It includes all raw materials and other materials, labour and overheads incurred
in the production process. It also includes the cost of making postcards, postage
stamps, pesticides, cost of animals, birds, fisheries, other agriculture products
and the cost of maps of survey and legal works but capital expenditures incurred
in this context are taken to the respective capital assets.
22522 Other Program Expenses:
It includes the other program expenses not included in other heads like ritual
functions by the state owned and operated temples in religious programs, etc.
3. 22530 Medicine Expenses:
22531 Purchase of Medicine:
It includes the medicines provided by government hospitals, health posts,
ayurved ausadhalaya and medicine used in treatment to the patients and also
includes the transportation cost.
F. 22600 Monitoring, Evaluation and Travelling Expenses (Main Head)
1. 22610 Monitoring, Evaluation and Travelling Expenses:
22611 Monitoring, Evaluation and Expenses:
It includes expenses incurred on monitoring, investigation and evaluation to
prepare the report on it.
22612 Travelling Expenses:
The following expenses fall under this heading:
a. Travelling expenses:
The amount paid to a transferred employee for his fare and travelling
expenses including his family at the rate determined by the government
and on foot journey allowance. It also includes airport tax, travelling
insurance and other miscellaneous travelling expenses.
b. Daily allowance:
The amount paid to a transferred employee and his family at a determined
rate for the daily allowance including feeding and lodging expenses.
22613 Travelling Program Expenses of High Level Personalities and Council of
Representative:
It includes transportation, taxes, insurance, daily allowance, accommodation,
uniform and other expenses concerned with the travelling of high level
personalities and council of representative.
22614 Other Travelling:
It includes the travelling expenses for the person who stand as withes from
government’s side.
G. 22700 Miscellaneous Expenditure (Main Head)
22710 Miscellaneous Expenditure:
22711 Miscellaneous Expenses:
The following expenses fall under this heading:
200 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 201
a. Approved expenditures for entertainment, show, refreshment and parties.
b. Festivals and worshiping expenses.
c. Expenditure for maintaining law and order (security provisions)
d. Expenditure for providing hospitality services to the foreign delegates.
e. Other expenditures not chargeable to other budget heads.
H. 22900 Contingencies Expenditure: (Main Head)
1. 22910 Contingencies Expenditure:
22911 Contingencies Expenditure (Regular):
It includes expenses which are not classified under other budget heads. These
headings are not of usual type but of contingencies.
24000 Interest, Service Charge and Bank Commission (Base Head)
A. 24100 Interest on Foreign Loan (Main Head)
1. 24110 Interest on Foreign Loan:
24111 Interest on Foreign Loan:
It includes interest and service charge paid for external or foreign loan.
B. 24200 Interest, Service Charge & Bank Commission on Internal Loan (Main
Head)
1. 24210 Interest, Service Charge and Bank Charge on Internal Loan:
24211 Interest on Internal Loan:
It includes interest paid on internal loan or debt.
24212 Service Charge and Bank Commission on Internal Loan:
It includes the service charge and bank commission paid to take internal loan
and debt from the public.
25000 Subsidies (Base Head)
A. 25100 Subsidies to Public Enterprises (Main Head)
1. 25110 Subsidies to Non Financial Corporation:
25111 Subsidies to Non Financial Corporation (Current):
It includes current subsidies to government and semi government corporations
and other independent public corporations.
25112 Subsidies to Non Financial Corporation (Capital):
It includes the subsidy given to non financial public bodies for purchase of
machinery, equipments furniture, vehicles, land, building, etc.
2. 25120 Subsides to Financial Corporation:
25121 Subsidies to Financial Corporation (Current):
It includes current subsidies to government and semi government corporations
and other independent public corporations.
25122 Subsidies to Financial Corporation (Capital):
It includes the subsidies given to financial public bodies for purchase of
202 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 203
machinery, equipments, furniture, vehicles, land, building, etc.
B. 25200 Subsidies to Private Institution (Main Head)
1. 25210 Subsidies to Financial Private Institution:
25211 Subsidies to Non Financial Institution (Current):
It includes current subsidies to non financial private business firm.
25212 Subsidies to Non Financial Private Institution (Capital):
It includes the subsidies given to non financial private business form for
purchase of machinery, equipments, furniture, vehicles, land and building, etc.
2. 25220 Subsidies to Financial Private Institution:
25221 Subsidies to Financial Private Institution (Current):
It includes current subsidies to financial private business firm.
25222 Subsidies to Financial Private Institution (Capital):
It includes the subsidies given to financial private business firm for purchase of
machinery, equipments, furniture, vehicles, land and building, etc.
26000 Grants (Base Head)
A. 26200 International Membership Fees and Assistance (Main Head)
1. 26210 International Membership Fees and Assistance:
26211 International Membership and Grants:
It includes membership, donation and renewable fee at international level.
B. 26300 Grants to Local Bodies (Main Head)
1. 26310 Grants to Local Bodies (Current):
26311 Current Grants to Local Bodies (Without Condition.):
It includes the grants provided to local bodies of the government. To bear
current expenditure and make programs in self decision.
26312 Current Grant to Local Bodies (With Condition):
It includes the grants provided to local bodes of government to bear the
expenditure of mentioned or targeted program.
2. 26320 Grant to Local Bodies (Capital):
26321 Capital Grant to Local Bodies (Without Condition):
It is the grant provided to local bodies to purchase furniture, plant and
machinery and other capital type of activities as their own plan and policy.
26322 Capital Grant to Public Bodies, Committee, Boards (With Condition):
It includes the grants provides to the local bodies to make expenditure for
mention program like subsidies provided to local bodies for purchase of
machinery, furniture, vehicles, land and building, civil works, producing goods
and services, etc.
C. 26400 Social Service Grants (Main Head)
202 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 203
1. 26410 Current Social Service Grants:
26411 Current Grants to Public Bodies, Committee, Boards (Without Condition):
It includes:
The grant paid to board, committee, educational, institutions, hospital, etc.
by the government without condition.
Foods and rasan, cloths and other facilities provided to patient at hospital
or prisoner at jail, etc. without condition.
26412 Current Grants to Public Bodies, Committee, Boards (With Condition):
It includes:
The grants provided to board, committee, educational institutions, hospital,
etc. for the mentioned program with condition.
Foods and rasan, cloths and other facilities provided to patient at hospital
or prisoner at jail, etc. with condition.
26413 Current Grants to Other Person or Institution (With Condition): It includes:
Compensation provided to the parties suffering due to national disasters
and other causes.
Operational grants provided to social service organization, temples, etc.
Financial assistance, rewards and other grants provided by the government.
2. 26420 Capital Social Service Grants:
26421 Capital Grants to Government Bodies, Committees, Board (Without Condition):
It is the grant provided to social service organizations to purchase furniture,
plant and machineries, vehicles and other capital assets and infrastructure
developments as their own plans and policies.
26422 Capital Grants to Government Bodies, Committees, Board (With Condition):
It includes grant provided purchase of capital assets,(furniture, vehicles,
machinery, equipment, land. building, etc.) to government bodies, committee,
etc. created by law with condition.
26423 Capital Grant to Other Social Organization (With Condition):
It includes, capitals grant to other social institutions like educational institutions,
hospital, red cross, etc.
27000 Social Security (Base Head)
A. 27100 Social Security (Main Head)
1. 27110 Social Security:
27111 Social Security (Without Condition):
It includes financial assistance provided to disabled, old aged people, widow,
etc.
27112 Other Social Security Grants (Without Condition):
It includes medical treatment expenditures and financial compensation paid to
ordinary person or national figure.
B. 27200 Scholarship (Main Head)
204 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 205
1. 27210 Scholarship:
27211 Scholarship: It includes the scholarship provided on cash, goods and other
benefit provided to the student as scholarship at school, college and university
level.
C. 27300 Gratuity (Main Head)
1. 27300 Gratuity:
27311 Pension and Disability Fund: It includes gratuity and allowances to the retired
employee and allowances given to retired unable employee.
27312 Gratuity: It includes the gratuity provided to retired employee.
27313 Accumulated Leave at Retirement:
It includes amount paid to retired employees as accumulated leaves.
27314 Medical Allowances to Retired Employees:
It includes amount paid to retired employees as medical treatment.
27315 Support and Benefits to Expired Employees: It includes,
Amount paid to the dependents of expired employee as financial support
including provided fund, insurance, etc.
Additional amount paid to the dependents of expired employee by the government.
28000 Other Expenditure and Refund (Base Head)
A. 28100 Assets Related Expenditure (Main Head)
1. 28110 Rent for Land:
28111 Rent for Land: It includes the rent paid for the use of land and compensation for
the loss of crops.
B. 82200 Refund Expenditure (Main Head)
1. 28210 Refund Expenditure:
28211 Revenue Refund: It includes return of import duties, sales tax, land tax, penalties
and other refund expenses.
28212 Judicial Refund:
It includes the amount refunded by the government as per judicial decision.
28213 Other Refund: It includes the other refunds of government excepts revenue
refund and judicial refund.
29000 Capital Expenditure (Base Head)
A. 29100 Purchase of Land (Main Head)
1. 29110 Purchase of Land :
29111 Purchase of Land:
It includes the cost of purchase of land and compensation for acquisition of land
and taxes if charged thereto.
B. 29200 Building (Main Head)
204 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 205
1. 29120 Purchase of Building:
29211 Purchase of Building:
It includes the cost of purchase of building and acquisition of building including
land covered by it and other related expenses but the cost of construction of
building is taken to building construction head.
2. 29220 Building Construction:
29221 Building Construction:
It involves the cost of construction of building and shed and expansion and
additions of building and premises.
3. 29230 Capital Maintenance:
29231 Capital Maintenances Expenses (Building):
It includes the expenses made for the renovation of present building that add
the life of it but only maintenances of capital, assets included in 29221.
C. 29300 Furniture and Fixtures (Main Head)
1. 29310 Furniture and Fixtures:
29311 Furniture and Fixtures:
It involves the cost and expenses of purchase of furniture and their transportation,
insurance, VAT and import duty and other related expenses to acquire the
furniture and fixtures for office use.
D. 29400 Vehicle (Main Head)
1. 29410 Vehicle:
29411 Vehicle:
It involves the cost and expenses of purchasing vehicles like aeroplane,
helicopter, cars, motors, tractors, trucks, motorcycles and cycles for office use.
Besides, it also includes animals like mules, horses, bulls, etc. which are used for
carrying loads and cartage. It also includes cost of engine for vehicles and cost
related with import of vehicle engine, insurance, transportation and duties, etc.
associated thereto.
E. 29500 Machinery and Equipment (Main Head)
1. 29510 Machinery and Equipment:
29511 Machinery and Equipment:
It includes the cost of all kinds of machinery other than transportation means.
Cost of machineries, equipments, generators, transformers, survey equipment,
weighing machines, photographic and drafting equipment, computer,
photocopy machine, telephone set, television etc. come under this heading.
It also includes heater, fan, radio, agricultural tools and vetenary equipment
having cost more than two thousand rupees. The cost of the carriage, fees, taxes,
insurance associated with such items also fall under this head.
a. Machinery, plants and equipment used for production of goods.
b. Equipments required in hospitals.
206 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 207
c. Heater, fans, telephone sets, calculating machines, cheque writer, electrical
appliance, torch light and other electronic materials required such as radio
and television.
d. Small agriculture tools, vetenery equipment and technical equipment and
items used in drawings and designing purposes.
e. Machineries, equipment etc. used for security personnel and security
sectors but the small items costing less than Rs. 2000 have to be taken
under general office expense head No. 22311.
F. 29600 Public Construction (Main Head)
1. 29610 Public Construction :
29611 Public Construction:
It involves the cost of construction and extension of public assets like highways,
road, bridge, dams, cannels, ropeway, airdrome, etc. The cost of irrigation
project, drinking water project, mining etc. also come under this head. It
includes the following costs.
a. Cost of construction
b. Fuel expenses concerned with construction work
c. Expenses related with development of nursery and plantation.
