pipelines (Water Distribution System) 4241
2 MS Steel Tanks 4242
3 Mark II Pumps & Hand Pumps 4243
5 Machinery (As per Definition) 4245
9 Others 4249

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
5 Electrical Installations
1 Generator plant 4251
2 Air Conditioners 4252
3 Elevators 4253

4 Street Lighting 4254

5 Signals 4255
6 Water Meters 4256
7 Touch screen kiosks 4257
9 Others 4259

6 Vehicles
1 Commercial Vehicles 4261
2 Staff Vehicles 4262
9 Others 4269

7 Computers, Peripherials & Office Equipments

1 Computers & Peripherials 4271
2 Photo Copier and others 4272
9 Others 4279

8 Furnitures and Fixtures

1 Furniture 4281
2 Fittings & Fixtures 4282
9 Others 4289

9 Intangibles and Other Assets

1 Computer Software 4291
9 Others 4299

3 Capital Work in Progress

1 Lands
1 Land Inside Cantonment Board Area 4311
2 Land Outside Cantonment Board Area 4312
3 Forest Land 4313
4 Gardens and Parks 4314
5 Ponds and Lakes 4315
9 Others 4319

2 Buildings and Premises

1 Buildings inside Cantonment Board Area (RRC) 4321
2 Buildings outside Cantonment Board Area (RRC) 4322
3 Sheds inside Cantonment BoardArea 4323
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 219
4 Sheds outside Cantonment BoardArea 4324
5 Permanent Reservoirs (Tanks, Wells, Etc.) 4325
6 Temporary Reservoirs 4326
9 Others 4329

3 Other Fixed Assets

1 Concrete Roads 4331
2 Tar and Other Roads 4332
3 Water Bound Macadam (WBM) Roads 4333
4 Bridges, Flyovers, Subways 4334
5 Roadside Drains, Sewerage Systems, Gutters 4335
6 Other Drains, Culverts, Etc. 4336
9 Others 4339

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE

4 Plant and Machinery

1 PVC & Metal Pipelines (Water Distribution System) 4341
2 MS Steel Tanks 4342
3 Mark II Pumps & Hand Pumps 4343
5 Machinery (As per Definition) 4345
9 Others 4349

5 Electrical Installations
1 Generator plant 4351
2 Air Conditioners 4352
3 Elevators 4353
4 Street Lighting 4354
5 Signals 4355
6 Water Meters 4356
7 Touch screen kiosks 4357
9 Others 4359

6 Vehicles
1 Commercial Vehicles 4361
2 Staff Vehicles 4362
9 Others 4369

7 Office Equipment,Computers and Peripherals

1 Computers & Peripherials 4371
2 Photo Copier and others 4372
9 Others 4379

8 Furniture and Fixtures

1 Furniture 4381
2 Fittings & Fixtures 4382
9 Others 4389

9 Intangibles and Other Assets

1 Computer Software 4391
9 Others 4399

4 Investments
1 Government of India Securities
9 Others 4419
220 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

2 State Government Securities

9 Others 4429

3 Term Deposit Receipts with Banks

1 Term Deposits with banks 4431
9 Others 4439

4 National Savings Certificates

9 Others 4449

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
5 Post Office Deposits
9 Others 4459

6 Deposits in Financial Institutions

9 Others 4469

7 Accrued Interest on Investemnts

1 Bank FDRs 4471
2 National Savings Certificate 4472
9 Others 4479

9 Other Investments
9 Others 4499

5 Stock in Hand
1 Stores
1 Office 4511
2 Stores 4512
3 Stationery 4513
4 Hospital Supplies 4514
5 Hospital Food 4515
9 Others 4519

2 Tools
1 Carpentry Items 4521
2 Electrical Items 4522
3 Water Supply items 4523
9 Others 4529

9 Others
9 Others 4599

6 Sundry Debtors
1 Receivable for Tax Revenue
1 Consolidated Tax on Property 4611
2 Tax on Trades and Professions 4612
9 Others 4619

2 Receivable from Government or Under Special Act

1 Service Charges Receivables from MoD 4621
2 Receivables from Central Govt 4622
3 Receivables from State Govt 4623
9 Others 4629

3 Grants receivable
1 Grants Receiveable from State Government 4631
9 Others 4639
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 221

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE

4 Receivable for Rental Income

9 Others 4649

5 Receivable from Fees and User Charges

1 Fees 4651
2 Conservancy Charges 4652
3 Fines and Penalties 4653
9 Others 4659

6 Sales and Hire Charges

1 Sale of Water 4661
9 Others 4669

7 Interest
1 Accrued interest on Term Deposits 4671
9 Others 4679

8 Doubtful Debtors
9 Others 4689

9 Others
9 Others 4699

7 Loans , Advances and Deposits

1 Loans and Advances to Employees

1 Festival Advance 4711
2 Vehicle Advance 4712
9 Others 4719

2 Provident Fund Loans

1 Refundable PF Loans 4721
2 Non Re-embursible PF Loans 4722
9 Others 4729

3 Advances to Contractors
9 Others 4739

4 Deposits with External Agency

1 Deposit with Govt Agencies 4741
9 Others 4749

5 Temporary Advance
9 Others 4759

9 Others
9 Others 4799
222 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

OBJECT
OBJECT CLASS MAJOR HEAD MINOR HEAD DETAILED HEAD
CODE
8 Cash and Bank Balance
1 Cash in Hand
1 Cash In Hand 4811
2 Imprest/Permanent Advance 4812
3 Stamps in Hand 4813
9 Others 4819

2 Cash at Bank
1 Nationalised Bank 4821
2 Scheduled Commercial Bank 4822
8 Adjustment of Advance Account 4828
9 Others 4829

3 Cash in Post Office Account

9 Others 4839

9 Others
9 Others 4899

9 Other Assets
1 Deposit Works Expenditure
9 Others 4919

2 Inter Unit Transactions

9 Others 4929

3 Claim for taxes from Central/State Government

1 Service Tax 4931
2 Income Tax Deducted on Investment 4932
4 Input Tax Credit - GST 4934
5 Input Tax Credit - RCM GST 4935
6 Input Tax Credit Refund - GST 4936
7 IGST Refund 4937
9 Others 4939

