Presentation on theme: "Presentation on Maintenance of Books of Accounts and Closing of Annual Accounts of SSA by Chief Consultant, TSG and Finance Controller, SSA, West Bengal."— Presentation transcript:
1Presentation on Maintenance of Books of Accounts and Closing of Annual Accounts of SSA by Chief Consultant, TSG and Finance Controller, SSA, West Bengal
2Maintenance of Accounts State Implementation Society is required to maintain the following books of accounts and registers(a) Cash Book (b) Ledger (c) Journal (d) Register for Journal / Magazines / News Papers (e) Register of Advances (f) Register of Bank draft received (g) Cheque issue register (h) Register of remittances made into the Bank (i) Bank Pass Book / Bank statement (j) Register of bank drafts dispatched (k) Bill Register (l) Establishment Register (m) Stock Register – Capital Goods, Non-consumable articles, Consumable articles (n) Register of works (o) Register of grants of advances to mobilizing agencies / NGOs / Voluntary Agencies (p) Fixed Assets Register (q) Register of Investments (r) Classification accounts of the Project (s) Monthly accounts of Receipts and Payments (t) Temporary Advance Register – staff, contractors / suppliers / VEC (u) Despatch Register (v) File Register.
3SIS may maintain any other books of accounts, if considered desirable. Maintenance of Accounts contd.../-SIS may maintain any other books of accounts, if considered desirable.Society should prepare every month a district wise abstract to indicate the monthly expenditure.A quarterly consolidated account indicating the receipts and payments should be prepared.Opening balance and closing balance should be indicated correctly every quarter.Wherever the funds are received and utilised including the VECs / SMCs are required to maintain the accounts.Consolidated records of reciepts and expenditure need to be maintained at the district and State Project Office.
4Maintenance of Accounts contd.../- Society is required to maintain a register of assets and a stock register separately for capital goods, consumable and non-consumable articles acquired out of SSA funds.Society shall also arrange the physical verification of the assets at least once a year.The asset register and stocks register need to be maintained at the level of school, CRC, BRC, DPO and SPO.An abstract of register of assets need to be appended to annual statement of accounts.The register of abstract shall contain progressive figures of stores and their values.
5Annual Accounts of SSASociety need to prepare annual accounts of the receipts and payments and a statement of liabilities.The SPO shall prepare the annual accounts of the society immediately after the close of the financial year.The annual accounts need to be got approved by the Executive Committee of the Society.The annual accounts of the society are mandatorily to be got audited by a Chartered Accountant firm.
6No of Units under Different levels of Paschim Banga Sarva Shiksha Mission Covered & Included in the Compilation of Annual AccountsSPO/DPO No of UnitsTotalState Project Office1-Bankura451896571999Bardhaman5931722893521Birbhum3216101001743Cooch Behar261346801453Dakshin Dinajpur1878241842DGHC, Darjeeling141323841422Hooghly4723642922704Howrah3417971081940Jalpaiguri271691901809Kolkata10141152Malda311468421542Murshidabad30561283226Nadia3721421862366North 24 Parganas26036803341Paschim Medinipur6932301313431Purba Medinipur462531932671Purulia16271720Siliguri Mahakuma733633377South 24Parganas5135903794Uttar Dinajpur179487410402171337512284841094No. of CLRCUnitsNo. of VECUnitsNo. of WEC Units
7Maintenance of Books of Accounts and Preparation of Final Accounts in West Bengal As prescribed in FM&P manual Double entry system of accounting is followed in west Bengal up to CLRC level and it is under single entry in VEC/WEC. Cash book and vouchers are the only basis in preparation of accounts statement in VEC/WEC.Separate cash book under double column is maintained up to the level of CLRC.No such separate cash book is maintained in VEC/WEC and expenditure statements are prepared on the basis of common cash book supported by the bank pass book for banks transactions and vouchers.
8Mainly following books of accounts are maintained in SPO and DPO Separate cash book for each scheme viz. SSA, NPEGL, KGBV under double column cash book is maintained.Bill/Vr register for recording of each bill processed for payment with a sl.no. duly signed by Accountant, FAO,CF and SPD after each processing.Bill/Cr. Vr. register for recording each receipt with sl.no. duly signed by Accountant, FAO,CF and SPD after each processing.Cheque issue register for recording issue of cheques against each payment vr.Stock Register.Fixed Asset Register.Register of advances.Bank Pass Books/Bank Statements.File Register.Despatch Register.Pay in slips for depositing cheques/cashBank reconciliation statements.LedgerJournal
9Mainly following books of accounts are maintained in CLRC Separate cash book for each scheme viz. SSA, NPEGL, KGBV under double column cash book is maintained.Cheque issue register for recording issue of cheques against each payment vr.Register of advances.Bank Pass Books/Bank Statements.Bank reconciliation statements.Ledger
10Mainly following books of accounts are maintained in VEC/WECOnly statements of accounts are maintained.Vrs. are prepared and preserved.Common Bank pass book is maintained.Statement of civil works cost is prepared.UC s prepared.