2. 29620 Capital Maintenance:
29621 Capital Maintenance:
It includes the expenses on repairs and maintenance of building and other
capital assets for improving performance, efficiency, extending life, etc. but
the cost of expansion and addition of capital assets come under the respective
heads.
G. 29700 Capital Research and Consultancy (Main Head)
1. 29710 Capital Research and Consultancy:
29711 Capital Research and Consultancy Cost:
It includes the cost of feasibility study, drafting cost of survey, design, technical
consultancy service supervision cost, cost of research, etc.
29712 Software Development and Purchase Expenditure:
In includes the cost incurred for the development of software, purchase of
software are expenses incurred for upgrade of software.
G. 29800 Capital Contingencies (Main Head)
1. 29810 Capital Contingencies :
29811 Capital contingencies expenditures:
It includes the capital nature contingencies expenses which are not prescribed
at the time of budget allocation. But that should be reallocated into necessary
budget head to make expenditure.
206 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 207
Some Important Codes of Expenditure and Expenditure Heads
Codes Expenditure Heads
21111 Salary
21112 Local allowance
21113 Dearness allowance
21114 Field allowance
21119 Other allowance
21121 Uniform/dress
21122 Food and feeding
21123 Medical treatment
22111 Water and electricity
22112 Communication charge
22121 Home Rent
22211 Fuel
22212 Repair and maintenance (operating)
22213 Insurance of public property
22311 Office expenses
22312 Feeding for other purposes (livestock)
22313 Books and materials
22314 Fuel for other purposes (use)
22321 Maintenance expenses of public property
22411 Service and consultant fee
22511 Personnel training
22512 Skill development and public awareness training and seminar
22521 Production Materials/Services
22522 Other program expenses
22531 Medicine purchase
22611 Monitoring evaluation expenses
22612 Travelling expenses (Transfer TADA program execution)
22613 Travelling expenses of dignified personalities or member of delights
22614 Other Travelling expenses
22711 Miscellaneous expenses
22911 Contingencies
28141 Rent of land
20221 Building construction
29311 Furniture and fixtures
29411 Vehicle
29511 Machinery and equipment
29611 Public construction
208 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 209
Glossary
Revenue : income of the government
decentralization : providing rights to lower level employees
Consolidated fund : kind of fund received by government as a revenue, loan, donation, etc.
Budget : financial plan including revenue and expenses
Appropriation : separating /allocating the amount of budget
Imprest fund : revolving fund
Budget allocation : financial plan that distributes accordingly
Budget release : budget discharge
Leakage : escape, wastage
Operating level : functioning level
Reimburse : To compensate with payment
Transparency : Openness, clearness
Uniformity : lacking diversity, similarity
Auditor : a person who checks the account
Exercise
A. Answer the following questions in one sentence.
1. What is government accounting?
2. What is New Accounting System?
3. When was budgeting system introduced in Nepal?
4. When was an account committee formed?
5. From which fiscal year was New Accounting System started in Nepal?
6. Why is bracket used in accounting system?
7. What is Central Level Accounting?
8. Which institution does the final audit of government offices?
9. When was Kumari Chowk Adda established in Nepal? 2073(R)
10. What is the Office of Finance Comptroller General?
11. What is current expenditure?
12. Which institution does internal audit of Government Offices?
13. What type of ink is used by internal auditor and final auditor?
14. What is internal auditing?
15. Write the budget heading numbers of Transfer - TADA, Travelling and Daily
Allowance.
16. Who appoints Auditor General? 2074(R)
17. What is capital expenditure?
18. Which office prepares accounting forms used in government offices? 2068(R)
19. Who is the final auditor of company ? 2073, 2071(R)
20. Write the full form of AGF No. 2067 (S)
21. Who performs final audit of Government Office?
22. Which office prepares accounting forms used in Government Office of Nepal?
23. Under which ministry is the Office of Finance Comptroller General ? 2066(R)
208 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 209
24. What is Government accounting system? 2065(S)
25. Which institution carries out final audit of district level government offices ?
26. Write the budget head Insurance and Gratuity? 2071(R)
B. Give short answers to the following questions.
27. Highlight the necessity of New Accounting System and explain any of its three
features in brief.
28. What is New Accounting System? Describe its any four objectives in brief.
29. Explain in brief the importance of New Accounting System with fine points?
2073(S), 2073(R)
30. What do you mean by New Accounting System? Explain any four features of
New Accounting System.
31. Write any two similarities and three dissimilarities between Government
Accounting System and Business Accounting System. 2074, 2071(R)
32. Explain the level of accounting.
33. Write any five differences between Office of Finance Controller General and
Office of the Auditor General.
34. Introduce “Treasury and Account Comptroller’s Office” and write any four
functions, duties and rights.
35. Write any five functions and duties of the Office of the Auditor General.
36. What is Auditing? Explain any four objectives of auditing.
37. Write any five differences between Internal Audit and External Audit.
38. Explain any five point of importance of auditing.
39. Write the difference between central level accounting and operating level
accounting.
40. Why is audit compulsory in government and business office? Justify with five
reasons. 2072(R)
41. Why auditing is necessary in Government Accounting ? Differentiate in three
points between internal audit and final audit ? 2072(S), 2068(R)
42. Why is the new accounting system necessary? Explain any three of its
features. 2069, 2067(S)
43. Justify the continuous use of New Accounting System in government offices
with any five causes. 2067(R)
44. Write any five differences between internal audit and final audit. 2066(S), 2070(R)
45. Describe in brief any five objectives of New Accounting System. 2066(R)
46. Write any five differences between Government account and Business
account. 2065(S)
47. Introduce audit and mention three differences between internal audit and final
audit. 2065(R)
Project Work
a. Visit a government office and ask the accountant about the features of
accounting system, ways or methods of accounting, forms used under the
system, etc. Make a report.
b. Observe the internal and external audit of any organization of your locality.
Journal Voucher
Aakar’s Office Practice and Accountancy - 10
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210 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 211
210
8 Journal Voucher
Unit
CDC Syllabus 13 Periods
8.1 Introduction, types and use/practice
8.2 Petty cash fund- introduction and
importance
Debit: The Receiver
Personal Account Learning
Credit: The Giver Objectives After studying this unit, students will
Debit: What comes in be able to :
Real Account
write the meaning of journal voucher,
Credit: What goes out
state the objectives of journal voucher,
prepare journal voucher for different
Debit: Expenses or Loss
transactions,
Nominal Account
write the meaning of petty cash fund,
Credit: Incomes or Gain
explain the objectives of petty cash
fund,
write objectives and explain the types
of petty cash fund,
prepare petty cash fund.
Journal Voucher
Aakar’s Office Practice and Accountancy - 10
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210 Aakar’s Office Practice and Accountancy - 10 Government Accounting System 211
210
1. Meaning of Journal Voucher
When any transaction takes place in a government office, it should be entered in
the original book except for petty payments made out of the petty cash fund. It is a
most important form or format used for making the original or primary record of the
government transactions in a chronological order. Different accounts involved in a
transaction are debited and credited along with the amounts in the respective column and
they are supported by a brief explanation of the entries, called narration. Thus, a journal
voucher, also, termed as goshwara voucher in Nepali, may be defined as the primary
entry of the government transactions made in chronological order showing the accounts
to be debited and credited along with their respective amounts. It is also supported by
a brief narration. A particular feature of a journal voucher i.e. goshwara voucher is that
each transaction is entered in a separate form.
In order to bring uniformity among the offices in the use of this form, this voucher is also
prepared as per the format prescribed by Auditor General’s Office i.e. it is identified as
Auditor General Form (AGF) No. 10.
Key Point Journal voucher is a primary entry of the government transactions made
in chronological order showing the accounts to be debited and credited
along with their respective amounts.
2. Objectives of journal voucher
The following are the main objectives of journal voucher:
i. To keep financial transaction of government offices in systematic and
chronological order.
ii. To show the effect of debit and credit of each financial transaction.
iii. To show the detail information about the transactions.
iv. To provide legal evidence of transactions.
v. To facilitate audit.
vi. To facilitate preparation of ledgers and final accounts.
3. Importance of Journal Voucher
Journal voucher is important because of the following advantages:
a. It provides of evidence of transactions.
b. It provides systematic record of financial transaction of government offices.
c. It helps to prepare Bank Cash Book, Monthly Statement of Expenditure, Budget
Sheet and other accounts.
d. It provides the records of all financial transactions of government office in
chronological order.
e. It helps in improving the efficiency of financial administration of office.
f. It helps in rectifying errors, frauds and corruption which are committed in
accounting.
g. It makes every accounting staff responsible of record-keeping.
h. It helps to give financial information at the time of auditing and reporting.
212 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 213
4. Specimen of Journal Voucher
The specimen of Journal Voucher is given below:
AGF No. 10
Government of Nepal
........... (i) ........... Office/Dept/Ministry
JV No: ........(ii)
Date: ..........(iii)
Journal Voucher
Code No Particulars L.F. B.E. Head No. Dr. Amount Cr. Amount
(iv) (v) (vi) (vii) (viii) (viii)
Receipt No: ...........................(ix)........ Cheque No: ................ (x) ............
Received Amount .................... (ix) Cheque Amount .............. (ix)
Submitted By: .................. (xi) ............. Approved By: .......(xii) ........
Position: .................... (xi) ................ Position: ................ xii) ............
Date .............................. (xi) Date .................... (xii)
The above specimen of goshwara voucher can broadly be divided into four parts. The
necessary details to be filled in each section are mentioned as given below:
a. First Part
The first part comprises the name of the office, its location, journal voucher no. and
date of the transaction. Thus,
i. The name of the office, department of ministry should be mentioned just after the
words Government of Nepal on the top middle of the page along with the location
place.
ii. JV. no. i.e. the serial number of the entry should be recorded.
iii. Date of the transaction should be mentioned below the Journal Voucher No.
b. Second Part
Second part refers to the table, in which the entry of the transactions, by debiting and
crediting the accounts, is made along with their amounts.
iv. The first column is used for recording any code of the transactions like order number,
bill number, circular number, release number. etc. Generally, in theoretical study, it
remains blank.
v. Headings to be debited and credited are mentioned in this column along with a brief
explanation of the entry, called narration.
vi. The third column contains the page number of ledger i.e. ledger folio of the accounts
so debited and credited. This column also remains blank in theoretical practice.
vii. The fourth column is the budget expenditure head number column where budget
heading number is recorded.
viii. In the last two columns, the Dr. amount and Cr. amount in relation to the headings
debited and credited are mentioned respectively.
212 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 213
c. Third part
In most of the transactions, either cash is received or paid by cheque. The receipt of
cash or through bank or payment through bank mentioned in this part along with the
receipt no. or cheque number, if any.
ix. In the receipt side (left-hand-side), the receipt number and amount received are
mentioned. The amount is mentioned in word, not in numerical.
x. In the payment side (right hand side) of cash (which is done through bank - NRB),
the cheque number and the amount paid are mentioned. The cheque amount should
be mentioned in word.
xi. In the left-hand side, the name of the person submitting the voucher along with his
signature, his post and date of submission are mentioned respectively.
xii. In the right-hand side, the name of the person approving the voucher along with his
signature, his post and date of approving are mentioned respectively.