4 Miscellaneous Expenditure to be Written off

1 Miscellaneous Expenditure to be Written off 4941
9 Others 4949

5 Prepaid Expenses
1 Prepaid Insurance 4951
2 Prepaid AMC 4952
9 Others 4959

9 Others
1 Suspense Account 4991
9 Others 4999
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 223

S c he dul e II I
[ s ee rul e 39 (2) and (3), 40(1 ), 45 , 46 (2) and 197 ]
A c c o unti ng B o o ks a nd R ec o r ds
P a r ti c u l a r s o r m No . nn e r i n w hi c h to be T o be va l i da te d a t T o be pr i n te d a t Ma nn e r o f ma i n te na nc e T o be ve r i f i e d by
Sr No. ma i n ta i ne d f o l l o w i ng i n te r va l s f o l l o w i ng i n te r va l s
(1) (2) (3) (4) (5) (6) (7) (8)
1 Ge n e ra l C a sh B o ok 9S In S ys t em Daily Daily S e p a ra t e l y f o r ea c h fi n a n c i a l H e a d of Ac c ou n t s
2 C la s s i f i ed Ab s t r a c t 53S In S ys t em Fo r t n i gh t l y Fo r t n i gh t l y S e p a ra t e l y f o r ea c h fi n a n c i a l H e a d of Ac c ou n t s
3 S c a l e R e gi s t e r 26M Manually Up on e v e r y r e vi s i on N . A. In c on t i n u a t i on C h i e f E x ec u t i v e Of fi c e r
4 Pay Bill 28M Manually M on t h l y N . A. In c on t i n u a t i on H e a d of s ec t i on
5 D e t a i ls o f p a y o f a b s en t e e s r ef u n d ed 29M Manually M on t h l y N . A. In c on t i n u a t i on H e a d of s ec t i on
6 R e gi s t e r o f P er m a n en t Ad va n c e s 49M Manually Up on e v e r y r e vi s i on N . A. S e p a ra t e l y f o r ea c h fi n a n c i a l Cashier
7 Wo r k Ord e r R e gi s t er 24M Manually On e v er y en t r y N . A. In c on t i n u a t i on Au t h o ri s ed o f fi c e r
8 M ea s u r em en t B o ok 25M Manually On e v er y en t r y N . A. In c on t i n u a t i on Au t h o ri s ed o f fi c e r
9 R e gi s t e r o f wo rk i n p r og r e s s 36M Manually On e v er y en t r y N . A. In c on t i n u a t i on Au t h o ri s ed o f fi c e r
10 Muster Roll 30M Manually M on t h l y N . A. S e p a ra t e l y f o r ea c h fi n a n c i a l O f fi c e r -i n -c h a r g e o f t h e
11 R e gi s t e r o f Im m o va b l e P rop e rt y 37M Manually Qu a rt e r l y N . A. In c on t i n u a t i on H e a d ofk E n gi n e e ri n g I
12 R e gi s t e r o f M o va b l e P r op ert y 38M Manually Qu a rt e r l y N . A. In c on t i n u a t i on Au tPh Wo riDs ed o f fi c e r
13 S t o c k B o ok 40M Manually Daily N . A. In c on t i n u a t i on S t o r e s O f fi c e r
14 R e gi s t e r o f In v e s t m en t s 39M Manually M on t h l y N . A. In c on t i n u a t i on H e a d of Ac c ou n t s
15 R e gi s t e r o f S ec u ri t y D ep os i t 51M Manually M on t h l y N . A. In c on t i n u a t i on H e a d of Ac c ou n t s
16 S t a m p a n d d i s p a t c h R e gi s t e r 16M Manually M on t h l y N . A. In c on t i n u a t i on Cashier
17 Ge n e ra l B a n k B o ok 10S In S ys t em Daily Daily S e p a ra t e l y f o r ea c h fi n a n c i a l H e a d of Ac c ou n t s
18 J ou rn a l R e gi s t e r 11S In S ys t em Daily M on t h l y S e p a ra t e l y f o r ea c h fi n a n c i a l H e a d of Ac c ou n t s
19 Ge n e ra l Le d g er 13S In S ys t em Daily M on t h l y S e p a ra t e l y f o r ea c h fi n a n c i a l H e a d of Ac c ou n t s
20 R e gi s t e r o f B i l l s 22S In S ys t em Daily M on t h l y In c on t i n u a t i on Au t h o ri s ed o f fi c e r
21 B a n k R ec on c i li a t i on St a t em en t 48S In S ys t em M on t h l y M on t h l y S e p a ra t e l y f o r ea c h fi n a n c i a l H e a d of Ac c ou n t s
22 D e m a n d a n d c o l l ec t i on r e gi s t e r 19S In S ys t em M on t h l y M on t h l y S e p a ra t e l y f o r ea c h fi n a n c i a l
23 S t a t em en t o f C a s h a n d c a s h 5S In S ys t em Daily Weekly S e p a ra t e l y f o r ea c h fi n a n c i a l Cashier
24 R e gi s t eir olf D ep o s i t s 50S In S ys t em M on t h l y M on t h l y In c on t i n u a t i on Au t h o ri s ed o f fi c e r
25 R ep ort o f c l o s i n g s t oc k 45M Manually H a lf Y ea r l y N . A. S e p a ra t e l y f o r ea c h fi n a n c i a l S t o r e s O f fi c e r
a n d wh en gu a ra n t e e s a r e
26 Gu a ra n t e e R eg i s t e r 52M Manually N . A. In c on t i n u a t i on Au t h o ri s ed o f fi c e r
r e c ei v ed
27 P r o vi d en t Fu n d Le d g e r. 33M Manually M on t h l y M on t h l y H e a d of Ac c ou n t s
28 P r o vi d en t Fu n d B r oa d s h e et . 34M Manually M on t h l y M on t h l y H e a d of Ac c ou n t s
224 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

Schedule IV – Schedule of Depreciation Rates

[see rule 136(3), 143(1) and 191(6)]
Sr. Description of Asset Details of assets to be included Estimated life Annual rate as
No. per SLM
(1) (2) (3) (4) (5)
1 Land Parks, burial grounds, play grounds and any other vacant site - Nil
on which no construction has been done (vacant site owned by
the Cantonment Board) and other lands owned by the
Cantonment Board on which construction has been made.
2 Buildings Office buildings, school buildings, public convenience, 40 years 2.50%
hospitals, dispensaries, clinics, maternity and child welfare
centers, swimming pools, markets, slaughter houses, stadiums,
shopping complexes, town hall, community halls, cinema
theatre, staff quarters etc. including compound walls and civil
structures surrounding them.
3 Roads i. Concrete roads 20 years 5.00%
ii. Tar and other roads 10 years 10.00%
iii. Water – Bound Macadam (WBM) roads 5 years 20.00%
4 Bridges, Flyovers and Bridges, flyovers, subways, etc. including cause ways. 40 years 2.50%
Subways
5 Drains and Sewerage i. Road side drains/sewerage systems/gutters 20 years 5.00%
systems ii. Other drains/sewerage systems/gutters including storm 40 years 2.05%
water drains, open drains, culverts, etc.
6 Vehicles Heavy, light and other vehicles including lorry, tractor, 10 years 10.00%
bulldozer, mechanical sweeper, tipper, loaders, buses, road
rollers, water tankers, jeep, cars, power, tillers, motorcycles,
mini lorry, auto rickshaw, bicycles, carts ,etc.
7 Plant and Machinery Mixing motors, civil engineering equipments in hospitals, 10 years 10.00%
Water pumps and sumps, water supply and sewerage
equipments, dispensaries, and maternity centers, school
equipments, public health equipments, tower clocks, electrical
motor and equipments, other plant and machinery etc.
8 Furniture and Fixtures Still and wooden chairs, tables, racks, cupboards, 10 years 10.00%
communications equipments, calculators, air conditioners,
water coolers, refrigerators, fans, electrical fittings, radios,
TVs, public address systems, wireless equipments, copiers,
other office equipments, etc.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 225

9 Electrical Installations HT and LT cables, cables of all lengths and sizes, lamp posts 10 years 10.00%
including mercury vapour lamps and sodium vapour lamps,
tube light fitting, etc.
10 IT equipments and Computers, computer machinery, peripherals, printer, mouse, 5 years 20.00%
Electronics typewriter, duplicators, Xerox machines, etc.
11 Water supply source and i. Permanent reservoirs including ESR and GSR 40 years 2.50%
transmission system ii. Temporary reservoirs 10 years 10.00%
12 Water distribution system Pipelines including PVC and metal pipe lines of all diameters 20 years 5.00%
13 Water distribution system i. MS steel tanks 10 years 10.00%
(Mini water supply ii. India Mark II pumps, hand pumps 5 years 20.00%
scheme)
14 Default rate Assets which do not fall in the above mentioned category 20 years 5.00%

Note:

1. The depreciation should be charged over such number of years so as to reduce the value of that asset by 95% of its depreciable value.
226 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

SCH EDUL E V
[See rule 46(4) ]
SCHEDULE OF RETENTION OR DESTRUCTION OF CANTONMENT ACCOUNT
RECORDS
(1) Class A-Shall be retained permanently
Journal Register (Form No.11S)
General Ledger (Form No.13S)
General Bank Book (Form No.10S) General Cash Book (Form No. 9S)
Provident Fund Ledger (Form No. 34M)
Register of Immovable Property (Form No. 38M) Register of Investments (Form No.40M)
Register of Security Deposits (Form No.51M) Register of Deposits (Form No.50S)
Demand and Collection Register (Form No.19S)
Water charges, demand, arrears and collection register (54M)
Trial Balance (Form No.14S)
Income and Expenditure Statement (Form No. 56S) Balance Sheet (Form No.55S)
Receipts and Payment Account (Form No.57S)
Work Order Register (Form No. 25M)
Register of Guarantees (Form No. 52M)
Demand and collection register-summary (Form No.20S)
(2) Class B-Shall not be destroyed until sixteen years after conclusion of audit
Pay Bill (Form No. 29M)
Scale Register (Form No. 27M)
Stock Book (Form No. 41M)
(3) Class C – Shall not be destroyed until ten years after conclusion of audit
Vernacular Registers of which there are English counter parts or abstracts which are retained
permanently
Assessment Lists
Register of Movable Property (Form No. 39M)
Register of Permanent Advances (Form No. 49M) Measurement Book (Form No. 26M)
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 227

(4) Class D – Shall not be destroyed until five years after conclusion of audit
Classified Abstract (Form No.53S)
Register of Work in Progress (Form No.37M)
All records other than those mentioned in Class A to C.
Note: Destruction of a Form or document, mentioned at serial numbers (2),(3) and (4) shall, however,
not be done even despite the retention period is over until the audit objection, if any, is settled.
SCH EDULE VI
[See rules 2 (1)(m) a nd 19 7]
SCH EDULE O F FO RMS
Form No. Form Name
1S Budget Estimate
2M Stores Estimate
3M Statement of original works
4M Statement of investments
5S Statement of cash and cash equivalents
6M Statement of Cantonment development fund
7M Statement of proposed re-appropriation
8S Statement of approved re-appropriations
9S General cash book
10 S General bank book
11 S Journal register
12 S Journal voucher
13 S General ledger
14 S Trial balance
15 M Receipt
16 M Stamp and dispatch register
17 S Demand register
18 S Demand register – summary
19 S Demand and collection register
20 S Demand and collection register - summary
21 M Statement of amendment in demand
22 S Payment voucher
228 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

23 S Register of bills
24 M Contingent claim bill
25 M Work order register
26 M Measurement book
27 M Scale register
28 M Proposition statement
28 AM Proposition of service provider
29 M Pay bill
30 M Details of pay of absentees refunded
31 M Muster roll
32 M Increment certificate
33 M Acquittance roll
33 AM Pay Bill of Service Provider
34 M Provident fund ledger
35 M Provident fund broadsheet
36 M Completion certificate
37 M Register of work in progress
38 M Register of immovable properties
39 M Register of movable properties
M Register of investments
41 M Stock book
42 M Material receipt note
43 M Material requisition note
44 M Material issue note
45 M Report of closing stock
46 S Receipt voucher
47 S Challan
48 S Bank reconciliation statement
49 M Register of permanent advances
50 S Register of deposits
51 M Register of security deposits
52 M Register of guarantees
53 S Classified ab stract
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 229

