Indian Banks ‘Association

Accounting Manual
(Policy & Procedures)
 Disclaimer to users of this Accounting Manual:
The materials presented herein are for general reference only. Central, state, and/or local laws, or individual circumstances, may require the addition of policies,
amendment of individual policies, and/or the entire Manual to meet specific situations. These materials are intended to be used only as guides and should not be used,
adopted, or modified without the advice of legal counsel. These materials are presented, therefore, with the understanding that the Indian Banks’ Association (IBA) is
not engaged in rendering legal, accounting, or other professional services. If legal advice or other expert assistance is required, the services of a competent professional
should be sought.
Table of Contents

S.no Particulars Page nos.

1 Background & Introduction 3
2 Vision Of IBA 4
3 Scope & Purpose 5
4 Broad List of Accounting Activities of Association 6
5 Organization Chart 7
6 Process for approval and collection of funds for New Projects 8
7 Accounting Policies & Procedures 9
8 Responsibilities of Manager, Vice President & SVP working in - Finance & Admin Deptt 10-14
9 Receipts/Income
A. Entrance Fees: 15
B. Basic Annual Subscription from Members 16
C. Basic Annual Subscription Fee Slab for Members 17-20
D. Subscription from Transport operators 21 -24
E. Subscription from Security Printers 25- 30
F. Empanelment of Agency for Specialized Monitoring (ASM) 31-33
G. Empanelment of Forensic Auditors (FAE) 33-35
H Publication/Advertisement Income 36-37
H. Conference Income 37-41
I. Miscellaneous Income 42
J. Interest Income 42-44
K. Segmental Accounting (Segment wise Reporting of Income) 44

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10 Receipts for Various Earmarked Funds of IBA 45
11 Receipts for Specific Projects of IBA 46-47
12 Expenses 48-54
13 Cash & Bank Payments 55
Control of Cash, Petty Cash, Cheques & Investment Receipts 56-59
Delegation of Power to Sanction Revenue & Capital Expenditure 60
Delegation of Power to operate bank accounts 61-63
Guidelines for Processing & Payment of Bills 64
14 Investments & its Process & Control 65-69
15 Fixed Assets Register & Accounting of Fixed Assets 70-78
16 Statutory & Tax related Compliances 79-104
A. Tax Deducted At Source (TDS) 81-85
B. Goods & Service Tax (GST) 86-92
C. RCM/ITC 92-97
D. Professional Tax 98-99
E. Provident Fund 99-100
F. Gratuity & PL Encashment 101-103
G. Advance Tax 104
17 Budgeting 105
18 Book Closure & Audit Preparation and Year End Transactions Procedures 106-108
A. Procedure for Finalisation of Annual Accounts 106
B. Procedures for Finalisation of Tax Audit 107
C. Procedure for Filing Annual ITR 107
D. Procedure for Finalisation of GST Audit 108
19 Branch Accounting 109-112
20 Chart showing Grouping of Accounts in Tally 113-124
21 Internal Audit Report & its Compliance Procedure 125
22 Reportings & Compliances 126
23 GST Return formats Annexure A 127-135
24 Fixed Assets Sample Codes Annexure B 136
25 TDS & TCS rate Chart Annexure C 137-142
26 Late Fee & Interest thereon for delayed filing of GST returns Annexure D 143
27 GLOSSARY 144-147

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1. Background & Introduction
Indian Banks’ Association (IBA) is a voluntary organization. It was established on 26th September, 1946 with 22 members. The membership gradually
increased to 248 members as on 31st March 2024. At present, the Association has offices at following places:
1. Registered Office:
The Indian Banks’ Association
81-83, Block no. II & III,
6th Floor, Stadium House,
Veer Nariman Road, Churchgate
Mumbai -400020
2. Corporate Office:
The Indian Banks’ Association,
6th Floor, Centre I,
World Trade Centre, Cuffe Parade
Mumbai – 400005
3. Delhi Office:
The Indian Banks’ Association,
UCO Bank Building,
2nd Floor, 5 Sansad Marg,
New Delhi - 110001
IBA aims to promote and develop sound and progressive banking principles, practices, and conventions and to contribute to the development of
sound banking in India. The objectives of IBA have been defined vide Rule 3 Chapter 1 of the Rule Book of the Indian Banks’ Association as amended
up to 21st March 2025. Some of the broad Objectives are reproduced here in below:
1. To promote sound and progressive banking principles and practices.
2. To render assistance and to provide common services to Members.
3. To organize co-ordination and co-operation on procedural, legal, technical, administrative or professional matters.
4. To collect, classify and circulate statistical and other information
5. To pool together expertise towards common purposes such as reduction in costs, increase in efficiency, productivity and to improve
systems, procedures and banking practices.
6. To project good public image of banking through publicity and public relations.

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2. Vision Of IBA:

“To work proactively for the growth of a healthy, professional and forward- looking banking and financial services industry, in a
manner consistent with Public good”

Based on the overall vision, IBA endeavor to:

1. Promote Inter-bank co-operation

2. Interactions with regulators and policy makers to protect the interest of the banking industry.

3. Create awareness among public about banking services including digital services

4. Improve Ease of Doing Banking through Simplification and Standardization of processes and procedures.

5. Collaborate with other trade bodies for common cause.

6. Connect with International Organizations like IBFed, APRACA & SWIFT etc.

7. Information dissemination through conferences, webinars and publications.

8. To work proactively for the growth of a healthy, professional and forward-looking banking and financial services industry.

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3. Scope and Purpose
The purpose of this manual is to describe all accounting policies and procedures applicable to Indian Banks’ Association (IBA) and to ensure that the
financial statements conform to generally accepted accounting principles and finances are managed with accuracy, efficiency, and transparency. All
IBA staff with a role in the management of fiscal and accounting operations are expected to comply with the policies and procedures in this manual.
These policies will be reviewed as and when required by the Competent Authority.

This Standard Operating Procedure is set out to document the activities of IBA to streamline the Finance & Accounts processes and enable the
Department to manage and operate in a structured and systematic way.

For each process, detailed step by step procedure is defined for every activity under the process. In order to ensure accomplishment of the task on a
timely basis with accuracy and proper control, steps are defined at each level of activity for the following processes:
o Receipts/Income
o Expenses
o Payments
o Fixed Assets
o Investments
o Publication & Circulation
o Statutory Compliance
o MIS/Budgeting
o Book Closure
o Branch Accounting
o Grouping
o Internal Audit Compliances
o Reporting
o Glossary
Every Endeavour has been made to put in place the best accounting Processes, Standard Operating procedures and operational guidelines which are
being used by other organisations at large. However, this scenario is dynamic in nature and keeps on evolving and needs changes from time to time.
In order to keep the accounting manual relevant to the needs of the organisation, Chief Executive will be authorised to adopt from time to time
whatever changes are required in Processes, procedures and operational guidelines for handling accounting and financial matters. However, any
change in core accounting policy and delegated power to sanction expenditure or to operate bank accounts of the Association will need specific
approval of the Managing Committee before adoption. All changes arising out of Govt notification will automatically take effect from the effective
date of notification.

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4. Broad List of Accounting activities of the Association:
Major Accounting Activities

Payments Statutory Earmarked

Receipts Expenses Fixed Assets Investments Book Closure Funds Specific Projects
Compliances MIS/
Budgeting

Fixed Assets
Procurement Additions TDS/TCS Provision MAB
Members Establishment Cash Fund
Entrance Fees Expenses Payment

Post Redemptions GST Building Fund EASE

Procurement Reconciliation Contibution
Subscription Bank
from Members Admin Payament
Expenses Depreciation Profession Special Fixed
Income Tax Asset Building Bharat QR
Recognition Balance Infrastructure Code Fund
Fund
Confirmation
Enrolment Fees Statutory Provident
Receipts (TO) Project/Scheme Payments Sale/Disposal Fund
PMJDY
Expenses
Fund
Fixed Assets
Gratuity Preparation of other than
Enrolment Fees Fund Financiials Building Fund
Receipts (SP) Vendor Physical Digital Payment
Payments Verification of Ad Campaign
Miscellnous Assets Fund
Expenses Advance
Audit
ASM & FAE Tax & ITR
Staff Housing
Loan Fund Media Campaign
Fund
Tax Audit
Conference & filing of
Income Income Tax
Recoverables Customer
return Staff Consumer / Service Survey
Expenses Conveyance Fund Fund
Project Receipts

GST Audit BIP

Share in
Expenses
Sewa Portal
Project Fund

Interest Income

Misecllenous
Income

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5. Organisation Chart:

Chief Executive

Deputy Chief
Executive

Senior Senior
Senior Senior Advisor Senior Senior Senior
Advisor Advisor
Senior Advisor Corporate & Advisor Advisor Advisor
Corporate Payment
Advisor EASE International Stressed HR & Retail &
Communic Systems &
Legal Reforms Banking Assets Industrial Social
ation & Banking
Delhi Relations Banking
DLC Technology

Advisor- Advisor-HR
Advisor
Advisor HR & &
Finance &
EASE Industrial Industrial
Administr
Delhi Relation Relation
ation
Mumbai Delhi

Senior Vice
Senior Vice Senior Vice
President-
President- President
Department of
Corporate RBSB or
Research and
Communication F&A
Statistics

1. Vice Vice President

Vice President
Vice President Vice President President Retail or Senior Vice Vice
Vice President HR &
Corporate & Department of
Stressed 2. Vice President President
International Industrial
Reserach and Finance &
Assets President Social TDSP
Banking II Relations
Statistics Admin
Banking

Designations and roles mentioned above are as per present day positions & needs, however Chief Executive is authorised to carry out changes
as and when required looking to the needs and requirement of the organisation.

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6. Process for approval and collection of funds for New Projects:

Process for each new project will be as under:

1. Concerned Department/Vertical will initiate project proposal

2. Department will first obtain approval from DCE & CE

3. Thereafter, concerned vertical will place note for approval before Managing Committee (MC).

4. After obtaining MC approval, concerned vertical will provide all necessary information and approval of MC to Finance & Admin Department

(F&A)

5. F&A will raise the Invoices complying the directions given vide MC approval note.

6. F&A will send the Invoices to the respective vertical for their onward sending to the concerned members under their covering letter.

7. F & A will keep an account of invoices and payment received

8. F&A will share the status of pending payments with concerned vertical on periodical basis.

9. Concerned vertical will follow up with the concerned member for all pending payments.

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7. Accounting Policies & Procedures:

Accounting policies are the overarching principles and guidelines that define how you approach accounting.
Accounting procedures are the detailed steps and methods that outline as to how the specific accounting processes will be performed.

Accounting policies and procedures are the official framework that an organization follows for all accounting-related matters, from routine transactions
to complex reporting.

The accounts of the IBA will be prepared in accordance with generally accepted accounting principles. These may be described as broad rules adopted
by the accounting profession as guidelines in measuring, recording, and reporting the financial affairs and activities. These will be reviewed and
approved by the managing Committee on a regular basis to ensure that they comply with the regulatory norms and its changes from time to time.

Association has a centralised system of accounting. Accounts team based in Mumbai takes care of accounting of all its offices that includes its Delhi
Local Chapter. As such, it ensures that accounting principles are uniformly applied for its head office as well as the local chapter.

Clear guidelines and standardised processes, enhance transparency, accuracy and consistency in financial record-keeping. This helps to prevent errors,
discrepancies and even fraud.

Method of Accounting.

The books of accounts are to be maintained on accrual basis. As per the “accrual” concept, the revenues and costs are recognized as they are earned
or incurred and recorded in the financial statement of the periods to which they relate.

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8. Responsibilities of Managers & Vice President/Sr.Vice President Working in Finance & Admin Department:
Sr Process Owner ROLES REPONSIBILITIES
No

Administrator 1. Overseeing the functions of Finance and Admin department.

1. Vice President /Sr Vice President
2. Checking & monitoring the work done by the Managers posted in F&A
(assisted by Manager Fin &Admin) (Finance & Admin) department.
(Overviewed by Advisor F & A) 3. Checking & monitoring the work done by the accounting assistants taken
on contract basis.
4. Checking of transactions in tally.
5. Approving on line payments in banks upto his/her discretion &
checking transactions above his/her approval delegation.
6. Ensuring that accounts team does:
a. Monthly bank reconciliation on regular basis in time
b. Periodical ITC reconciliation
7. Checking of working funds statement for preparation of Invoices related
to BAS/Bipartite and other projects.
8. Scrutinizing of bills pertaining to vendors etc. and placing the same
before the sanctioning authority.
9. Convening Finance Committee (FC) meetings. Preparation of FC notes
and thereafter FC Minutes and ATR.
10. Preparation of MC notes, MC Minutes and ATR related to F&A Dept.
11. Income Tax computation and filing of Annual ITR
12. TDS - MONTHLY payments- ensure payments are done before the 5th of
subsequent month [due date: 7th of every month]
13. Ensure GSTR1 Return to be filed before 7th of subsequent month [due
date 10th]
14. Preparation of Computation of Income for Advance Tax payment - Due
date: 15th July, 15th Sept, 15th Dec & 15th March every year.
15. To verify Income & Expenditure-Half yearly accounts and to ensure that
they are presented in Finance Committee and then to MC on or before
30th November every year.

