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To

define the receipts and


collections / disbursement
The collection and disbursement
system
To determine the laws and
regulations
Cash Receipt and Collections
Disbursement

Receipt refers to all cash inflow


whether
actual
or
constructive
regardless of source or purpose and
whether pertaining to the agency or
not.

It includes not only income or


revenue actually collected but also
trust receipts, fund deposits,
interfund and inter agency transfers and
equity
contributions received by
corporate agencies
(COA Memo 84411).

Subsidy

income from the National


Government
Subsidy from the central office
Subsidy from Regional office/Staff
Bureau
Income from Government Service
Income from Grants and Donations
Refund of Cash Advance
Performance Bidders/Bail Bonds
Collections made on behalf of
another agencies
Inter-agency transferred funds

RECORD
CASH RECEIPT RECORDS

BOOKS OF ACCOUNT

CASH RECEIPT JOURNAL


CASH JOURNAL
GENERAL LEDGER
SUBSIDIARY LEDGER

REPORT
REPORT OF COLLECTION AND DEPOSITS
REPORT ON ACCOUNTABLE FORMS

All moneys and property officially received


by a public officer in any capacity or upon
any occasion must be accounted for as
government fund and government property

No payment of any nature shall be received


by a collecting officer with out immediately
issuing an OR in acknowledgement thereof.

Official Receipt are designed to cover a


particular kind of collection only and at no
instance shall temporary receipt be issued
to acknowledge receipt of public funds.

Pre-numbered

Official Receipts shall


be issued in strict numerical sequence.
All copies of each receipt shall be
exact copies or carbon reproduction in
all aspect of the original

At

no instance should money in the


hands of the collecting officers be
utilized for the purpose of en-cashing
private checks.

The collecting officer should be familiar


with the laws and regulations affecting
his work. He should not have access to or
responsibility over the accounting
records related cash.

Adequate records should be maintained


and reports regularly submitted

Reconciliation of banking transaction


should be done by persons other than
those responsible for the handling of
cash received and deposited

Control over cash, including remittances


through mails, should be established
immediately once received, acknowledge
with pre-numbered official receipts and
recorded promptly

Monthly report of accountability for the


accountable forms should be prepared and
submitted by all accountable officers

No disbursement should be made from


cash receipt unless specifically authorized

Cash

daily

receipt should be deposited intact

Safes

and other facilities should be


provided to ensure protection of cash
and unused accountable forms

Surprise

cash examinations should be


made frequently by internal and
external auditors.

The

collecting officer as well as his


assistant should be adequately bonded.

RECORD
Cash Disbursement Records
Check Disbursement Records

BOOKS OF ACCOUNT

Check Disbursement Journal


Cash Disbursement Journal
General Ledger
Subsidiary Ledger

REPORT

Report of Checks Issued


Report of Disbursement
Petty Cash Replenishment Report
Liquidation Report

Basic Requirements Applicable to all


Types of Disbursements

Certificate of availability of fund


Approval of claim or expenditure by head
of office or his duly authorized
representative
Submission of documents and other
evidences to establish the validity and
correctness of the claim for payment
Conformity of the expenditure to existing
laws and regulations
Proper accounting treatment

Only permanently appointed officials and


employees shall be granted cash advances

Only duly appointed or designated disbursing


officer may perform disbursing functions.

Only one disbursing officer shall be assigned /


designated for a specific legal purpose.

Transfer of cash advance from one


accountable officer to another shall not be
allowed

The cash advance shall be used for the specific


legal purpose for which it was granted.

No additional cash advance shall be allowed to any


official or employee unless the previous cash
advance given to him is first settled or a proper
accounting thereof is made.

No cash advance shall be given unless for a legally


authorized specific purpose. A cash advance shall
be reported on and liquidated as soon as the
purpose for which it was given has been served.

Cash advances granted for travel shall be accounted


for as Due to Officers and Employees which are
subject to liquidation upon travel completion.

When a cash advance is no longer needed or has


not been used for a period of two months, the same
should be returned to, or deposited immediately
with the collecting officer

The AO shall liquidate his/her cash advance as follows:

Salaries, wages, etc. within 5 days after each 15 day/end


of the month pay period

Petty Cash Fund within 20 days after the end of the year,
subject to replenishment during the year

Foreign travel within 60 days after return to the


Philippines

Local travel immediately upon completion of the official


travel

All cash advances shall be fully liquidated at the end of each


year

When no liquidation of the previous cash advance is received


on or before January 20, the Accountant shall cause the
withholding of the AOs salary (COA Cir. 97-002)

No officer or employee shall be


granted a cash advance unless he/she
is properly bonded in accordance with
law

Every official or employee authorized


to travel abroad shall render an
account of the cash advances
received by him within sixty (60) days
after his return to the Philippines

The disbursing officer (DO) should be

familiar with the laws and regulations


affecting his work. He should not have
access to or responsibility over the
accounting records related to
disbursement.

Adequate records should be maintained

and reports regularly submitted

Officers authorized to sign checks should

have no authority over the accounting


records or the custody of cash

Checks should be

countersigned, the signing and


countersigning of checks should
not be made in advance
Vouchers should be approved

by one or more individuals


other than the disbursing officer

Vouchers and supporting

papers should be stamped


PAID upon payment
The disbursing officer as

well as his/her assistants,


should be bonded with the
Fidelity Bond Division of BTR

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