54 M W ater charges demand , arrears and co llectio n register

55 S B alance sheet
56 S Inco me and expend iture statement
57 S Receip ts and p ayment account

……………………….Cantonment Board

Form No. 1S (1B)

[see rules 21, 22, 24 and 25]
Budget Estimate of the Receipts and Payments of the ______________ Fund for the financial year 20XX - 20XX
Actual of last Budget Estimates of current year Budget Estimates of next Explanatory
Account Code Account Head Average of last 3 years
year Sanctioned Revised (ensuing) year Remarks
1 2 3 4 5 6 7 8

Budget Estimate of Receipts of the Cantonment Fund / Special Fund for the financial year 20XX-20XX (Revised) & 20Xx -20XX (Original)

2 Taxes and Revenues

2000000 All
2100000 Collection of Taxes
2101100 All tax revenues
2101110 Consolidated Tax on Property
2101111 Tax on annual values of land and buildings
2101112 Water tax
2101113 Conservancy and Scavenging Tax
2101114 Lighting and Drainage Tax
2101115 Education Tax
2101119 Others
2101120 Taxes other than property tax
2101121 Advertisement tax
2101129 Others
2101130 Tax on animals and vehicles
2101131 Wheel Tax
2101139 Others
2101140 Tax on trades and profession
2101141 Tax on trades and profession
2101149 Others
2101150 Tax on entertainment and performances
2101151 Theatre Tax
2101159 Others
2101160 Octroi and Tolls
2101161 Octroi
2101162 Tolls
2101169 Others
230 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

2101190 Others
2101191 Compensation in lieu of profession tax
2101192 Tax on Manufacture of Brick and Lime
2101199 Others

Budget Estimate of Expenditure of the Cantonment Fund / Special Fund for the financial year 20XX-20XX (Revised) & 20XX -20XX (Original)

1 General Administration
1000000 All
1100000 Cantonment Board
1102200 All Administrative Expenses/ Contingencies
1102210 Office Expenses
1102211 Printing
1102212 Stationery
1102213 Official Postage and Postage labels
1102214 Refreshment expenses
1102215 Programme and Meeting Expenses
1102219 Others
1102220 Rent, Rates and Taxes
1102221 Fax
1102222 Telegram
1102229 Others
1102230 Communication expenses
1102239 Others
1102240 Books and Periodicals
1102241 Books, periodicals and maps
1102249 Others
1102250 Vehicle, Travelling and Conveyance
1102251 Vehicle Fuel
1102252 Vehicle Maintenance
1102253 Vehicle Hire Charges
1102254 Other vehicle expenses( Registration, licences)
1102259 Others
1102260 Fees
1102261 Legal fees
1102262 Professional Fees
1102263 Engineering Fees
1102264 Audit Fees
1102269 Others
1102270 Advertisement and Publicity
1102271 Advertisement charges
1102279 Others
1102290 Others
1102291 Security expenses
1102299 Others
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 231

Chief Executive Officer President Cantonment Board

Dated…….… Dated……….

Principal Director, the Command*

Dated………

* Wherever applicable
Notes:
1. A separate budget should be prepared for each of the Funds.
2. "General administration-Cantonment Board-All Administrative expenses/ Contingencies" is given as an example which is up to detailed object code. The level up to
which the user intends to go can be defined in the system.
3. " Taxes and Revenues-Collection of taxes-All tax revenues" is given as an example which is up to detailed object code. The level up to which the user intends to go can
be defined in the system.
4. Heads shown in the format are illustrative and not exhaustive. The Board may show heads upto detailed head level as per requirement.

………………………Cantonment Board

Form No. 2M
[See rule no. 23]
Stores Estimate

Number or Number or
Description of Balance in
quantity quantity to be Estimated Cost Remarks
stores hand of (date)
required purchased

(1) (2) (3) (4) (5) (6)

 232 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

……………………….Cantonment Board

Form No. 3M (1B - Appendix A)

[See rule no. 24]
Statement of Original Works

Estimated Annual Income*

Amount Amount
Estimated Amount Proposed
Description Previously Required to Remarks
Cost For 20 -20 Gross Estimated Cost of Net Income/
expended Complete
Income Upkeep & Repairs Expenditure
Based on Column 2
(1) (2) (3) (4) (5) (6) (7) (8) (9)

Chief Executive Officer President Cantonment Board

Dated…….… Dated……….

* To be completed for remunerative works only.

 >֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 233

……………………….Cantonment Board

Form No. 4M (1B - Appendix B)

[See rule no. 24 and 25]
Statement of Investments

With whom
Opening Amount invested or Amount realised or Closing
Particulars of Investment Total Interest investment is Remarks
balance proposed to invest intended to realise Balance
deposited
(1) (2) (3) (4) (5) (6) (7) (8) (9)
Past Year 20.. -20..
Current Year 20.. -20..
Ensuring Year 20.. -20..

Chief Executive Officer President Cantonment Board

Dated…….… Dated……….

……………Cantonment Board

Form No. 5S
[See rule no. 24]
Statement of Cash and Cash Equivalents as on 31st March…..

Sr. No. Particulars Amount (Rs.) Amount (Rs.)

(1) (2) (3) (4)
1 Cash and bank balances
i Cash in hand xxxx
234 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

ii …………………..Bank A/c No. xxxxxxxxx xxxx

iii …………………..Bank A/c No. xxxxxxxxx xxxx
iv …………………..Bank A/c No. xxxxxxxxx xxxx
v …………………..Bank A/c No. xxxxxxxxx xxxx xxxxxx
2 Total amount of Fixed Deposits xxxxxx
3 Other investments
i Government Securities xxxx
ii …………………...Bonds xxxx
iii Other investments xxxx xxxxxx

Total xxxxxxxx

Note:
1. Cash equivalents would include items which can be converted into a known
amount of cash.
2. This statement should be sent along with the budget and receipts and payment a/c
of the preceding financial year so that a real state of cash inflows and outflows along
with the liquidable investments can be seen.
3. Items mentioned in the above statement are illustrative only.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 235

………………………. Cantonment Board

Form No. 6M
[See rule no. 24 and 25]
Statement of Fund Balances (Including Cantonment Fund and Cantonment development fund with its component parts)
Receipts in the Fund
For the Period _______ to ________

Account Code Account Head Actual receipts in Income till date for Budgetary Balance Remarks
the last year the year Provision available
(1) (2) (3) (4) (5) (6) (7)

Payments from the Fund

For the Period _______ to ________

Account Code Account Head Actual Payments in Expenditure to date Budgetary Balance Remarks
the last year for the year Provision available
(1) (2) (3) (4) (5) (6) (7)
236 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

……….Cantonment Board
Form No. 7M (2B)
[See rule 33]
Statement of Proposed Re-appropriations in the Cantonment Fund Budget Estimate
For budgetary period xxxx- xxxx
Amount and
Authority for Number and
Amount any re- Total
date of Order
of appropriations Grant
Account sanctioning the Utilization Balance Proposed Proposed Balance after Proposed
Account Head Original by which sanction- Remarks
Code last proposal till date available Increase Decrease adjustment
Grant original grant ed till
for
(Rs.) may have been date
reappropiation
increased or
decreased till
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12)

Chief Executive Officer President,Cantonment board*

Dated: Dated:
Principal Director, the
Dated:

*Wherever applicable
Notes:
1. After approval of the proposition for re-appropriation, a separate entry is to be made in the system.
2. President Cantonment Board will be required to authorise this form only where the re-appropriation are to be done by the Board with or without the approval of the Principal Director.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 237

……….Cantonment Board
Form No. 8S
[See Rule No. 33]
Statement of Approved Re-appropriations in the Cantonment Fund Budget Estimate
For budgetary period xxxx- xxxx
Amount of
any re-
appropriations
Acco Amount of by which Total Grant Balance
Utilisation Balance Approved Approved
Account Code unt Original Grant original grant sanctioned Date after the Approved By Remarks
till date available Increase Decrease
Head (Rs.) may have till date adjustment
been increased
or decreased
till date
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13)

Head of
Accounts Chief Executive Officer

Dated: Dated:

Note: This form is to be generated from the system.

This form contains only those re-appropriations which are approved and transfer entry for the same is passed in the system.
238 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

……………………….……….Cantonment Board
Form No. 9S (8B)
[See Rule 41]
General Cash Book
From ___________ to _____________

Opening balance as on ______________

Amount Amount
Closing Balance
Voucher Date Voucher No. Account Code Account Head Payer/Payee Particulars Debit Credit
(Rs.)
(Rs.) (Rs.)
(1) (2) (3) (4) (5) (6) (7) (8) (9)

Closing balance as on _______________

Note: The column for voucher no. shall be used for entering Receipt No. /Challan No. /Payment Voucher No. as applicable.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 239

………………..…….Cantonment Board

Form No. 10S

[See Rule 42]
General Bank Book

Name of the Bank and Bank Account No.

