PART I
PRELIMINARY AND GENERAL PRINCIPLES

1. Short title, commencement and applicability. - 

(1) These Rules may be called the Central Government Account (Receipts and Payments) Rules, 1983.

(2) They shall come into force on 1- 6 -1983.

(3) They shall apply to all transactions, other than payment of pensionary benefits, pertaining to the Central Government and the Union territories of Delhi and Andaman and Nicobar Islands.

2. Definitions.—

In these rules, unless the context otherwise requires,—

(a) "Accounts Officer" means the Principal Accounts Officer or a Pay and Accounts Officer functioning under the scheme of departmentalisation of Accounts, as the context may imply;

(b) "Accredited bank" in relation to a Ministry or Department, or Union territory means the Reserve Bank or any bank which is appointed to transact business of the Government pertaining to that Ministry or Department or Union territory;

(c) "Audit Officer" means any officer subordinate to, or under the superintendence of the Comptroller and Auditor-General, who exercises audit functions;

(d) "authorised departmental regulations" means regulations made by certain departments of the Government;

(e) "bank" means any branch of the State Bank of India acting as the agent of the Reserve Bank of India in accordance with the provisions of the Reserve Bank of India Act, 1934 (2 of 1934), any branch of a subsidiary bank as defined in section 2 of the State Bank of India (Subsidiary Banks) Act, 1959 (38 of 1959) which is authorised to transact Government business as agent of the State Bank of India, or any branch of a bank as may be appointed by the Reserve Bank of India as its agent under the provisions of sub-section (1) of section 45 of the Reserve Bank of India Act, 1934 (2 of 1934);

(f) "Central Treasury" means and includes any treasury or sub-treasury not being a treasury or sub-treasury under control of a State Government;

NOTE- Treasuries in Union territories are Central treasuries.

(g) "cheque drawing D.D.O." means a drawing and disbursing officer functioning under a Ministry or Department (including Central Public Works Department, Forest Department and Departments in which the provisions of Central Public Works Account Code are authorised to be followed) or a union territory, who is authorised to withdraw money for specified types of payments against an assignment account opened in his favour in a specified branch of an accredited bank;

(h) "competent authority" means the Government or any other authority to whom the relevant power may be delegated by that Government;

(i) "Comptroller and Auditor-General" means the Comptroller and Auditor-General of India appointed under article 148 of the Constitution;

(j) "Consolidated Fund" means the Consolidated Fund of India as referred to in clause (1) of article 266 of the Constitution;

(k) "Contingency Fund" means the Contingency Fund of India established under the Contingency Fund of India Act, 1950 (49 of 1950) in pursuance of clause (1) of article 267 of the Constitution;

(l) "Controller General of Accounts" means the Controller General of Accounts in the Ministry of Finance (Department of Expenditure) who, inter alia, is responsible for establishing and maintaining a technically sound payment-cum-accounting system in the departmentalised accounts offices and for prescribing the rules for regulating the custody, payment into and withdrawal of money from the Government Account;

(m) "departmental officer" means an officer of the Government authorised to handle Government money;

(n) "Government" means the Central Government and the Union territories of Delhi and Andaman and Nicobar Islands;

(o) "Government Account" means the account relating to the Consolidated Fund the Contingency Fund and the Public Account;

(p) "Public Account" means the Public Account of India referred to in clause (2) of article 266 of the Constitution;

(q) "Reserve Bank' means any office or branch of the Banking Department of the Reserve Bank of India constituted under the Reserve Bank of India Act, 1934 (2 of 1934).

3. Location of moneys credited to Government Account. -  

(1) Unless otherwise specified, moneys credited to Government Account shall be held either -

(i) in the Reserve Bank; or

(ii) in a Central Treasury, the cash, business of which is not conducted by the bank.

(2) The deposit of such moneys in the Reserve Bank shall be governed by the terms of the agreement specified in Appendix I to these rules made with that Bank under section 21 of the Reserve Bank of India Act, 1934 (2 of 1934).

NOTE-    The balances in small coin depots, rupee coins, balances in mint and cash balances held in Post Offices or other departmental offices are not reckoned as part of the General Cash balance of the Government.

4. Other offices authorised to hold departmental Treasure Chests.-

The Officers in charge of Military Treasure Chests and such offices of the Posts and Telegraphs Department as are authorised to perform all or any prescribed part of the duties of a Treasury Officer in respect of custody of the cash balances, and claims against the Government that may be presented to them for disbursement; and also in respect of moneys that may be tendered to them for credit to the Government Account, shall have to observe the relevant provisions of the Treasury Rules of the Central Government.

