Panchayati Raj Institutions Accounting Software PRIASoft Panchayati Raj Institutions Accounting Software PRIASoft stands for Panchayati Raj Institutions Accounting Software

PRIASoft Conforms to classification formats recommended by CAG for PRIs Major Head (4 digits) Minor Head (3 digits) Sub Head (2 digits) relates to schemes (optional) Object Head (2 digits) PRIASoft conforms to the latest classification format recommended by CAG for PRIS. The classification format has 4 tiers viz., 4-digit Major Head, 3 digit Minor Head, 2-digit Sub Head and 2 digit Object Head. The Sub-Head corresponds to schemes. Schemes may be Central or State Government schemes.

PRIASoft Follows Cash-basis of accounting and single-entry system of book keeping Available in local language Both online as well as offline versions will be available Will facilitate integration of accounts of PRIs across the country and provide a unified view of PRI accounts at the national level As desired by the Committee on Simplified Accounting System for panchayats, PRIASoft follows the cash-basis of accounting and single-entry system of book keeping. This means that only actual cash transactions are recorded b y the system; amount due or accrued are not recorded. However, certain reports, prescribed by CAG, are generated which help in maintaining a record of these details. PRIASoft is available in local language. This means that the users will be able to use the software in their own language. Since connectivity is not available in all Gram Panchayats and also in some block panchayats, it is proposed to provide an offline version of the software. Using the offline version of PRIASoft, users will be able to enter the data locally and periodically upload the data on the main site. While offline data entry will make it easier for disconnected sites to record the details as and when the events occur, periodically uploading the data to the central server will not only make the accounts details available in the public domain but will also act as a means of storing data in a secure location. Once the accounts of all panchayats are available in the central server, it will be possible to obtain an integrated, unified view of accounts of PRIs across the country.

Objectives Simplification of Format of Accounts Uniform, integrated view at the district, state and national level Record Management Accountability Transparency Enhances Simplification by taking into account panchayat’s perspective Provides an integrated view of the accounts of PRIs across the country by facilitating mapping with state government prescribed Chart of Accounts to CAG recommended Chart of Accounts Generates all records automatically Maintains a record of data management Shares accounting details in public domain

Addressing the Perspectives of Stakeholders Panchayat Citizen PRIASoft Accounting Government

Users of PRIASoft PRIASoft CGA Gram Panchayat State AG/PR There will 5 major types of users of PRIASoft. These include: CAG State AG/PR District Panchayat Block Panchayat Gram Panchayat Subsequent slides describe the roles and responsibilities of each type of user in PRIASoft. Block Panchayat District Panchayat

CGA Create, Modify and Delete Major Heads Minor Heads Sub Heads (only Central Govt. Schemes) Object Heads CAG will be responsible for maintaining all the heads of accounts that are defined centrally. The heads of accounts defined by CAG will be available to all the states which have adopted the Simplified Accounting Format recommended by CAG. While adding new heads of accounts will not be a problem, modifying/deleting existing heads of accounts will be allowed only if there are no transactions against them. CAG will be able to define Sub-Heads only for the Central Government schemes. Once defined, the Sub Head will be available across the country in a uniform manner and thus enable consolidation of scheme expenditure across the country.

State AG/PR Create, Modify, Delete Manage State Government Schemes Sub Heads (only State Govt. schemes) Object Heads Manage State Government Schemes Assign selected Heads of Account to the three tiers of panchayats (district, block and village) depending on the extent of devolution Define state-wide demand categories The State AG can manage sub-heads for state government schemes and also object heads. The sub-heads and object heads created by a state will be available only in that state; they will not be visible to other states. In order to create sub-heads, firsty the state government schemes should be created. Another option available to State AG is assigning Heads of Accounts to the three tier of panchayats. This is an important feature which considerably makes the software simple for the end users at the panchayat level. The extent of devolution is not uniform in all the states. Thus, all heads of accounts may not be applicable to all tiers of panchayats. The State AG can define the heads of accounts applicable to a specific tier of panchayat in the state. This activity needs to be done only once in the beginning when the software is initialized for the state. Once this is defined, the panchayats in each tier will see only those heads of account which is applicable to them. This makes the drop-down list of heads of account considerably smaller and simpler to use. Another important activity that the state AG can do in the software is defining the various demand categories and specify the heads of account for each of these demand categories. By associating the demand categories with heads of accounts, it becomes easier to link the money received under a demand category to certain details relating to that demand category.