5. Things to be Considered While Preparing Journal Voucher
Preparing journal voucher of the transactions is not a difficult task. One should be
careful about the rules, principle and practice of the entries. The following are the things
to be considered while preparing a journal voucher (AGF No. 10):
i. Separate vouchers should be prepared for each transaction.
ii. Entries should be made on the basis of the principles of double entry system.
iii. The words B.E. (Budget Expenditure) should be mentioned after the word ‘Dr’
while making records of actual expenditure but it must not be mentioned in case of
advance expenditure unless it is cleared.
iv. Necessary documents of journal voucher must be attached to support the journal
vouchers.
v. It must be neat and clean and based on the reality.
vi. The debit and credit totals must be equal for each transaction.
vii. The amount should be written in words, not in numerical.
viii. Mention the amount in the respective columns, straightforward in debit and credit
accounts.
ix. Give the narration just after the entry of accounts in the particulars column, beginning
with ‘Being’ or ‘For’.
x. Mention the cheque number, if any, and the amount paid by cheque in words.
xi. The name, and post of the person preparing the voucher along with his/her signature
and the date of the submission should be mentioned at the last, on the left-hand side
of the voucher.
xii. The name and post along with the signature of the person approving the voucher
and the date of approving it should be mentioned at the last, on the right-hand side
of voucher by checking it duly.
xiii. The receipts no. side and cheque no. side are not filled up at a time, if Treasury Single
Account (TSA) is in the debt side of journal voucher, receipts no. side must be filled up
whereas in credit side of journal voucher then cheque no. side should be only filled up.
xiv. Likewise, if TSA is not in the journal voucher, then it remains blank.
214 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 215
6. Rules for Debit and Credit
The New Accounting System of Government of Nepal is completely based on the
principle of double entry book-keeping system. Thus, the rules for debit and credit are
exactly the same as studied under the book keeping in the class nine. Here, the rules/
principles for debit and credit are discussed pointwise under two approaches.
i. Account approach
It classifies the heading which may be involved in various financial transactions, into
three accounts. The accounts, involved in the transactions, examples and the respective
rules/principles for debit and credit are discussed below:
a. Personal Account
Personal account is related with an individual, firm and institution. When the credit
transaction takes place, the rule of personal account should be used. The rules for debit
and credit are;
Debit - the receiver and Credit - the giver
b. Real Account
Real account is related with assets and properties or things, the rule of real account
should be used. The rules for debit and credit are;
Debit - what comes in and Credit - what goes out
c. Nominal Account
Nominal account is related with income, expenses, profit and loss, the rule of nominal
account should be used. The rules for debit and credit are;
Debit - expenses or losses and Credit - incomes and gains
Rules/Principle of
Types of Account Examples
Debit and Credit
a. Personal A/c Ram, Sita, Haihar, ABC Co., XYZ Dr. the receiver
(related with person, firm, Institute, PQR Academy, Megha Cr. the giver
organization when credit Bank Ltd. etc.
transaction occurred)
b. Real A/c Cash, furniture, land and building, Dr. What comes in
(related with assets and computer, machinery, etc. Cr. What goes out
properties or things)
c. Nominal A/c Salary, rent, allowance, budget release, Dr. Expenses & Losses
(Income, expenses profit, revolving fund release, commission, Cr. Incomes & gains
loss) discount, wages etc.
214 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 215
ii. Accounting equation approach
There is an accounting equation of assets, liabilities, expenses and income (revenue).
Under this approach the entries are made according to the equation.
The equation is:
Assets + Expenses = Capital + Revenue + Liabilities.
Debit Credit
Increase of Assets, Expenses and Losses Decrease of Assets, Expenses and Losses
Cash, furniture, land and building, computer, Dr. What comes in
machinery, etc. Cr. What goes out
Decrease of Capital, Revenue and Liabilities Increase of Capital, Revenue and Liabilities
7. Treasury Single Account (TSA)
At present, Nepal Government applied the Treasury Single Account (TSA) system.
TSA is related to the management of public funds thereby to enhance the efficiency and
effectiveness of public financial management.
Treasury Single Account (TSA) is a bank account or a set of linked bank accounts through
which the government transaction i.e. all receipts and payments and get a consolidated
view of cash position at the end of each day.
TSA was initiated for making public sector financial transaction (like; financial planning,
expenditure management and cash management) more realistic with the help of simple,
economic, effective and transparent system. It also aims to make the treasury system of
Government of Nepal in line with internationally practiced treasury system and make
it more development friendly with the application of the modern tools. Treasury Single
Account (TSA) system supports aggregate fiscal discipline, optimum use of resources and
effective service delivery.
Under this accounting system, the Operating Level Office receives the details statement
of allocation of budget and an authorization letter from the central level office. The
Operating Level Office manages for spending the budget and spends the budget within
the limitation of budget under the different budget heads and subheads. The Operating
Level Office spends the budget, collect the bills, prepare statements and request to the
District Treasury and Comptroller’s Office to prepare the cheque for deducting from the
account of concerned office. After that, the District Treasury and Comptroller’s Office
verifies the bills and draws the cheque and returns the cheque, bills and statements to the
related office. After that, the related office distributes the cheque to the concerned parties.
Key Point TSA system is an unified structure of government accounts where all
receipts and payments are transacted through single bank account with
strong electronic linkages among spending units and monitoring agencies
that gives a daily consolidated picture of government funds so as to have
an efficient use of cash.
216 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 217
Objectives and Benefits of TSA
TSA has following objectives:
a. To ensure effective aggregate control over government cash balances.
b. To allow complete and timely information on government cash resources.
c. To appropriation control.
d. To improve operational control during budget execution.
e. To reduce bank fees and transaction costs.
f. To facilitate efficient payment mechanism.
g. To keep bank reconciliation and quality of financial data.
8. Types of Journal Voucher
The Journal Voucher (Goshwara Voucher) A.G.F. No. 10 can broadly be classified
under the following four categories:
A. General/Expenditure Journal Voucher B. Advance Expenditure Journal Voucher
C. Miscellaneous Journal Voucher D. Annual Closing Journal Voucher
Each of the types is discussed below, with some illustrations:
A. General/Expenditure Journal Voucher
The journal voucher, which is maintained for recording the payment of expenditure
immediately after the receipt of goods or services, is called general or expenditure journal
voucher. It is the most common and primary entry of the transactions. The procedures of
the entries of such voucher are:
i. Mention the word B.E. for Budget Expenditure and the head of expenditure (but not
the sub-head or item of expenditure) immediately after the word “Dr.” and “Cr.”
Treasury Single Account just below the debit line as:
Dr. B.E...........(Head of expenditure)...
Cr. Treasury Single Account (TSA)
For example:
A motorbike is purchased for office use and paid Rs. 2,25,000 by cheque no. 001.
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. B.E. Vehicles 29411 2,25,000
Cr. Treasury Single Account (TSA) 2,25,000
(Being motorbike purchased for office use)
ii. Mention the expenditure head number in the concerned column i.e. 29411 in this
example.
iii. Mention the amount i.e. Rs. 2,25,000 in the above example in the respective columns,
straightforward in debit and credit accounts.
iv. Give the narration just after the entry of accounts in the particulars column, beginning
with ‘Being’ or ‘For’.
v. Mention the cheque number, if any, and the amount paid by cheque in words.
The following illustrations will clear the concept about the general or expenditure
journal voucher.
216 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 217
Illustration - 1
Prepare Journal Voucher for the following transactions, which occurred in the District
Administration Office, Bhaktapur.
i. On 2075-5-20, a cheque number 0056 was issued to the Ramu Furnitures against the
purchases of furniture of Rs. 20,000
ii. Paid electricity charges of Rs. 1,500 for the consumption of electricity in the office, by
cheque number 0058 on 2075-5-23.
iii. Purchased office supplies for Rs. 10,000 and paid by cheque no. 0063 on 2075-5-28.
iv. Issued a cheque no. 0065 to the house owner for office rent of the month Bhadra on
2075-5-29 of Rs. 18,000.
v. On 2075-5-30, paid by cheque No.0068 Rs. 15,500 to A to Z Advertising Centre against
the advertisement and publicity of office information.
vi. Paid Rs. 5,000, by cheque no. 0069 as per the bill for purchase of sweets and candle
for Dashain on 2075-6-5.
vii. Cheque no. 0072 was issued against a bill of insecticide and chemical fertilizer of Rs.
6,500, for horticulture on 2075-6-12.
Solution - i
Government of Nepal AGF No. 10
District Administration Office, Bhaktapur JV No: 01
Journal Voucher Date: 2075-5-20
Code No. Particulars L.R No. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Furniture & Fixtures 29311 20,000
Cr. Treasury Single Account (TSA) 20,000
(Being furniture purchased for
office use from Ramu furniture)
20,000 20,000
Receipt No: ............ Cheque No: 0056.
Amount Received: .................. Cheque Amount Rs: Twenty Thousand only.
Submitted By: Mr. A. Approved By: Mr B.
Position: Accountant Position: Chief
Date: 2075-5-20 Date: 2075-5-20
Solution - ii
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Water and Electricity 22111 1,500
Cr. Treasury Single Account (TSA) 1,500
(Being electricity charges paid)
1,500 1,500
218 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 219
Solution - iii
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Office Expenses 22311 10,000
Cr. Treasury Single Account (TSA) 10,000
(Being amount paid for office supplies)
10,000 10,000
Solution - iv
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. House Rent 22121 18,000
Cr. Treasury Single Account (TSA) 18,000
(Being office rent paid for the month of Bhadra)
18,000 18,000
Solution - v
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Office Expenses 22311 15,500
Cr. Treasury Single Account (TSA) 15,500
(Being paid for advertisement and publicity of
office information)
15,000 15,000
Solution - vi
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Miscellaneous Expenses 22711 5,000
Cr. Treasury Single Account (TSA) 5,000
(Being amount paid for purchase of Sweets and
Candle for Dashain festival)
5,000 5,000
Solution - vii
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Production Materials and Services 22521 6,500
Cr. Treasury Single Account (TSA) 6,500
(Being insecticides and chemical fertilizer
purchased for horticulture)
6,500 6,500
B. Advance Expenditure Journal Voucher
For the control of the government expenditure, the payment should be made only
after the goods or services are obtained. But sometimes payments are made before hand
i.e. before the receipt of goods or services, such a payment or expense is called advance
expenditure.
Amount paid in advance is not actual or real expenditure but should be entered in the
journal voucher as advance expenditure because it is regarded as an expense until it is
218 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 219
returned. Thus, transactions related with advance expenditures are recorded twice under
the New Accounting System, first at the time when advance is given and another at the
time of clearance.
a. When Advance is Given:
When an advance is given to any person or party, his/her name, post and other
relation along with the purpose is debited and the bank i.e. Treasury Single Account
(TSA) is credited as:
Dr. Post and Name advance for budget head
Cr. Treasury Single Account (TSA)
The following illustrations will clear the concept about advance expenditures and their
journal vouchers.
Illustration - 2
i. District Administration Office, Kaski, paid Rs. 20,000 by cheque no. 0010 to Section
Officer Mr. Hari Sharma as an advance for transfer daily and travelling allowance on
2075-8-3.
ii. On 2075-8-5, issued a cheque no. 0012 of Rs. 15,000 to Store Keeper Mrs. Jyoti Singh
as advance for purchasing furniture of Rs. 10,000 and bicycle of Rs. 5,000.
iii. L/C (Letter of credit) is issued by cheque no. 0015 in advance to Honda Co. Japan for
Rs. 1,50,000 for the purchase of a XL Honda Motorcycle on 2075-8-15.
iv. Rs. 15,000 is given in advance to Section Officer Mr. Ram Prasad Tiwari through a
cheque no. 0017 for his 5 days official tour to Kathmandu on 2075-8-17.
v. On 2075-8-20, Accountant Ramhari Sharma was given as an advance of Rs. 24,000 by
a cheque no. 0018 in total for buying a typewriter of Rs. 6,000, office uniform of Rs.
3,500 and office furniture of Rs. 14,500. .
Solution - i
Government of Nepal AGF No.10.
District Administration Office, Kaski JV No:
Journal Voucher Date: 2075-8-3
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Advance given to S.O. Mr. Hari
Sharma for Travelling Expenses 22612 20,000
Cr. Treasury Single Account (TSA) 20,000
(Being advance for TADA given to
the Section Officer Mr. Hari Sharma)
20,000 20,000
Receipt No: ................ Cheque No: 0010.
Amount Received: ................ Cheque Amount : Rs. Twenty Thousand Only.
................................................ ...............................