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Sr Process Owner ROLES REPONSIBILITIES
No

16. To ensure compliance on auditors’ observations of monthly internal

audit reports within 20 days from the date of receipt of audit report.
17. To ensure that observations of Tax consultant (EY at present) are duly
complied within 15 days from the date of receipt.
18. Co-ordinating with all Departments in Jan every year and calling for their
requirement of Revenue & Capital expenditure Exp for the next year.
19. Then placing the consolidated budget before DCE/CE. After their
approval budget is placed before FC and then to MC for final approval.
20. After MC approval, VP/SVP Finance & Admin to send department wise
approved budget to concerned verticals.
21. Ensure timely completion of works pertaining to closure of books of
accounts and preparation of annual account and its audit in time.
22. Ensure timely completion of Tax Audit & GST Audit.
23. Ensure timely and accurate work pertaining to AGM including Elections
of MC members.
24. Prepare resolutions to be passed in AGM for passing of annual accounts
and changes in rule book or any other resolution connected to F&A
Department.
25. Respond to all notices received from Direct and Indirect Tax authorities
and handling of all related litigations with the help of tax consultants of
the Association.
26. Assist and handle the tax authorities in conducting Audit with the help of
tax consultant of the Association.
27. On any day in each fortnight, surprise verification will be done by
VP/SVP F&A to ensure that entries posted in tally are duly verified by the
Manager F&A.
28. Managers Accounts and Admin will be directly reporting to VP or SVP
F&A. As such, VP/SVP F&A will assign the tasks to them and monitor
their performance on day to day basis.
29. Any other task assigned by the Competent Authority of the Association
from time to time.

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Sr Process Owner ROLES REPONSIBILITIES
No

Manager Accounts 1 1. Processing of payment Invoices

2 F & A Deptt
2. Download Bank Statements for tracing receipts against Invoices and
Manager Account 2 ensure the same is booked in Tally.
(Maker/Checker)
3. To carry out Bank reconciliation on Monthly basis.
4. Record expenses and receipts for each project.
5. Follow-up for all outstanding amounts.
6. Obtain balance confirmation from respective departments for specific
projects.
7. Distribution of income pertaining to approval of recommendations for
Forensic Auditors and ASM empanelment/Indian Banker, Transport
Operator/Security Printer.
8. Ensure all petty cash expenses are approved by competent authority.
9. Ensure Fixed Asset register is updated and matches with books and Physical
assets.
10. Statutory Compliance to be ensured under.
➢ Income Tax Act – Accurate & on time payment of TDS and Advance
Tax, on time Filing of returns and Issuing TDS certificates.
➢ GST Act- Timely and accurate Payment of GST, reconciliation of ITC,
timely Filing of returns (monthly, quarterly and annual).
➢ Prepare Income & expenditure as on 30th September every year.
Compare the same with the approved budget head wise.
11. Prepare the schedules of Financial Statements & Notes to accounts within
30 days from the close of financial year.
12. Attend to the observations/queries raised by Internal auditors on monthly
basis and ensure compliance of irregularities within 15 days from the date
of report but in any case, before the receipt of next month Internal audit
report.
13. Prepare relevant schedules/workings for Finalising Balance Sheet. Attend
to and provide all information required by the Statutory Auditor.
14. Check & Monitor the work of the accounting assistants hired on Contract
basis by the Association.

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Sr Process Owner ROLES REPONSIBILITIES
No

Tax Assessments / Tax Department Audits

15. Prepare relevant documents/reports for Income Tax / GST Assessments.

Physical /soft copies should be maintained in file/folders. Preparation &
submission of documents & response to queries before timelines as
specified by Tax assessing officer or department audit teams.
16. Any other duty assigned by the in charge of the Finance & Admin
department.
17. Compliance of the actions outlined in the ATR of the Internal Auditor and
forwarding the compliance of ATR to Internal Auditor before the start of
Audit of the next month.

Admin. Department
Manager Admin Providing Support 1. Managing and overseeing the administration activities of the IBA at
in Admin Deptt WTC/SH Office and P2 Palm Spring - CE’s Residence, IBA owned flat.
2. Entering into AMCs for managing and maintaining the office premises,
office equipment, furniture and fixtures and other assets, attending to
ambience issues.
3. Providing support services such as arranging for lunch, tea, snacks etc. for
holding various meetings in the IBA Committee Room viz., meetings of
Managing Committee/Standing Committees/Working Groups, etc. etc
4. Arrangements of travel tickets for IBA Staff and processing of the bills
raised by vendor for payment after taking due authorization from the
competent authority.
5. Clearance of TA / DA bills, Hotel Bills, Travel / Car bills of IBA staff.
6. Work related to AGM of IBA – Assist in sending meeting notices, attend
to several phone calls and queries of Member Banks, attending to the
procedure to be followed for election of members to the Managing
Committee;
7. Preparation of AGM proceedings.
8. Maintenance of the list of authorized representatives.
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Sr Process Owner ROLES REPONSIBILITIES
No

9. Making all arrangements for Election process at AGM.

10. Maintenance of records of members of the Association both on the
website as well as in the digital directory and updating the same.
11. Yearly Printing of Directory.
12. Management of Sub-Staff duties / Job allocation – Maintaining
attendance of sub-staff on contract basis– supervising their work on daily
basis.
13. Managing and renewal of vendor contracts / Insurance of Cars/
premises and all AMC related to non-IT items.
14. Maintenance of inventory for stationery items and procuring stationery
at competitive rates
15. Filing and maintenance of records.
16. Safeguard and preserve IBA’s property documents jointly in Co-
ordination with VP/SVP F&A.
17. Maintenance of Petty Cash @ WTC.
18. Any other work allotted by seniors.
Note
List of the roles and responsibilities mentioned above both for Manager, Vice
President/Senior Vice President are only illustrative and not exhaustive. As
such, Manager/Vice President/Sr Vice President will be required to perform
other jobs/duties also which are assigned to them from time to time by the in-
charge F&A. Bifurcation of duties amongst the Managers posted in F&A
department will be decided by Vice President/Sr Vice President F&A in
consultation with Advisor F & A depending upon the availability of number
of Managers and relative work load.

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9. Receipts/Income:
A. Entrance Fees:

Entrance Fees is a onetime fee which is equivalent to the one-year Basic Annual Subscription of the member. It is collected from the eligible
applicant at the time of its admission as member of the Association. Amount so collected is credited to Entrance Fees fund.

As per Rule 25, of the IBA Rule book, every applicant admitted or readmitted as a member including an applicant seeking change in membership
from associate to ordinary, has to pay an Entrance Fee of an amount equivalent to its Basic Annual Subscription within 15 days from the date of
receipt of intimation regarding its admission. Fee once paid shall not be refunded for any reason or under any circumstances whatsoever.

As per Rule 26 of the IBA rule book, any member which ceases to be a Member shall pay fresh Entrance Fee, if it is admitted as a member again.
Model Accounting Entries to be passed at the time of raising an Invoice, actual receipt of payment of the Invoice and Transfer of amount to
fund, are as under:

Entrance Fees Recognition Entry i.e. at the time of raising of invoice:

Particulars Grouping Dr Amt Cr Amt
Member (BAS) Account Ordinary/Associate CA (TR) xxxxxxxx
Entrance Fees from Members P&L (Direct Income) xxxxxxx
GST Payable Account D&T (GST Liability) xxxxxxx

Entrance Fees Receipt Entry

Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxxx
Member (BAS) Account Ordinary/Associate CA (TR) xxxxxxxx

Entrance Fees transfer to Fund Account

Particulars Grouping Dr Amt Cr Amt
Entrance Fee from Members P&L (Direct Income) xxxxxxxx
Entrance Fee Fund CL (Members Funds) xxxxxxxx
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B. Basic Annual Subscription from Members

Ordinary Member:

Every Ordinary member shall pay Basic Annual Subscription as per the slab of its working funds as at the end of the 31st March of the year
prior to the previous year:

Working funds are calculated as total of Capital + Reserve Fund & Other Reserves + Deposits + Borrowings + Other Liabilities excluding
Deposits, Borrowings and Other Accounts Outside India as shown by any Bank in its Annual Balance Sheet prepared in conformity with
the Banking Regulation Act, 1949 (Please refer “Working Fund calculation structure “below) .

The rates at which every ordinary member has to pay Basic Annual Subscription as per rates prescribed by the Managing Committee from
time to time: [Please refer BAS as per Rule 27(a),(b),)c) of the IBA Rule Book].

Computation of Working Fund:

Particulars Amount
Paid Up Capital xx
Add: Reserve Fund and Other Reserves xx
Add: Total of Deposits & Other Accounts xx
Add: Borrowings xx
Add: Other demand & Time Liabilities xx
Less: Deposits & Other A/cs. Outside India xx
Less: Borrowings Outside India xx
Working Fund xx

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C. Basic Annual Subscription Fee Slab for Members:

a) ORDINARY MEMBER:
Working Fund Slab Working Fund Slab Annual Subscription

(Equivalent to & Above>) (Below< )

Amount (in Crores) Amount (in Crores) Amount (in Rs)

25,00,000 - 90,00,000

8,00,000 25,00,000 75,00,000

5,00,000 8,00,000 50,00,000

3,50,000 5,00,000 35,00,000

2,25,000 3,50,000 25,00,000

1,00,000 2,25,000 18,00,000

50,000 1,00,000 12,00,000

10,000 50,000 11,00,000

5,000 10,000 10,00,000

3,500 5,000 6,00,000

1,000 3,500 2,50,000

100 1,000 1,20,000

- 100 60,000

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I. Model Accounting entry of Basic Annual Subscription at the time of raising Invoice, Actual Receipt of Invoice amount and
Transfer to Fund in the books of accounts:

Ordinary Members Basic Annual Subscription: Entry at the time of raising of Invoice:
Particulars Grouping Dr Amt Cr Amt
Member BAS Account (Ordinary Member) CA (TR) xxxxxxxx
Subscription From Ordinary Members P&L (Direct Income) ) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

Ordinary Members Basic Annual Subscription: Entry at the time of actual receipt of Invoice amount :
Particulars Grouping Dr Amt Cr Amt
Bank CA (Bank) xxxxxxxx
Member BAS Account (Ordinary Member) CA (TR) xxxxxxxx

Ordinary Members Basic Annual Subscription Transfer: Entry to be passed in First Half of FY i.e between April to Sept:
20% transfer to SFAB Fund (Special Fixed Asset & Grouping
Infrastructure Building Fund) Dr Amt Cr Amt
Subscription From Ordinary Members P&L (Direct Income) xxxxxxxx
To SFAB - I Fund CL (Earmarked Funds) xxxxxxxx
(20% of Total BAS amount billing of Ordinary members, is
transferred to SFAB Fund.

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b) ASSOCIATE MEMBERS:
Every Associate Member shall pay Basic Annual Subscription and Share in Expenses, if any, as may be prescribed by the Managing
Committee from time to time: [Please refer BAS as per Rule 27(a),(b),)c) of the IBA Rule Book]. Present approved structure of BAS for
various categories of Associate members is as under:

Categories of Members Amount (Rs.)

All India Financial Institutions 1,50,000
Asset Reconstruction Companies 1,50,000
Rating Agencies 1,50,000
NBFC/Other Financial Institutions 1,50,000
Other Institutions 1,50,000
National Level Co-operative Banks 1,50,000
Foreign Banks having only representative office in India 1,00,000
State Level Co-operative Banks 90,000
District Level Co-operative Banks 45,000
State Level Association of Co-operative Banks 45,000
National Level Federation of Co-operative Banks 45,000
Trade Bodies/Associations 45,000
Small Co-op. Banks those having Working Funds of Rs.25 crores & above 45,000
Small Co-op. Banks those having Working Funds of less than Rs.25 crores 30,000
District Level Association of Co-operative Banks 18,000
Subsidiaries of Member Banks 45,000

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I. Model Accounting entry of Basic Annual Subscription of Associate Members at the time of raising Invoice, Actual Receipt
of Invoice amount and Transfer to Fund in the books of accounts:

Associate Members Fees: Entry at the time of raising of Invoice:

Particulars Grouping Dr Amt Cr Amt
Member BAS Account (Associate Member) CA (TR) xxxxxxxx
Subscription From Associate Members P&L (Direct Income) xxxxxxxx
GST Payable GST Liability (D&T) xxxxxxxx

Associate Members Fees: Entry at the time of receipts

Particulars Grouping Dr Amt Cr Amt
Bank CA (Bank) xxxxxxxx
Member BAS Account (Associate Member) CA (TR) xxxxxxxx

Associated Member: Entry for Transfer to Fund – To be passed in First Half of FY i.e. between April to Sept
Full Invoice amount to be transferred to Contingency Grouping
Fund DR Amt Cr Amt
Subscription From Associate Members P&L (Direct Income) xxxxxxx
To Contingency Fund CL (Members Fund) xxxxxxx
(Total Invoice value of Basic Annual Subscription of
Associate members during current FY is transferred to
Contingency Fund).

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 D. Subscription from Transport operator:

IBA recommends the names of Transport Operator (TO) to member banks for inclusion in their panel of approved TOs. Applications are received
from Transport Operators throughout the year.
IBA recommends the names of the Transport Operator (TO) to Member Banks, to facilitate the Member Banks to prepare their own list of
Recommended Transport Operators. However, it is left to the discretion of the Banks whether to include the name of the recommended Transport
Operator, in their own list of empanelled Transport Operator or not. Such recommendation accorded to the Transport Operators are reviewed
every 3 years. In case of renewal of recommendations, a communication to review their recommendation is sent 3 months prior to the expiry of
their validity period. The Applications of fresh cases as well as renewal cases are received from Transport Operators throughout the year.

