Railway Accounts Department Examinations

Showing posts with label Exchequer control. Show all posts
Showing posts with label Exchequer control. Show all posts

Saturday, July 25, 2020

Differences between Exchequer control and Budgetary control

Differences between
Exchequer control
Budgetary control
1. Controls cash items
1. Controls Cash and Adjustments
2. Exercised by Accounts Office
2. Exercised by Accounts as well as Executives
3. Period is Month
3. Period is Throughout the year
4. Cash authorisation statement is the base
4. Budgetary Reviews are the tools

Monday, April 30, 2018

Exchequer control

Exchequer control

Ø   Meaning : A mechanism for concurrent regularisation of cash out go by each disbursing officer against the cash content of the Budget allotment.

Ø  Object: Enables the Government to regulate the flow of Cash in terms of Ways and Means Position

Ø  Railway's expenditure divided into two parts. 

1) Cash - 70 % (approximately)
2) Adjustments -  30 % (approximately)

Ø  The exchequer control mechanism – covers Cash out go only.

Ø  Exchequer control has thus the merit of providing an effective means of monitoring a substantial part of expenditure on a day to day basis.

Ø  All Accounting units will submit their cash requirements for the following month under the following segments by 15th/18th of every month to Central Books Section in FA&CAO’s Office.

Ø  The cash requirements are under the following segments.
Amount in Rs.
I. Revenue Demands
A) Staff Payments
B) Other Payments
II. Works Demands
A) Capital
B) Railway Funds
III. Non – Budget Items

Ø  The requirements of all units are consolidated and total requirement for the whole Railway is forwarded to Railway Board before 20th of every Month.

Ø  Railway Board would communicate the authorization, by 1st or 2nd working day.  The same is distributed and communicated to all Units(Divisions,Wkshops).

Ø  Mid Review:  The current month requirements will be reviewed and if any additional allotment is required, the same will be communicated to the Board by 20th of current month along with requirements of the Next month.

Ø  Surrender: Cash allotted and likely to remain unspent by the end of the month, may be surrendered to Hqrs (by Units) by 27th to 29th which would be consolidated and allotted to any of the needy units.  Else the same will be surrendered to Railway Board by last working day of each month.

Ø  NET WITHDRAWALS:  Under the extant rules, all Cash receipts of Central Govt should be promptly deposited to the credit of Central Govt’s Account in RBI (CAS/Nagpur) and all payments should be made through withdrawals from RBI only.  The difference between the Deposits and Withdrawals during a given period is known as “NET WITHDRAWALS”.

Ø  NEGATIVE  NETWITHDRAWALS: The Negative difference resulting from excess of withdrawals over deposits add to the deficit of the Government.