DISSERTATION Presented By: Abheejit Kumar Sinha

1. DISSERTATION Presented By: Abheejit Kumar Sinha I.R.A.S.(P) STRUCTURE OF RAILWAY ACCOUTS

2. Capital Accounts Revenue Accounts Capital fund Demand Number 16 Capital Demand Number 1 to 15 DRF DF OLWR STRUCTURE OF RAILWAY ACCOUNTS • The objective is to keep the accounts on Commercial (Accrual basis) as well as Government basis (Cash basis) Commercial Accounting System

3. Consolidated fund of India Contingency fund of India Public Accounts of India Revenue Debt Capital Deposit and Remittances Debt • The Account of Railway presented as a commercial unit are called “Capital and Revenue Accounts” • Accounts maintain with the requirement of government account are called “Finance Accounts”. Finance Accounts

4. Link Accounts Commercial Accounts Government Accounts Demand Payable Demand Recoverable Traffic Accounts Labor • The link between the two is established by operating the suspense Accounts also called Link Accounts.

5. Remittance Transaction • Transactions between Railway Ministry and other Ministries settled through the CAS of RBI are called “Remittance Transactions”. • Transactions settled by issue of cheque are called “Pay and Accounts Transactions”. • Inter, Intra Railway Transactions are called “ Transfer Transaction”.

6. Heads operated for Remittance Transactions Reserve Bank Suspense Remittance into Bank. Cheques and Bills. M Remittance. Deposits Reserve bank Records the inward transactions originating in the Books of other Accounting Units and adjustable in the Books of Railways. 1. Operated when earnings are remitted into Banks. 2. The balance under this head represents amount deposited but not yet acknowledged When cheques are drawn Service Head Dr Cheques and Bills Cr On receipt of Debit scroll from the Banks- Cheques and • Bills Dr • Deposit with • Reserve BankCr This is operated when transactions originate in the books of Railway to be adjusted in the books of other Ministries. As the Remittance • note are received • Remittance into Bank Dr Revenue/Service Head Cr • At the end • of month • Deposit with • Reserve bank Dr • Remittance into • Bank Cr

7. Reserve Bank Suspense. • On receipt of schedule • service head Dr. • RBS Cr. • On receipt of clearance Memo from RBI. • RBS Dr • Deposit with Reserve Bank Cr Remittance into Bank. At the time of remittance . RIB Dr • Earning head (XYZ) Cr When acknowledgement is received from RBI Deposits with Reserve Bank Dr RIB Cr The balance under this head represents amount deposited but not yet acknowledged.

8. M Remittance • When advance schedule is sent • M Remittance Dr • Service Head Cr • On receipt of clearance Memo from RBI • Deposit with Reserve bank Dr • M Remittance Cr For cheques issue • At the time of issue in the cheque Revenue/Service Head Dr Cheques and Bills Cr • On receipt of Debits scroll Cheques and Bills Dr Deposit with the Bank Cr

9. Transfer Transaction • Intra Heads • Intra Railway • Inter Railway • Transfer certificate…. Transfers between any two accounting units within the same railway should be effected by means of Transfer Certificates (A. 406). The unit initiating a transfer should prepare the Transfer Certificates (A- 406) in duplicate, send one copy duly supported by the initial accounts records or vouchers in which the details of the transactions are set forth to the unit to which the transaction pertains and retain the other copy as the office copy.

10. Thank You