Application booklet cost : The Transport Operator approaches the Association for fresh recommendations and during enquiry, they are advised
to go through the eligibility criteria placed on the IBA Website and submit a confirmation that they fulfil the eligibility criteria. Thereafter IBA
sends them application form (booklet) for which the Transport Operator pays Rs. 2625/- . This amount is non-refundable.

Annual Fees
i) In case of New Recommendations an amount of Rs. 1,50,000/- + GST is charged as Subscription fee for a period of three years.
This includes an amount of Rs. 45000/- towards a non-refundable application cum upfront fee.

ii) In case of Renewal of Recommendations, an amount of Rs. 1,05,000/- + GST is charged as Subscription fee for a period of three
years. This covers non-refundable processing fee of Rs. 25,000/- also.

Refund in case of rejection of new case or non-renewal of existing case:

a. Rejection of new case: In case any new case is not meeting the criteria of IBA Scheme and is rejected, Association refunds the
Subscription fee after deducting a sum of Rs. 45,000/- as non-refundable application (upfront) fee which is inclusive of processing
charges also. Further, GST amount of Rs. 27700/- calculated on the total amount (Rs. 150,000/) received from the Transport
Operator is also deducted while deciding the net amount to be refunded to the Transport Operator.
b. Rejection of renewal case: In case any existing Transport Operator does not meet the criteria of IBA Scheme and the same is not
renewed, Association refunds the Subscription fee after deducting a sum of Rs. 25,000/- as non-refundable processing fee and the
GST amount of Rs. 18900/- calculated on the total amount (Rs. 1,05000/-) received from the Transport officer.
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Process of Transport Operator Applications & Empanelment:

Subscription Fees Structure:

Fee structure changes from time as per the decision of managing committee. At present following is the fee
structure of Transport Operator Scheme:
Type Amount (in Rs) GST Total fee
Non refundable Annual 18% Inclusive
application Subscription fee of GST
(upfront) fee for three years
First time applicant 45,000 1,05,000 27000 1,77,000
Renewal - 1,05,000 18900 1,23,900

New Enrolment:
I. Model accounting entry to be passed at the time of receiving Subscription fee from Transport Operator

Particulars Grouping Dr Amt Cr Amt

Bank Account CA (Bank) xxxxxxx
To Party Account (Transport Operator) CA (TR) xxxxxxxx

II. Model Accounting entry to be passed at the time of raising Invoice:

Particulars Grouping Dr Amt Cr Amt
Party Account (Transport Operator) CA (TR) xxxxxxx
To Transport Operator P&L (Direct Income) xxxxxxx
To Transport Operator Processing Fees P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx

22 | P a g e
 III. Thereafter the amount is transferred to advance head and the following Model entry will be passed.
Entries for transferring the amount received as fee from Transport Operator to advance income account (Except Processing Fees)
Particulars Grouping Dr Amt Cr Amt
Transport Operator P&L (Direct Income) xxxxxxx
Transport Operator Processing Fees P&L (Direct Income) xxxxxxx
To Subscription - LT (Upfront) P&L (Direct Income) (C.Y.) xxxxxxx
To Subscription - LT Scheme (Advance) CL (Advance Income) xxxxxxx

IV. Model accounting entry to be passed on monthly basis after getting period of renewal from Transport Department.
Since subscription fee is received upfront for a period of 3 years, as such year wise income is booked based on the
number of months falling in each financial year.
Particulars Grouping Dr Amt Cr Amt
Subscription - LT Scheme (Advance) CL (Advance Income) xxxxxxx
To Adv. Transport Operator Subscription 2nd year CL (Advance Received) xxxxxxx
To Adv. Transport Operator Subscription 3rd Year CL (Advance Received) xxxxxxx
To Adv. Transport Operator Subscription 4th year CL (Advance Received) xxxxxxxx

a) Renewal Case:

I. Model accounting entry to be passed at the time of receiving Subscription fee from Transport Operator

Particulars Cr
Dr Amt
Grouping Amt
Bank Account CA (Cash/Bank) xxxxxxx
To Party Account (Transport Operator ) CA (TR) xxxxxxx

23 | P a g e
II. Model accounting entry for recognition of income in the accounts:

Model Accounting Entries to be passed at the time of raising of Invoice.

Particulars Grouping Dr Amt Cr Amt
Party Account (Transport Operator) CA (TR) xxxxxxx
To Transport Operators P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx

III. Model accounting entry to be passed on six monthly basis. Separate excel is maintained showing month wise/year wise
bifurcation of renewal fee. Since subscription (renewal fee) is received upfront for a period of 3 years, as such year wise income
is booked based on the number of months falling in that particular year:

Entry booked in tally Half yearly basis Grouping Dr Amt Cr Amt

Transport Operators P&L (Direct Income) xxxxxxxx
To Subscription -LT (Annual Fees) P &L (Direct Income) (CY) xxxxxxxx
To Adv. Transport Operator Subscription 2nd Year CL (Advance Received) xxxxxxxx
To Adv. Transport Operator Subscription 3rd year CL (Advance Received) xxxxxxxx
To Adv. Transport Operator Subscription 4th year CL (Advance Received) xxxxxxxx

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E. Subscription from Security Printers
Applications are received from Security Printer throughout the year.
a) New Recommendations – Summarised process:

On receipt of application, the name of Security Printer is circulated amongst the Member Banks. Member banks are advised to share their adverse
experience or observations, if any, about the Security Printer. Member Banks are given 15 days’ time to submit their comments. If any negative
observations are received from any of the member banks, IBA recommendations are not granted till the issue is resolved to the satisfaction of
member bank.

The Banker of the Security Printer is advised to carry out general inspection of the Printing Unit and India Security Press (ISP) Nashik is advised to
carry out a Technical Inspection of the Printing Unit for which recommendations are sought for.

On receipt of satisfactory report from the Bankers of Security Printer as well as from India Security Press (ISP) Nashik, the application is processed
further and Security Printer is advised to submit sample cheques to the National Payment Corporation of India (NPCI). Upon receipt of the
sample test report with rejection of less than 1%, if the application is found meeting all other criteria’s’ of IBA Scheme also, the Printing unit of
the Security Printer is recommended by the Department and placed for approval before DCE and CE.

After getting the approval from CE, Association recommends the name of Security Printer to Member Banks and also informs the Security Printer
accordingly. Name of the Security Printer is also included in the Recommended list of Security Printers for printing of MICR Instruments which is
also hosted on IBA website.

For IBA Recommendation, each Printing Unit is treated as a separate unit, hence the IBA Scheme for Security Printers permits for recommendation
of more than one Printing unit of the same Security Printer.

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b) Renewal of Recommendations:

Annual Fees includes renewal fee for next 2 years, non-refundable processing fees and the GST.

On receipt of application, the name of Security Printer is circulated amongst the Member Banks. Member banks are advised to share their
adverse experience or observations, if any, about the Security Printer. Member Banks are given 15 days’ time to submit their comments. If
any negative observations are received from any of the member bank, IBA recommendations are not granted till the issue is resolved to the
satisfaction of member bank.

National Productivity Council (NPC), is advised to carry out a Technical Inspection of the Printing Unit for which renewal of recommendation is
sought.

On receipt of satisfactory report from National Productivity Council (NPC), the application is processed. Security Printer is also advised to submit
National Payment Corporation of India (NPCI) testing report. It is ensured that NPCI testing report should have rejection report below 1%.
Thereafter, if the request of Security Printer is found fulfilling all other criteria’s and norms of the IBA Scheme also, the Security Printing unit is
recommended by the Department and placed to approval before DCE and CE.

After getting the approval from CE, Association recommends the name of Security Printer to Member Banks and also informs the Security
Printer accordingly. Thereafter, the name of the Security Printer is included in the Recommended list of Security Printers for printing of MICR
Instruments which is also hosted on IBA website.

For IBA Recommendation, each Printing Unit is treated as a separate unit, hence the Security Printer Scheme permits for recommendation of
more than one Printing unit of the same Security Printer.

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 Fee Structure for recommending Empanelment of Security Printer:

Fee structure is subject to change as decided by managing committee from time to time.

Type Amount (in Rs) GST 18% Total

amount
Non refundable Subscription Fee
Incidental Expenses (Renewal Fees) for
(Processing Fees) two years
First time applicant 55,000 1,60,000 38,700 2,53,700
Renewal - 1,60,000 28,800 1,88,000

a) New Enrolment Case of Security Printer

I. Model accounting entry to be passed at the time of receiving Subscription fee from Security Printer

Particulars Grouping Dr Amt Cr Amt

Bank Account CA (Cash/Bank) xxxxxxx
To Party Account (Security Printer) CA (TR) xxxxxxxx

II. Model accounting entry to be passed at the time of raising invoice:

Entries at the time of raising Invoice:

Particulars Grouping Dr Amt Cr
Amt
Party Account (Security Printer) CA (TR) xxxxxxx
To Security Printer Invoicing P&L (Direct Income) xxxxxxx
To Security Printer Processing Fees (non refundable incidental exp) P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx

27 | P a g e
 III. Thereafter the amount is transferred to advance head and the following Model entry will be passed.:
At the time of transferring the amount to advance head.
Particulars Grouping Dr Amt Cr Amt
Security Printer Invoicing P&L (Direct Income) xxxxxxx
To Adv. Security Printers Subscription (New Applications) CL (Advance Income) xxxxxxx

IV. Model accounting entry to be passed on six monthly basis after getting period of renewal from TDSP Department. Since
subscription is received upfront for a period of 2 years, as such year wise income is booked based on the number of months
falling in each financial years.
Particulars Grouping Dr Amt Cr Amt
Adv. Security Printers Subscription (New Applications) CL (Advance Income) xxxxxxx
To Adv. Security Printers Subscription Annual fee (CY) P&L (Direct Income) xxxxxxx
To Adv. Security Printers Subscription 2nd year CL (Advance Received) Xxxxxxx
To Adv. Security Printers Subscription 3rd year CL (Advance Received) xxxxxxx
b) Renewal Case of Security Printer:
I. Model accounting entry to be passed at the time of receiving Subscription fee from Security Printer
Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxx
To Party Account (Security Printer) CA (TR) xxxxxxxx
II. Model accounting entry at the time of booking of Invoice.

Entries at the time of booking of Invoice (renewal case)

Particulars Grouping Dr Amt Cr Amt
Party Account (Security Printer) CA (TR) Xxxxxxx
To Security Printer Invoicing P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx

28 | P a g e
III. Model accounting entry to be passed on six monthly basis after getting period of renewal from TDSP Department. Since
subscription is received upfront for a period of 2 years, as such year wise income is booked based on the number of months
falling in that particular year

Particulars Grouping Dr Amt Cr Amt

Security Printers- Invoicing P&L (Direct Income) xxxxxxx
To Security Printers Annual Fees (CY) P&L (Direct Income) xxxxxxxx
To Adv. Security Printers Subscription 2nd year CL (Advance Received) xxxxxxxx
To Adv. Security Printers Subscription 3rd year CL (Advance Received) xxxxxxxx

c) Refund Process of Transport Operator / Security Printer:

Before initiating refund in case of Transport Operator or Security Printer, we need to see, the head in which the amount is
lying. It may be in any of the following heads:

I. New Cases of Transport Operator and Security Printer:

1. In case of Security Printer, amount received from new Security Printer, is kept under the head “Adv. Security Printers Subscription
(New Applications)” under “P&L Direct Income” Group.
2. In case of Transport Operator amount received from new Transport Operator is kept under the head “Subscription - LT Scheme
(Advance) _ New Application” under “P & L Direct Income “.

In the above cases, we will debit the above head and credit the Party Account. Thereafter while making the payment through bank, Party
Account will be debited, and Bank account will be credited.

II. Renewal Case of Transport Operator and Security Printer:

Since after receipt of amount, we raise the invoice and simultaneously bifurcate the amount and keep it as advance in respective financial
year that are decided on the basis of renewal period falling in each FY. So, we need to debit Advance head of the respective financial years
for initiating refund.

