Executive Summary:
This circular from the Reserve Bank of India outlines the procedure for reporting and accounting of Central Government transactions for March 2020, in light of the financial year 2019-20 closing. It sets April 10, 2020, as the deadline for closure of residual transactions for March 2020. The document details how Nodal/Focal Point branches should handle and report March 2020 transactions separately from April 2020 transactions.
Key Points / Main Content:
* **Closure Date:** The closure date for residual transactions for March 2020 is April 10, 2020.
* **Special Arrangements for Receiving Branches:**
* Receiving branches should use special arrangements (e.g., courier service) to forward challans/scrolls to Nodal/Focal Point branches.
* This ensures payments/collections made on behalf of the government in late March are accounted for in the same financial year.
* Branches must ensure transactions up to March 31, 2020, are in the current financial year's accounts and are not mixed with April 2020 transactions.
* **Reporting by Nodal/Focal Point Branches:**
* Branches must prepare separate scrolls for March residual transactions and April transactions during the first 10 days of April 2020.
* Scrolls for March 2020 transactions from April 1-10 must be marked "March Residual 1," "March Residual 2," etc., in consecutive order.
* Daily summaries of receipts and payments must be prepared separately for March 2020 transactions.
* Nodal/Focal Point branches must report transactions to the Link Cell through separate Daily Memos to enable daily settlement with RBI, CAS, Nagpur.
* **Daily Memos and Settlement:**
* The Link Cell should segregate advices for March Residual transactions and forward them separately to RBI, CAS, Nagpur, until April 10, 2020.
* After April 10, all transactions are reported and accounted for in the month of the report, irrespective of the transaction date.
* **DMS Submission:**
* Two sets of DMS must be submitted to Zonal Accounts Officers/Pay and Accounts Officers for March 2020 transactions: one for transactions up to March 31, 2020, and another for March Residual Transactions adjusted by Nodal/Focal Point branches with RBI, CAS, Nagpur, during April 1-10, 2020.
* A monthly statement for April transactions should be compiled and furnished to Zonal Accounts Officers/Pay and Accounts Officers in the usual way.
* The statement pertaining to March Residual Transactions should be clearly marked as "March Residual Account" and sent to Zonal Accounts Officers/Pay and Accounts Officers by April 18, 2020.
* **Cheque Realization:**
* Cheques/amounts realized on or before March 31, 2020, are treated as "March 2020 or March Residual Transactions."
* Cheques tendered on/before March 31, 2020, but realized on/after April 1, 2020, are treated as "April Transactions."
* Banks will prepare separate scrolls for March 2020 and April 2020 financial year 2020-21 transactions.
Impact Analysis:
* Agency Banks
* Impact: Must adhere to revised reporting and accounting procedures for Central Government transactions in March 2020.
* Action Required: Issue instructions to concerned branches immediately, implement special arrangements for challan/scroll transfer, and ensure proper segregation and reporting of March and April transactions.
* Nodal/Focal Point Branches
* Impact: Increased workload and complexity in reporting due to the need to segregate and report March and April transactions separately.
* Action Required: Prepare separate scrolls and daily summaries, distinctly mark March Residual transactions, and report to the Link Cell and Zonal Accounts Officers/Pay and Accounts Officers by the specified deadlines.
* Receiving Branches
* Impact: Need to expedite the transfer of challans/scrolls to Nodal/Focal Point branches to ensure timely accounting.
* Action Required: Adopt special arrangements like courier services for transferring documents and ensure all transactions up to March 31st are processed within the current financial year.
* Link Cells
* Impact: Responsible for segregating advices for March Residual transactions and forwarding them to RBI, CAS, Nagpur.
* Action Required: Segregate the advices for March Residual transactions and forward them separately to Reserve Bank of India, CAS, Nagpur.
* Zonal Accounts Officers/Pay and Accounts Officers
* Impact: Receive separate DMS and statements for March and April transactions.
* Action Required: Process and reconcile the segregated March and April transaction reports.
Key Entities Referenced
Reserve Bank of India: The central bank of India, responsible for regulating the banking system and managing the country's currency.
Central Government: Refers to the government of India, whose financial transactions are being reported and accounted for in the document.
CBDT: Central Board of Direct Taxes, a part of the Ministry of Finance in the Government of India. It provides essential inputs for policy and planning of direct taxes in India.
CBIC: Central Board of Indirect Taxes and Customs, a part of the Department of Revenue under the Ministry of Finance in the Government of India. It deals with the tasks of formulation of policy concerning levy and collection of customs, central excise duties, and goods and services tax.
Financial Year 2019-20: The financial year in India, spanning from April 1, 2019, to March 31, 2020, for which government transactions are being reported.
Mumbai, Maharashtra: A city in Maharashtra where the Department of Government Bank Accounts, Central Office of RBI is located.
Nagpur, Maharashtra: A city in Maharashtra where the Link Cell of each bank makes daily settlement with Reserve Bank of India, Central Accounts Section (CAS).
Partha Choudhuri: General Manager at Reserve Bank of India, who signed the circular.
भारतीय �रज़वर् बक�
________________ RESERVE BANK OF INDIA ________________
www.rbi.org.in
RBI/2019-20/173
DGBA.GBD.No.1744/42.01.029/2019-20 March 17, 2020
All Agency Banks
Dear Sir / Madam,
Reporting and Accounting of Central Government Transactions of March 2020
Please refer to Circular DGBA.GBD.No.2394/42.01.029/2018-19 dated March 20,
2019 advising the procedure to be followed for reporting and accounting of Central
Government transactions (including CBDT, CBIC, Departmentalised Ministries and
non-Civil Ministries) at the Receiving/Nodal/Focal Point branches of your bank for
the Financial Year 2018-19.