Submitted By: Mr. X. Approved By: Mrs. Y
Position: Accountant Position: Chief
Date: 2075-8-3 Date: 2075-8-3
220 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 221
Solution - ii
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Store Keeper Miss. Jyoti Singh:
Advance for Furniture & Fixtures 29311 10,000
Advance for Vehicles 29411 5,000
Cr. Treasury Single Account (TSA) 15,000
(Being advance given to the Store Keeper Miss.
Singh for purchasing furniture and bicycle.)
15,000 15,000
Solution-iii
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Honda Co. Japan advance for
Vehicle 29411 1,50,000
Cr. Treasury Single Account (TSA) 1,50,000
(Being issued a LC in advance to the Honda
Co. for purchasing a XL Honda Motorcycle for
office)
Note: Issued of LC is treated as advance given. 1,50,000 1,50,000
Solution - iv
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Advance given to S.O. Ram Prasad Tiwari for
Travelling Expenses 22612 15,000
Cr. Treasury Single Account (TSA) 15,000
(Being advance given to Section Officer Mr.
Tiwari for official tour to Kathmandu)
15,000 15,000
Solution - v
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Accountant Mr. Ramhari Sharma: advance
for Machinery & Equipments 29511 6,000
advance for Uniform 21121 3,500
advance for Furniture & Fixtures 29311 14,500
Cr. Treasury Single Account (TSA) 24,000
(Being advance given to the Accountant Mr.
Sharma for typewriter, office uniform & furniture
for the office)
24,000 24,000
220 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 221
b. Clearance of Advance
Advance taken should be cleared within the stipulated time period as prescribed in
‘Advance Clearance Rules 2032’ or as per the directions of Comptroller General’s Office.
The person/party taking advance should submit statement for the clearance of such an
advance either by incurring expenditure or even returning the amount, not being spent.
An advance may be cleared in any one of the following ways, when the statements are
received from the concerned person/party, requesting for such a clearance:
a. Returning the total amount of advance, not being spent/zero expenses.
b. Actual expenditure being equal to the amount of advance/equal expenses.
c. Actual expenditure being more than the amount of advance/over expenses.
d. Actual expenditure being less than the amount of advance/below expenses,
e. Partial clearance.
f. Transferring the amount of advance to other person.
Note: The beginning four ways of clearing advance (excluding the last two ways) will be
discussed in this chapter as the last two ways are beyond this course.
Illustration - 3
On 2075-11-15, an advance was given to Mr. K.B. Khadka, Officer of Civil Aviation
Department, Chitwan by a cheque no. 01234 of Rs. 40,000 for furniture.
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Officer Mr. K.B. Khadka advance for
furniture & fixtures 29311 40,000
Cr. Treasury Single Account (TSA) 40,000
(Being advance given to the Officer Mr.
Khadka furniture)
40,000 40,000
Clearance Under Different Conditions:
a. Returning the total amount given; not being spent/zero expenses.
This condition may also be of two types:
i. Returning the amount in cash.
ii. Returning the amount through bank deposit.
i. Returning the amount in cash
Dr. Cash
Cr. Post Name clearance of advance for .............. (budget head)
While bank deposit;
Dr. Treasury Single Account (TSA)
Cr. Cash
On 2075-11-20, Officer Mr. K.B. Khadka returned the cash Rs. 40,000, as the being
cancelled and got the clearance.
222 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 223
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Cash 40,000
Cr. Officer Mr. K.B. Khadka, clearance of advance 29311 40,000
for furniture & fixtures
(Being advance cleared by Mr. Khadka for
furniture as the whole amount returned)
40,000 40,000
Depositing the cash into the bank
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Treasury Single Account (TSA) 40,000
Cr. Cash 40,000
(Being cash deposited into Bank)
40,000 40,000
ii. Returning the amount through bank deposit with bank voucher)
Dr. Treasury Single Account (TSA)
Cr. Post Name clearance of advance for ........... (budget head)
On 2075-11-20, Officer Mr. K.B. Khadka, returned the amount through bank voucher of
Rs. 40,000, as the being cancelled and got the clearance.
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. Treasury Single Account (TSA) 40,000
Cr. Officer Mr. K.B. Khadka clearance of
advance for Furniture & Fixtures 29311 40,000
(Being advance cleared as the whole amount
returned)
40,000 40,000
b. Actual expenditure being equal to the amount of advance/Equal expenses
Dr. BE ............. (budget head)
Cr. Post Name clearance of advance for ..........(budget head)
On 2075-11-20, Officer Mr. K.B. Khadka submitted the bill of 40,000 and got the clearance.
Solution:
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Furniture & Fixtures 29311 40,000
Cr. Officer Mr. K.B. Khadka
Clearance of advance for Furniture & Fixtures 40,000
(Being advance cleared as the whole amount
spent)
40,000 40,000
222 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 223
c. Actual expenditure being more than the amount of advance/over expenses
Dr. BE .............. (budget head)
Cr. Post Name clearance of advance for ............. (budget heads)
Cr. Treasury Single Account (TSA)
On 2075-11-20, Officer Mr. K.B. Khadka’s advance for the furniture was being cleared
by approving the bill of Rs. 45,000 by issuing cheque no. 0123.
Solution:
Code No. Particulars L.F. B.H. No. Debit Rs. Credit Rs.
Dr. B.E. Furniture & Fixtures 29311 45,000
Cr. Officer Mr. K.B. Khadka clearance of
advance for Furniture & Fixtures 40,000
Cr. Treasury Single Account (TSA) 5,000
(Being advance cleared and issuing a cheque
for the additional amount.)
45,000 45,000
d. Actual expenditure being less than the amount of advance/below expenses.
This condition may also be of two types:
i. Making expenditure and returning the excess amount in cash
ii. Making expenditure and returning the excess amount through bank.
Dr. BE ................. (budget head)
Dr. Cash/Treasury Single Account (TSA)
Cr. Post Name clearance of advance for ..........(budget head)
i. Returning the excess amount in cash.
On 20 Falgun 2075, Officer Mr. K.B. Khadka submitted the bill of expenditure
th
Rs. 35,000 and balance Rs. 5,000 returned in cash after purchasing furniture and got
clearance.
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. B.E. Furniture & Fixtures 22311 35,000
Dr. Cash 5,000
Cr. Officer Mr. K.B. Khadka, clearance of
advance for furniture & fixtures 40,000
(Being advance cleared as the bill and surplus
cash submitted.)
40,000 40,000
224 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 225
Depositing the cash into the bank
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Treasury Single Account (TSA) 5,000
Cr. Cash 5,000
(Being cash deposited into bank)
5,000 5,000
ii. Returning the excess amount through bank
On 20 Falgun, 2075, Officer Mr. K.B. Khadka submitted the bill of expenditure
th
for Rs. 35,000 along with the bank voucher for the excess of Rs. 5,000 and the clearance
is made.
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. B.E. Furniture & Fixtures 29311 35,000
Dr. Treasury Single Account (TSA) 5,000
Cr. Officer Mr. K.B. Khadka clearance of 40,000
advance for Furniture & Fixtures
(Being advance cleared by approving the
submitted bill and bank voucher)
40,000 40,000
C. Miscellaneous Journal Voucher
The journal vouchers for all the transactions other than general expenditure, advance
expenditure and their clearance are categorized as miscellaneous journal vouchers. A
large variety of transactions come under this type. They are as follows:
a. Budget release or disbursement/Revolving Fund/Imprest Fund
b. Deductions from salary c. Petty cash fund and its reimbursement
d. Security deposit and contract tax e. Rectification of errors
f. Budget transfer g. Closing journal vouchers
a. Budget Release or Disbursement
Before the first year 2051-052, the approval of budget used to be released to all the
government offices and projects on the basis of four monthly budget release system in
accordance with the `Financial Administration Regulations 2042’ and ‘Procedural Rules
for Government Income and Expenditure 2038’. The offices faced the shortage of fund in
the execution of activities. Then the system of budget release, which is a combination of
Four Monthly Budget Release and the Imprest System of Revolving Fund, adopted from
fiscal year 2051/052, is called the “Fund Re-imbursement Release System”.
i. While Receiving Imprest/revolving fund release
Revolving fund is the fund created in the account of an operating level office by the
district level office of the Treasury and Comptroller in the beginning of the fiscal years
with an amount equal to 1/6 of the current year’s appropriation of budget.
th
224 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 225
On the basis of expenditures made out of revolving fund, the spending office should
request for its reimbursement with necessary documents like bank cash book, statement
of expenditure, etc. within the first week of the next month.
Every month, the spending office gets budget release for the month and amount equal to
the expenditure made by it in the last month. However, the office should spend at least 50%
of the amount of revolving fund in each month to get reimbursement of the expenditures,
otherwise it gets budget release order for the amount equal to the expenditure so incurred
and it is to be adjusted from the revolving fund.
The journal vouchers to be prepared under the “Fund Reimbursement Release System”
in different cases are as given below:
a. When initial revolving fund is received
When preliminary revolving fund is received in extent to the 1/6 of the last year’s
th
total expenditure, directly amount is mentioned.
Dr. Treasury Single Account (TSA)
Cr. Initial Revolving Fund
(Being bank order received in terms of the initial revolving fund)
Eg. The office received 1/6 of the total budget expenditure of previous year of Rs.
th
24,00,000 as Initial Revolving Fund from the Office of the Treasury and Comptroller as
per the application made on 2075-4-5 in absence of appropriation and allocation of budget
for the year.
Solution:
Government of Nepal AGF No.10.
........... Office, ............... JV No:
Journal Voucher Date: 2075-4-5
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Treasury Single Account (TSA) 4,00,000
Cr. Initial Revolving Fund 4,00,000
(Being preliminary revolving fund received )
4,00,000 4,00,000
Receipt No: ................. Cheque No: .................
Amount Received: Rs. Four lakhs only. Cheque Amount:........................
Submitted By: Miss. M. Approved By: Mrs. K.
Position: Accountant Position: Chief
Date: 2075-4-5 Date: 2075-4-5
b. When Imprest/Revolving Fund Received
The District Treasury and Comptroller’s Office creates a fund to release the budget
for all operating level offices. Each operating level office receives as revolving/imprest
fund release to spend as per the demand for the payment. The specimen of journal voucher
is given below:
226 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 227
Dr. Treasury Single Account (TSA)
Cr. Revolving/Imprest Fund
(Being revolving/imprest fund received)
Example:
2076-3-4, received bank order letter of Rs. 4,00,000 as revolving fund through bank transfer:
Government of Nepal AGF No.10.
........... Office, ............... JV No:
Journal Voucher Date: 2076-3-4
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Treasury Single Account (TSA) 4,00,000
Cr. Revolving/Imprest fund 4,00,000
(Being revolving fund received through bank
transfer )
4,00,000 4,00,000
Receipt No: ................. Cheque No: .................
Amount Received: Rs. Four lakh only. Cheque Amount:........................
Submitted By: ......................... Approved By: .........................
Position: ......................... Position: .........................
Date: 2076-3-4 Date: 2076-3-4
c. When the additional revolving fund is received
When the appropriate bill has not been passed, a preliminary revolving fund with
an amount equal to 1/6 of the last year’s total expenditure is created and necessary
th
adjustment is made on this fund after the appropriation bill for the current year is passed.
When 1/6 of the current years appropriation is more than the preliminary revolving
th
fund, additional revolving fund is released or vice-versa.
Dr. Treasury Single Account (TSA)
Cr. Additional Revolving Fund Release
(Being additional revolving fund release received)
The office was allocated Rs. 30,00,000 as the budget for the current year, on 075-4-10, and
the additional revolving fund Rs. 1,00,000 was received through bank from the Office of
the Treasury and Comptroller.
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Treasury Single Account (TSA) 1,00,000
Cr. Additional Revolving Fund 1,00,000
(Being additional revolving fund release
received.)
1,00,000 1,00,000
226 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 227
d. When the amount of initial revolving fund is to be returned
When the amount of preliminary revolving fund is to be returned, being in excess,
after the approval of the current year’s appropriation,
Dr. Revolving Fund Release
Cr. Treasury Single Account (TSA)
(Being the excess revolving fund returned.)