From ____________ to _____________

Opening balance as on _____________

Drawn Amount Amount

Voucher Date Voucher No. Cheque No. on Account Code Account Head Payer/Payee Particulars Debit Credit Closing Balance (Rs.)
Bank (Rs.) (Rs.)
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11)

Closing balance as on _________________

240 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………….……………….Cantonment Board

Form No. 11S

[See Rule 43]
Journal Register
From ___________ to ___________

Amount Amount
Date Journal Voucher No. Account Code Account Head Particulars
Debit (Rs.) Credit (Rs.)
(1) (2) (3) (4) (5) (6) (7)
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 241

…………………….Cantonment Board

Form No. 12S

[See rules 43 and 161]
Journal Voucher

Voucher No.: Voucher Date;

Voucher Type: Voucher Sub type:
Department:
Amount Amount
Account Code Account Head
Debit (Rs.) Credit (Rs.)
(1) (2) (3) (4)

Total

Narration: ……………………………………………………………………………………….

……………………………………………………………………….
Signature of Authorised Officer

(Name / designation of the Authorised Officer)

242 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………..Cantonment Board

Form No. 13S

[See rules44]
General Ledger
From __________ to ___________

Amount Amount
Date Particulars Voucher No.
Debit (Rs.) Credit (Rs.)
(1) (2) (3) (4) (5)

Notes:

1. This report shall always have totals of amount columns and balance(debit, credit or nil) drawn at the end of the report.

2. The Accounting Software System will have options for daily, monthly,quarterly and yearly balancing. An option to
print/generate the report alongwith running balances will also be there.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 243

……………………Cantonment Board

Form No. 14S

[See rules 44 and 188]
Trial Balance for the period ended………..

Account Opening Balance Transactions Closing Balance

Particulars/Account Head
Code Debit (Rs.) Credit (Rs.) Debit (Rs.) Credit (Rs.) Debit (Rs.) Credit (Rs.)
(1) (2) (3) (4) (5) (6) (7) (8)
244 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………………Cantonment Board
Form No. 15M (4B)
[See rules 47, 50, 161 and 162]
Receipt
Receipt date

Cash Collection Center No. : ……………………………….. Receipt No.

Counter No. : …………………………..
Book No.

Received from ……………………………………………………………………………………………………………

a sum of Rs (in words)………………………………………………………………………………………………. Amount (Rs.)
on account of ……………………………………………………………………………………………
for the period of……….…………………………………

Received in Cash Received by Cheque Received by DD

(Tick in the applicable box)
Cheque No./ DD No……………………………….. Dated………………………………… Drawn on………………………………………..(Bank
…………………………………… Branch)
(This receipt is valid subject to realisation of the cheque or DD.)

Revenue stamp

…………………………………………………………………….
Signature of Authorised Officer
(Name / designation of the Authorised Officer)
Note:
1. Receipt shall be prepared in triplicate.
2. The above receipt shall be used for all types of receipts including receipt of money by way of money order or pay order; etc.
3. If the payee is making multiple payments the particulars of the same shall be noted on the reverse of the receipt along with the respective Account Rule.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 245

…………………………....Cantonment Board

Form No. 16M (30B)

[See rule 53]
Stamp Account and Dispatch Register
Period - xxxx to yyyy

Value of Value of Daily Balance Signature

Voucher Letter No. and Date Name / Designation of the Value of
Date stamps brought Stamps Name of the Addressee of value of of
No. of Letter Sender Stamps affixed
forward received stamps Dispatcher

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Notes:
1. The form is to be used as dispatch register for only those letter dispatched by post. Letters delivered by hand or courier should be recorded in a separate register
246 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………………Cantonment Board

Form No. 17S

[See rule 55]
Demand Register

For the period ______ to _________

Tax Description
Property House Water Conservancy Lighting Total
Details tax tax Tax Tax Amount
Amount
(1) (2) (3) (4) (5) (6) (7)

Arrears
Current
Total

Arrears
Current
Total
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 247

…………………Cantonment Board

Form No. 18S

[See rule 55]
Demand Register - Summary

For the period ______ to _________

Ward:
Zone:

House tax Water tax Conservancy Tax Lighting Tax Total Amount
Amount
(1) (2) (3) (4) (5) (6)
Arrears
Current
Total
248 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………………Cantonment Board

Form No. 19S

[See rule 55 and 64]
Demand and Collection Register

For the period ______ to _________

Tax
Property Description House Water Conservancy Lighting Total
Details tax tax Tax Tax Amount
Amount

(1) (2) (3) (4) (5) (6) (7)

Demand
Arrears
Current
Total
Collection
Arrears
Current
Total
Outstanding
Arrears
Current
Total
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 249

…………………Cantonment Board

Form No. 20S

[See rule 64]
Demand and Collection Register - Summary
[See Rule No.65]
For the period ______ to _________

Ward:
Zone:

House Water Lighting Total

Conservancy Tax
tax tax Tax Amount
Amount
(1) (2) (3) (4) (5) (6) (7)
Demand Arr
Cur
Collection Arr
Cur
Outstanding Arr
Cur
250 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………………Cantonment Board
Form No. 21M
[See rule 70]
Statement of amendment in Demand
Details of last Details of revised
Date
assessment assessment Difference
Sr. from
Date of Assessed Date of Assessed in Current Balance Signature of Order No. and Date
No. Name which Total
Property Last Value Last Value demand outstanding the Chief sanctioning the
of the change is Increase/decrease Remarks
No. Assess (Rs) Assessment (Rs) due to after Executive change/adjustment in
taxpayer proposed in demand
ment change in adjustments Officer demand
to be
assessment
effected

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

Date Date
Head of Accounts Chief Executive Officer
Signature
Signature ………………………………………. ………………………………..
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 251

…………………….Cantonment Board

Form No. 22S

[See rules 74, 81 and 158]
Payment Voucher

Voucher Type Voucher No.

Voucher Date

Mode of Payment
Bank A/c Name through which payment is made
Bank A/c No. through which payment is made
Cheque No.
Cheque Date
Amount in Words

Account Code Account Head Amount (Rs.)

Total

Narration: ……………………………………………………………………………………….

………………………………………………..
Signature of Authorised Officer
(Name / designation of the Authorised Officer)
252 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

……………………………….Cantonment Board
Form No. 23S
[See rules 77, 80 and 153]
Register of Bills
From: xx/xx/xxxx to xx/xx/xxxx
Work / Total Value of
Date of receipt Name of the claimant/ Bill Amount Signature of Authorised
Sr. No. Bill No. Supply work done or Particulars
of bill contractor/ vendor (Rs.) Officer
Order No. supply made

(1) (2) (3) (4) (5) (6) (7) (8) (9)

Date of
Amount Balance
Date of Payment or Amount Remarks and Reasons for
Disallowed Sanctioned Amount (Rs.) Voucher No. Outstanding
Sanction Issue of Paid (Rs.) disallowance/delay in payment
(Rs.) (Rs.)
cheque
(10) (11) (12) (13) (14) (15) (16) (17)

Notes:
1.This register is meant to record only the receipt of bills/claims from various vendors/contractors.
2.The said amounts would be booked as liability only upon the same being approved by the appropriate authority as well be prescribed inthe CBAR 2018.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 253

………….Cantonment Board
Form No.24M (18B)
[See rule79]
Contingent Claim Bill
Bill No.: Date:
Name of the Claimant:
On account of Particulars of claim submitted as per bill attached:
Bill details:
PAN:
Service tax or Sales tax Registration No.

Itemised Gross Deductions and Recoveries

Sub-Voucher No. description of Amount Net amount (Rs.)
Charges (Rs.) Particulars Amount (Rs.)
(1) (2) (3) (4) (5) (6)

TOTAL

Total Gross Amount payable (Rs.)

Total Deductions and recoveries (Rs.)
Net amount payable in figures (Rs.)
Net amount payable in words (Rs.)
(I certify that the above charges have been really paid to the proper payees and that the sub-vouchers have been so cancelled so that they cannot again be used.)

(I hereby certify that the above charges are fully payable to the proper payees and the sub-vouchers or claim bills)
Prepared by
(Name, designation, code of the person preparing the voucher)
The bills have been checked and found to be complying with the rules. Appropriate payment may be released to the claimant.
Approved by
(Name, designation, code of the Authorised Officer)
Note : Whether the bill is the first/running or final has to be mentioned in the column provided for “bill details”
254 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………….Cantonment Board
Form No. 25M (21B)
[See rules 79 and 123]
Works Order Register
Sanction Date and
Order No. and date
Sr. Name of the Works Order Estimated Order No. of Name of the Planned completion Total cost of
Tender Cost of sanctioning the
No. project No. Cost sanctioning the Contractor date work done
estimate
contract
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Total Payment
Signature of
Security deposit received / Actual date of Completion Certificate made for the
EMD received Remarks Authorised
deducted completion No. and Date work/ Total
Officer
Amount Paid
Receipt No. Amount Receipt No. Amount
(11) (12) (13) (14) (15) (16) (17) (18) (19)
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 255

………………………....Cantonment Board

Form No. 26M (22B)

[See rules 79 and 125]
Measurement Book

Name of the work: _________________________________________

Location of work: ___________________________________________
Contractor by whom work is executed: ___________________________
Works order No. : ___________________________________________

Particulars of No. of Units & Unit of Contents Signature of

L. B. D. Date of measurement Remarks
Work Measurement or area Authorised officer

(1) (2) (3) (4) (5) (6) (7) (8) (9)

256 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………………....Cantonment Board
Form No. 27M (13B)
[See rule 86]
Scale Register

Scale register last amended on ……………. Sanctioned scale from ………….

