Chapter 2 – About the Manual

Purpose of the Manual – This Finance  Manual  is  written  with  the  view  to  document  the  Financial  and  Accounting Policies, Systems and Procedures to be followed by the {{organisation_name}}.

Usage of the Manual – This Manual is intended to be used by the finance and accounting and management personnel of the {{organisation_name}}.

Applicability – Rules and procedures contained in this manual are applicable to -Regular Employees, Contractual Staff, Trainees / Interns / Apprentice, Staff on deputation, General Body Members, Consultants of the {{organisation_name}}.

Also, nothing in this manual can overrule or override the rules and regulations of the existing laws prevailing in India or impair any obligations laid down by any other law.

Amendments – Revisions or amendments of this Finance Manual may be undertaken as and when need arises. Revisions or amendments to this Finance Manual must be approved in the General Body Meeting by passing a resolution.

Circulation of the Manual – This Manual is the property of the {{organisation_name}} and restricts the usage and distribution by staff for any other purpose than the official use. Circulation of this Manual outside the organization is strictly based on the request made by Auditors, Evaluators, Donor Agency and appropriate Government officials.

Chapter 3 – Accounting System

Basis of Accounting – {{organisation_name}} shall maintain its books of accounts on “{{1_do_you_follow_which_accounting_system}}” under the double entry system.

Accounting Standards and Policies – All applicable accounting standards issued by ICAI shall be followed to the extent possible.

Accounting Year – Accounting Year shall be the Indian Financial Year from 1st day of April to 31st day of March of the following year.

Accounting Software – {{organisation_name}} shall maintain books of account in a computerized form, by using {{2_which_software_are_you_using}} – license version at each office.

Sets of Books of Accounts – {{organisation_name}} shall maintain {{3_sets_of_books_of_accounts_maintained[]}}

List of Books – As per the amendments in Income Tax Act Rule 17 AA, following books of accounts maintained in either manual or computerized form :-

Security – Accounting Software is required to be password protected with creating each user’s separate user id and password.

Backup – Backup of Accounting data shall be taken on {{4_frequncy_of_backup}} in a separate hard disk.