There is no provision of refunding GST amount, processing fee as well as non-refundable application fee, so only the balance amount
will be refunded. We explain one case of refund of Transport Operator with the following example:

29 | P a g e
Example:

On 8th May 2023, one Transport Operator e.g. XYZ Limited remitted a sum of Rs. 105000/- + GST for renewal of their case for three-years w.e.f
1.8.2023 to 31.07.2026. As such, after raising Invoice, amount received from them was transferred to Advance heads of various Financial Years as
under:

Date Party Name 3 Total FY 2025-26 Total

Yrs Amount FY 2023-24 FY 2024-25 FY 2026-27 Amount
collected Months Amount Months Amount Month Amount Months
08-05-2023 XYZ Ltd 36 105000.00 8 23,333 12 35,000 12 35,000 4 11,667 1,05,000
Payment towards renewal fees of
the Transport Company for a period
of 3 years from 01.08.2023 to
31.07.2026. Vide UTR No
BARBY23137767353

As per scheme provisions, refund was to be made for Rs. 80,000/- after deducting Processing fee of Rs. 25000/- and GST of Rs. 18,900/- out of total
subscription received amounting to Rs. 1,23,900/- (Rs. 1,05,000/- + GST 18,900/-). Model Accounting entry to be passed at the time of refund will
be as under:

I. Model accounting entry for making Refund to Transport Operator/Security Printer – Renewal Case
Entries to be passed in the books of accounts for Reversal/Return/Rejection of Application – Renewal Case
Particulars Grouping Dr Amt Cr Amt
Adv. Transport Operator/Security Printer Subscription 2024-25 (Bal fig) CL (Advance Received) 33,333
Adv. Transport Operator/Security Printer Subscription 2025-26 CL (Advance Received) 35,000
Adv. Transport Operator/Security Printer Subscription 2026-27 CL (Advance Received) 11,667
To Party Account (Transport Operator/Security Printer) i.e XYZ Limited CA (TR) 80,000
Similar rules will apply for refund in Security Printer renewal cases also.
Entry to be passed at the time of initiating refund in Bank
Particulars Grouping Dr Amt Cr Amt
Party Account (Transport Operator/ Security Printer) i.e. XYZ Limited CA (TR) xxxxxxxx
Bank Account CA (Bank) xxxxxxxx
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F. Empanelment of Agency for Specialized Monitoring (ASM):
Public Sector Banks (PSBs) have made significant progress with respect to improvement of credit underwriting and monitoring process in the PSB
Reforms EASE Agenda. Appointment of Agencies for Specialized Monitoring (ASM) was one of the major key reforms under EASE 3.0 Agenda.
Accordingly, the empanelment of Agencies for Special Monitoring (ASMs) for close monitoring of large credit exposures was initiated by IBA in June
2019.
i. The process of Renewal and Fresh empanelment of ASM is undertaken for a period of 3 years.
ii. Fee structure for the Renewal and Fresh empanelment are as under, however the same is subject to undergo change from time to time as per
the decision of the Managing Committee:

Empanelment Fees *
Application Fees *
Category Exclusive of GST (Amt in Rs.)
Exclusive of GST
General Category * Specialized Category *
Fresh Empanelment 50,000 1,00,000 1,50,000
Existing ASMs 25,000 1,00,000 1,50,000
*fee mentioned above is exclusive of GST. At present applicable GST rate is 18%.
Model accounting entry in case of ASM Empanelment will be as under:
I. Model accounting entry to be passed at the time to receipt of ASM Application Fees & Recognition (Invoicing) of income in
the books of accounts:
Receipt of Application Fees for ASM
Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxxx
Party Account (ASM) CA (TR) xxxxxxxx

Recognition of application fee (Invoicing) for ASM as income

Particulars Grouping Dr Amt Cr Amt
Party Account (ASM) CA (TR) xxxxxxxx
ASM-Application Fees P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

31 | P a g e
II. Model accounting entry at the time of Receipt of Empanelment Fee, Recognition (Invoicing) of fee as income in the books of
accounts:
At the time of Receipt of Empanelment Fees for ASM
Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxxx
Party Account (ASM) CA (TR) xxxxxxxx

At the time Recognition (Invoicing) of Empanelment Fee of ASM as income

Particulars Grouping Dr Amt Cr Amt
Party Account (ASM) CA (TR) xxxxxxxx
ASM-Empanelment Fees P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

Entries to be passed at the time of Reversal/Return/Rejection of Application of ASM

Particulars Grouping Dr Amt Cr Amt
ASM Empanelment Fees P&L (Direct Income) xxxxxxxx
Party Account (ASM) CA (TR) xxxxxxxx

Entries to be passed at the time of payment of refund of money to rejected applicant of ASM
Particulars Grouping Dr Amt Cr Amt
Party Account (ASM) CA (TR) xxxxxxxx
Bank Account CA (Bank) xxxxxxxx

*There will be no refund of application fee as well as GST on total amount in case of rejected application of ASM,.

32 | P a g e
III. Model accounting entry for Deferred Income (Bifurcation of income) in the books of accounts:

Deferred Income Entry for ASM:

Particulars Grouping Dr Amt Cr Amt

ASM Empanelment Fees (Total) P&L (Direct Income) xxxxxxxx
ASM Empanelment Fees (CY) P&L (Direct Income) xxxxxxxx
ASM-Empanelment Fees Year 2 CL (Advance Income) xxxxxxxx
ASM-Empanelment Fees Year 3 CL (Advance Income) xxxxxxxx
ASM-Empanelment Fees Year 4 CL (Advance Income) xxxxxxxx
(Above entry represents transfer of Income to respective FYs proportionately on the basis of the number of months falling in each
Financial Year)

G. Empanelment of Forensic Auditors (FAE)

Indian Banks’ Association (IBA), a representative body of banks and other financial institutions, seek applications from eligible Chartered Accountant
Firms & Cost Accountant Firms for their empanelment as Forensic Auditors so that they can take up assignments relating to forensic audit of accounts
which have been declared NPA. As per RBI guidelines Forensic Audit for all NPA accounts having exposure above Rs. 50.00 cr is mandatory.
However, each Bank’s board can decide a floor limit also for carrying out Forensic Audit for NPA account where total exposure is below Rs. 50.00 cr.
Empanelment of firms will be for a period of 2 years. The utility/efficacy of their services will be reviewed based on Feedback received from member
banks.

The following Fee structure is applicable for the Renewal as well as Fresh empanelment, however it is subject to change from time to time as per the
decision of the Managing Committee.
Particulars Application Fees Empanelment Fees for the two-year term
(Payable at the time of submitting Application) (Payable on selection for empanelment)
Fresh Empanelment Rs. 50,000 + GST
Presently Empaneled and Rs. 25,000+ GST Rs.1,00,000 +GST
seeking Renewal of
empanelment

33 | P a g e
I. Model Accounting entry to be passed at the time of Receipt of FAE Application Fee & its Recognition (Invoicing) as income in
the books of accounts:
At the time of Receipt of Application Fee for FAE
Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxxx
Party Account (FAE) CA (TR) Xxxxxxxx

At the time of Recognition (Invoicing) of Application Fees for FAE as income

Particulars Grouping Dr Amt Cr Amt
Party Account (FAE) CA (TR) xxxxxxxx
FAE- Application Fees P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx
II. Model accounting entry to be passed at the time of Receipt of FAE Empanelment Fees & its Recognition as income in the books of
accounts
At the time of Receipt of Empanelment Fees for FAE as Income
Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxxx
Party Account (FAE) CA (TR) xxxxxxxx
At the time of Recognition (Invoicing) of Empanelment Fees for FAE as income
Particulars Grouping Dr Amt Cr Amt
Party Account (FAE) CA (TR) xxxxxxx
FAE- Empanelment Fees P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

34 | P a g e
III.Model accounting entry to be passed for refund of Empanelment fee on account of Reversal/Return/ Rejection of applications
of FAE our books.
Entry to be passed at the time of refund of empanelment fee to the party on account of Return/Rejection of Application of FAE
Particulars Grouping Dr Amt Cr Amt
FAE Empanelment Fee P&L (Direct Income) xxxxxxxx
Party Account (FAE) CA (TR) xxxxxxxx
Entry to be passed at the time of payment of refund amount to party on account of Return/Rejection of Application of FAE
Particulars Grouping Dr Amt Cr Amt
Party Account (FAE) CA (TR) xxxxxxxx
Bank Account CA (CA) xxxxxxxx
* There is no provision for refund of application fee and GST amount calculated on total fee ie. (Application Fee + Empanelment fee).
IV.Model accounting entry for Deferred Income in the accounts:

Deferred Income (year wise Bifurcation of Income) Entry for FAE

Particulars Grouping Dr Amt Cr Amt

FAE- Empanelment Fees (Total) P&L (Direct Income) xxxxxxxx
FAE Empanelment Fees (CY) P&L (Direct Income) XXXXXXXX
FAE- Empanelment Fees Year 2 CL (Advance Income) xxxxxxxx
FAE-Empanelment Fees year 3 CL (Advance Income) xxxxxxxx
(Above entry represents Income pertaining to transfer of Income to respective FYs on proportionate basis)

➢ Methodology adopted for recognition of revenue and their bifurcation of the empanelment period:
i. First receive the fee for ASM/FAE empanelment and pass receipt entry.
ii. Raise the Invoice and pass income recognition entry. .
iii. Pass refund entry in case there is any rejection/return of application.
iv. Pay GST associated with collection of application money as well as the collection of empanelment fee in the same fiscal year.
v. Segregate empanelment fees into deferred income immediately after the selection process is complete and transfer the income to respective
Financial years. Income segregation should be based on the number of months of validity period falling in each Financial Year and income
transfer (apportionment) entry is to be passed accordingly.

35 | P a g e
H. Publication/Advertisement Income

a) Advertisement income:
I. Model Accounting entry to be passed at the time of recognising (Invoicing) of Advertisement Income:
At the time of Recognition (Invoicing) of Advertisement Income
Particulars Grouping Dr Amt Cr Amt
Member Advertisement Account CA (TR) xxxxxxxx
Advertisement Income P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

At the time of actual receipt of Advertisement Income

Particulars Grouping Dr Amt Cr Amt
Bank CA (Bank) xxxxxxxx
Member Advertisement Account CA (TR) xxxxxxxx

b) Publication Income Others:

J. Model Accounting entry to be passed at the time of recognising (Invoicing) of Publication Income from sale of
books/publications:
At the time of Recognition (Invoicing) of Publication Income
Particulars Grouping Dr Amt Cr Amt
Party Account CA (TR) xxxxxxxx
Publication Income Others P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

At the time of actual receipt of Advertisement Income

Particulars Grouping Dr Amt Cr Amt
Bank CA (Bank) xxxxxxxx
Party Account CA (TR) xxxxxxxx

36 | P a g e
 c) Publication Income LT (Transport Operator)- Publication Income (Application Fee): The Transport Operator (TO) approaches the Association
for fresh recommendations. First IBA sends them eligibility criteria and Transport Operator goes through the eligibility criteria and sends
confirmation that they meet the eligibility criteria. Thereafter they are provided with an application booklet for which Transport Operator is
charged with an amount of Rs.2,625/-, which is a non-refundable application form book cost.

I. Model accounting entry to be passed at the time of receipt of booklet cost from the Transport Operator in the books of accounts:

At the time of Receipt of Publication Income (LT) ie. Application form book cost from Transport Operator
Particulars Grouping Dr Amt Cr Amt
Bank CA (Bank) xxxxxxxx
Transports Operator Party Account CA (TR) xxxxxxxx
II. Model accounting entry to be passed at the time of recognising (Invoicing) of above Publication Income LT (Transport Operator)

At the time of Recognition (Invoicing) of above Publication Income (LT)

Particulars Grouping Dr Amt Cr Amt
Transports Operator Party Account CA (TR) xxxxxxxx
Publication Income (LT) P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

I. Conference Income:

a) FIBAC:
Federation of Indian Chambers of Commerce and Industry (FICCI) and Indian Banks’ Association (IBA) are jointly organising
FIBAC.
Indian Banks’ Association (IBA) along with FICCI organizes FIBAC which is the largest Annual Global Banking Conference in India. Association
also uses the services of some global strategy consulting firm, as a Knowledge Partner for this event. Over the years, FIBAC has become a
marquee event and the conference has truly positioned itself as one of its kind in terms of knowledge dissemination where a lot of thoughts and
leadership comes out, knowledge reports are released, and emerging trends are discussed. FIBAC also provides individual decks to participating
banks with benchmarks on their productivity levels on over 200 vectors against other peers as well as within the bank through confidential data
collation and analysis.

37 | P a g e
 The research is facilitated by massive data collation from almost all Indian banks. 'Productivity Benchmarking Survey' is a part of the conference,
which covers surveys on Bank productivity across major dimensions such as sales productivity, employee productivity, service productivity,
cost efficiency, technology etc. The findings of these surveys are presented in FIBAC.

FIBAC Conference is primarily organised and managed by FICCI. All collections and payments are handled at FICCI level. Sometimes
delegate’s fee payable by members of IBA are received at our end. However, the same is informed to FICCI for taking into consideration as
collection. After the event, if there is any surplus the same is shared between FICCI and IBA on 50:50 basis..

At the time of recognising Delegation Fees (FIBAC)

Particulars Grouping DR
Amt Cr Amt
Member Account (FIBAC) CA (TR) xxxxxxx
To FIBAC Conference Delegate Fees P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx
(FIBAC Delegate Fees)
a)

At the time of actual receipt of Delegate Fees Income (FIBAC)

b)

Particulars Grouping DR Amt Cr Amt

Bank CA (Bank) xxxxxxx
To Member Account (FIBAC) CA (TR) xxxxxxx

I. Model accounting entry to be passed at the time of recognising (Invoicing) income from FIBAC Conference and its actual
receipt:

At the time of recognising Conference Income (FIBAC)

Particulars Grouping DR
Amt Cr Amt
Member Account (FIBAC Conference) CA (TR) xxxxxxx
To FIBAC Conference Income P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx
(FIBAC Surplus is shared between IBA & FICCI on 50:50 basis)

38 | P a g e
c)

At the time of actual receipt of Conference Income (FIBAC)

d)

Particulars Grouping DR
Amt Cr Amt
Bank CA (Bank) Xxxxxxx
TDS Receivable CA (Loans & Advances) Xxxxxxx
To Member Account (FIBAC Conference) CA (TR) xxxxxxx

b) PICUP Fintech Conference:

PICUP fintech is an event organized by FICCI and Indian Banks Association (IBA). A knowledge partner for the event is also appointed. The
conference helps in bringing together leading Fintech players, Bankers, NBFCs, Insurance Companies, Technology experts and policy makers at
this common platform to discuss and analyse several innovations that are redefining the financial services industry and also look at developing
potential fruitful collaborations. It also offers several components which include stimulating discussions, demo presentations and awards.

