Government Accounting and Audit Mechanisms

Government Accounting and Audit Mechanisms

By Dr. Lalit Kumar Setia 

The malpractices are increasing year after year in Government offices and the Government is continuously making efforts to control the malpractices. In India, the Himachal Pradesh State Forests Development Corporation Limited affected with losses due to timber cartels (as notices and conveyed in CAG report*). In sale of deodar, due to cartels, the corporation lost Rs. 18 crores amount and the losses increased from Rs. 31.66 crores in 2010-11, to 52.75 crores in 2014-15. Due to cartels, the government offices usually cannot receive the competitive rates in auction, and there is lack of competition in bidders leading to cartel formations. Government can only increase the publicity of the auction and ensure the internal checks in the processes. But that is also not taken seriously by the officers most of the times and they adopt the convenient ways of auction. 
It is required to move to e-auction strictly and wide publicity should be done through various social media platforms. A course is usually organized by Faculty of Financial Management, HIPA, Gurugram in National Capital Region of India; focusing upon such issues.
Purpose:

The main objective of the above course is to build the capacity of officers to supervise and monitor the accounting operations including billing, receipts, tax deductions at source, and financial control through audit mechanisms at their work-space

Who participates in the course?

The course builds up the capacity of Officers including Principals, Assistant Professors, District Statistical Officers, Sub-Divisional Officers, Head of Offices, and Accounts Officers.

What is generally covered in this course:

At the end of the course, the participants became able to 

(i) describe the book-keeping and accounting mechanisms in Government organizations including maintenance of cash book, 

(ii) describe the process of auditing accounting records and physically verification of store register, 

(iii) compute accurate amount of income tax of each employee, deduct tax at source (TDS), and submission of e-TDS return.

*Copyright © 2018 Dr. Lalit Kumar. All rights reserved. 

References:

*This information has been retrieved from newspaper 'Business Standard' dated 30th April 2016, 'Timber cartels in Himachal causing huge losses, says auditor'.

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