Number of Pay scale Details of previous revision Details of latest revision Signature of
Designation of sanctioned including grade Chief
Department Order No. Authority Order No. Authority Remarks
Post posts pay of each Executive
and Date sanctioning the and Date sanctioning
appointment order the order Officer

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
Taxes and Revenue

Total (1) Taxes and Revenue

Public Works

Total (2) Public Works

Education

Total (3) Education

Note:
1. The signature of Chief Executive Officer only signifies the correctness of the entry made in scale register. He is not authorising the creation of new scale/post
 >֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 257

………………………....Cantonment Board
Form No.28M (14B)
[See rules 88 and 106]
Statement of Proposition of Revision of Establishment
NATURE OF CHARGE NATURE OF CHARGE

Permanent Temporary
Number and Present scale Proposed scale
Department Decrease per
Date of Order Increase per month Increase per month Decrease per month
to which the month Number
sanctioning
proposition and date of
present Average Average Grounds of
refers cantonment
establishment pay as Grade Average pay as Grade Average proposition
Number Designation Number Designation Amount Amount Period Amount Period Amount board's
per Pay Pay Cost per Pay Pay Cost
resolution
Band Band

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) (19) (20)
Rs. Rs Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs.

Chief Executive Officer,

Cantonment Board
Dated

Note:
1. Basic pay denotes the starting pay amount, increment per year and the maximum pay amount. E.g.: Rs. 5000-500-10000
2. Pay in pay band + Grade pay = Basic pay
 258 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………………....Cantonment Board
Form No.28AM
[See rules 88 and 89]
Statement of Proposition of Revision of Establishment
Nature of Contract Change in Payment Terms
Number and
date of
Present scale payable to employee Proposed Terms of Service Agreement Increase per month Decrease per month Cantonment
Number Board's
Department Resolution
and Date of
to which the
Order Service Grounds of
proposition Average
sanctioning Tax& proposition
refers Average payment
present post Name of other Average
pay as Grade Average Nature of per Estimated Period of Period of Amount Period of Amount
Number Designation Service Costs & Cost per
per Pay Pay Cost Service month as Total Costs Contract Contract (12-7) Contract (7-12)
Provider Charges Month
Band per
per
Contract
Month

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) (19) (20)
Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs. Rs.

Chief Executive Officer, Principal Director*,

Cantonment Board ……Command
Dated Dated
*Signature of Principal Director to be take, wherever applicable as per Clause (4) of Rule 89
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 259

………………………....Cantonment Board

Form No.29M (15B)

[See rules 90 and 106]

Pay bill of the permanent/temporary establishment of the ……………. for the month of ………………

Basic Additions
Pay
(Pay in
Name of Name of Pay as per Grade City Total Gross
Department/ Section of post Pay Dearness House rent Other Other
incumbent post Pay Band Pay compensatory Additions salary
Band + allowance allowance allowances allowances
allowance
Grade
Pay)
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13)

Deductions Net
Signature
Provident Employee's Total salary
Other Festival Other of
Life Insurance Other Fund contribution to Other Deduction payable Remarks
Income Tax Advance advance Deduction Authorise
Premium Insurance Advance National Pension Deductions s to the
Recovery Recovery s d officer
recovery Scheme employee
(14) (15) (16) (17) (18) (19) (20) (21) (22) (23) (24) (25) (26)

Note:
1. Suitable adjustments shall be made to the columns for additions and deletions with the permission of DGDE or CEO as per the laws and procedure applicablefrom time to time to the Cantonment Boards.
260 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

Total amount payable by the Cantonment Board:

Particulars Amount (Rs.)

Life Insurance Premium paid on behalf of the Cheque No. _____ dated ____ in favour of
employee: _____
Other Insurance Premium paid on behalf of the Cheque No. _____ dated ____ in favour of
employee: _____
Provident Fund Subscription (Employee's Cheque No. _____ dated ____ in favour of
Contribution): _____
Cheque No. _____ dated ____ in favour of
Net salary payable to the employee: _____

Certified-

(1) that I have satisfied myself that pay etc. included in bills drawn in the month of …… (last preceeding month), with the exception of those detailed below (of which the total has been refunded by deduction
from this bill), have been disbursed to the proper person and that their receipts have been taken in acquittance rolls filed in my office, with receipt stamp duty cancelled for every payment in excess of Rs.
5000, and that all leave and promotions, etc. have been entered in the service book of the official concerned.

(2) That the bill has been checked with the sanctioned scale recorded in the scale register.

(3) That all persons on pay not exceeding Rs. 15 for whom pay has been drawn in this bill, have actually been entertained during the
month.

Pay Rs…………………
Dated:…………………

Examined and Entered by

Chief Executive Officer
Accountant ……..Cantonment Board
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 261

………….. Cantonment Board

Form No.30M
[See rule 90]

Details of pay of Absentees refunded

Total number of days

Department Name Gross Pay Amount refundable
absent
(1) (2) (3) (4) (5)

Note:

Total amount deductible from an employee on account of number of days he has remained absent should
be deducted from the Gross pay.
 262 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………….. Cantonment Board

Form No. 31M (23B)

[See rule 90]

Muster Roll

Father's
Name Designation 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Total Rate Amount Amount Remarks
Name

Certified that the employees shown in the above statement were actually employed in the interest of the Cantonment, and that their pay entered in this muster roll was paid in my presence

Date Signature of Official Incharge of the work

Pay Rs. Date Signature ………………………………….
Paid by Cheque Chief Executive Officer

No. dated
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 263

………………………Cantonment Board

Form No. 32M

[See rule 92]

Increment Certificate
Certified that the officers named below are allowed to sanctioned increment from the date specified herein for approved service.

Having been the incumbents of the appointments specified for not less than…..year from the date of last increment after deducting period of absence without leave or of
suspension for misconduct

Name of the Permanent Present Pay as per Increment Date of Present

Name of Incumbent Post Pay after Increment
Department Officiality Scale Register Amount Increment

(1) (2) (3) (4) (5) (6) (7) (8)

………………………………
Signature of Authorised Officer
264 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………………Cantonment Board

Form No. 33M

[See rule 96]
Acquittance roll of …… establishment for…….20.

Deduction
Name Post Pay as Per Net Amount Paid Signature of Payee
Bill
(1) (2) (3) (4) (5) (6)
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 265

………………. Cantonment Board

Form No.33AM
[See rule 90]
Pay bill of the service providers of the ……….. For the month of ………..
Difference
Present scale of employee in Vacant Post Proposed contract Terms with Service Provider
in Amount
Ref No.
Service Paid as per
Frequency of Amount Payable and Date
Department/ Tax & Net Contract and Re-
Name of Nature of Payment as per Contract of
Sanction of Post Average pay as Average Other Tax Amount Payable as marks
Post Number Service Service (Monthly - 1, Terms/Month Sanction
per Pay Band Cost Costs & Deductible Paid per
Provider provided Quarterly - 3 (not including by P.D
Charges /Month Sanctioned
etc.) Service Tax) Terms
/Month
(15
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)
Rs. Rs. Rs. Rs. Rs. Rs. Rs.

Certified-

That I am satisfied that there is a vacancy in the sanctioned posts mentioned above.
(a) Which can not be filled for the time being despite reasonable efforts which have been made for the same*
OR
(b) that the services required from the person/s to be appointed in a sanctioned post can be more effectively OR economically obtained by way of outsourced services*
OR
(c) that the services required by the Board are of nature that are periodic / non permanent and therefore engagement of temporary establishment as mentioned above will be in the interest
of the Board*

That the outsourced services/temporary establishment mentioned above is accordingly authorized by me / Principal Director, where applicable, as per the details of the terms and
conditions noted above.

That I have satisfied myself that sum payable etc. included in bills for the month of …….(last preceding month) have been disbursed to the service provider, with receipt stamp duty cancelled
for every payment in excess of Rs.5000.

That proper deduction have been made from the amount as required and the net amount is paid as mentioned in the discharge note.

*Strike off, whichever is not

required
266 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

Total amount payable by the Cantonment

Board:

Particulars Amount (Rs.)

Net amount payable to the
service provider Cheque No. _____ dated ____ in favour of _____
Service Tax payable to service
provider Cheque No. _____ dated ____ in favour of _____

Pay Rs……
Dated

Examined and entered

by Chief Executive Officer,
Cantonment Board
Accountant
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 267

…………………Cantonment Board

Form No. 34M (16B)

[See rule104]
Provident Fund Ledger
Account of Provident Fund Transactions of the Cantonment of…… for the month of….