The PICUP Fintech Awards which are given in PICUP Fintech Conference were first instituted in the year 2017. It aims to recognise and award
the best innovations from Fintech companies in diverse areas. Over the years the PICUP Fintech Awards has positioned itself as the most
distinguished awards in the Fintech Industry in the country. Each year leading Fintech Companies apply for awards in various categories and
the applications are evaluated by the distinguished jury panel.

PICUP Fintech Conference is primarily organised and managed by FICCI. All collections and payments are handled at FICCI level. If there is
any surplus after meeting all expenses, the same is shared between FICCI and IBA on 50:50 basis.

39 | P a g e
 I. Model accounting entry to be passed at the time of recognising (Invoicing) income from Picup-Fintech Conference & its actual receipts :

At the time of recognising (Invoicing) Conference Income (Picup Fintech)

Particulars Grouping DR Amt Cr Amt
Member Account (Picup Fintech Conference) CA (TR) xxxxxxx
To Picup Fintech Conference Income P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxxx

At the time of Actual receipt of Conference Income (Pickup Fintech):

Particulars Grouping DR Amt Cr Amt
Bank CA (Bank) xxxxxxx
TDS Receivable CA (Loans & Advances) xxxxxxx
To Member Account (Picup Fintech Conference) CA (TR) xxxxxxx

c) Banking Technology Conference:

Association is organising its flagship Banking Technology Conference , Expo & Citations since 2003 for the benefit of all member Banks and patrons.
This Conference provides platform to member Banks as well as Technology solution providers, a common platform for interaction and displaying
and adopt newest innovations and solutions to bank related issues so as to provide seamless customer service. Association also uses the services of a
knowledge partner to ensure selection of domain experts as panellist and selection of most relevant and useful topics for discussion. Knowledge
partners moderates the panel discussion:

I. Model accounting entry to be passed at the time of recognising (Invoicing) Banking Technology Conference Income & at its actual receipt:
At the time of recognising (Invoicing) Conference Income (BTC)
Grouping Dr Amt Cr Amt
Member Account (BTC Conference) CA (TR) xxxxxxx
To BTC Conference Income P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx

40 | P a g e
 At the time of Actual receipt of Conference Income (BTC)
Grouping DR Amt Cr Amt
Bank CA (Bank) xxxxxxx
TDS Receivable CA (Loans & Advances) xxxxxxx
To Member Account (BTC Conference) CA (TR) xxxxxxx

d) HR Conclave:

The Indian Bank Association (IBA) proudly presents its HR Conclave, this landmark event brings together banking professionals, HR leaders, and
industry experts to navigate the evolving landscape of human resource management in the banking sector.

HR Conclave strives to get the best brains in HR domain and Banking on a niche platform to address various current and futuristic challenges and
provide opportunities. Senior bankers and practicing leaders strive to unravel the banking HR landscape as also offer pragmatic and workable
solutions for various compelling HR issues.
I. Model accounting entry to be passed at the time of recognising (Invoicing) HR Conclave Income and its receipt:

At the time of recognising (Invoicing) Conference Income (HR Conclave)

Particulars Grouping Dr Amt Cr Amt
Member Account (HR Conclave) CA (TR) xxxxxxx
To HR Conclave Conference Income P&L (Direct Income) xxxxxxx
To GST Payable GST Liability (D&T) xxxxxxx

At the time of Actual receipt of Conference Income (HR Conclave)

Grouping DR Amt Cr Amt
Bank CA (Bank) xxxxxxx
TDS Receivable CL (D&T -TDS Liability) xxxxxxx
To Member Account (HR Conclave) CA (TR) xxxxxxx

41 | P a g e
 J. Miscellaneous Income:

At the time of Recognition (Invoicing) of Miscellaneous Income

Grouping Dr Amt Cr Amt
Party Account CA (TR) xxxxxxxx
Miscellaneous Receipts P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx

At the time of Actual receipt of Misc Income

Grouping DR Amt Cr Amt
Bank CA (Bank) xxxxxxx
To Party Account CA (TR) xxxxxxx

K. Interest Income:

IBA earns interest income through its investment in Fixed Deposits with various banks. Interest income is recognised in the books of accounts
based upon:

a) Accrual Methodology
b) Frequency of Interest Calculation at quarterly basis.
c) In case of premature payment, interest will be booked at the time of premature breaking of Deposit receipt.

42 | P a g e
 Interest Income Recognition

a) Recognition Criteria for Interest income:

➢ Interest should be recognised on quarterly basis in the books of accounts and should be cross verified with 26AS/16A/ AIS & TIS. In case
of any difference, the same must be reconciled before the closing of books of accounts or completion of Audit, whichever is earlier.
➢ In case of FDs where instruction is to pay the interest in bank account on monthly or quarterly basis. The same is to be recognised as
income at the time of receipt of interest in bank account.
➢ If any fixed deposit is encashed before its maturity, recognition of Interest income will be done on receipt of payment in the bank.

I. Model Accounting entries to be passed at the time of recording Interest Income in the books of accounts:
a)Accrued Interest Income recognition entry where Bank has added the amount in Fixed Deposit:
Particulars Grouping Dr Amt Cr Amt
Investment in Fixed Deposit CA (Investment) xxxxxxxx
TDS Receivable on Fixed Deposit CA (Loans & Advances) xxxxxxxx
To Interest from Deposit P&L (Indirect Income) xxxxxxxx

II. Model Accounting entries to be passed at the time of recording Interest Income in the books of accounts:
a) Accrued Interest Income recognition entry where interest is not added in FD by the Bank:
Particulars Grouping Dr Amt Cr Amt
Accrued Interest CA (Provision) xxxxxxxx
TDS Receivable on Fixed Deposit CA (Loans & Advances) xxxxxxxx
To Interest from Deposit P&L (Indirect Income) xxxxxxxx
• All provisi

b) Interest Income recognition entry where interest is credited in our Bank account:
Particulars Grouping Dr Amt Cr Amt
Bank CA (Bank) xxxxxxxx
TDS Receivable on Fixed Deposit CA (Loans & Advances) xxxxxxxx
To Interest from Deposit P&L (Indirect Income) xxxxxxxx

43 | P a g e
 c) Interest Income recognition entry (In case of premature payment of FD)
Grouping Dr Amt Cr Amt
Bank CA (Bank) xxxxxxxx
TDS Receivable on Fixed Deposit CA (Loans & Advances) xxxxxxxx
To Fixed Deposit Investment xxxxxxxx
To Interest from Deposit P&L (Indirect Income) xxxxxxxx

L. Segmental Accounting (Segment wise Reporting of Income):

Non-Mutuality Income

i. IBA is having mutuality as well as non-mutuality income. From Direct Tax point of view, mutuality income is not taxable. Whereas non-
mutability incomes are taxable. Income Tax Act section 44A provides that all expenses incurred for earning any taxable income can be set off
against the taxable income and the amount of income which is left after setting off such expenses will be taxed. As such, Association is required
to follow a system of segmental accounting. Under this system, accounts department will keep separate records of all expenses which are
directly identifiable for earning non-mutuality income. At the time of computation of income, such directly identifiable expenses incurred for
earning non-mutuality income will be set off against the taxable incomes and tax will be computed on the balance amount of such taxable
incomes.

ii. As such all direct expenses & clearly identifiable expenses will be adjusted against the respective Incomes earned through the activities of
recommending Transport Operators, Security Printers, Agencies for Specialized Monitoring (ASM), Forensic Auditors Empanelment (FAE),
Conference Income and Indian Banker publications. There may be other activities also which may qualify this norm.

iii. It is preferred that at the time of incurring actual expenditure, the same are identified and set off against the respective mutuality and non-
mutuality income.

44 | P a g e
 10. Receipts for Various Earmarked Funds of IBA:

Contingency Fund Fixed Assets Other than Special Fixed Asset Building
Entrance Fee Fund Building Fund
Building Fund Infrastructure Fund

•The entire amount of •Represents the members' •Amount equal to full year •This fund was initially •Managing Committee in its
contribution received during contribution for purchase of Basic Annual Subscription is created to build a corpus for meeting held on 28.01.2014
any Financial Year from the Fixed Assets other than collected from all the new purchase of building for the started a Special Fixed Asset
Associate members is building. This Fund is members at the time of their Association. Building- Infrastructure Fund
transferred to Contingency presently not being used and admission as member of the with the objective to purchase
Fund. The Fund is utilized for has been kept for use as and Association. Subscription are Office Space for IBA by
settling Tax demands and when requiered. Presently no parked in this fund for future creating a corpus of Rs. 50.00
related expenses. new amount is being credited utilization. •Subsequetly, MC approved cr over a period 36 years, as
to this fund. for creation of Specialised the lease period of IBA's
Fixed Asset Building Fund in Corporate Office with
•This is an earmarked fund, as 2014. As such, no further
such, income worked out on MVIRDC would expire in
•This is an earmarked fund, as contribution was credited in
•This is an earmarked fund, as the basis of net average rate of 2050. As such, Managing
such, income worked out on this fund.
such, income worked out on yield on investment multiplied Committee approved
the basis of net average rate of
the basis of net average rate of with opening balance of the collection of 20% additional
yield on investment multiplied •This is an earmarked fund, as
yield on investment multiplied fund, is crdited to the fund in contribution over and above
with opening balance of the such income worked out on
with opening balance of the each FY. the applicable BAS from
fund, is crdited to the fund in the basis of net average rate
fund, is crdited to the fund in Ordinary Members towards
each FY. of yield on investment
each FY. Special Fixed Asset Building-
multiplied with opening Infrastructure Fund.
balance of the fund, is
credited to the fund in each •.This is an earmarked fund, as
FY. such income worked out on
the basis of net average rate of
yield on investment multiplied
with opening balance of the
fund, is crdited to the fund in
each FY.

45 | P a g e
11. Receipts for Specific Projects of IBA:
Specific Projects Undertaken by IBA: Association carries out various activities/projects as directed by Managing Committee from time to time. Some times
Association spends the amount first form its own sources and thereafter recovers the same from the participating members. However, for activities/projects which
require sizeable expenditure, Association do collect the share from participating members upfront and later on it is used for meeting related expenditure. However,
for activities/projects which are going to take longer time and expected expenditure is also large, Association creates a corpus and all expenses related to that project
over a period of time are spent from this corpus. In any case, entire amount collected is utilised for activity/project for which it has been collected on no profit &
Loss basis. Brief details and purpose of these funds are given as under:

DIGITAL PAYMENT AD CAMPAIGN FUND MEDIA CAMPAIGN FUND MAB FUND

digital payment Ad Campaign Fund

Media Campaign Fund: IBA initiated many

MAB Fund: A Show Cause Notice (SCN)
proactive measures/initiatives in various
available modes for the benefit of the customers was issued to various member banks for
as well as the bankers like release of not levying and paying GST on charges
Digital Payment Ad Campaign Fund: advertisement in newspapers in English, Hindi collected by banks from customers on
At the instance of Ministry of Finance, and Local languages during COVID pandemic in account of not maintaining Minimum
Government of India, IBA had initiated order to guide Industry to provide uninterrupted average quarterly balance.
Digital Payment Ad Campaign to banking services during the Corona lockdown
period resulting in wide spread disruption of The Managing Committee discussed the
improve awareness on Security of
economic activities. issue and concluded that the demand
Cards, and Educate public for more and
more use of alternate channels for raised on banks does not appear to be
As such, in co-ordination with DFS, IBA carried
payments. This was to ease the justified. As such individual banks
out various ad campaigns, media publicity,
difficulties being faced by public during initiatives to educate and make the public aware affected by the above SCN gave their
as well as the post demonetisation. To as to which, where & how the banking services mandate to IBA to proceed legally
meet the expenditure for these can be availed during COVID period. IBA carried against it by filing a writ petition in reply
activities a corpus to the tune of Rs. out this Media Ad Campaign continuously during to SCN.
25.00 crores was created by way of the entire period of COVID till the banking
collections from the member banks. operations and services in the country became Fund was created to meet the expenses
normal. In order to meet the unforeseen for engaging Senior Counsel and subject
expenditure in such activities in future also, IBA Tax experts and other expenses related
created a corpus which was used for carrying out
to above case. 46 | P a g e
campaigns and activities as described above.
Digital payment Ad Campaign Fund ENHANCED ACCESS & SERVICE PRADHAN MANTRI MUDRA YOJANA
BHARAT QR CODE FUND
EXCELLENACE (EASE) Fund (PMMY) FUND

Pradhan Mantri Mudra Yojana (PMMY):

Govt. of India had set an ambitious target of
Enhanced Access & Service Excellence financing to the tune of ₹ 1,22,218 cr under
BHARAT QR CODE was launched on 20th (EASE): The Department of Financial Pradhan Mantri Mudra Yojana (PMMY)
February 2017 by Shri R. Gandhi, Deputy Services, Government of India vide its letter during the Financial Year 2015-16 and
Governor, RBI. It is a common quick dated April 5, 2018 advised IBA to monitor accordingly had assigned individual targets
response (QR) code standard, uniform the performance of Public Sector Banks to all the Public Sector Banks, Private Sector
across banks, Rupay, Visa, Master Card and (PSBs) under PSB Reforms Agenda – (EASE). Banks and Regional Rural Banks.
American Express Cards. The process and the constitution of the
evaluation Committee including sharing of In order to achieve the target assigned for
The inaugural function was co-ordinated by fees was agreed by all banks. the year in a speedy manner, GOI had
IBA. The expenses in this connection as well
mooted the idea of an IBA co-ordinated
as cost of launch advertisements placed in After going through the usual selection media campaign to create greater
leading newspapers on the subsequent days process, the Evaluation Committee awareness about the Mudra Scheme.
(i.e. 21st & 22nd February 2017) was shared constituted for this purpose, unanimously
by the four networks and 7 banks who were decided to engage the services of External Accordingly, a Working Group was formed
involved in the initial stage. The concerned Consultants for monitoring of performance to recommend appropriate budget and
members were required to route their of PSBs under PSB Reforms Agenda (EASE). decide the delivery channels and media
contribution to IBA and IBA was mandated to Fee of the consultant and other expenses plan for taking forward this activity. As such,
maintain a pool account for making the incurred by IBA are being shared amongst a corpus was created by collecting amounts
payment of expenses incurred. the members in the ratio of their working upfront from member banks to meet all
fund. expenses for creating awareness through
various modes including media channel.
This Fund was named as PMMY Fund.