5. Custody of money relating to or standing in the Government Account.-

(1) The bank is responsible for the safe custody of Government moneys deposited in the bank.

(2) The procedure for the safe custody of moneys in the hands of Government officers referred to in rule 4, shall be regulated by the provisions contained in Part IV (Rules 109 to 112 in particular) of the Treasury Rules of the Central Government.

6. Payment of revenues, receipts and dues of the Government into Government Account by Officers authorised to receive them-

(1) All moneys received by or tendered to Government officers on account of revenues or receipts or dues of the Government shall, without undue delay, be paid in full into the accredited bank for inclusion in Government Account. Pay-in-slip in Form GAR 1 (using perforated duplicates for carbon copying) shall be used for the purpose. Moneys received as aforesaid shall not be utilised to meet departmental expenditure except as authorised in sub-rule (2) nor otherwise kept apart from the accounts of the Government.

(2) Notwithstanding anything contained in sub-rule (1), direct utilisation of departmental receipts for departmental expenditure is authorised in the following cases, namely:-

(a) in the case of cash receipts utilised by Postmasters and other heads of offices of Posts and Telegraphs Department for departmental purposes in accordance with Posts and Telegraphs departmental regulations;

(b) in the case of moneys received on account of the service of summons, diet-money of witnesses and similar purposes, in civil, revenue and criminal cases and in the case of diet-money of witnesses deposited by the assessees with the Income Tax Officers;

(c) in the case of deposits received at a Civil Court and utilised by the Court to meet claims for the refund of such deposits;

(d) in the case of the Public Works Department (and other departments in which the provisions of Central Public Works Account Code are authorised to be followed) for temporary utilisation of cash receipts for current works expenditure, under the provisions of authorised departmental regulations;

(e) in the case of cash received by the Forest Department and utilised in meeting immediate local expenditure;

(f) in the case of cash found on the persons of prisoners at the time of their admission to jail and used for the repayment by jail Superintendents under departmental regulations, of similar sums due to other prisoners on their release;

(g) in the case of cash receipts of Railways utilised under departmental regulations or with the previous approval, general or special, of the Government, for departmental purposes;

(h) in the case of the National Library, Calcutta, or any other Government library, to permit refund of security deposits of members of the Library and the replacement of books belonging to the library which are not returned by borrowers out of their deposit money;

(i) in the case of the Botanical Survey of India, to permit the refund to indentors of quinine and purchasers of seeds and plants, out of the amount deposited by them, of such amount as may be in excess of the cost of quinine or of seeds and plants including incidental charges on packing, remittance, connected therewith;

(j) in the case of the Survey of India Department, to permit the refund to indentors of maps or other priced publications, out of the amount deposited by them, of such amount as may be in excess of the cost of maps or publications including incidental charges on packing, and forwarding, connected therewith; the payment of commission to selling agents out of sale receipts and to permit refund to indentors or private publishers of maps or other priced publications of royalty charges and scrutiny charges for checking of external boundary of India from out of amount deposited in excess by them;

(k) in the case of offices subordinate to the Ministry of External Affairs and stationed outside India where a branch of the accredited bank does not exist, to permit the direct utilisation of fees and other receipts realised by them towards their departmental expenditure;

(l) in the case of All India Radio, to permit payment of commission to (i) sale agents of All India Radio Programme journals, and (ii) to advertising agencies, out of the sale proceeds of the journals and of advertising time in Commercial Service of All India Radio, respectively;

(m) in the case of Regional Poultry Farms, Hassarghatta, Bangalore, Bombay and Bhubaneswar, to permit refunds to private poultry farmers of amounts paid in advance by them in excess of the cost of chicks, etc., supplied to them including incidental charges connected therewith;

(n) in the case of Department of Publications, to permit -

(i) the remittance by the sole concessionaire of the amounts due towards advertisements in Government publications after deducting the commission payable to him; and

(ii) the refund of moneys deposited in advance by indentors for supply of publications out of the sale proceeds of the publications;

(o) in the case of Films Division to permit payment of commission to commission agents out of sale proceeds of films for non-commercial exhibitions in India;

(p) in the case of the Social Welfare and Rehabilitation Departments to utilise the cash received on private order work for the payment of wages to labour employed on that work;

(q) in the case of Central Research Institute, Kasauli, to utilise the cost received on account of sale of sera and vaccines produced at the Institute, for refund to the indentors of the excess amount received from them;

{Refer Correction Slip 15}

(r) in the case of Central Institute of Psychiatry, Ranchi, to utilise the amount of advance deposited by the patients as maintenance charges at the time of their admission to the Institute, to refund the unutilised amount of maintenance charges to the patients discharged from the Institute.