By whom
Credits Debits
deposited
Minimum
On What Account On what Account Balance as
per clause
Credited to
Closing 3(e)
Total the Remarks
Balance bearing
Official Opening Deduction Contribution Date of cantonment
Name interest
Designation Balance Date of from the by Interest Payment Board Paid to Total
during the
Receipt pay of Cantonment Added transferred to Depositor Payment
month
depositor Board another
provident
fund
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15)
268 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………………Cantonment Board

Form No. 35M (17B)

[See rule 104]
Provident Fund Broadsheet
Broadsheet for Calculating the interest due to each depositor

Name of the Depositor

Month/Year Monthly Minimum Balance

April
May
June
July
August
September
October
November
December
January
February Total Interest Payable
March
Total

Interest Payables on Totals

>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 269

…….. Cantonment Board

Form No.36M
[See rules 126, 133 and 190]
Completion Certificate
Name of the Project………………………………………………
Name of work……………………………………………………………
Name of contractor……………………………………………………
Work order no………………………………………….
Date of commencement of work…………………………………….
Date of completion of work………………………………………..
Date of completion as specified in the agreement…………………………………

As estimated As executed Difference

Particulars of estimate Remarks
Qty. Rate Amount Qty. Rate Amount Qty. Rate Amount

Total

If the work is not completed within the specified time, the cause of delay should be explained and recommendations shall be given for levy of penalty by the Authorised Officer.
The instances of any non-compliance or deficiency in the execution of the contract shall also be noted.
………………………………….
Signature of the Authorised Officer

Completion Certificate
Certified that the above mentioned work was completed on ______________________and that I have satisfied myself to the best of my ability that the work has been done properly in
accordance with the sanctioned plans and estimates as well as with the terms and conditions of the agreement and that the site has been cleared of all the debris and unused material.

………………………………………………….
Signature of the Head of Engineering
Department
270 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………Cantonment Board

Form No. 37M

[See rules 132 and 138]
Register of Work-in-Progress
Name of the project: Allotment for the year:
Account Code: Estimated Cost of the project:
Location of the project: Estimated date of completion:
Source from which project is being funded: Final Disclosure in case of creation of Capital Asset:
Sanction Order No. and Date: Date of Capitalisation:
Work Order No.: Asset identification no.:
Sanctioned Estimate: Ref. No. in Fixed Asset Register:
Security Deposit Received: Total Cost:

Refund of
Retention Deposit Signature
Date of measurement Total
Sr. Date of Sanctioned Name of money of
as per Measurement Amount Voucher No. Balance Remarks
No. Payment Bill Amount contractor deducted (if Authorised
Book paid Date Amount
any) Officer

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13)

Notes:
1. Total of column 3 will be transferred to Fixed Asset Register after completion of work.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 271

………………………....Cantonment Board

Form No.38M (24B)

[See rules 137 and 190]
Register of Immovable property
Name of the
asset……………………………………………… Mode of acquisition………………………………
Asset ID
number………………………………………………. Source of funds……………………………………
No. and date of orders under which property was aquired, purchased or constructed….. Warranty (Y / N)…………………………………..
Location………………………………………………………………… If yes, expiry date………………………………….
Defect
Ref. No. of WIP register………………………………………………. liability……………………………………..
No. of floors plinth area Security deposit retained…………………………
Cubic contents………………………………………… Deduction out of security deposit
Survey No. of land on which structure is located………………….. Date………………………..
Dimensions of the structure……………………… Amount……………………….
Area of land on which constructed…………….
Title documents available…………………………………………..
From whom acquired……………………………………………….

Date of Opening Written Cost of Voucher Deductions Revaluation Accumulated Depreciation Closing Remarks &
acquisition / Down Value acquisition / number (Transfer / Disposal) Written Signature of the
construction / construction / Current Down Head of
Closing
improvement improvement Opening year's Value Engineering
Qty / Voucher Date Addition Deductions Total depreciati
Date Amount balance deprec Department
No. Number on
iation

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16) (17)

Notes:
1. Separate page should be allotted for each type of asset.
2. WDV means Written Down Value
272 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………… Cantonment Board

Form No. 39M (25B)

[See rule 137]
Register of Movable Properties
Particulars Number Date of Cost of Number Department Deprecia Date of Manner Number Number and Cost Balance Signature Remarks
and of units acquisition acquisition or and date under which -tion disposal of disposed date of order realised, after each of
description improvement of the the property (Rs.) of disposal off sanctioning if sold transaction or Authorised
of property (Rs.) bill is used property the disposal (Rs.) at the end of Officer
each year

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15)
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 273

………………………....Cantonment Board

Form No.40M (28B)

[See rule 147]
Register of Investments
Type of investment (Bonds, Debentures, FD etc) ………….. Whether interest will be credited automatically………………….
Particulars of investment quoting No. and date of security instrument……………………………… If yes, name of the bank…& A/c no where it will be credited………………………………
Rate of interest………………………..
Periodicity of interest…………………………. Whether premature withdrawal permitted…………………………….
Face value…………………………. Special conditions attached, if any……………………………………….
Purchase price………………………. Physical receipt of document, if any………………………………….
Date of maturity…………………… If yes, date of receipt……………………
Account Code………………………………………………… Name of the Authorised person in whose custody documents are kept…………………………
Demat A/c No……………………………………. …………………………………………………………………….

Amount due Amount recovered Transfer / disposal Remarks Signature of

Date Total Interest Principal Total Selling Voucher Profit / Authorised
Interest due Principal due amount recovered recovered amount price No. Loss Officer
due recovered
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12)

Notes
1. Separate page would be allotted to each type of investment
274 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………………....Cantonment Board

Form No.41M (26B)

[See rule 151]
Stock Book
Name of the department………………………………………………………………………
Name of the article…………………………………………………………………..
Unit of Measurement ………………………………………………………………….

Opening Balance Receipt

Serial Particulars of sanction Rate at Total value of

Number Date of Material receipt Quantity
Quantity Value of inventory under which the which inventory
receipt note number received
receipt is made valued received

(1) (2) (3) (4) (5) (6) (7) (8) (9)

Issue Balance

Initials of Head of
Material issue Particulars (Department to Total value of inventory Value of Stores
Date of issue Quantity issued Rate per unit Quantity Department
note No. which issued) issued Inventory

(10) (11) (12) (13) (14) (15) (16) (17) (18)

>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 275

…………………………….Cantonment Board

Form No.42M
[See rule 152]
Material Receipt Note
Date

Material receipt note No.

Order No. / Requisition No. and Date

Received following materials from (name of the supplier) ………………………………………………………
vide delivery challan No……………..bill no.……………………….dated………………
Name of the article………………………… Whether Fixed Asset Inventory

Sr Name Total Qty. Quantity Rate per Amount Remarks

No. of the Article ordered accepted unit

No. Unit of Measurement

(1) (2) (3) (4) (5) (6) (7) (8)

Material received by
………………………………………….
………………………………………….
(Store Keeper)
……………………………..
Signature of the Head of Stores Department
276 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………………………….Cantonment Board

Form No. 43M

[See rule 154]
Material Requisition Note
Book No…………………. Requisition……………………… Date………………….

To………………….
Please supply the following articles to………………… department by ……………… (Date)

Sr. No. Name of article Quantity Unit of Measure Specifications Remarks

(1) (2) (3) (4) (5) (6)

Authorised Officer of
……………Requisitioning Department
Supplied the articles requisitioned except…….after entering them in the stock book at
pages……
Date……………
Received the articles requisitioned except*…..correctly
Store Keeper
……………………..Department
Note:
1. The requisition form should be in duplicate

*Here enter articles not supplied

>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 277

…………………………….Cantonment Board
Form No. 44M
[See rule 154]
Material Issue Note
Material issue note

Requisition No.

Name of the contractor / department (To whom issued)…………………

…………………………………………………………………
Purpose………………………………………………………
Sr. Qty. issued Value Remarks
No. Name of Balance in
Article Unit of Measurement Stock
No.

(1) (2) (3) (4) (5) (6) (7)

Material issued by Received by

…………………………… …………………………
…………………………… ………………………..
(Store Keeper) (Contractor/Dept.)

…………………………..
Signature of the Head of Stores Department
278 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………………....Cantonment Board
Form No. 45M
[See rules 158 and 189]
Report of Closing Stock
Department……………………………….
Date of physical verification…………………………………
Date of reconciliation of physical stock with inventory register………………….

Ref. No. of Unit Qty. Rate per Amount Remarks

register of in units unit
stores
(1) (2) (3) (4) (5) (6)

Signature of the person preparing the report

Prepared by………………………
………………………………..
Signature of Head of Stores Department
Note:
1. If at the time of physical verification of stock, any discrepancy is found it should be noted in the remarks column.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 279

…………………………...Cantonment Board

Form No. 46S

[See rule 161]
Receipt Voucher

Receipt No. Date of receipt Cash Collection Center no. Counter No.

Received From
Amount Rs
Amount in words
Received on account of
Narration

Mode of Receipt Amount Cheque No. Cheque date Bank Name Branch Name

Reference No. / Bill No. Date of Bill Details (Function + Object Heads) Payable Amount Amount Received

Total

………………………………………………..
Signature of Authorised Officer
(Name / designation of the Authorised Officer)
280 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………..Cantonment Board

Form No. 47S (5B)

[See rule 162]
Challan
From date ______ to ___________

Tax collector's name: (USER name) …………………………………………………….