47 | P a g e
12. Expenses:
Expenses Recognition: On Accrual basis
Expense Classification:

Direct Expenses Indirect Expenses Transfer to

Funds

Admin & Support Depreciation

Services Expenses
Amount
Establishment Expenses Transferred to
Contingency
Fund/SFAB Fund
Project/Activity related
Recoverable Expenses
Income Tax
Payment
Mutuality Expenses Transfer to other
Funds as on Balance
Sheet Date
Non Mutuality Expenses
Provision for Doubtful
Debts
Research & Publication
Expenses

Seminar & Conference

Expenses

48 | P a g e
A. Administrative Expenses
It majorly, includes expenses incurred on conveyance, rent, rates & taxes, electricity charges, telephone expenses, printing & stationery, courier charges,
advertisement expenses and stationary payments. The other major expenses would be seminar & conference, traveling, repairs & maintenance etc.
B. Establishment Expenses
Includes payments related to salary, contribution to EPF & Pension scheme, Payments on account of staff medical expenses, staff welfare expenses,
training expenses, LTC, leave encashment, recruitment expenses, gratuity payment and any other expenses incurred on staff.
C. Project/Activity/Scheme related Recoverable Expenses:
Shall include all the expenses directly related to the specific activity/scheme/project carried out by the association. As per the rules of the Association,
expenses which are spent on projects/activities related to only a section of members, such expenses are to be recovered from the concerned members
in the ratio decided by the Managing Committee. Many a times, we spend the amount first and recover it later. So till such time the amount spent is
not recovered, expenses are shown under Recoverable Expenses under that Project/Activity/Scheme.
D. Mutuality and Non-Mutuality Expenses:
Expenses which are incurred for earning non-mutuality income are called non-mutuality expenses. All other Expenses which are general in nature
and can-not be assigned/allocated to a non-mutuality income, are called Mutuality Expenses. As per the provisions of Income Tax act, all direct
Non-Mutuality expenses are allowed as deduction for calculation of taxable liability of non-mutuality income. Organisation which have both
Mutuality and Non mutuality incomes may follow segmental accounting method, which provides saving on overall tax liability.
E. Research & Publication-
Expenses incurred on printing and publication of books, periodicals and magazines are grouped under Research & Publication Expenses.
F. Seminar & Conference:
IBA organises and participates in various seminars and conferences every year, like Banking Technology Conference, HR Conclave, ESG, SIBOS,
FIBAC, PICUP-Fintech, IBFED etc. Expenses incurred for organising such events are grouped under Seminar & Conference Expenses. Expenses
incurred on SIBOS & IBFED are termed as Seminar and Conference Overseas delegation.
G. Provision for Doubtful Debts –
Total amount of Basic Annual Subscription & Share in Expenses pending for more than 6 months is shown under Provision for Doubtful Debts.
H. Depreciation –
Deprecation charged on fixed assets is shown here.
I. Income Tax Payment –
Income Tax paid for the current Financial Year is shown here.
J. Transfer to Contingency Fund –
As per Managing Committee directions, total amount of BAS billed to Associate members is transferred to Contingency Fund every year. Contingency
fund has been created for meeting any tax liability or any other contingent liability of the Association for which no other separate provision is made.
K. Transfer to Special Fixed Asset Infrastructure Building Fund (SFAB):
As per Managing Committee directions, 20% of the BAS billing amount of Ordinary Member is transferred to Special Fixed Asset Infrastructure
Building Fund.

49 | P a g e
Steps of Expenses Voucher Process:

a) Manager Accounts will verify the supporting invoices of expenditure & approved notes of the Competent Authority.
b) Manger Accounts or the person handling transaction in tally will pass the entry in the books of accounts (in Tally) by considering the statutory
dues like GST, TDS etc.

c) While deducting TDS, the person should ask for PAN details of party. In case the party holds certificate for lower deduction, the same be
obtained and rate of deduction be applied accordingly.
d) TDS rate to be deducted as per the rate provided for that activity in Income Tax Act 1961.

e) Checker will verify the entry in the tally.

f) Once the entry recorded and checked in tally, payment will be processed in the bank as per the delegated powers to operate banks accounts
approved by MC.

I. Model Accounting entry for recording of expenses in the books of accounts:

General Expenses (Rent, Repairs & Maintenance, Professional Fees, Staff Welfare, Travelling, Hotel Expenses, Meeting
Expenses, Printing & Stationary, Pooja Expenses, Postage, Telephone, Legal Expenses, Subscription to Books &
Periodicals, Advertisement Expenses
Particulars Grouping Dr Amt Cr Amt
Respective Expenses Account P&L (Direct Expenses) xxxxxxxx
Eligible GST Input Credit D&T (GST Liability) xxxxxxxx
Ineligible GST Input Credit D&T (Indirect Expenses) xxxxxxxx
To Party Account (Sundry Creditors) CL (TP) xxxxxxxx
To TDS Payable D&T(TDS Liability) xxxxxxxx

50 | P a g e
 Insurance Expenses Entry where splitting is required
Particulars Grouping Dr Amt Cr Amt
Insurance Expenses Account (Current Year) P&L (Direct Expenses) xxxxxxxx
Prepaid Insurance Expenses Account (Subsequent Years) CA (Prepaid Expenses) xxxxxxxx
Ineligible GST Input Credit D&T (Indirect Expenses) xxxxxxxx
To Party Account (Sundry Creditors) CL (TP) xxxxxxxx

II. Model Accounting entry for provision of expenses entry at the end of the year in the books of accounts where we have details of vendors:

Provision for Expenses Entry where we have details of vendor :

Particulars Grouping Dr Amt Cr Amt
Respective Expenses Account P&L (Direct Expenses) xxxxxxxx
To Party Account (Sundry Creditors) CL (TP) xxxxxxxx
To TDS Payable D&T(TDS Liability) xxxxxxxx

III. Model Accounting entry for payment of expenses:

General /Insurance Expenses Payment Entry

Particulars Grouping Dr Amt Cr Amt
Party Account (Sundry Creditors) CL (TP) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

Advance given to Party/Vendor against expenses:

Particulars Grouping Dr Amt Cr Amt
Sundry Creditors (Party Account) CL (Trade Payable) ) xxxxxxxx
To Bank CA (Cash/Bank) xxxxxxxx
At the time of receipt of Invoice
Expenses P&L (Direct Expenses) xxxxxxxx
To Sundry Creditors (Party Account) CL (Trade Payable) xxxxxxxx

51 | P a g e
 Advance given to employee against expenses
Particulars – Entry At the time of giving advance: Grouping Dr Amt Cr Amt
“X “Employee Account CL (Trade Payable) xxxxxxxxx
To Bank CA (Cash/Bank) xxxxxxxx
At the time of receipt of claim of Expenditure & other details
Respective Expense Account P&L (Direct Expenses) xxxxxxxx
To “ X “ Employee Account CL (Trade Payable) xxxxxxxx

Model accounting entry for booking of Salary Expenses in the accounts:

Salary Vouching Entry

Particulars Grouping Dr Amt Cr Amt
Salary IBA P&L (Establishment Expenses)
xxxxxxxx
CL (D&T)
To Employees Contribution to EPF xxxxxxx
CL (D&T) xxxxxxx
To EPF Voluntary
CL (D&T) xxxxxxx
To Professional Tax
CL (D&T) xxxxxxx
To Interest Free Advance
CL (D&T) xxxxxxx
To Staff Welfare Expenses (Canteen Deduction)
CL (D&T) xxxxxxx
To Tax Deducted at Sources
CL (Salary Payable) xxxxxxx
To Salary Payable H.O

IV.Model accounting entry for Salary payment in the accounts:

Salary Payment Entry
Particulars Grouping Dr Amt Cr Amt
Salary Payable H.O CL (Salary Payable) xxxxxxxx
To Bank CA (Bank) xxxxxxx

52 | P a g e
V. Model accounting entry for Arrear of Salary in the accounts:
Salary Arrears vouching Entry

Particulars Grouping Dr Amt Cr Amt

Salary Arrears to Staff P&L (Establishment Expenses) xxxxxxxx
To Employees Contribution to EPF CL (D&T) xxxxxxxx
To EPF Voluntary CL (D&T) xxxxxxxx
To Professional Tax CL (D&T) xxxxxxxx
To Interest Free Advance CL (Loans & Advances) xxxxxxxx
To Tax Deducted at Sources CL (D&T) xxxxxxxx
To Arrears of Salary Payable H.O CL (Salary Payable) xxxxxxxx

Salary Arrears Payment Entry

Particulars Grouping Dr Amt Cr Amt

Arrears of Salary Payable H.O CL (Salary Payable) xxxxxxxx

To Bank CA(Bank) xxxxxxxx

VI. Model accounting entry for expenses recognition in foreign currency:

Recognition of Expenses in Foreign Currency

Particulars Grouping Dr Amt Cr Amt

Respective Expenses Account P&L (Direct Expense) xxxxxxxx
To Sundry Creditors CL(TP) xxxxxxxx
To TDS Payable (wherever applicable) D&T (TDS Liability xxxxxxxx

53 | P a g e
VII. Model accounting entry for payment towards expenses incurred in foreign currency:
Payment towards Expenses Incurred in Foreign Currency

Particulars Grouping Dr Amt Cr Amt

Sundry Creditors CL(TP) xxxxxxxx
Foreign Exchange Loss (if any) P&L (Indirect Expense) xxxxxxxx
To Bank CA (Bank) xxxxxxxx
To Foreign Exchange Gain ( if any) P&L (Indirect Income) xxxxxxxx

Periodicity of recognitions of Recoverable Expenditure:

Sl. No Expenditure Timeline of Recovery

1 EASE Yearly Recovery

2 BIP Every 6 months or 12 months depending upon the quantum.

3 Customer Service Survey Yearly Recovery

4 HR Legal Yearly Recovery

5 SIBOS Yearly Recovery

6 Digital Banking Unit (Yearly Recovery)

7 Any other Recoverable Expenses As approved by MC

54 | P a g e
13. Cash & Bank Payments:

CASH & CHEQUE BOOK CONTROLS

Cash Payment

o Cash payments to be kept minimum. However, to meet the day to day expenses like conveyance, minor repair, small amount reimbursement,
buying petty items etc. Cash float of Rs. 20,000 each will be maintained at registered office and other places of business (i.e. Stadium house.
WTC) in Mumbai and Delhi Office.

o All payments to be supported by necessary documents and approved as per delegation matrix.

o Cash Balance to be verified on regular basis to ensure reconciliation with book balance by Concurrent Auditor.

o No cash payment to be done above the delegation matrix approved by the Managing Committee from time to time.

o Balance confirmation to be obtained before closing the books of accounts.

o No cash payment more than Rs. 10,000/- in a single day to single person as per income tax act 1961.

55 | P a g e
Control of Cash:
Imprest Limits
• The cash be maintained within the Imprest limits of Rs 20,000/-.
ii. Safe Box
•The cash should be kept in a safe under lock and key.
iii. Withdrawals
•Normally, we avoid making payment in cash. However, wherever required, the amount of cash should be
withdrawn based on the payments to be made on a particular day. There will be no cash balance other than petty
cash. Record of the petty cash payments and cash withdrawals are to be properly maintained on day to day basis.
The cash at any point of time should be maintained within the limit.

iv. Reconciliation

•The cash should be counted and tallied with books of acocunts. At the end of the day, denomination wise details
should be recoded in a register. The person handling the cash and the concerned officer in accounts department
should sign the records.
•As at the end of every quarter, balance amount of petty cash is to be deposited in Bank account of the Association.
At the start of fresh quarter, new petty cash amount should be withdrawan. It will help in seamless reconciliation
of petty cash and will avoid occurance of very old petty cash amount outstanidng in books of accounts.

v. Surprise checks
•A physical verification of cash should be carried out monthly by the Internal audit team. There should also be
surprise checks by the SVP/Vice President F & A.

vi. Supporting/ Approvals

•Cash payments should be made only against paper bills, cash memos, etc. In case no supportings are available, the
employee should give a declaration of amount spent. The payment should be duly approved as per the specified
procedures.