The office was allocated Rs. 18,00,000 as the budget for the current year, on 075-4-10, and
the initial revolving fund Rs. 1,00,000 was returned by cheque No.0098 to the Office of the
Treasury and Comptroller.
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Initial Revolving Fund 1,00,000
Cr. Treasury Single Account (TSA) 1,00,000
(Being additional revolving fund release
returned.)
1,00,000 1,00,000
ii. Budget Release and Revolving Fund
Every month, an office gets budget release for the month, equal to the expenses made
by it in the last month. It should be noted, however, that an office must spend, at least,
50% of the amount of the Revolving Fund (Imprest Fund) in each month, otherwise it
doesn’t get the reimbursement for the expenses of such month. But the office gets release
order for the amount equal to the expenses so incurred, it is to be adjusted from the
Revolving Fund.
a. When the amounts of budget release order and bank order are equal
Every month an office gets budget release for the month equal the expenses made by
it in the last month. The entry is:
Dr. Treasury Single Account (TSA)
Cr. Budget Release
(Being budget release and bank order received)
On 2075-5-3 received Rs. 3,00,000 as a budget release order for the reimbursement of the
month of Shrawan from the Office of the Treasury and Comptroller through bank transfer.
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Treasury Single Account (TSA) 3,00,000
Cr. Budget Release 3,00,000
(Being reimbursement of revolving fund
expenditure through bank transfer received)
3,00,000 3,00,000
228 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 229
b. When the amount of budget release order is less than the bank order,
Dr. Treasury Single Account (TSA) (equals to bank order letter)
Cr. Revolving Fund (difference amount)
Cr. Budget Release (equals to budget release order letter)
(Being budget release and bank order received)
On 2075-5-3, District Forest Office, Palpa, received an intimation of the bank order
of Rs. 200,000 and budget release order of Rs. 150,000 as the reimbursement of the
expenditure of previous month, through the Office of the Treasury and Comptroller.
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Treasury Single Account (TSA) 2,00,000
Cr. Revolving Fund 50,000
Cr. Budget Release 1,50,000
(Being bank order and budget release order
received and the excess money transferred
to the revolving fund)
2,00,000 2,00,000
c. When the amount of budget release order is more than the bank order,
Dr. Treasury Single Account (TSA)(equals to bank order letter)
Dr. Revolving Fund (difference amount)
Cr. Budget Release (equals to budget release order letter)
(Being budget release and bank order received.)
On 2075-5-3, District Forest Office, Jhapa, received the bank order of Rs. 200,000 and
budget release order of Rs. 2,50,000 as the reimbursement of the expenditure of previous
month, through the Office of the Treasury and Comptroller.
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Treasury Single Account (TSA) 2,00,000
Dr. Revolving Fund 50,000
Cr. Budget Release 2,50,000
(Being bank order and budget release order
received and the excess money transferred
to the revolving fund)
2,50,000 2,50,000
d. When the budget release received in terms of Goods/Commodities
Sometime, the operating level office received the budget in terms of goods and
commodities. For those conditions;
228 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 229
Dr. BE (Budget Head) ...
Cr. Additional/Supplementary Budget release
(Being additional/supplementary budget release received)
Example:
On 2075/5/7, a car is received from central level office valued of Rs. 40,00,000/- with
necessary documents and release order to adjust the expenditure as additional/
supplementary/budget release.
Government of Nepal AGF No.10.
........... Office, ............... JV No:
Journal Voucher Date: 2075-5-7
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. BE Vehicles 40,00,000
Cr. Additional/supplementary/Budget release 40,00,000
(Being car is received from central level
office as additional budget release )
40,00,000 40,00,000
e. When receiving budget release, additional/supplementary budget release and
paid bank charges
In such condition
Dr. BE Office Expenses
Dr. Treasury Single Expenses
Cr. Budget release, additional/supplementary budget release
(Being amount received and paid bank charges)
Example:
On 2075/6/5, received bank order of Rs. 60,000/- as supplementary budget release and
paid bank charges Rs. 500 through bank transfer.
Government of Nepal AGF No.10.
........... Office, ............... JV No:
Journal Voucher Date: 2075-6-5
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. BE Office expenses 22311 500
Dr. Treasury Single Account (TSA) 59,500
Cr. Supplementary budget release 60,000
(Being supplementary budget release
received and paid bank charges)
60,000 60,000
230 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 231
B. Deductions From Salary
At the end of every month, salary and allowances are distributed to the employees
of an office for the duties performed by them during the month. Some amounts as per the
rules and regulations and/or as the request of an employee are deducted from out of the
salary. Personnel provident fund (employees’ provident fund), income tax, tejarath sapati
(personnel loan), clearance of advance remained in the name of a certain employee, as
his request or according to the rules and regulations etc. are some common examples of
such deductions. The important deductions are introduced below with their accounting
treatment.
i. Personnel Provident Fund
It is that fund, which is raised by collecting the compulsory deduction from the
salary of the permanent employees of a government office, company or corporation. The
employer office contributes the cent percent of the deduction to the fund. In Nepal, the
personnel provident fund deduction is 10% of the total regular (monthly) salary and the
employer office contributes the cent percent of the deduction to the fund.
The entry for Personnel Provident Fund deduction is:
Dr. B.E. Salary 21111
Cr. Personnel Provident Fund
Cr. Treasury Single Account (TSA)
While depositing the Personnel Provident Fund deduction in the concerned office or A/c,
the entry is made as:
Dr. Personnel Provident Fund
Cr. Treasury Single Account (TSA)
Suppose, the total salary of the permanent employees of an office is Rs. 20,000; then the
calculation of gross salary and Personnel Provident Fund deduction is made as:
Salary 20,000
Personnel Provident Fund (10%) 2,000
The net salary receivable is 18,000
a. The total salary including the contribution of the office to the Personnel Provident
Fund becomes Rs. 22,000. (i.e. 20,000 + 2,000)
b. The Personnel Provident Fund (the sum of Personnel Provident Fund deduction and
contribution of the office) is Rs. 4,000 (i.e. 2,000+2,000)
Net salary payable (a-b) = 18,000
Total Personnel Provident Fund deposit 2,000+2,000) = 4,000
ii. Income Tax/Social Security Tax
Income tax is the amount of tax to be paid by the employees out of their salary. In
cash, only when an employee earns taxable salary, he/she is subject to pay such a tax. At
least 1% of salary should pay as social security tax to government by any organization.
230 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 231
Though an employee can pay the income tax individually after drawing the salary from
the office, the general tradition is that the income tax is deducted by the office, at source
while distributing the salaries and, thus, it is also a deduction from the salary. Two entries
should be passed in case of this deduction too, as in the case of Personnel Provident Fund.
While deducting income tax:
Dr. B.E. Salary
Cr. Income Tax/Social Security Tax
Cr. Treasury Single Account (TSA)
While depositing the deduction i.e. income tax and social security tax in the concerned
A/c,
Dr. Income tax/Social Security Tax
Cr. Treasury Single Account (TSA)
iii. Personnel Loan(Tejarath Sapati)
The staff/personnel/employees of an office may fall into some economic crises. So,
they take loan from the office, on condition of repaying it from their salary each month.
Thus, it is also deducted from the salary of the concerned staff employees. The accounting
treatment is the same as to the other deductions. While deducting the personnel loan
from the monthly salary,
Dr. B.E. Salary
Cr. Personnel Loan/ Tejarath Sapati
Cr. Treasury Single Account (TSA)
While depositing the deduction in the concerned A/c,
Dr. Personnel Loan
Cr. Treasury Single Account (TSA)
iv. Citizen Investment Fund
A staff can voluntarily deposit certain amount on monthly basis in a fund called
citizen investment fund. While deducting the citizen investment fund from the monthly
salary;
Dr. B.E. Salary
Cr. Citizen Investment Fund
Cr. Treasury Single Account (TSA)
While depositing deducted amount:
Dr. Citizen Investment Fund
Cr. Treasury Single Account (TSA)
(Being deducted amount of citizen investment fund is deposited into concerned account
232 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 233
v. Combined Condition of Salary Deductions:
a. While salary distributing/Offer Deducting Provident Fund, Provident Fund Loan,
Personnel Loan/Tejarath Sapati, Citizen Investment Fund and Income Tax or Social
Security Tax.
Journal Voucher is given below:
Dr. B.E. Salary
Cr. Provident Fund
Cr. Provident Fund Loan
Cr. Personnel Loan/ Tejarath Sapati
Cr. Citizen Investment Fund
Cr. Income Tax/Social Security Tax
Cr. Treasury single Account (TSA)
(Being salary distributed)
b. While salary and allowance distributing at a time after deducting provident fund,
provident fund loan, personnel loan/Tejarath Sapati, Citizen Investment Fund,
Income Tax, Social Security Tax and Advance Salary.
The specimen of journal voucher is given as follows:
Dr. B.E. Salary
Dr. B.E. Allowance
Cr. Provident Fund
Cr. Provident Fund Loan
Cr. Personnel Loan/ Tejarath Sapati
Cr. Citizen Investment Fund
Cr. Income Tax
Cr. Social Security Tax
Cr. Advance Clearance of (Name of Person)
Cr. Treasury Single Account (TSA)
(Being salary distributed after deducting necessary above deduction headings)
c. Combined journal voucher while deducted amount depositing into concerned
offices:
The specimen format of journal voucher is given below:
Dr. Provident Fund
Dr. Provident Fund Loan
Dr. Personnel Loan/ Tejarath Sapati
Dr. Citizen Investment Fund
Dr. Income Tax
Dr. Social Security Tax
Cr. Treasury Single Account (TSA)
(Being deducted amount deposited into the concerned offices)
232 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 233
Illustration - 4
On 2074-12-2, the Custom Office, Birgunj, distributed salary to its employees for the
month of Falgun, 2074, amount to Rs. 50,000 subject to the following deduction:
Personnel Provident Fund 5,000
Income Tax 2,000
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. B.E. Salary 21111 50,000
Cr. Personnel Provident Fund 5,000
Cr. Income Tax 2,000
Cr. Treasury Single Account (TSA) 43,000
(Being salary for the month of Falgun paid
by deducting Personnel Provident Fund and
income tax.)
50,000 50,000
While depositing Personnel Provident Fund into concerned A/c:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Personnel Provident Fund 5,000
Cr. Treasury Single Account (TSA) 5,000
(Being Personnel Provident Fund deposited
into the concerned A/c.)
5,000 5,000
While depositing the income tax into the concerned A/c:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Income Tax 2,000
Cr. Treasury Single Account (TSA) 2,000
(Being income tax deposited into the
concerned A/c.)
2,000 2,000
Note: The depositing of the deductions may be entered together in the same voucher by
debiting the respective deduction accounts and crediting Treasury Single Account. In
such a case if different cheques are issued, the separate numbers should be mentioned
in the ‘Cheque No.’ blank and the total sum of amount in the ‘Cheque Amount’ blank.
Illustration - 5
On 29-11-2074, salary of the month of Falgun Rs. 65,000 is distributed after deducting
Rs. 8,000 for provident fund, Rs. 2,000 for personnel loan and Rs. 1000 for income tax and
234 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 235
the balance by issuing a cheque no. 05678. And the deducted amounts were sent to deposit
in the respective accounts through cheque no. 05679, 056710 and 056711 respectively.
Solution;
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. B.E. Salary 21111 65,000
Cr. Personnel Provident Fund 6,500
Cr. Personal Loan 2,000
Cr. Income Tax/Social Security Tax 1,000
Cr. Treasury Single Account (TSA) 55,500
(Being salary paid for the month of Falgun
after deducting the deductions)
65,000 65,000
While depositing the deductions into the respective accounts:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Personnel Provident Fund 6,500
Cr. Treasury Single Account (TSA) 6,500
(Being the deductions deposited into the
respective accounts.)
6,500 6,500
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Personnel Loan 2,000
Cr. Treasury Single Account (TSA) 2,000
(Being the deductions deposited into the
respective accounts.)