2. The Government of India has decided that the date of closure of residual
transactions for the month of March 2020 be fixed as April 10, 2020 for the Financial
Year 2019-20. In view of the ensuing closing of government accounts for the
financial year 2019-20, receiving branches including those not situated locally,
should adopt special arrangements such as courier service etc., for passing on
challans/scrolls etc., to the Nodal/Focal Point branches so that all payments and
collections made on behalf of government towards the end of March are accounted
for in the same financial year. These instructions regarding special messenger
arrangements may please be informed to all branches concerned.
3. As regards reporting of March 2020 transactions by Nodal/Focal Point branches in
April, the branches may be advised to follow the procedure as outlined in the Annex.
To sum up, the Nodal/Focal Point branches will be required to prepare separate sets
of scrolls, one pertaining to March residual transactions and another for April
transactions during the first 10 days of April 2020. The Nodal/Focal Point branches
should also ensure that the accounts for all transactions (revenues/tax
collections/payments) are effected at the receiving branches up to March 31, 2020 in
the accounts for the current financial year itself and are not mixed up with the
सरकारी एव ंब�क लखे ा िवभाग, केन्�ीय कायार्लय, मुंबई स�� ल रेल्वे स्टेशन के सामन,े भायखला, मुंबई
Department of Government & Bank Accounts, Central Office, Opp. Mumbai Central Railway Station, 4th Floor, Byculla, Mumbai 400 008
Telephone: (022) 2308 4121, Fax No. (022) 2300 0370/2301 6072/2301 0095, e-mail: cgmic 4d0g0b a0c0o8@rbi.org.in
िहन्दीआसानहैइसका�योगबढ़ाइए।
,transactions of April 2020. Also, while reporting transactions pertaining to March
2020 up to April 10, 2020, the transactions of April 2020 should not be mixed up with
the residual transactions relating to March 2020.
4. Kindly issue necessary instructions in the matter to your branches concerned
immediately.
Yours faithfully
(Partha Choudhuri)
General Manager
Encl: As aboveANNEX
Reporting of March 2020 Transactions
1. Beginning from April 1, 2020, the Nodal/Focal Point branches will segregate on a
daily basis all scrolls/challans pertaining to March 2020 received from the receiving
branches concerned and prepare separate main scrolls for:
(a) scrolls for transactions of March 2020 or earlier period (i.e. effected during the
previous financial year 2019-20) and
(b) scrolls pertaining to current transactions (i.e. those effected from April 1, 2020
onwards).
2. The main scrolls for March 2020 transactions prepared from April 1 to April 10,
2020 are to be distinctly marked as March Residual - 1, March Residual - 2 and so
on upto April 10, 2020. In other words, serial number should be allotted in
consecutive order for each main scroll of March 2020 transactions sent from April 1
to April 10, 2020. These scrolls alongwith the copies of daily summary of Receipts
and Payments prepared separately for March 2020 transactions will be forwarded to
the Departmental Officials concerned (i.e. Zonal Accounts Officers/Pay and
Accounts Officers and Designated Officers) in the usual way. The Nodal/Focal Point
branches will also be required to report the above transactions to the Link Cell
through separate Daily Memos. These advices must be sent to enable the Link Cell
of each bank at Nagpur, to make daily settlement with Reserve Bank of India,
Central Accounts Section (CAS) Nagpur. On receipt of advices from the Nodal/Focal
Point branches, the Link Cell should segregate the advices for the March Residual
transactions and forward them separately to Reserve Bank of India, CAS, Nagpur.
This procedure should continue upto and inclusive of April 10, 2020 only. All
transactions reported thereafter by the receiving branches will be reported and
accounted for in the usual manner in the accounts of the month of report irrespective
of the date of transaction. Following the special arrangements for March 2020
transactions, it is necessary for the Nodal/Focal Point branches to prepare two sets
of DMS to be submitted to Zonal Accounts Officers/Pay and Accounts Officers for
March 2020 transactions - one for transactions upto March 31, 2020 and another for
March Residual Transactions adjusted by Nodal/Focal Point branches with Reserve
Bank of India, Central Accounts Section, Nagpur, during April 1 to April 10, 2020.Since the Nodal/Focal Point branch will also be reporting the April 2020 transactions
pertaining to year 2020-21 in addition to March 2020 Residual transactions, monthly
statement for April transactions should be compiled and furnished to Zonal Accounts
Officers/Pay and Accounts Officers in the usual way. In order to distinguish the April
2020 (year 2020-21) and March Residual Transactions, the statement pertaining to
March Residual Transactions should be clearly marked as "March Residual
Account". The statement of March (Residual) Transactions should be sent by all
Focal Point Branches to Zonal Accounts Officers/Pay and Accounts Officers latest by
April 18, 2020.
Note: As advised in our circular GA.NB.No.376/42.01.001/1995-96 dated May 22,
1996 all the cheques/amounts realized on or before March 31, 2020 should be
treated as transactions relating to the current financial year as "March 2020 or March
Residual Transactions", the reporting of which may take place during the month of
April (upto April 10, 2020). But if any cheque is tendered on or before March 31,
2020 and realised on or after April 1, 2020, it will be treated as transaction for the
next financial year as "April Transactions". Accordingly, the banks will prepare
separate scrolls for March 2020 and April 2020 (Financial year 2020-21)
transactions.