56 | P a g e
Letter for Petty Cash Expenses:

Vice President/ SVP - Finance & Admin

Indian Banks' Association
Mumbai 400020

Madam,

Reimbursement of Petty Cash Float

Kindly reimburse Rs. XXXX.00 (Rupees XXXXXXXXXXX only) being the expense incurred for the _________period month) as
detailed below:

Amount of Expenses incurred xxxxx

Cash on Hand xxxxx
Total Petty Cash Float xxxxx

(Should be accompanied by printed & signed Excel sheet with vouchers containing entry wise details of petty cash payment)

57 | P a g e
Proforma of Petty Cash Voucher:

The specimen of petty cash voucher can be used for single day payment to receiver.
Indian Banks’ Association
World Trade Centre Complex/ Stadium House/Delhi Office
Petty Cash Voucher

Debit _____________________________________ A/c ₹ __________ PCV No.

Pay To ____________________________________ Total ₹ __________ Date:

Received from INDIAN BANKS’ ASSOCIATION, The sum of ₹ ___________________________________ in

Cash being _______________________________________________________________________________
_________________________________________________________________________________________
_____________ _____________ ________________
Cashier VP/SVP ( F & A) Reciever’s Signature

58 | P a g e
 Bank Payments
o Payments to be made preferably through online mode unless and otherwise requested by the vendor or service provider giving justified
reasons. All payments to be approved as per authorisation matrix approved by the Managing Committee.
o All Bank account balances to be reconciled on a regular basis.
o Bank Balances confirmations to be obtained before closing of the books.

o For all cheques issued but not encashed by the recipient beyond 3 months, letter for stop payment to be sent to banks after confirming with
the party for non-payment. Payment entry to be reversed after confirming non-receipt.

Control on Cheques & Investment Receipts:

Custody of • The cheque books and Investment Receipts to be kept in a safe custody with VP or SVP F&A.
cheque
book/Investment
Receipts

• The cancelled cheques to be defaced. The MICR numbers of cheques cancelled should be attached in the
Cancelled counter foil in the serial order
Cheques

• The serial controls of the cheque book should be available in tally and be checked on monthly basis and by
Serial surprise visits by the Internal audit team
Controls

59 | P a g e
Delegation of powers to Sanction Revenue & Capital Expenditure:
Primarily, Chief Executive is authorised for incurring expenditure, sign cheques or deal with funds and properties of the Association, as per the
delegation approved by the Managing Committee (Rule 94). The powers to incur expenditure or sign cheques, or deal with the funds of Association
cannot be delegated by the Chief Executive to and cannot be exercised by any other person without the authority of the Managing Committee (Rule
95). Approval of the Managing Committee related to financial delegation is designation specific. However, Managing Committee by virtue of
resolution has authorised Chief Executive to delegate the financial powers to incur expenditure, sign checks and operate bank account to other
officials within the overall limit sanctioned by the Managing Committee for that designation.
i. Delegation to sanction Revenue and Capital Expenditure - As approved in MC dated 8th September 2021, present delegation is
as under:
Expenses Authorization & Approval Delegation
(w.e.f 08.09.2021)
Designation Revenue Expenditure Capital Establishment Expenditure. Petty Cash
Expenditure [Budgeted & Non- Expenses
Budgeted] Only Staff
Budgeted Non-Budgeted
Related Expenditure
Chief Executive FULL FULL FULL FULL FULL

Dy. Chief Executive up to ₹ 5,00,000/- up to ₹2, 50,000/- ₹1,00,000/- FULL Up to ₹ 20,000/-

Sr. Advisor [HR] (only budgeted) NIL NIL NIL up to ₹ 1,00,000/- Up to ₹ 5,000/-

Sr. Advisor/Advisor (F & A) up to ₹ 1,00,000/- up to ₹ 50,000/- NIL NIL Up to ₹ 5,000/-

Sr. Vice President/Vice

up to ₹ 50,000/- NIL NIL NIL Up to ₹ 2,000/-
President (F & A)

All Revenue Expenditure (Budgeted) above ₹ 5,00,000/-, Non-budgeted Revenue Expenditure above ₹ 2,50,000/-, and all Capital Expenditure above
₹ 1,00,000/- would be referred to the Chief Executive for authorization.

However, signing of Tax papers/filing of Tax Returns will be done by Sr. Vice Presidents, Vice President-F & A/Vice President EST & HR.

Delegation of power as mentioned above, are designation specific, as such on change of the person on the above designations, the new incumbent
will automatically be authorized to use his designation. The Sanctioning authority will put forward the non-budgeted expenditure sanctioned by
him/her within his delegation to the next reporting authority for control purpose.
60 | P a g e
ii. Delegation to operate Bank Accounts – Managing Committee held on 18th November 2022 approved the process and the delegation
as under;
➢ Increase in levels of verification of online banking transactions: All transactions having monetary value upto Rs. 15.00 lacs in online
mode using Corporate Internet Banking will have Two levels of approval ie. Maker and Approver. However, transaction having monetary
value exceeding Rs. 15.00 lacs be subjected to three levels of approval ie. Maker, Checker and Approver as described below:
a. Transactions having monetary value upto to Rs. 15.00 lacs:

Sr no. Levels Role in Banking transaction

1 Level I Maker/Initiator
2 Level II Checker/Approver
b. Transactions having monetary value exceeding Rs. 15.00 lacs:
Sr no. Levels Role in Banking transaction
1 Level I Maker/Initiator
2 Level II Checker I
3 Level III Approver

a. OFFLINE MODE i.e by issuing cheques and authorization letters to operate Bank accounts
Sr. Mandate type Designation of the Official Monitory ceiling per transaction
Manager Jointly with
1 Joint operation Monitory ceiling up to Rs. 15.00 lacs
Vice President
Vice President Jointly with
2 Joint operation Monitory ceiling up to Rs. 50.00 lacs
Senior Vice President
Vice President or Sr Vice President Jointly with
3 Joint Operation Monitory Ceiling up to Rs. 75.00 lacs
Advisor or Senior Advisor
Vice President or Senior Vice President
4 Joint operation or Advisor or Senior Advisor Jointly with
Monitory ceiling up to Rs. 300.00 lacs
Dy Chief Executive
Vice President or Senior Vice President
No Monetary ceiling
4 Joint operation or Advisor or Senior Advisor or Dy Chief Executive
Jointly with Chief Executive

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➢ Joint Mandate for transactions in offline mode to be continued: All offline transactions which are carried out by way of issuing cheques
and authorization letters, irrespective of amount, will continue to be carried out under joint mandate as per the designation wise monetary
ceilings approved by the Managing Committee from time to time. However, endeavour will be made to carry out maximum number of
transactions in online mode only. Monetary ceiling approved in MC dated 18.11.2022 is given below:

a. ONLINE MODE - For all online transactions having monetary value not exceeding Rs. 15.00 lacs which are subjected to two
levels of operation/verification i.e Maker and Checker only.

Role in Banking Designation of the official Monetary Ceiling per day

Transactions
Maker/initiator Manager No monetary ceilings
Checker/approver Vice President/Sr. Vice President Rs. 15.00 lacs

c. ONLINE MODE - For all transactions exceeding monetary value of Rs. 15.00 lacs which are subjected to three levels of
operation/verification i.e Maker, Checker-I and Approver:

Role in Banking IBA Designation of the official Monetary Ceiling per day
Transactions
Maker/Initiator Manager No monetary ceilings
Maker/Initiator Vice President No monetary Ceilings
Checker I Vice President or Senior Vice President No Monetary Ceiling
Vice President Up to Rs. 15.00 lacs only
Senior Vice President Up to Rs.50.00 lacs only
Approver Advisor or Senior Advisor Up to Rs. 75.00 lacs only
Dy Chief Executive Up to Rs. 300.00 lacs only
Chief Executive No monetary ceiling

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 Managing committee in its meeting held on 18th November 2022 also approved the following delegations:

1. Chief Executive be and are hereby authorized to select and inform the names of Manager/s, Vice President/s, Senior Vice President/s, Advisor/s, /Senior
Advisor/s, Dy Chief Executive who will be delegated with financial powers to operate Corporate Banking account of the Association, within the monetary
ceilings approved by the Managing Committee. Chief Executive is also authorized to add/remove or change the names of such officials at any point of time
depending upon the requirement of the Association.”
2. Chief Executive, be and are hereby authorized to nominate Manager/s, Vice President/s, Senior Vice President/s, Advisors/s, Senior Advisor/s, Dy. Chief
Executive to operate the Corporate Banking Account of the Association and also to attest the Specimen Signatures of incumbent Manager/s, Vice
President/s, Senior. Vice President/s, Advisor/s, Senior Advisor/s Dy. Chief Executive as and when necessary, due to change in incumbency or for any
other reasons for operating Corporate Banking Account”.
3. Vice President/Senior Vice President/Advisor/Senior Advisor/Dy Chief Executive/Chief Executive be and are hereby authorized to open/renew/encash
Fixed Deposits with banks, transfer of funds without any monetary limit from one bank account of IBA to another bank account of IBA for the purpose
of investments in short term deposits/ long term deposits, and payment of Govt Taxes/Statutory dues in offline mode under joint operation and in
online mode having three levels of operation/verification, be and are hereby approved”.
Guidelines for making Purchase / awarding of jobs.
Minimum of three quotations shall be called for purchases / Awarding of Jobs of any order value exceeding Rs 5,00,000/- . Depending on exigencies,
CE can sanction up to Rs. 10,00,000/- without calling for three quotations. However, expenditure beyond Rs. 10,00,000/- should invariably be based
on three quotations. The expenditure related to purchases/awards of job for value exceeding Rs.5, 00,000 should be referred to an in-house committee
for examination and for giving appropriate recommendation to Chief Executive.

I. Model accounting entry for Adjustment of Payment against Sundry Creditors:

Adjustment of Receipts against Sundry Creditors /Members Collection

Grouping Dr Amt Cr Amt

Sundry Creditors (Party Account) CL (TP) xxxxxxxx
To Bank CA (Bank) xxxxxxxx
II. Model accounting entry for Adjustment of Receipts against Sundry Debtors:
Adjustment of Receipts against Sundry Debtors/Members Collection

Grouping Dr Amt Cr Amt

Bank CA (Bank) xxxxxxxx
To Sundry Debtors (Party Account) CA (TR) xxxxxxxx
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Guidelines for Processing & Payment of Bills (CE may amend the process depending upon the requirement of Association from time to time).

Concerned department will obtain

F & A Department
sanction from the Competent authority
as per delegation matrix.

Accounts Person

After obtaining sanction, will place the

order in accordance with the approval of
sanction.
Will follow the “Steps for Expenses Voucher Process” at
page 50 of this manual

On receipt of invoice, will ensure that

supply has been made as per the order
like quantity, brand, rate and conditions
of the sanction note
After verification, payment will be uploaded in Bank
Portal for online payment.

Will prepare Payment authorisation

which will be duly signed by the As per delegation to operate bank accounts, all transactions upto
competent authority as per delegation of Rs 15.00 lacs, has one layer of approval, as such can be approved
power. by Vice President or by any other official who has been granted
higher delegation to operate bank account

Will attach all Original Bills, Challans,

Sanction note etc. along with the payment
authorization and will send it to F&A
Department. requirement All payments exceeding Rs. 15.00 lacs, will be checked & verified
by VP or SVP online as checker I and will be approved by any
other delegatee as per delegation matrix approved by MC.
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14. INVESTMENTS ITS PROCESS & CONTROL:
•
All Investments in Mutual funds, Debt Funds or any other instrument which is permitted as per the Investment Policy of the Association
in vogue at that point of time, are decided by the Investment Committee. All investments in Bank FDs are decided by Advisor, Finance and
Admin. All investments to be accounted for on cost basis.
• Interest on Fixed deposit pertaining to earmarked funds will be added to the respective funds on net average yield basis.
• Managing Committee will decide on the earmarking of funds.
• Any excess cash available with the Association will be invested into the following asset classes.
1. Bank Fixed Deposit
2. Mutual Funds(including ETFs), Debt Funds, State Development Loans (SDLs).
3. Investment in any other form as may be thought fit by the management and which meets the criteria of Investment Policy of the
Association.
CONTROLS
1. Any investment of any amount except the Banks Fixed Deposits, will have to be recommended by Investment committee in accordance
with the provisions of Investment Policy in vogue at that point of time.
2. The risk exposure to all the asset classes above will be decided by the management.
3. The investment activity will be strictly carried out only with the excess available cash with the company.
4. Investment into any illegal activity is prohibited
5. Investments that have gone bad/loss will have to be booked or requisite provisioning is required to be made as per the management
decision
6. Investments will be monitored on a continuous basis, any major change at any point of time must be reported immediately to the
management
PROCESS
1. The Advisor F&A, to track the cash at bank, expected inflow and outflow and will decide investment of the excess cash in Fixed Deposits,
either in short term or long term basis depending upon the fund requirement of the Association.
2. Whenever a decision is to be taken for making any investment other than the investment in Bank FD, a report is submitted to the Investment
committee before taking a final call.
3. Advisor F & A will be required to place a monthly or quarterly report to the Investment Committee giving details of all Investments which
includes investment in Bank FDs also. Report contains present market value of investment, annualized rate of return with its comparison
to past trends, Bank wise and rate wise details of investment in FDs, present value of FDs which includes accrued interest and information
of prevalent FD rates in peer banks. .

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 Types of Investment

Investments are assets held by the

association for earning income by way of
dividends, interest, Capital appreciation, or
for other benefits of the association.