Receipt Amount Cheque No. Bank's Name

(Rs.)
Receipt No. and Receipt Date Manual Receipt No. and Receipt Date

(1) (2) (3) (4) (5)

Received From Head of Account Cash (Rs.) Bank (Rs.) Cheque/ DD/Pay Slip (Rs.) Total Amount (Rs.)
(6) (7) (8) (9) (10) (11)
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 281

……………..Cantonment Board

Form No. 48S

[See rules 42, 164 and 192]
Bank Reconciliation Statement

Name of the bank ……………………………………………… Date

Account No …………………….

Particulars Rs. Rs.

(1) (2) (3)

Bank Balance as per Cash Book xxxx

Add: (A) Cheques issued but not presented into bank (a xxxx
cheque-wise list to be appended)

Add: (B) Cheques drawn but not actually issued to parties (a list xxxx
to be appended)

Add: (C ) Cheque issued and payment stopped by CB (a list to be xxxx

appended)

Add: (D) Credits of investment proceeds in Bank (e.g. Fixed xxxx

Deposits) accounted by the bank but not accounted for in
Cash Book
282 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

Add: (E) Amount (Cash or Cheque) deposited by the xxxx

depositor(s) into bank but not accounted for in Cash Book

Add: (F) Credit given by Bank either for interest or for any other xxxx
account but not accounted for in Cash Book

Add: (G) Short debit and excess credit given by bank.

Sub-total xxxx

Less: (H) Cheques Deposited but not cleared xxxx

Less: (I) Payments directly made by the bank but not xxxx
accounted for in Cash Book

Less: (J) Cheques deposited but dishonoured xxxx

Less: (K) Service Charges / Bank Charges or any other xxxx

charge levied by the Bank but not accounted for in Cash
Book

Less: (L) Short credit and excess debit given by the bank.

Sub Total xxxx

Bank Balance as per Pass Book/Bank Statement xxxx

>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 283

…………..Cantonment Board

Form No. 49M (19B)

[See rule 168]
Register of Permanent Advances

Amount of permanent sanctioned Name of the Date of grant of Date of surrender of advance or Signature of cashier
Post/Designation
for the post (Rs.) employee advance final settlement confirming nil dues

(1) (2) (3) (4) (5) (6)

284 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………………Cantonment Board

Form No. 50S

[See rules 180, 182 and 183]
Register of deposits

From :xx/xx/xxxx to xx/xx/xxxx

Voucher Amount of
Receipt no. for Deposit repaid
Name of the Purpose of Type of Amount of Amount recovered Balance
Sr. No. Deposit No. Voucher No. adjustment (Rs.),
Depositor deposit Deposit Deposit (Rs.) from deposit (Rs.) (Rs.)
Date /forfeiture Payment
entry Voucher No.

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11)

Note:
1.Type of deposit should be chosen by way of a drop down list. Few types are given as illustration.
2. This form shall be used for all deposits except those security deposits which are placed in any form other than cash or bank, E.g- Bank FD or NSC
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 285

……………...Cantonment Board

Form No.51M (29B)

[See rules 180 and 184]
Register of Security Deposits

Name Number and Date Encashment

Balance Remarks
and Person in whose of order Actual Value of or realisable
Purpose Nature of Value of Details of Details of at the and
Number and Date of order Date of address custody the sanctioning Date of Instrument value of
Sr No of Instrument Deposit instrument instrument close of signature of
under which deposited Deposit of instrument is return or return or returned instrument
deposit deposited (Rs.) deposited returned the year Authorised
Deposit placed forfeiture of forfeiture (Rs.) on date of
(Rs.) Officer
or deposit forfeiture

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) (15) (16)

Note:
1. This form is to be used for those security deposits which are placed in any form other than cash or bank. For instance - Bank FD, NSC

2. Column 7 is to be used to record the face value of the instrument placed as deposit. However, the amount to be recorded in column 13 is the amount realisable if encashed on forfeiture.
286 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

………………………....Cantonment Board

Form No. 52M

[See rule 186]
Register of Bank Guarantees Received
Details of Bank Guarantee (Original/Extended) Status of work
Nature of
Guarantee Purpose for which Work order no. against which Total cost of Date of Re-
Sr. No. Name of the Guarantee Commence- Expiry Amoun Commence-
(Financial/Perfor- guarantee is received guarantee is received work comple- marks
mance) bank No. ment date date t ment date
tion

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13)

Note:
1. If the original guarantee is expired the details regarding the same and extended guarantee should be mentioned in remarks column. It should also be mentioned whether the original
guarantee is returned on expiry.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 287

………………………. Cantonment Board

Form No. 53S (9B)

[See Rule No.188]
Classified Abstract

Classified Abstract of Receipts

For the Period _______ to ________

Account Code Account Head Actual receipts for the Period Income till date for the year Budgetary Provision Balance recoverable

(1) (2) (3) (4) (5) (6)

Classified Abstract of Payments

For the Period _______ to ________

Account Code Account Head Actual Payments for the Period Expenditure to date for the year Budgetary Provision Balance available for expenditure

(1) (2) (3) (4) (5) (6)

 288 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………….. Cantonment Board

Form No. 54M (31-B)
(See Rule No. 188)
Water Charges Demand, Arrears and Collection Register

Periodicity of raising bills : Monthly/Quarterly/Half-yearly/Yearly

Nam Demand Collection

Balance
Arre Bill Amo Apr May Jun Jul Aug Sept Oct Nov Dec Jan Feb Mar
Rece Amo Rece Amo Rece Amo Rece Amo Rece Amo Rece Amo Recei Amo Rece Amo Rece Amo Rece Amo Rece Amo Rece Amo Arrea Curr Tot

Sr Water
Connec-
tion No./
Water
Meter
No.

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33

ABC - 2012- 30
0 300
1 1234 XYZ 100 13/10 500

XYZ -
2 1234 ABC Q1 - 1 100
Q1 - 2 100
Q1 - 3 100

PQR - HY1 -
1234 MNP 13 200
HY2 -
13 200

Y13 300

Notes:
1. Periodicity of raising bills should be written on the top of the form and dates of demand shall be written whenever demand is raised according to the periodicity of raising bills.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 289

…………………….Cantonment Board
Form No. 55S
[See Rule No. 194]
Balance Sheet as on…………………………...
Amt. in Crores
Account Description of items Schedule Current Year Previous Year
Code No. Amount (Rs.) Amount (Rs.)

LIABILITIES

Cantonment Funds
Reserves
Earmarked Funds
Total reserves and surplus (1)

Grants, Contributions for Specific Purpose

(2)

Loans
Secured Loans
Unsecured Loans
Total loans (3)

Current Liabilities and Provisions

Deposits Received
Recovery on behalf of Govt.
Provisions
Other Liabilities
Total Current Liabilities and Provisions (4)
Total Liabilities (1+2+3+4)
ASSETS
Fixed & Movable Assets
Gross block
Accumulated Depreciation
Net block
Capital Work-in-Progress
Total fixed assets (5)

Investment (6)
Current Assets, Loans and Advances
Stock-in-hand
Sundry Debtors
Loans,Advances and Deposits
Cash and Bank Balances
Total Current Assets, Loans and Advances
Other Assets (8)

Total Assets (5+6+7+8)

Notes forming part of accounts

Head of Accounts Chief Executive Officer

Dated _________ Dated _________
President Cantonment Board Auditor*
Dated…….…. Dated……….

* Wherever applicable

Note:
1. Heads shown in the format are illustrative and not exhaustive. The Board may show heads upto detailed headlevel as
per requirement.
290 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

…………Cantonment Board

Form No. 56S

[See Rule No. 194]
Income and Expenditure Account for the year ended ___________________

Account Item/ Head of Account Schedule Current Year Amount Previous Year
Code No. (Rs.) Amount (Rs.)
(1) (2) (3) (4) (5)

Income
Tax revenue
Realisation under special act
Assigned revenue and compensation
Revenue Grants, Contributions and subsidies
Rental income for properties
Fees, user charges
Sales and hire charges
Other income
Income from interest

Total Income

Expenditure
Establishment Expenses
Administrative Expenses
Interest and Finance Charges
Purchases, Repairs and Maintenance
Depreciation
Grants, Revenues and subsidies
Provisions and write - offs
Misc/ Other expenses

Total Expenditure

Gross surplus/ (deficit) of income over

expenditure
before prior period items

Add : Prior period items (Net)

Gross surplus/ (deficit) of income over

expenditure
after prior period items

Head of Accounts
Chief Executive Officer

Dated _________ Dated _________

President Cantonment Board Auditor*

Dated………. Dated……….

* Wherever applicable

Note:
1. Heads shown in the format are illustrative and not exhaustive. The Board may show heads upto detailed head level as per
requirement.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 291

…….…..Cantonment Board

Form No.57S
[See Rule No.194]
Receipts and Payment Account for the period ______ to ________

Actual Amount
Account Code Account Head Budgeted amount ( Rs.)
Received ( Rs.)
(1) (2) (3) (4)
Opening Balance

Total Receipts

Actual Amount
Account Code Account Head Budgeted amount ( Rs.)
Paid ( Rs.)
(1) (2) (3) (4)

Total Payments
Closing Balance

Chief Executive
Head of Accounts Officer

Dated _________ Dated _________

President Cantonment Board

Auditor*

Dated………. Dated……….