PRIs Manage Bank Accounts (entered at the time of initialization and whenever a new bank account is created) Manage Treasury Accounts (entered at the time of initialization and whenever a new treasury account is created) Manage cheque books of bank and treasury accounts (entered whenever a bank or treasury cheque book is issued) Opening & Closing Balance (entered at the time of initialization) Budget Estimates (Initial and revised, twice in a year) Receipt, Expenditure and Adjustment voucher entries (whenever the transaction takes place) Receivables and Payables Entry (whenever a receivable or a payable event occurs) Bank & Treasury Reconciliation (once in a month or as per requirement) Manage Assessee Details Manage Stock Receipt and Issue/Sale Details Manage Road Details PRIASoft provides a single software for all three tiers of panchayats. The panchayats are the main users of the system on a day-to-day basis. Remaining users such as CAG and State AG use the system only occasionally. There are several ways in which panchayats use the system. This is described below: Managing Bank and Treasury Accounts – Data relating to bank and treasury accounts of panchayats are to be entered at the time of initialization of the software for the panchayat and also whenever a new bank or treasury account is created. Manage Cheque books of banks and treasury accounts – This is also to be entered at the time of initialization and whenever a new bank or treasury cheque book is issued or an existing cheque book is lost or found. The Opening and Closing balance details are to be entered only once at the time of initialization. For subseqent years, the opening and clsoing balances are automatically calculated. The budget estimates are to be entered by each panchayat twice in a year, once when the initial estimates are available and another when the revised estimates are availoable. The most cpommon transaction that happens on a daily basis are the receipts and expenditures, deposits and withdrawals. These are the only four screens which need to be used on a daily basis by the panchayats. As you will see later, these screens are so simple to use that the panchayat will have no difficulty in learning to use these screens. Receivables and Payables help to bridge the gap between the cash-basis and accrual system of accounting. Since cash-basis of accounting has been adopted in the Simplified accounting System, CAG has prescribed a format for recording and reporting the receivables and payables. In PRIASoft, there is a simple system for recording the receivables and payables. Receivables and payables are to be recorded whenever an event related to them occurs.For eg., as soon as a house tax becomes due, the panchayat will record it in the Receivables and Payables form. Subsequently, when the house tax is actually received by the panchayats, the same is removed from the receivables and payables register. At any point of time, the panchayat can generate a report which will inform the panchayat the amount that are due to be received or paid by the panchayat. Bank and treasury reconciliation is another important feature provided by the software to better manage the funds available in various bank and treasury accounts. At the end of each month, the panchayat can reconcile the cash book with the pass book of each treasu

CGA and State AG/State PR Manage Account Heads CGA and State AG/State PR

Adding new Major Heads

Adding New Minor Heads

Adding new Sub Heads

Mapping Schemes to Head of Accounts Object Head

Internal Fund Management

Manage Bank Accounts

Manage Treasury Accounts

Receipt Entries

Selecting Classification

Payment Entries

Adjustment Entries (Deposit Entries)

Adjustment Entries (Withdrawal)

Transfer Entries Select Voucher Remove Remove

Bank/Treasury Reconciliation

Bank/Treasury Reconciliation Report

Demand Collection Register Demand Categories, the account heads under which they are collected and the frequency of collection can be defined at State level The assess details are captured by the panchayats through the Assessee Management module. Demand collections are recorded by the panchayats whenever they are received under the defined account heads.

Demand Category

Assessee Details

Inventory/Stock Register The panchayat will record the items in the inventory Buying of new stock as well as sale of stock are recorded in accounts The issue of items is also recorded

Stock Item Master

Stock Receipt Details

Stock Issue or Sale

Road Master

Road Register Panchayats have to enter the details of already constructed, under construction and under maintenance roads. Whenever expenditure is incurred for road construction or maintenance, they are linked to the road on which the expenditure is incurred Thus road register is maintained automatically whenever expenditure details are recorded

PRI-wise Reports Output Reports Monthly Annual Receipts and Payments Account Consolidated Abstract Register Cash Book Bank/Treasury Reconciliation Statement Statement of Receivables and Payables (once in a year) Road (once at the time of initialization and event based) Demand Collection (whenever the transaction takes place) Stock Register (whenever the transaction takes place) Register of Immovable Property (event based) Register Movable Property (event based) Land (once at the time of initialization and event based)

National Level Reports Scheme-wise Expenditure Report Expenditure Statement under the Eleventh Schedule State-wise Receipt and Expenditure Details

Scheme-wise Expenditure Report

Scheme-wise Expenditure Report (contd.)

Scheme-wise Expenditure Report (contd.)

Scheme-wise Expenditure Report (contd.)

Scheme-wise Expenditure Report (contd.)

Way Forward

Mapping of State CoA to Model Format of CAG State Format No Problem Problem

Mapping of State CoA to Model Format of CAG State Format

Linking the State software to PRIASoft M D EL F ORMAT Karnataka (ZP, GP) * PRIASoft Kerala (ZP, BP, GP) * Karnataka TPs can map their account heads to Model Format and use PRIASoft

Thank You

The Grand Vision Planning will provide approved work details from action plan to Scheme/Works Execution Monitoring System and Accounting System. The Scheme/Works Execution Monitoring System will record the physical progress of the works approved in the action plan. ActionSoft will provide the physical progress details to PlanPlus PRIASoft will provide the financial progress details to PlanPlus and ActionSoft The Tax Management System will maintain all rules related to taxes and provide the tax demand details to PRIASoft PRIASoft will update back the Tax Management System with Taxes received The Service Delivery Module will provide details of non-tax revenues collected from citizens to PRIASoft Panchayatwise UID database will be required to connect all citizen-centric applications NPD will help in integrating