Provided that the authority hereby given to utilise departmental receipts for departmental expenditure shall not be construed as authority to keep the departmental receipts and expenses defrayed therefrom, outside the account of the payments into and withdrawals from the Consolidated Fund or Public Account, as the case may be.

(3) In special cases authorised by the Government, moneys received or tendered on account of the revenues of the Government may be deposited with a bank other than the Reserve Bank or its agent for the purpose of Government transactions. The conditions under which such deposits may be made and the manner in which the balances of such deposits shall be included in the Government Account shall be decided by the Government in each case after consultation with the Comptroller and Auditor General.

7. Facility for public to credit Government dues direct into the accredited bank of a Ministry/Department and certain tax receipts in other Nationalised bank also.-

Money due to the Government may also be credited directly into the specified branch of the accredited bank in which a particular departmental officer holds his account, in accordance with the procedure notified by the Ministry, Department and, or Union Territory concerned for the purpose. Tax receipts pertaining to the Central Board of Direct Taxes and Central Borad of Excise and Customs (and of any other particular Ministry or Department as may be decided by the Government from time to time) and also sales tax revenue of Delhi Administration are authorised under special procedures notified therefor, to be credited by the tax payers directly into any branch of the authorised bank within the municipal limits at the selected centre notified for the purpose. Form of challan to be used, and related matters are contained in rule 26.

8. Deposit of Government revenue etc. by the receiving branch of the bank into the Reserve Bank.-

Immediately on receipt of Government revenues, receipts or dues, the receiving branch of the bank shall cause them to be included in the Deposits of the Government held by the Reserve Bank of India in accordance with the provisions of rule 3.

9. Bar against money withdrawn from Government Account being deposited in a bank other than the accredited bank, etc.-

A Government officer may not, except with the special permission of the Government, deposit moneys withdrawn from the Government Account under the provisions of rule 11, in a bank account other than that with the accredited bank.

10. Cross reference to rules relating to receipt of Government Revenues, etc.-

The procedure to be adopted by Government officers in receiving moneys on account of Government revenues or dues, granting receipts for such moneys and bringing them in the Government Account, and the bank in receiving such moneys and granting receipts for them shall be regulated by the provisions contained in Part II of these rules.

11. Withdrawal of money from Government Account.-

(1) Save as expressly provided by, or under these rules, or unless the Government in Ministry of Finance (Department of Expenditure) otherwise direct in any case, moneys may not be withdrawn from the Government Account other than against cheques issued by an Accounts Officer on an account opened in his favour, or by a cheque drawing D.D.O. on an assignment Account opened in his favour, at a specified branch of the accredited bank. In so far as civil Ministries or Departments are concerned, such accounts shall be opened under orders issued by the Financial Adviser of the Ministry or Department concerned in consultation with the Controller General of Accounts.

(2) A cheque drawing D.D.O. functioning under the scheme of departmentalisation of accounts may withdraw money for such purposes as may be prescribed by the Controller General of Accounts by general order.

Provided that the Controller General of Accounts may permit withdrawal by any particular cheque drawing D.D.O. for any other special purpose.

NOTE.—In so far as cheque drawing D.D.Os. functioning under Central Public Works Department and Departments for which the provisions of Central Public Works Account Code are authorised to be followed, and under Forest Department are concerned, the purposes detailed in the Central Public Works Account or code applicable to Forest Department may be deemed to be those approved by the Controller General of Accounts under the provisions of this sub-rule.

(3) An Accounts Officer and or cheque-drawing  D.D.O. shall not draw a cheque for withdrawal of money for any purpose unless the claim for withdrawal complies with the provisions contained in these rules as to the person by whom and the form in which the claim shall be preferred. 

NOTE.—Save as otherwise provided, no cheque shall be drawn until it is intended to be issued soon after.

(4) No withdrawal shall be permitted on a claim for the first of any series of payments of pay and allowances to a Government servant (other than a person newly appointed to Government service) prepared by a drawing and disbursing officer unless the claim is supported by a copy of the last pay certificate (in Form G.A.R. 2) issued by the drawing and disbursing officer of the previous office in which the Government servant had served.

