Subject: Other
The system of accounting maintained by the government offices to keep the systematic record of revenue and expenditures of all government offices is known as government accounting. It is the systematic and scientific process of recording, classifying and summarizing the financial transactions of the government and interpreting and communicating the result. It helps to maintain the proper record of government revenues and their proper utilization on development and administrative works. It reflects the receipt and payment position of the public funds. It helps to analyze the financial information of governmental organizations for making decisions relating to financial activities.
The following is the main definition of government accounting:
“Government Accounting is the process of recording, analyzing, classifying, summarizing, communicating and interpreting financial information about government in aggregate and in detail, reflecting all transactions involving the receipts, transfer, and disposition of government funds and property.” – Oshisami and Dean
Government accounting in Nepal can be traced back to the Lichhavi period. It was first introduced in Nepal in Lichhavi period to record the revenues and expenditures of the government. In Lichhavi period, there was certain for accounting to record financial transactions. In this period, government revenues were collected from the trust, tax, and customs duty and expenditures were made for war, renovation and construction of temples. When the trade and industry further developed in Malla period, the sources of government revenue were increased. When the number of financial transactions increased in Shah Period, it was necessary to originate the systematic accounting system. Finally, in 1871 BS, a book called Laldhadda was introduced, another book called Mothdhadda was introduced for recording details about the land and its revenue.
In 1925 BS, Kitabkhana was established to make the record of salary paid to the government employees. Kharidar Gunawanta who propounded Syaha Sresta Pranali in 1936 BS made an important contribution. In 2008 BS, Budget system was developed. Under the constitution of Nepal 2015 BS, on 2016 Ashadh 16, the Auditor General was appointed as a constitutional body. The main objective of the appointment of the Auditor-General was to maintain systematic accounting and to avoid frauds and misappropriation of government fund. In 2016 BS, The Procedural Rule for Government Fund Expenditure Act 2016 was enacted in order to maintain the uniformity in financial administration. In 2017 BS, Bhuktani Sresta Pranali was introduced. Bhuktani Sresta Pranali did not last long in practice and new accounting system was introduced in 2018 BS, which was based on the double-entry book-keeping system. This system has been followed by the government of Nepal since the fiscal year 2019/ 20 BS which is still in practice in Nepal.
The following are the features of government accounting:-
The main objectives of government accounting are as follows:
What is Government Accounting?
The accounting maintained in the government offices to record the day to day government expenditure and incomes is known as government accounting. It is the accounting which includes the process of recording,analysis, classifying, summarizing, communicating and interpreting financial information about government in aggregate and in detail. So, government accounting is totally concerned with keeping records of government revenues and their proper utilization in different works of development and administration.
What is Government Accounting?
The accounting maintained in the government offices to record the day to day government expenditure and incomes is known as government accounting. It is the accounting which includes the process of recording,analysis, classifying, summarizing, communicating and interpreting financial information about government in aggregate and in detail. So, government accounting is totally concerned with keeping records of government revenues and their proper utilization in different works of development and administration.
What is government accounting?
The accounting maintained in the government offices to record the day to day government expenditure and incomes is known as government accounting.
Write down any three objectives of government accounting.
The following are the objectives of government accounting:
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