2,000 2,000
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Income Tax/Social Security Tax 1,000
Cr. Treasury Single Account (TSA) 1,000
(Being the deductions deposited into the
respective accounts.)
1,000 1,000
Illustration - 6
On 5 of Falgun, 2074, salary for the month of Magh Rs. 2,50,000 was distributed
th
after deducting provident fund Rs. 25,000, citizen investment fund of Rs. 5,000, income
tax Rs. 2,000 and employees loan Rs. 6000, on 6 Falgun, and the next day, the deducted
th
amounts were deposited into the concerned accounts through different cheques.
234 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 235
Solution:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. B.E. Salary 21111 2,50,000
Cr. Personnel Provident Fund 25,000
Cr. Citizen Investment Fund 5,000
Cr. Income Tax/Social Security Tax 2,000
Cr. Employees’ Loan 6,000
Cr. Treasury Single Account (TSA) 2,12,000
(Being salary paid to the staff after the
necessary deductions.)
2,50,000 2,50,000
While depositing the deductions in the respective accounts:
Code No. Particulars L.F. B. H. No. Debit Credit
Dr. Personnel Provident Fund 25,000
Dr. Citizen Investment Fund 5,000
Dr. Income Tax/Social Security Tax 2,000
Dr. Employees’ Loan 6,000
Cr. Treasury Single Account (TSA) 38,000
(Being deducted amount is deposited into
concern account.)
38,000 38,000
C. Petty Cash Fund
In every office, there are a number of expenditures of the large and very small value.
It becomes inconvenient and impracticable to issue cheque for very small amounts for
the payment of expenses. In order to facilitate such small payment, a small fund of cash
is raised in periodic way like weekly, fortnight, monthly etc. in almost all the offices.
Such a fund is known as petty cash fund. It is created under the responsibility of a certain
person, called petty cashier. It is created in the beginning of the current fiscal year for a
certain period, say a week fortnight, month etc. and reimbursed in the beginning of the
second period and this process goes onward during the whole year. At the close of the
current year i.e. end of the last period, it is also closed and the amount is sent to the bank.
The petty cash fund is again raised in the beginning of the coming year and accordingly,
this goes onward. The accounting treatment for the raising of petty cash fund and its
reimbursement is discussed below. The amount paid by Petty cashier is recorded in the
payment voucher and should be verified by authorised person.
According to ‘Financial Administration Rules 2065’, central level office has made the
provision of creating petty cash fund upto Rs. 5,000 to Rs. 20,000 after the implementation
of Treasury Single Account (TSA) in petty cash fund. Petty cash book has been designed
under the format of AGF No. 22. Petty cash fund is closed at the fiscal year by depositing
remaining cash into Bank before final closing.
236 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 237
While establishing petty cash fund,
Dr. Petty cash fund
Cr. Treasury Single Account (TSA)
(Being petty cash fund created)
While reimbursing petty cash expenditure,
Dr. B.E. ...... (Head of Expense) .... }
Dr. B.E. .... (Head of Expense) ....... Individually
Cr. Treasury Single Account (TSA)
(Being petty cash fund reimbursed)
While closing petty cash fund,
Dr. B.E. ..... (Head of Expense) (...... If)
Dr. Treasury Single Account (TSA) (remaining amount)
Cr. Petty cash fund
(Being petty cash fund closed)
Illustration - 7
i. A cheque of Rs. 5000 was issued to Krishna Dhakal, the Petty Cashier of the office, to
create a petty fund on 2074-4-10.
ii. On 2074-4-16, a fresh cheque was issued for the reimbursement of the petty
expenditures made by him during the period as:
Postage and stamps Rs. 40 Telegraphic charges Rs. 55
Payment for stationeries Rs. 25 Refreshment expenses Rs. 20
Worshiping materials Rs. 15 Taxi fare Rs. 65
Newspaper expenses Rs. 33
Solution - i
Code No. Particulars L.F. B. H. No. Debit Credit
i. Dr. Petty Cash Fund 5,000
Cr. Treasury Single Account (TSA) 5,000
(Being Petty Cash Fund is created under the
responsibility of Petty Cashier Mr. Dhakal.)
5,000 5,000
Solution - ii
Code No. Particulars L.F. B. H. No. Debit Credit
ii. Dr. B.E. Office Expenses 22311 163
Dr. B.E. Communication Charge 22112 55
Dr. B.E. Miscellaneous Expenses 22711 20
Dr. B.E. Other Programme Expenses 22522 15
Cr. Treasury Single Account (TSA) 253
(Being the petty expenses during the period reimbursed.)
253 253
236 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 237
Objectives of Petty Cash Fund
Petty cash fund has many objectives, specially in making the payment of very small
expenditures easily and in order to lessen the burden of the accountant by keeping records
of a number of very small expenditures. The important objectives of petty cash fund are
as given below:
i. To overcome the inconvenience of issuing cheques for the small payments like
tea, coffee, bus fare, coolie charges, wages to casual labours, newspaper, postal
stamps, etc.
ii. To minimise the misuse of cash while making very small payments, by assigning
particular responsibility to a certain employee of the office.
iii. To reduce the accounting burden to the accountant or assistant accountant by
determining a separate duty and responsibility under a certain employee in the
office.
iv. To identify the separate position of the petty expenditures during various periods and
see the status of fund so that, a proper control can be made on the petty expenditure.
v. To facilitate the posting in ledger because all the expenditures of a certain period are
recorded in the journal voucher at once, at the time of re-imbursement and can be
posted into ledger at once.
Types of Petty Cash Fund
There are generally two types of petty cash fund: ordinary system and imprest system.
i. Ordinary System of Petty Cash Fund
Under this system, the petty cashier is given a certain sum of money for a certain
period, say a week, fortnight or month to meet all petty expenses. At the last of the certain
period i.e. the week, fortnight or month, the petty cashier produces the vouchers along
with the balance of amount, if any, before the head cashier or accountant. The head
cashier then verifies the vouchers and makes the entry of the total amount spent, into
his cash book. Then the petty cashier is given a certain necessary amount for the coming
period, which may be less than, equal to or more than the former fund. The same process
goes onward for the whole year. Since there’s a provision for fluctuating the fund for the
different periodical time, the control element is poor under this system.
ii. Imprest System of Petty Cash Fund
Under this system, the petty cashier is given a certain fixed sum of money in the
beginning of a certain period, say a week, fortnight or month or suggested to make
petty payments out of it. At the end of that certain period, the petty cashier produces the
vouchers before the main cashier. The main cashier then verifies the vouchers and enters
the total amount spent into his cash book and gives an amount to the petty cashier equal
to the amount spent by him/her so that, in the beginning of the coming period. He/she
will have the same amount in the fund as it was in the earlier period. This process goes
onward for the whole year and even sometimes for the series of years to come. The petty
cash fund is created, under this system, scientifically with the study of past experience,
firm’s policy and future probability so that, the fund so created will be sufficient to meet
the periodical expenses.
238 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 239
d. Budget Transfer
While making expenditures as per the annual appropriation under different heads,
there may exist the possibility of the annual appropriation being inadequate under some
heads and excess under some other heads. In order to avoid such situation, the provisions
are made under the New Accounting System of GON to transfer amount from the heads
having surplus budget to the ones having scarce. But this should be approved from the
Office of the Treasury and Comptroller. Budget may be transferred from one head to
another within the same office or between the offices of Government of Nepal. Thus,
budget transfer refers to the acts of transferring an amount from one budget head to
another or from one government office to another. The accounting treatment of such
budget transfer is illustrated below:
i. For inter-head transfer of budget, within the same office:
Dr. BE (Head, from which budget is transferred)
Cr. BE (Head, to which budget is transferred)
ii. For inter-office transfer of budget:
In the book of the office receiving transfer
Dr. Treasury Single Account (TSA)
Cr. Budget Release
(Being budget transfer received from office)
In the book of the office giving transfer,
Dr. Budget Release
Cr. Treasury Single Account (TSA)
(Being budget transferred from budget expenditure to ............ office)
Illustration - 8
i. On 2075-7-5, Rs. 15,000 was transferred from budget head uniform to budget head
food on the basis of approval received.
Solution - i
Code No. Particulars L.F. B. H. No. Debit Credit
ii. Dr. B.E. Uniform 21121 15,000
Cr. B.E. Food 21122 15,000
(Being budget transferred from T-TADA to
allowance)
15,000 15,000
e. Security Deposit and Contract Tax
Some government transactions are related with public constructions or large quantity
purchase of materials or capital assets. For this, government invites tenders and quotations
from the registered contractors to carry out the constructional work or to supply materials
at a quoted price. The contractors who submit tenders should deposit an amount equal
238 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 239
to 5% of the quoted price individually in the stated bank account of the office as security
deposit, commonly known as earnest money. The amount of the earnest money deposited
by the contracts is known only after the sealed bids or tenders are opened. The tenders
are opened at a pre-specified date in the presence of the contractors or their authorized
representatives.
Generally, the tender is accepted which has quoted the least price of the work subject to
the provisions and procedures of rules and regulations. Additional security deposit may
be asked if needed, from the accepted contractor and the security deposits of the rejected
ones are refunded.
The contractor, whose tender is accepted, now begins the work. After the completion of
a certain portion of the work, he presents a running bill to the office by asking for the
payment to incur his expenses. It is certified by the architect of the office and payment is
made on the basis of the running bill. Such a process may continue from time to time as
necessity until the work is completed. At the time of the payment of the running bills, 5%
of the amount is deducted as security deposit, next 5% as contract tax and other necessary
deductions if any. The remaining amount is paid through cheque.
Security deposit is a security to the government against any wilful misconduct or
violation of contract by the contractor in the conduct of contractual work. When the work
is completed and certified by the architect, a clearance letter is issued to the contractor and
as usual the amount is paid with necessary deductions. His security deposit cumulated
so far is returned through the established procedures. In order to avoid the chances
of misuse and manipulation of the amount of security deposit, it should be separated
from the amount of annual appropriation and deposited into a separate security deposit
account in the bank.
On the other side, contract tax is a revenue from the price (income) received by the
contractor and, thus, deposited into contract tax account at the time of every deduction
and finally collected into the consolidated fund of the government at the end of fiscal year
or after the completion of the work and clearance of the contract price.
The following illustration may clear the concept of security deposit and contract tax and
their accounting:
While depositing amount of security deposit into bank,
Dr. Treasury Single Account (TSA) (Security deposit account)
Cr. Security deposit account of ........... (Name of contractor)
(Being the amount of security deposit received through bank)
While paying amount of contract bill,
Dr. BE ............. (Budget head)
Cr. Security deposit account of ........... (Name of contractor)
Cr. Contract tax
Cr. Treasury Single Account (TSA)
(Being the amount of contract bill paid deducting necessary amount)
240 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 241
While paying amount of contract tax,
Dr. Contract tax
Cr. Treasury Single Account (TSA)
(Being the contract tax deposited to revenue account of government)
While paying the amount of security deposit of contractor,
Dr. Security deposit account of .............. (Name of contractor)
Cr. Treasury Single Account (TSA)(Security deposite A/c)
(Being amount of security deposit returned to contractor Mr...............)
While refunding security deposit to contractor after the completion of contract,
Dr. security deposit account of ............... (Name of contractor)
Cr. Treasury Single Account (TSA)
(Being refunded of the security deposit to contractor)
Illustration - 9
Prepare Goshwara Vouchers for the following transactions related with contractual
dealings in the books of Land Reform Office, Rupandehi.
i. On 2074-8-15, security deposit of Rs l,00,000 Rs. 90,000, Rs. 1,05,000 and Rs. 1,10,000
received from contractors Mohan & Co., Kailash & Co., Khatri Constructions and
Khanal & Co. respectively through bank vouchers along with their tenders for the
construction of building of the office.
ii. Out of the first running bill of Rs. 500,000, the amount was paid through cheque to the
contractor after deducting 5% security deposit and 5% contract tax on 2074-8-16 and
the deducted amounts were deposited into the respective accounts on the same day.