(5) An Accounts Officer or Cheque-drawing D.D.O. shall obtain sufficient information as to the nature of every payment he is making and shall not accept a claim which does not formally present that information, unless there are specific orders of Government against disclosure of the nature, on any individual claim or type of claims in the public interest.

Explanation.—In this rule, the term 'withdrawal' with its cognate expressions refers to the withdrawal of funds from the Government Account for disbursements of or on behalf of the Government.

12. Responsibility for moneys withdrawn.-

(1) If a cheque drawing D.D.O. receives information from the Accounts Officer that moneys have been incorrectly withdrawn and that a certain slim should be recovered in respect of any bill passed by him, he shall effect the recovery without delay and without regard to any correspondence undertaken or contemplated with reference to the retrenchment order; and he shall, without delay, repay the sum in such manner as the Accounts Officer may direct.

(2) Subject as hereinafter provided in this rule, the procedure to be observed by a Government officer in regard to moneys withdrawn from the Government Account for expenditure shall be regulated by the provisions made in this behalf in Part III of these rules.

(3) A Government officer supplied with funds for expenditure shall be responsible for such funds until an account of them has been rendered to the satisfaction of the Accounts Officer concerned. He shall also be responsible for seeing that payments are made to persons entitled to receive them.

(4) If any doubt arises as to the identity of the Government officer by whom an account of such funds shall be rendered, it shall be decided by the Government.

13. General instructions for handling cash.-

Save as otherwise expressly provided in these rules or in any authorised departmental regulations, the following instructions shall be observed by all Government officers who are required to (a) receive Government dues and handle cash or (b) perform the functions of drawing and disbursing officers (with or without cheque drawing powers), or both: — 

(i) Every such officer (referred to in this rule as the Head of the Office) should maintain a cash book in Form G.A.R.3.

(ii) All monetary transactions should be entered in the cash book as soon as they occur and attested by the Head of the Office in token of check.

Exception (a).—An 'Account Payee' crossed cheque or bank draft drawn in the personal name of a recipient (Government servant or third party) by a Pay and Accounts Officer (or by a cheque drawing D.D.O.) and routed through a departmental office merely for the purpose of delivery to the recipient thereof, need not be entered by the latter office in its cash book; the delivery of such a cheque or draft to the concerned party may be recorded in, and watched through a separate "crossed cheques and bank drafts transit register."

 Exception (b).—Cheques issued by cheque-drawing D.D.O.s are required to be entered in a 'Register of Cheques issued' in Form G.A.R.4. Therefore, only those cheques drawn by him which are encashable in his capacity as Disbursing Officer for arranging payments in cash, need be entered in the cash book.

 Exception (c).—Receipts in the form of local cheques, or demand drafts (to be crossed) in favour of Pay and Accounts Officers (or endorsed in their favour as per Note 2 under rule 18) accepted by non-cheque drawing D.D.Os need not be entered in the Cash Book but should be entered in the Register of Valuables (Form G.A.R. 5) and remitted into the accredited bank duly supported by challans for credit to Govt. Account.            {Refer Correction Slip 20}

(iii) The cash book should be closed regularly and completely checked. The Head of the Office should verify the totalling of the cash book or have this done by some responsible subordinate other than the writer of the cash book and initial it as correct. {Refer to Correction Slip 24}

Exception: In order to minimise the balance under 'Traffic Suspense - Cash-in-Transit' at the close of financial year, Ministry of Railways may keep their cash books open for the month of March each year upto 18th April for N.F.Railway, and upto 10th April in respect of other Indian Railways.

(iv) At the end of each month, Head of the Office should verify the cash balance in the cash book and record a signed and dated certificate to that effect. In regard to any discrepancy noticed therein, the instructions contained in Section V of Chapter 2 of the General Financial Rules, 1963 should be followed. In case the verification of cash balance is not possible on the last working day of a month on  account of disbursement of, monthly salary and allowances, it may be done on the first working day of the next month before making any transactions on that day.

(v) Entries made in the cash book regarding remittance of receipts to the accredited bank for credit into Government Account should be attested by the Head of Office after verifying them with reference to the bank's receipt recorded on the pay-in-slips or challans. When the credit appears in the receipt scroll from the bank, the actual date of realisation of the cheque or draft should be indicated by cheque drawing D.D.O.s against the original entry in the cash book so as to keep track of outstanding items.

(vi) An erasure or over-writing of an entry once made in the cash book is strictly prohibited. If a mistake is discovered, it should be corrected by drawing the pen through the incorrect entry and inserting the correct one in red ink between the lines. The Head of Office should initial every such correction and invariably date his initials.

