E-Panchayat Sanganakiya Gramin Maharashtra

(SANGRAM)

Model Accounting

System

• The Model Accounting System is based on the

recommendations of the Eleventh Finance Commission,

for exercising proper control and securing better

accountability of PRI’s.

• The MAS formats for the preparation of budget &

accounts and database on finances of PRIs were

prescribed by C&AG in 2002.

• These formats were further simplified in 2007 for easy

adoption at grass root level. The Technical Committee on

Budget and Accounting Standards for PRIs in the meeting

held on 4th August 2008.

Brief History

• The Sub-Committee in the meeting held on 5th December

2008, entrusted the preparation of Simplified Accounting

System to the Member Secretary of the Sub Committee

and desired that the draft format of accounts be circulated

among members of the sub-committee, for suggestion.

• The simplified accounting formats for PRIs have been

prepared and circulated among the members of the Sub-

Committee by 5th January 2009 and the committee in the

meeting held on 15th January 2009 approved the Draft

Simplified Format Accounts for PRIs.

• The Technical Committee on Budget and Accounting

Standards for PRIs in the meeting held on 29th January

2009 approved the Simplified format of accounts for PRIs.

Brief History

The Model Accounting system is a cash based single

entry system accounting process easy to understand by

common people, elective members of PRI’s and other

stakeholder of PRI’s. It is a simple receipt and payment

account comprising of receipt on left hand side and payment

on other hand. The PRI’s accounting simplicity and

transparency is the main motto of MAS.

Need of MAS

Why Maharashtra adopted MAS

1. Single entry cash based real-time accounting system.

2. Easy to understand for Non Commerce people like

Villagers in Gramsabha and office bearers of panchayats.

3. Accounting as per 10 digit classification so accuracy is

maintained.

4. Much similar to States' previous accounting system so

no extensive training is required to people who actually

prepare accounts up to village panchayat level.

5. Above and all, we understand our responsibility in

standardizing PRIs' accounts formats all over India

The Maharashtra state had its own accounting system and

formats as per Maharashtra Zilla Parishad and Panchayat

Samiti Accounts Code 1968. There was a need for

standardization of accounts throughout the nation. The state

adopted MAS accounting system and issued a Govt.

Resolution as per the guidelines of MoPR and C & AG dated

30 March 2010.

For that purpose the state government established a

State Monitoring Committee (SMC).

MAS adopted by Maharashtra

Detailed information of SMC Meeting is as mentioned below:

State Monitoring Committee (SMC)

Date SMC Status

26 August 2011 Government of India(MoPR) Letter

20 December 2011 SMC formed

29 February 2012 1st Meeting held with state AG

06 September 2012 2nd Meeting

29 April 2013 3rd Meeting

17 October 2013 4th Meeting held with state AG

As mentioned above, it was a difficult task to shift from an

accounting system used for 40 years to a new set of formats. For

this purpose a format of monthly as well as annual accounts was

prepared considering state major heads used in PRIs. Also format

2 to 8 were so redesigned as per local needs to make the accounts

accurate.

Zilla Panchayat and Block Panchayat Level MAS format

Village Panchayats Level MAS format

Training for MAS 8 Formats

For implementation of MAS in PRI’s the training is given by 2

state level trainers.

• 1st workshop was held on 16 &17 August 2013 at Pune for All

district’s CA&FO.

• 2nd workshop was held on 31 August 2013 at Nashik for All

district’s Dy. CEO(VP).

After 2 workshops of MAS training the SMC realized

MAS training should be arranged at district level for better

understanding of MAS accounting format for all levels of PRI’s.

Training and implementation

Training & Implementation at District Level

• The SMC meeting organized training to every district.

Starts from 17 September 2013 to 14 October 2013.

• The G R has published for maintaining PRI’s accounts in

MAS format on dated 5 October 2013.

31 Zilla Panchayats,351 Block Panchayats and 27911

Village Panchayats are maintaining its accounts as per the

MAS format from 1st April 2013 onwards.

Current Status

Problems in adopting/integrating

with PRIASoft

1. Major head of account 2053 District Administration is

to be provided in Model accounting

system/PRIASoft.

2. Major Head of accounts 2236- Integrated Women &

Child Development Programme to be provided in

Model Accounting System (Agency Schemes ).

3. Major head of account 2211- Family Welfare to be

provided under Grant-in-aid - Agency Scheme

4. Major Head of Account 2401-Agriculture to be

provided for state and central Grant-in-aid to

Panchayat Raj Institutions.

5. 4000 Capital Receipt need to map under the State transfer

scheme and State agency scheme for proper accounting

purpose. In Maharashtra, grants to PRIs for Capital

expenditure are distributed under revenue heads from state

budget. A need is aroused in MAS to book receipt under

revenue head and expenditure under capital head to make

accounts accurate.

6. Format No 7 Register of Inventory is not proper. There is no

provision to update the quantity of items also entry of

issuing/distributing of stock to particular department is not

possible in current input form. (In PRIASoft)

Problems in adopting/integrating

with PRIASoft