Solution - i
Code No. Particulars L.F. B. H. No. Debit Credit
074: Dr. TSA Security Deposit A/c 4,05,000
8-15 Cr. Security Deposit of Mohan & Co. 1,00,000
i. Cr. Security Deposit of Kailash & Co. 90,000
Cr. Security Deposit of Khatri Constructions 1,05,000
Cr. Security Deposit of Khanal & Co. 1,10,000
(Being security deposit received from the
contractors through bank)
4,05,000 4,05,000
Code No. Particulars L.F. B. H. No. Debit Credit
074: Dr. B.E. Building Construction 29221 5,00,000
8-16 Cr. Security Deposit of Mohan and Co. 25,000
Cr. Contract Tax 25,000
Cr. Treasury Single Account (TSA) 4,50,000
(Being amount paid to the contractor as per
the 1st running bill after deducting Security
deposit and contract tax)
5,00,000 5,00,000
240 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 241
f. Closing Journal Voucher
After the closing of a fiscal year, all the accounting documents, books and statements
are closed. At the closing of a fiscal year, if any accountability of any transaction remained
unclear, it should be transferred to the coming fiscal year. The total Budget Release A/c,
Budget Expenditure A/c, Cash A/c, Petty Cash Fund A/c and Consolidated Fund
(Sarbasanchit Kosh), Freeze Account (Rokka Khata) of Bank are transacted in the journal
vouchers. Journal Vouchers to be prepared at the closing of a fiscal year are as follows:
i. While closing Petty Cash Fund,
Dr. Treasury Single Account (TSA)
Cr. Petty Cash Fund
(Being amount of petty cash fund deposited into bank)
ii. While closing Cash A/c,
Dr. Treasury Single Account (TSA)
Cr. Cash
iii. While closing Budget Release A/c, Budget Expenditure A/c and TSA A/c,
Dr. Budget Release A/c
Cr. Budget Expenditure A/c
Cr. Treasury Single Account (TSA) (Freeze A/c)
iv. Closing of Advance A/c and transferring the advance to the coming year,
a. While closing the account of advance at the end of the current year,
Dr. BE (head of expense)
Cr. Person (fake clearance, of advance)
(Being the fake clearance is given to ................. person)
b. While opening the last year’s advance in the beginning of current year,
Dr. Person (fake clearance of advance of the last year)
Cr. B.E. (head of expenses)
c. While transferring accountability in the beginning of the coming fiscal year,
Dr. Treasury Single Account (TSA)
Cr. Budget Release
(Being the amount of accountability transfer received as budget release)
242 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 243
Glossary
Description : detail
Approval : permission for doing something
Properties : assets
Advance : amount given to person or parties before getting goods or
service
Budget : the estimation of expenditures and incomes
Consolidated fund : combined fund
Goshwara Voucher : journal voucher
Narration : a brief description at the end
Rectify : to correct
Running bill : bill of expenditure presented by the contractors for payment
Budget freeze : a balance amount remaining unused out of imprest fund
Clearance of advance : settlement of advance through statement of expenditure
Provident fund : a kind of retirement fund provided to the employees
Annual closing : the process of closing the accounts at the end of fiscal year
Exercise
A. Answer the following questions in one sentence.
1. Write the objectives of journal voucher.
2. What is meant by journal voucher?
3. What is meant by advance journal voucher?
4. What is revolving fund?
5. What is meant by petty cash fund?
6. What do you mean by ‘deduction from salary’?
B. Give short answers to the following questions.
7. What is meant by Goshwara Voucher, AGF No. 10? Mention its importance.
8. What are the things to be considered while maintaining Goshwara Voucher?
9. What is petty cash fund? Mention its objectives.
10. Describe the types of petty cash fund.
11. Write the objectives of Goshwara Voucher?
12. Describe the types of Goshwara Voucher in brief.
242 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 243
NUMERICAL PROBLEMS
1. Prepare Journal Voucher for the following transactions, which occurred in
the District Agriculture Office, Gorkha.
i. On 2075-5-22, paid to Bhaju Ratna Engineering, Kathmandu, a sum of
Rs. 1,30,000 by cheque number 0057 for the purchase of a 100 c.c. Hero
Honda Motorcycle for office use.
ii. Bought machinery of the value of Rs. 40,000 by issuing a cheque no. 0058
on 2075-5-27.
iii. Paid salaries to the staff for the month of Marga Rs. 14,000 by cheque no.
0059 on 2075-5-28.
iv. On 2075-5-28, issued a cheque no. 0060 to Accountant, Mr. Naresh Aryal
for the Accountant allowance of Rs. 2,000.
v. Paid Rs. 20,000 by cheque no. 0061 to Rajaram Garments (Pvt.) Ltd. against
a bill of uniform and boots on 2075-5-29.
vi. On 2075-5-29, paid Rs. 1,200 by a cheque no. 0062 as wages for repair and
maintenance of machinery and equipment of the office,
vii. Issued cheque no. 0063 of Rs. 2,500 for the printing charges of letter pads,
forms and registers on 2075-5-30.
viii. On 2075-5-30, issued a cheque no. 0064 of Rs. 5,50,000 against the
construction of road as per rules.
2. Prepare the AGF No. 10.
i. On 2074-8-7, paid to Nayab Subba, Miss Gayatri Shrestha Rs. 15,500 by a
cheque no. 0014 as an advance for purchasing uniform to the security staff.
ii. Issued a cheque no. 0015 to Officer Mr. Shyam Shrestha for Rs. 5,500 as
advance for the purpose of official tour on 2074-8-11.
iii. Issued a cheque no. 0016 of Rs. 2,00,000 to the building Contractor Sundar
Dhakal as an advance for construction of office building on 2074-8-19.
iv. Issued a cheque no. 0017 for Rs. 25,000 as advance to the Consultant Mr.
Bharat Giri for irrigation project on 2074-8-20.
v. On 2074-8-25, an advance of Rs. 50,000 was given to Officer, M/s Panta of
Rs. 5,000 for TADA and Rs. 45,000 for purchasing a machinery for office
use.
vi. On 2074-8-30, as M/s Panta could not go for the tour because of her private
reason, and thus advance given to her was returned, submitted the bank
voucher and cleared her account.
3. Prepare the journal voucher of District Administration Office, Kathmandu.
i. The expenses of Rs. 2,50,000 were incurred till 28 Ashadh out of the
th
monthly reimbursed revolving fund of Rs. 3,00,000 from the Office of the
Treasury and Comptroller. The balance of Rs. 50,000 was refunded to the
Office of the Treasury and Comptroller.
ii. On 2074-6-1, out of the total staff salaries of Rs. 40,000 for the month of
Bhadra, Rs. 4,000 were deducted for provident fund as per rules and the
244 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 245
balance was distributed by issuing a cheque no. 012345 and the deducted
amount was deposited in the concerned account through cheque no.
012346 on the same day.
4. Journalise the following transactions in Goshwara Voucher, AGF No. 10 in
the book of Irrigation Office, Gorkha.
i. On 2075-8-5, received revolving fund of Rs. 9,00,000 through the Office of
the Treasury and Comptroller.
ii. Issued a cheque no. 02315 against purchase of uniform to the staff of
Rs. 15,000 on 2075-8-10.
iii. On 2075-8-12, an advance of Rs. 15,000 was given to Section Officer Mr.
Amar Shakya for the purchase of stationery by cheque no. 02316.
iv. On 2075-8-20, clearance is given to Section Officer Amar Shakya by
approving the bill of Rs. 16,000 submitted by him and issuing a cheque no.
02317 for the additional amount.
v. On 2075-8-22, issued a cheque no. 02318 of Rs. 1500 to Shakya Oil Stores for
the fuel purchased for office work.
vi. On 2075-8-30, of the total salaries of Rs. 22,000 for the month of Mangsir, it
was distributed after deducting P.F contribution of Rs. 4,000 and income
tax of Rs. 2,000 by issuing a cheque no. 02319.
5. Prepare Goshwara Voucher AGF No.10, for the following transactions.
i. On 2075-6-10, District Agriculture Office, Rasuwa, paid Rs. 7,000 by cheque
no. 0567 to ABC Nursery against a purchase of insecticides and fertilizer
for free distribution to the selected farmers.
ii. Issued a cheque of Rs. 20111 to the Red Cross Society, Dhumcha as donation
on 2075-6-12 by cheque no. 0568.
iii. Paid Rs. 35,000 by cheque no. 0569 for the purchase of a horse on 2075-6-14.
iv. Machinery and equipments advance of Procurement Officer Ramesh
Sharma for Rs. 40,000 was cleared by issuing a cheque no. 0570 for excess
amount of Rs. 4000 as per the bill submitted by him on 2075-6-20.
v. Paid Rs. 15,000 to Nepal Television for advertisement on 075-6-25 by
cheque no. 0571.
vi. On 2075-06-28, salary for the month of Ashwin Rs. 44,000, dashain salary
Rs. 40,000 and allowance Rs. 3,000 in total after deducting Rs. 8,000 as
provident fund Rs. 5,000 as provident fund loan and Rs. 1,500 as income
tax by cheque no. 0572. The deducted amounts were deposited to the
concerned offices on the next day by cheque no. 0573.
6. Prepare Goshwara Voucher in the book of Customs Office, Sunauli.
i. Availed Rs. 2,500 in advance to Section Officer Surendra Neupane of
official tour to Biratnagar through a cheque no. 02567 on 2075-8-7.
ii. On 2075-8-8, paid Rs. 5,000 to Sitaram, the Cashier of the office, for petty
cash fund through a cheque no. 02568.
iii. Payment made for the purchase of office building Rs. 11,00,000 through a
cheque no. 02569 on 075-8-15.
244 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 245
iv. Rs. 15000 paid to ABC Furniture Centre, Sunauli through a cheque no.
02580 against the purchase of office furniture on 075-8-22.
v. Issued a cheque No.02571 of Rs. 1,500 to Shiva Shankar, the Senior
Accountant, for his accounts allowance on 2075-8-26.
vi. Out of the total salary of Rs. 66,000 of Mangsir for provident fund Rs. 12,000,
income tax Rs. 1,500 and personnel loan Rs. 3,500 and the rest distributed
through a cheque no. 02572 on 2075-8-28.
7. Prepare the Goshwara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Bara.
i. On 2074/4/1, received bank order of Rs. 5,00,000 as initial revolving fund.
ii. On 2074/4/5, paid Rs.5,000 for purchasing guard’s uniform through
cheque no. 005.
iii. On 2074/4/15, provided Rs. 20,000 as advance to store-keeper Mr. Raghu
Nath Ghimire for purchasing computer through cheque no. 006.
iv. On 2074/04/30, out of total staff’s salaries of Rs. 1,00,000 for the month of
Shrawan Rs. 10,000 was deducted for provident fund and the balance was
distributed by issuing cheque no 007.
v. On 2074/4/30, advance cleared by store-keeper Mr. Raghu Nath Ghimire
for the purchase of computer against his bill.
8. Prepare the Goshwara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Bardiya.
i. On 2075/4/2, Rs. 10,50,000 is received as revolving fund through N.R.
Bank transfer.
ii. On 2075/4/4, paid Rs. 15,000 for telephone charge through cheque no. 0124.
iii. On 2075/4/5, through cheque no. 0125 Rs. 3,000 was paid in advance to
section officer Mr. Purna Prasad Dawadi as travelling allowance.
iv. On 2075/04/13, amount paid to Kharidar Prem Ghimire for the
establishment of petty cash fund Rs. 5,000 through cheque no. 0126.
v. On 2075/4/20, Rs. 1,000 paid to section officer Mr. Purna Prasad Dawadi
through cheque no. 0127 and cleared his advance.
9. Prepare the Gohswara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Makawanpur.
i. On 2074/4/11, received an initial revolving fund from the Office of the
Treasury and Account Comptroller as equal to one-twelfth (1/12) of Rs.