(vii) A Government officer who handles Government money should not, except with the special sanction of the Head of Office be allowed to handle also in his official capacity money which does not belong to the Government. Where under any special sanction, a Government officer deals with both Government and non-Government money in his official capacity, the Government money should be kept in a cash box separate from the non-Government money and the transactions relating to the latter should be accounted for in a separate set of books and kept entirely out of the Government Account.

(viii) The employment of peons to fetch or carry money should be discouraged. When it is absolutely necessary to employ one for this purpose, a man of some length of service and proved trust worthiness should only be selected and in case where the amount to be handled is large, one or more guards should accompany the messenger.

NOTE 1.—The duties imposed by clauses (ii) to (vi) of this rule on the Head of Office may be entrusted to a subordinate gazetted officer nominated by the Head of Office for this purpose.

NOTE 2.—The cash books should be bound in convenient volumes and their pages machine numbered. Before bringing a cash book into use, the Head of Office or the officer nominated by him under Note 1 should count the number of pages and record a certificate of count on the first page of the cash book.

NOTE 3.—If large number of bank drafts, cheques are received by any departmental office, receipt thereof and remittance into bank need not be entered individual itemwise in the cash book. It would be sufficient if the total of the daily entries pertaining to the same classification from a register of valuable (Form G.A.R. 5) maintained for the purpose is carried to the cash book giving cross reference in the latter to the serial numbers thereof in the former.

NOTE 4.—Cash and other valuables held in safe custody, on behalf of the Government, by a departmental officer or drawing and disbursing officer should be kept in an adequately strong cash chest or almirah (where, necessary, even embedded in the wall). The type of cash chest to be used for the purpose may be decided on the basis of the amount of cash and other valuables generally required to be kept therein in safe custody, and other relevant circumstances, such as general state of security of the premises of the office, the areas in which it is located, etc. The cash chest/ almirah should be secured by two locks of different patterns so that the keys of one do not fit into the other. The keys of such locks should be kept in different persons custody where practicable; and in any case, should be kept apart from that of the other lock so that the chest will not be accessible to unauthorised persons. The chest should not be opened unless both the custodians of the two locks are present for the purpose. Duplicate keys thereof should be placed in separate sealed covers and lodged with different officers of higher rank than the custodians of the chest. Wherever possible, such sealed covers should be kept in the relevant branch of the accredited bank conducting business of the department concerned.

A duplicate keys register should be maintained indicating the authorities with whom they are lodged. Once a year, in April, the keys must be sent for examination and returned under fresh sealed covers to the respective officer / bank with whom they are meant to be lodged, and a note kept in the register that they have been inspected and found intact and genuine and sent back to the nominated authorities. Similarly, entries should be made in the register in regard to any occasion when the duplicate keys had to be obtained for opening the chest and the date of re-sealing and lodging with the nominated authorities.

Subject as provided in the preceding paras of this note, the detailed procedure to be observed with regard to the custody of Government money in the possession of the departmental officers may be laid down by departmental regulations.

14. Adjustment of transactions of the Government with a State Government.-

No transactions of the Government with a State shall be adjusted against the balance of the Government except in accordance with such directions as may be given by the Controller General of Accounts on the advice of the Comptroller and Auditor General of India to regulate, the procedure for the accounting of such transactions.

15. Extent of responsibility of the Reserve Bank in connection with the business of Government.-

Nothing contained in, or in the application of these rules shall have effect so as to impose upon the Reserve Bank in connection with the business of the Government any responsibility not imposed upon it by the terms of the agreement referred to in rule 3.

NOTE.—The bank will be kept open for the conduct of Government transactions on a recognised holiday, or beyond normal business hours on any day (e.g. on the last working day of March every year), if so required by the Controller General of Accounts, or by any authority or authorities nominated by him.

16. Authority competent to frame departmental regulations for detailed procedures under these rules.-

(1) Where, under the provisions of these rules, detailed procedure with respect to any matter is required to be prescribed or regulated by departmental regulations, such regulations relating to particular departments shall be made by the Government, or with the approval of the Government, by such departmental authorities as may be authorised by the Government to act in this behalf.

(2) Nothing contained in this rule shall affect the validity of any order, instruction or direction contained in any authorised departmental regulation except insofar as such order, instruction or direction is inconsistent with or repugnant to any distinct provision contained in these rules.

17. Instructions for rounding off transactions in Government accounts.-

The instructions are contained in Appendix No. II.