* Wherever
applicable 1
Note:
1. The receipts and payments account is based on actual receipts in cash and bank & actual
payments effected.
2. It is thus similar to the present cash based accounting system.
3. This data shall be extracted from the cash and
bank book.
4. It will give the Chief Executive Officer the clear picture of the cash position of the Cantonment Board
5. Heads shown in the format are illustrative and not exhaustive. The Board may show heads upto detailed head level as
per requirement.
292 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

APPENDIX
[See rules 2(1)(e) and 194]
PREPARATION OF OPENING BALANCE SHEET
1. Objective of Opening Balance Sheet
The main objective in preparation of Opening Balance Sheet is to ascertain the various assets and liabilities of the Board
and thereby determine the net worth of the Board.
2. Preparation of Opening Balance Sheet
For preparation of Opening Balance Sheet the following steps need to be taken:
(a) identification and classification of assets and liabilities
(b) verification and valuation of assets and liabilities
(c) preparation and approval of the draft of proposed Opening Balance Sheet
(d) revision of Opening Balance Sheet
3. Identification and Classification of assets and liabilities
(1) To facilitate a quick and efficient preparation of Opening Balance Sheet as on the commencement date of
double entry based accrual system of accounting, the process of collecting information and updating the records and
registers etc., may be commenced on any day during the preceding year. However the records and registers shall
eventually be updated as on the commencement date.
(2) For identification and classification of assets and liabilities following steps shall be taken:
(a) The Head of Accounts shall first issue requisite forms and instructions to the Head of Departments concerned
for listing of assets and liabilities.
(b) The Head of the Department concerned shall prepare a list of all assets and liabilities of his Department and
ensure that the records are properly updated. The information collected shall be verified and authenticated by him.
4. Compilation, Verification and Valuation of assets and liabilities
(1) For the purpose of verification and valuation, the assets and liabilities shall be classified into financial assets and
liabilities and other assets and liabilities.
(2) Verification of the financial assets (for example investments, receivable etc.) shall be carried out by the Head of
Accounts and the verification of all the other assets shall be carried out by the Head of Department.
(3) This verification of the listed assets and liabilities would include verification by Head of Department concerned
certifying that
(a) all the assets and liabilities of the department are listed;
(b) physical verification of all important assets and test checks of other assets and liabilities has been carried out;
(c) the verified list is cross-checked with suitable documentation, title papers or other authentication provided by
authorised officer;
(d) the appropriate process of valuation has been followed;
(e) the final values adopted as mentioned above are reasonable and in accordance with the directions is sued in this
regard.
(4) A final verified list containing full particulars required to be entered in the respective asset registers shall be
signed by the Head of Department. The Head of the Department shall forward the list so signed by him to the Head of
Accounts who after scrutinising the same, shall forward it to the Chief Executive Officer. The Chief Executive Officer
shall also verify and approve the same and instruct the Head of Accounts to proceed with compilation of the lists of
assets and liabilities of the Board.
>֏֞չ II—ո᭛փ 4] ֏֞֒ֆշ֞֒֞վ֌ᮢէ֚֞։֞֒օ 293

(5) Upon being satisfied that thelists are in accordance with the policy of the Board, the Head of Accounts shall
incorporate the information contained in the list into the respective registers of the Board such as Fixed Asset Register,
Investments Register and Work in Progress Register.
Compilation of Schedules and Lists of Specific Assets and Liabilities
5. Fixed assets
Based on the verified list submitted as per rule 4 (above), the Head of Accounts shall prepare a list of all fixed assets
which are under the charge / ownership of the Cantonment Board. The information gathered during the physical
verification should be signed and authenticated by him. Such information shall be compared with the fixed asset register.
If any discrepancies are noticed, such discrepancies shall be rectified through changes in the fixed asset register on the
order of the Chief Executive Officer.
6. Capital Work In Progress (CWIP)
The information with regard to Work in Progress shall be obtained from the records such as Bills Register, Measurement
Book, etc., and compared with the Capital WIP register maintained in Form 37M. The data obtained shall be certified by
the Head of Department concerned.
7. Investments
Physical verification of the original certificates and documents shall be carried out to ascertain the exact amount of
investments held. The data collected shall be compared with the investment register maintained in Form 40M and shall
be certified by Head of Accounts.
CURRENT ASSETS AND LOANS AND ADVANCES
8. Receivables
Head of concerned department shall prepare a list of all income or other sums receivable and demands outstanding. He
shall authenticate and thereafter submit the same to the Head of Accounts. The income receivable shall be included in
opening list of current assets.
9. Stock in hand
The Stores Department shall carry out physical verification of stock in hand and prepare a list of all inventories. While
carrying out physical verification, the Head of Department shall also identify the obsolete and slow moving items. Any
items, which have expired or are not in a condition to be used, shall be removed from the list and processed for disposal
in accordance with the prescribed procedure described in Chapter XX. If any discrepancies are noticed such
discrepancies shall be rectified through changes in the Stock Book. The data collected shall be cross checked with the
stock book and certified by the Head of Stores Department or authorised officer who shall thereafter submit the same to
the Head of Accounts.
10. Cash in hand
The actual cash in hand shall be counted by the Cashier and the actual count shall be compared with the Cash Book
balance. Upon verification the Cashier shall certify the balance of cash in hand and submit such certificate to Head of
Accounts.
11. Cash at bank
All bank accounts should be listed out and a comprehensive list of balances should be prepared. The balance as per the
bank book shall be compared with the balance as per the bank statements obtained from the bank. If there is a difference
between the balance as per the bank certificate and balance as per books then bank reconciliation statement for each bank
shall be prepared in Form 80S and furnished to the Chief Executive Officer for his authorisation.
12. Loans, advances and deposits
The Head of the Department concerned or authorised officer shall ascertain the amount of loans, advances and deposits
due to the Board and name of party to whom such amounts have been paid. This information shall be cross-checked with
the terms and conditions recorded in the original documents and in the loans and advances register, and certified by the
Head of the Department.
294 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 4]

13. Prepaid expenses

Expenses that have been paid in advance and relate to a period after the date of the Opening Balance Sheet should be
recognised as prepaidexpense. Details for the same shall be obtained from the cash and bank book and other records by
the Head of Accounts.
14. Grants in aid, contributions for specific purposes
The amount of grant in aid sanctioned and not fully utilised as on date shall be ascertained and listed. The net amount of
grants received and not yet utilised shall be included in the liabilities of the Cantonment Board after the list has been
verified and approved by the Chief Executive Officer.
CURRENT LIABILITIES
15. Bank overdraft
Bank overdraft, if any, shall be verified with either the bank statement or a bank balance certificate. The bank
reconciliation statement shall be prepared as per the procedure given in Chapter XX.
16. Deposits received
Details of deposits received shall be obtained from deposit register maintained in Form 42S. Head of the concerned
Department shall as certain the amount and name of party from whom deposits have been received. This information
shall be cross-checked with the terms and conditions recorded in the original documents and in the deposit register, and
certified by the Head of Department or authorised officer.
17. General guidelines
(1) All expenditures of capital nature shall be recognised as Assets in the Balance Sheet.
(2) If an asset is owned by another legal entity (such as a trust, society etc.), then even if it is managed by the
Cantonment Board, it would not form a part of the Cantonment Board's balance sheet.
(3) All liabilities should be recorded at the full value expected to be paid for them.
(4) If an asset is received or held by the board by reason of vesting of such asset in the board by operation of law or
by issuance of theresources of the Board, the same shall be recognised and recorded as provided in ChapterXIII.
(5) The mere maintenance of a register should not be taken as sufficient for the purpose of arriving at or recording
the balance under the head of a particular asset. Verification of the same or validation of some corroborative evidence
would be necessary for bringing the asset into the books of the Board. The Board should validate the authenticity and
correctness of the entries in the register with source documents before its inclusion in the balance sheet.
18. Preparation and approval of the draft of proposed opening balance sheet
Once the data for preparation of Opening Balance Sheet is available with the Board, the draft of Opening Balance Sheet
shall be prepared and placed before the Cantonment Board for its approval.
19. Revision of opening balance sheet
(1) The Cantonment Board shall first examine the draft of Opening Balance Sheet and if any error or omission is
noticed it shall direct the same to be rectified by making an adjustment through 'Opening Balance Sheet Adjustment
Account.
Example for incorporating the value of the Building which existed on the date of the opening Balance Sheet, but was
inadvertently omitted, the entry shall be passed by debiting Building a/c and crediting the 0pening balance sheet
Adjustment Account.
(2) While incorporating the value of newly identified assets and liabilities in the Balance Sheet, it should be ensured
that details of these assets or liabilities have also been incorporated in the relevant registers such as Fixed Assets
Register, etc.,
[No. 14(8)/2009-D(Q&C)]
NAZLI J. SHAYIN, Jt. Secy.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.
ALOK KUMAR
Digitally signed by ALOK KUMAR
Date: 2020.03.11 15:34:43 +05'30'