11In SPO and DPOs generally annual accounts is prepared through Tally Accounting system. In other offices it is prepared manually. Journal entries at year end are passed for provisions and adjustments. Manual accounting is at present maintained also side by side. Separate accounts for districts and SPO are prepared, remittances are reconciled, BRS is prepared up to the level of CLRC and then compiled accounts at SPO is prepared. Income & Expenditure Accounts, Balance Sheets of each District and SPO and the Consolidated Income & Expenditure Accounts and Consolidated Balance Sheet are prepared under Standard Accounting Principle.
12Status of Annual Accounts in West Bengal for the year 2009-10 All the district accounts have been completed prior to 30th June, 2010.In SPO the accounts have been completed in 2nd week of July, The delay is mainly due to shortage of staff at SPO Finance.The consolidation of accounts at SPO will be done after completion of Statutory Audit at DPOs and SPO.
13Status of Statutory Audit in West Bengal, for the year 2009-10 Approval of EC to engage Statutory Auditor for from the panel of C.A Firms sent by MHRD was obtained in Nov.2009.Empanelled C.A firms were requested to submit their profile along with separate financial bids on the basis of details sent to them for coverage of statutory audit in March, 2010.A meeting with the bidders were arranged before opening of the financial bid to clarify any ambiguity and offered scope to modify their financial bid on such clarification in place of the initial offered rates in 1st week of April, 2010.Selection of firms completed on 30th April,2010 and five C.A firms were selected for the twenty educational districts along with a lead auditor and the C.A. firms were informed in 1st week of May,2010 with direction to start audit by May end.
14Practically statutory audit started in 2nd week of June after a review meeting in 1st week of June with district FAOs when statutory Auditors also participated for face to face interaction about the fixing up the schedule for starting of audit in different districts. In the same meeting the lead auditor interacts with the other auditors for their co-ordination and co-operation and for fixing up the consolidation schedule.A formal meeting was also held with the auditors on 24th July i.e. before the MHRd’s video conference on 26th July for updating the latest position of statutory audits going on throughout the districts. The progress was quite satisfactory except the Darjeeling District, where due to political disturbance progress is not upto the mark.This time coverage of statutory audit of more than one third of VECs/WECs and CLRCs could be achieved.It is expected that the statutory audit will be completed within 15th of August,2010 and report of auditors will be submitted by 31st August i.e. one month in advance than the prescribed calendar.
15Some of the proformas of Books of Accounts used in West Bengal and Income & Expenditure proforma and Balance Sheet are reproduced belowFormat of Cashbook
16Format of Cheque Issue Register Format of Ledger Book
18Annex-XXI Consolidated Balance Sheet as on ……… (See Para No 108.1) (Figure in Rs.)Consolidated Balance Sheet as on ………Name of the SIS __________________LIABILITIESScheduleAmountCurrent yearAmount Previous YearASSETSCapital FundFixed AssetsOpening BalanceGeants received from Govt. of IndiaSSANPEGEL & KGBVGrants received from State Govt.Civil Works :Opening BalAdd transferred during the yearTotalComputerFurnitureVehicleEquipmentCurrent AssetsAdvances outstanding :(a) Civil Worksi) Op. balii) Advances during the yearLess Transferred to Civil worksNet Balance(b) OthersLess Excess of Expenditure over income transferred to Capital FundNet Capital FundBalances at districts:Cash at BankCash in HandBalances at SchoolAdvances repayableClosing Balance at SPOCurrent LiabilitiesChartered Accountant Firm State Project Director (SSA)
19Consolidated Income and Expenditure Account for the year ended …….. Annex-XXIISee Para No(Figure in Rs.)Consolidated Income and Expenditure Account for the year ended ……..Name of the SIS __________________EXPENDITUREScheduleAmountCurrent yearAmount Previous YearINCOMEExpenditure at District and sub-district levelTeacher SalaryFree Text BookInnovative ActivitiesIEDSchool Maintenance GrantManagement CostLearning Enhancement ProgrammeResearch & EvaluationSchool GrantTLETeacher TrainingCommunity TrainingOthersState LevelSIEMATResearch and EvaluationSupervision and MonitoringInterestSSANPEGELKGBVOther IncomeExcess of Expenditure over income transferred to Capital FundTOTALChartered Accountant Firm State Project Director (SSA)
20Key Gaps/Difficulties in maintenance of Prescribed Books & Accounts as well as steps to bring improvements in this activityKey Gaps/ DifficultiesSufficient number of accounts personnel are not available at each levelAll the prescribed books of accounts could not be maintained at each level due to insufficient accounts personnelThere is no accounts personnel at CLRCMost of the VEC/WEC personnel are from non finance backgroundAll the personnel involved in the implementation of SSA program are not trained in the area of accounts and financeAccounts in the PBSSM at all level has not been computerizedSteps to bring ImprovementsRationalization of man-power requirement should be done on the basis of present volume of approved outlayMaintenance of unnecessary books of accounts or less important books of accounts should be avoidedAll the CLRCs should have an accountant to improve the quality of accounts.All the persons involved in the finance & accounts should be provided proper trainingA customized accounting package supported by MIS system should be developed & all the levels should be brought under that fold.Remarks : The proformas prescribed in FM&P Manual for consolidated Balance Sheet and The Income & Expenditure Account are seems to be not as per standard accounting principal and in West Bengal these profrmas are not used for preparation of Annual Accounts and it is prepared in the proformas shown earlier.