24,00,000, the total expenditure of the last fiscal year.
ii. On 2074/4/15, paid Rs. 5,000 for stationery through cheque no. 063.
iii. On 2074/4/16, store keeper Mr. Krishna Hamal submitted a bill of Rs.
15,000 and a bank voucher of Rs. 5,000 for clearance of computer advance.
iv. On 2074/4/19, reimbursed the following expenses made from the petty
cash fund through cheque no. 064.
Postage Expenses Rs.60, Wages Rs. 100 Repair Rs.150
v. On 2074/4/20, advance cleared by section officer Mr. Yubraj Lamsal for
the purchase of computer of Rs. 30,000 against his bill.
246 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 247
10. Prepare the Goshwara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Bhaktapur.
i. On 2075/8/6, received a bank order of Rs. 8,50,000 and budget release
order of Rs. 9,50,000 for actual expenditure of last month from the Office of
Treasury and Account Comptroller.
ii. On 2075/08/16, petty cash fund of Rs. 5,000 was created entrusting the
responsibility to Kharidar Nisha Pant through cheque no. 0127.
iii. On 2075/8/17, as per the bills submitted by Section Officer Usha Neupane
for the purchase of machine, Rs. 16,000 advance was cleared after paying
Rs. 3,000 through cheque no. 0128.
iv. On 2075/8/18, store keeper Mr. Rajesh Hamal submitted bill and voucher
for Rs. 2,000 and cash Rs. 1,000 for the clearance of his advance for travelling
allowance.
v. On 2075/8/20, paid Rs. 5,000 through cheque no. 0129 for fuel for vehicle.
11. Prepare the Goshwara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Sunsari.
i. On 2075/4/2, received 1/6 of the previous year’s total expenditure of Rs.
60,00,000 from the Office of Treasury and Account Comptroller as imprest
fund.
ii. On 2075/4/14, paid electricity charge of Rs. 22,000 and telephone charge
Rs. 10,000 through cheque No.0012.
iii. On 2075/4/17, accountant R. Darji submitted the bills for the purchase of
furniture for Rs. 14,000 and cleared his account.
iv. On 2075/04/29, out of total staff’s salaries of Rs. 80,000 for the month of
Shrawan, Rs. 8,000 was deducted for Personnel Provident Fund, Rs.2,000
for Citizen Investment Fund and Rs. 500 for income tax and the balance
was distributed by issuing cheque no. 0013.
v. On 2075/4/29, section officer Mr. Khem Bhusal submitted expenditure bill
vouchers of Rs. 1,25,000 for the clearance of Motorcycle advance of Rs.
1,30,000.
12. Prepare the Goshwara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Parsa.
i. On 2074/8/6, received a bank order of Rs. 10,50,000 and budget release
order of Rs. 9,00,000 for actual expenditure of last month from the Office of
Treasury and Account Comptroller.
ii. On 2074/8/7, paid house rent for the month of Ashwin & Kartik @ Rs.
10,000 per month to the house owner Suman Maharjan by cheque no. 0021.
iii. On 2074/8/8, reimbursed the following expenses made from the petty
cash fund through cheque no. 0022.
Fax expenses Rs.70. Repair and maintenance Rs.300.
iv. On 2074/8/9, store keeper Mr. Rambabu cleared his advance of Rs. 45,000
which was paid for the purchase of computer by producing bill of Rs.
50,000 through cheque no. 0023.
v. On 2074/8/10, section officer Mr. Santosh Dhakal returned his advance of
Rs. 5,000 which was paid for the travelling allowance.
246 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 247
13. Prepare the Goshwara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Bara.
i. On 2075/6/7, notice of bank order for Rs. 300,000 comprising of Rs.
50,000 as additional revolving fund and Rs. 250,000 as reimbursement for
expenses incurred of Bhadra has been received.
ii. On 2075/6/8, Narayani Pustak Pasal was paid Rs. 22,500 for educational
materials purchased through cheque no. 00128.
iii. On 2075/6/10, advance of office building rent Rs. 18,000 for the month of
Bhadra has been cleared.
iv. On 2075/6/15, through cheque no. 00129 Rs. 15,000 was paid in advance to
section officer Mr. Salman Khan as transfer travelling allowance.
v. On 2075/6/28, staff salary for the month of Ashwin Rs. 25,000 was paid
after deducting Provident Fund 2,500 and Income Tax Rs. 500 through
cheque no. 00130.
14. Prepare the Journal Voucher (A.G.F.No. 10) from the following transactions
in the book of District Administration Office, Lalitpur.
i. On 2075/5/3, received a bank order of Rs. 5,00,000 for the expenditure of
Shrawan from the Office of Treasury and Account Comptroller.
ii. On 2075/5/5, paid Rs. 50,000 for house rent for the month of Shrawan
through cheque no. 0050.
iii. On 2075/5/10, Rs. 1,15,000 paid in an advance to Officer Mr. Krishna
Prasad Adhikari for the construction of canal through cheque no. 0051.
iv. On 2075/5/29, provident fund Rs. 10,000, income tax Rs. 2,000 and
provident fund loan Rs. 4,000 are deposited into concerned accounts
through cheque No.0052 and 0053.
v. On 2075/5/29, Officer Mr. Krishna Prasad Adhikari returned his advance
of Rs. 1,15,000 which was paid for the construction of canal.
15. Prepare the Journal Voucher (A.G.F. No. l0) from the following transactions
in the book of District Administration Office, Jhapa.
i. On 2074/8/6, received a bank order of Rs.9,25,000 and budget release
order of Rs. 11,52,000 for the actual expenditure of last month from the
Office of Treasury and Account Comptroller.
ii. On 2074/8/7, Officer Mr. Bhabilal Niure submitted a bill of Rs. 9,00,000
and a bank voucher of Rs. 1,00,000 for clearance of motor car advance;
hence, the advance was cleared.
iii. On 2074/8/8, paid Rs. 8,000 for meeting allowance through cheque no.
3005.
iv. On 2074/8/9, advance was cleared by Officer Mr. Tika Chapagain for
conducting the training programme against his bill of Rs. 12,000 and paid
Rs. 2,000 through cheque no. 3006.
v. On 2074/8/29, staff salary for the month of Ashwin Rs. 42,000 was paid
after deducting Provident Fund 10,000 and Income Tax Rs. 3,000 through
cheque no. 3007.
248 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 249
16. Prepare Journal Voucher (A.G.F. No.10) from the following transactions in
the book of District Administration Office, Nawalparasi.
i. On 2076/5/2, received Rs. 80,000 as additional revolving fund from the
Office of Treasury and Account Comptroller. ‘
ii. On 2076/5/9, issued cheque no. 0084 of Rs.20,000 for the fuel for vehicle
and Rs. 12,000 for medical treatment.
iii. On 2076/5/10, a letter of credit (L/C) of Rs. 120,000 has been issued in
favour of TATA Motors Company for the supply of a NANO car through
cheque no. 0085.
iv. On 2076/5/17, as per the bills submitted by Officer Shanker Raj Baral for
the purchase of furniture Rs. 25,000 his advance was cleared after paying
Rs. 5,000 through cheque no. 0086.
v. On 2076/5/20, budget release order was received for Rs. 2,50,000 being
actual expenditure made in the last month, but bank order was not
received yet.
S.L.C/SEE Examination Questions
1. Prepare separate Goshwara voucher (A.G.F. No. 10) of the Controller of
Examination Office, Sanothimi from the following transactions.
a. On 2062-8-7 Rs. 9,00,000 is received as additional revolving fund.
b. Motorcycle purchase advance Rs. 1,00,000 which was given to Accountant
Mr. Damodar Sharma has been cleared by presenting the bill an office on
2062-8-10.
c. On 2062-8-13 reimbursed the following expenses made from the Petty
Cash Fund through cheque no. 0476:
Office material Rs. 700, Newspapers and books Rs. 8,000. (2063 ‘R’)
2. Prepare separate Gaushwara Voucher (A.G.F. No. .10) of the District
Administration Office, Kathmandu from the following transactions.
a. On 2064/4/3 Rs. 6,00,000 is received as revolving fund through N.R. Bank
transfer.
b. On 2064/4/15 through cheque no. 0033 Rs. 60,000 was paid in advance to
Accountant Shri Ram Tamang for the purchase of office furniture.
c. On 2064/4/30 out of total staff’s salaries of Rs. 2,00,000 for the month of
Shrawan, Rs. 20,000 were deducted for provident fund and the balance
was distributed by issuing cheque no. 0066. (S.L.C. 2064’R’)
3. Prepare Goshwara Voucher (AGF No. 10) of District Administration Office,
Dolpa from the following transactions. 2068(R)
a. On 2067/4/5 received bank order of Rs. 9,00,000/- as revolving fund release.
b. On 2067/4/15 the telephone charge Rs. 7,000/- for the month of Asar was
paid through cheque no. 01234.
c. On 2067/4/17 storekeeper K. Pradhan was paid an amount of Rs. 1,20,000/-
as an advanced for the purchase of office furniture through cheque no.
01235.
248 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 249
d. On 2067/4/27 office furniture purchase advanced of storekeeper K.
Pradhan Rs. 1,20,000/- has been cleared against the bills for purchase of
Rs. 1,25,000/- by issuing cheque no. 01236 for the balance amount.
e. On 2067/4/30 out of total salary to staff Rs. 2,50,000/- for the month of
Shrawan Rs. 25,000/- were deducted as provident fund and the balance
was distributed by issuing a cheque no. 01237.
4. Prepare Goshwara Voucher (AGF No. 10) on the basis of the following
transactions of District Administration Office, Kailali. 2067(S)
a. On 2066/4/7, bank order of Rs. 3,50,000/- received as revolving fund.
b. On 2066/4/10, Rs 25,000/- paid for computer purchase by cheque no. 015.
c. On 2066/4/15, section officer Mr. Rupak Bista was paid Rs. 6,000/- in
advance of TADA by cheque no. 016
d. On 2066/4/20, a petty cash fund of Rs. 1,000/- established.
e. On 2066/5/25, the advance given to section officer, Mr. Rupak Bista, was
cleared as per submitted documents and the excess expenditure of Rs.
500/- was paid by cheque no. 035.
5. Prepare Goshwara Voucher (AGF. No. 10) of District Admistration Office,
Dolkha for the following transactions. 2067(R)
a. On 2066/5/12 received bank order letter of Rs. 10,00,000/- as revolving
fund release.
b. On 2066/5/18 purchased computer for Rs. 35,000/- and paid through
cheque no. 006788.
c. On 2066/5/20 advance paid to Section Officer Sarita Puri Rs. 6,000/-
through cheque no. 006789.
d. On 2066/5/25 total salary including provident fund for the month of
Bhadra Rs. 1,98,000/- was distributed deducting Rs. 36,000/- as provident
fund and Rs. 4000/- for income tax through cheque no. 006790.
e. On 2066/5/28 as per statement submitted by Section Officer Sarita Puri,
her advance was cleared and excess expenditure amount Rs. 500/- paid
through cheques no. 006791.
6. Prepare Goshware Vouchers (A.G.F. No. 10) of District Agriculture Office,
Kathmandu from the following transactions : 2066 (S)
a. On 2066/4/3, Rs. 15,00,000 is received as revolving fund through bank
transfer.
b. On 2066/4/20, store-keeper Kamal Krishna Shrestha was paid Rs. 2001
by cheque no. 0011 in advance for the official letter dispatch through post
office.
c. On 2066/4/25, a petty cash fund of Rs. 5000/- established.
d. On 2066/4/27, Bira Furniture Industry was paid Rs. 50,000/- by cheque
no. 0013 for office furniture purchased.
e. On 2066/4/30, out of employees’ salary of Rs. 2,00,000 for the month of
Shrawan Rs. 20,000 and Rs. 3,000/- were deducted as provident fund and
income tax respectively and balance was distributed by cheque no. 0014.
250 Aakar’s Office Practice and Accountancy - 10 Journal Voucher 251
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