A long-term investment is an investment other

than a current Investment. Any investment in
A current investment is an investment that is by its property or any investment in land or buildings
nature readily realizable and is intended to be held that is not intended
for not more than one year from the date on which
such investment is made. to be occupied substantially for use by, or in the
operations of the investing enterprise, will come
under the categorty of Long term investment,.

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a) Fair market value:

Fair value is the amount for which an asset could be exchanged between a knowledgeable, willing buyer and a knowledgeable, willing seller in an
arm’s Length transaction. Under appropriate circumstances, market value or net realizable value provides evidence of fair value.

b) Market value & Cost of Investment:

Market value is the amount obtainable from the sale of an investment in an open market, net of expenses necessarily to be incurred on or before
disposal.
c) Cost of an investment.

The cost of an investment includes acquisition charges such as brokerage, Fees and duties. If an investment is acquired in exchange, or part exchange,
for another asset, the acquisition cost of the investment is determined by reference to the fair value of the asset given up. It may be appropriate to
consider the fair value of the investment acquired if it is more clearly evident.

d) Investments Recognition:
i. The carrying amount for current investments is the lower of cost and its fair value. In respect of investments for which an active market exists,
market value generally provides the best evidence of fair value
ii. Long-term investments are usually carried at cost. However, when there is a decline, other than temporary, in the value of a long term investment,
the carrying amount is reduced to recognize the decline.
iii. Long-term investments are usually of individual importance to the investing enterprise. The carrying amount of long-term investments is
therefore determined on an individual investment basis.

e) Disposal of Investments:

i. On disposal of an investment, the difference between the carrying amount and the disposal proceeds, net of expenses, is recognized in the profit
and loss statement.
ii. When disposing of a part of the holding of an individual investment, the carrying amount to be allocated to that part is to be determined on the
basis of the average carrying amount of the total holding of the investment.

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 f)

f) Interest on Investments

i. Association is not intended to generate revenue though it recovers expenditure incurred from the members. Members Contribute towards
expenses by way of subscription Fees as well as project specific contribution.
ii. Income earned on earmarked investments (including fixed deposits) is appropriated to respective funds on the basis of annualised net average
yield on all investments. Interest on surplus fund (Other than earmarked Fund) is utilized towards expenses incurred for the objectives of
Association.

g) Model accounting entries for investment accounting:

i) Model accounting entries for Investment in Fixed Deposit/ Mutual Funds:

Addition in Investment Account
Particulars Grouping Dr Amt Cr Amt
Investment Account (FD/Mutual Fund) CA (Investment) xxxxxxxx
To Bank Account CA (Bank) Xxxxxxxx

ii) Model accounting entry for booking of Interest income on Fixed Deposit (where Interest is added in FD):

Income on Investment Account

Particulars Grouping Dr Amt Cr Amt
Investment Account (FD) CA (Investment) xxxxxxxx
To Interest Income P&L (Indirect Income) Xxxxxxxx

iii) Model accounting entry for booking of Interest income on Fixed Deposit (where interest is received in Bank account:

Income on Investment Account

Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxxx
To Interest Income P&L (Indirect Income) Xxxxxxxx
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 iv) Model accounting entry for sale of investments in Fixed Deposit:

Sale of Investment
Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Bank) xxxxxxxx
Loss on Sale of Investment / P&L (Indirect Expenses) xxxxxxxx
Long Term/Short Term Capital Loss (Balancing Figure)
To Investment Account CA (Investment) xxxxxxxx
To Profit on Sale of Investment / P&L (Indirect Income) xxxxxxxx
To Long Term/Short Term Capital Gain (Balancing Figure)

v) Model accounting entry for Maturity of Fixed Deposits:

Entry at the time

Grouping Dr Amt Cr Amt
Bank CA (Bank) Xxxxxxxx
TDS Receivable on Fixed Deposit CA (Loans & Advances) Xxxxxxxx
To Interest from Deposit P&L (Indirect Income) xxxxxxxx
To Fixed Deposit CA (Investment) xxxxxxxx

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15. Fixed Asset Register and Accounting of Fixed Assets:
a) Grouping : All the fixed assets of the company will have to be grouped and coded as per the list mentioned below:

Sr no Group
1 Furniture and Fixtures
2 Computers
3 Office Equipment’s
4 Motor cars
5 Building
6 Land
o All addition and improvement to be covered by the CAPEX (Capital Expenditure) Budget duly approved by the Managing Committee.

o All significant improvement, addition, deletion, or disposition to be duly approved by the respective delegates as per the delegation approved
by MC for Capital Expenditure.

o Fixed assets are to be stated at cost of acquisition less depreciation. The fixed assets below Rs. 5000 are not to be capitalized.

b) Coding of Assets
All fixed assets will be recorded by the Department in Fixed Asset Register. Any fixed asset being transferred or disposed of will be recorded
on a Fixed Asset Transfer or Disposal Memo and submitted to the Department of Finance. Any disposal of asset has to be approved for Dy
Chief Executive or Chief Executive.

A set of codes must be established to uniquely identify each element in the fixed asset accounting system. This section of the manual provides
that coding of the assets will be done in the following manner.
1. Location
2. Class of Asset
3. Type of Asset
4. Year of purchase
5. Assets serial no
➢ Fixed assets should be serially numbered either using Bar Code/QR Code/Manually

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i. Flow Chart of the assets coding:

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c) Tagging

All fixed assets should be properly tagged with the numbers for the purpose of identification. The tagged number will indicate the categories
of assets and sequential registration numbers. The Tagged numbers of assets should also be recorded in fixed assets register.

d) Improvement and Repair:

i. Only expenditure that increases the future benefits from the Existing asset beyond its previously assessed standard of performance is
Included in the gross book value, e.g., an increase in capacity. That will be capitalized in books of accounts.
ii. The cost of an addition or extension to an existing asset which is of a Capital nature and which becomes an integral part of the existing
asset is usually added to its gross book value. Any addition or extension, which has a Separate identity and is capable of being used after
the existing asset is disposed of, will be accounted for separately.
iii. Expenditure that either improves the functionality of assets or significantly extends the assets useful life should be capitalized.
Expenditures, which do not meet this criterion, should be expensed out in the period in which it has been incurred. This would normally
include routine maintenance and repair costs.
iv. Any expenses incurred in the form of repair, maintenance or preventive maintenance should be capitalized, if all the following condition
are met.
• The repair and maintenance cost is equal to or exceeds 20% of the original cost.
• The productive life of the assets or its capacity (based on technical information) is increased by 12 month or more.
• The amount of repair and maintenance is equal to or exceeds Rs. 50000 for single asset.

e) Addition or Sale of Assets:

Where during any financial year any addition has been made to any asset or where any asset has been sold, discarded, demolished or destroyed
the depreciation on such assets shall be calculated on a Pro rata basis from the date of such addition or up to the date of such addition (in case of
addition). In case of disposal of asset, deprecation will be calculated up to date on which such assets has been sold, discarded, demolished or
destroyed.

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f) Initial cost of the Fixed Assets:

i. Accounting for fixed assets as per AS10- A fixed asset is an asset held with the intention of being used for the purpose of “producing
and providing goods or service and is not held in normal course of business”.
ii. Cost to include purchase price & attributable costs of bringing assets to its working condition for the intended use, it includes financing
cost for the period up to the date of readiness for use.
iii. Self-constructed assets are to be capitalized at cost that are specifically related to the assets & those which are allocable to the specific
assets.
iv. Fixed assets acquired in exchange or Part exchange should be recorded at fair Market value or Net Book Value of assets adjusted for
balancing payment cash receipts etc. Fair market value is determined with reference to the assets given up or the assets acquired
goodwill should be accounted for only when paid for.

g) Deprecation:

As per AS -6 Deprecation is a measure of wearing out, consumption or other loss of the depreciable assets Arising from use, effluxion of time
or obsolescence through technology and Market changes.

Depreciable asset is an asset which:

• Are expected to be used for more than one accounting year

• Are for limited useful life
• Are held by the company for the purpose of providing or producing goods and services.

Deprecation method:

• IBA is following the WDV method for calculating the depreciation

• Depreciation to be charged as per the rates mentioned below:
• Depreciation Rates:

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Period of Depreciation:

• As per the provisions of income Tax Act, if the date on which the asset is put to use falls on or before 03rd October, 100% of the
applicable rate of depreciation is to be considered, if the date falls subsequent to 03rd October, 50% of the applicable rate of depreciation
is to be considered for the purpose of calculation of depreciation.

• Depreciation on the assets is provided on written down value method, as per Income Tax Act,1961 except in respect of lease hold
buildings at the following rates which are applicable as on 31.03.2024. All changes will be updated in the accounting manual from
time to time in accordance with the changes in Income Tax Act 1961. :

Sl Assets Rates

1. Building (including roads, bridges, wells and tube wells

i Residential Use (except hotels) 5%

ii Other Use 10%

iii Temporary or Wooden Structure 40%

2 Furniture & Fittings (include electrical fittings like fans, wires, switches etc.) 10%

3 Plant & machinery

i Motor Vehicles 15%
-Acquired & put to use between 23.08.19 to 31.03.2020 30%
ii Motor Vehicles (Lorries, Buses, Taxi) used in Hire Business 30%
-Acquired & put to use between 23.08.19 to 31.03.2020 45%
v Computer & Computer Software 40%

vi Books (include annual publication or used in libraries) 40%

xi Other P&M 15%

4 Intangible Assets 25%

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 h) Fixed Assets Register:

To ensure adequate control over Fixed Assets and to facilitate calculation of depreciation, the details of all fixed assets should be
maintained in the Fixed Assets register. The register will be maintained in addition to the Fixed Assets control account. Register should have a
record all the assets, Accumulated Depreciation and purchase/disposal and Depreciation on assets during the accounting period.

The Register should be maintained as per the format given below:

S.N DESCRIPTION, IDENTITY AND PURCHASE DETAILS OF

ASSET LOCATION PURCHASE PRICE DETAILS DEP & RESIDUAL VALUE ADJUSTMENT & REMARKS

DEP RECIATION FOR CURRENT YR

Increase (Decrease) through

DATE OF WHICH ASSET IS PUT TO

ACCUMULATED DEPRECIATION

net exchange difference

ASSET IDENTIFICATION NO.

ORIGINAL COST OF ASSET

Revaluation increase
INSTALLATION & OTHER

TOTAL DEPRECIATION

Other Adjustment
SUPPLIER'S BILL NO.

PRINCIPAL VALUE
SUPPLIER'S NAME

RESIDUAL VALUE
LOCATION CODE
NAME OF ASSET

DESCRIPTION

DATE OF BILL

(decrease)
LOCATION

REMARKS
CHARGES

(11+12+13)
TAXES

(15+16)

(14-17)
USE

(1)
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22

i. Physical verification of Fixed Assets:

The Fixed Assets of IBA should be physically verified at least once in a year or as per the instructions of the managing committee.

The association has regular programme of physical verification of its fixed assets by which all fixed assets are verified in a phased manner over a
period of maximum three years. The periodicity of physical verification of fixed assets should be decided having regard to the size of the association
and the nature and number of its assets.

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ii. Reconciliation of fixed assets with the books of accounts:

The balance appearing in the register should be reconciled with the balance in the books of accounts every year. In case of any difference, the
same should be reconciled before the yearly closure of the books.

i) Impairment of fixed assets –

AS-28, prescribes the procedures that an enterprise is required to ensure that its assets are carried at no more than their recoverable amount.

➢ An asset is carried at more than its recoverable amount, if its carrying amount exceeds the amount which can be recovered through use or
sale of the asset. If this is the case, the asset is described as impaired and this Statement requires the enterprise to recognize an impairment
loss. This Statement also specifies when an enterprise should reverse an impairment loss and it prescribes certain disclosures for impaired
assets.

➢ An impairment loss is the amount by which the carrying amount of an Asset exceeds its recoverable amount . Carrying amount is an amount
at which an asset is recognized in the balance sheet after deducting any accumulated depreciation and accumulated impairment losses
thereon. If the recoverable amount of an asset is less than its carrying Amount, the carrying amount of the asset should be reduced to its
Recoverable amount. That reduction is an impairment loss.
➢ An impairment loss should be recognized as an expense in the Statement of profit and loss immediately, unless the asset is carried at Revalued
amount in accordance with another Accounting Standard (see Accounting Standard (AS) 10, Accounting for Fixed Assets), in which Case any
impairment loss of a revalued asset should be treated as a Revaluation decrease under that Accounting Standard.
➢ An enterprise should assess at each balance sheet date whether there is any indication that an impairment loss recognized for an asset in prior
Accounting periods may no longer exist or may have decreased. If any such indication exists; the enterprise should estimate the recoverable
Amount of that asset.
i. Model accounting entry for purchase of Fixed Assets:
Fixed Assets Purchase
Particulars Grouping Dr Amt Cr Amt
Fixed Assets Non-CA (Fixed Assets) xxxxxxxx
Ineligible GST Input Credit (addition in cost) Non-CA (Fixed Assets) Xxxxxxxx
Eligible GST Input Credit (will not be added in cost of asset) CA (GST Advance) Xxxxxxxx
To Party Account CL(Sundry Creditor ) xxxxxxxx

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 Payment Entry for Fixed Assets Purchase
Particulars Grouping Dr Amt Cr Amt
Party Account CL(Sundry Creditor ) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

ii. Model accounting entry for depreciation expenses:

Depreciation Entry
Grouping Dr Amt Cr Amt
Depreciation P&L (Indirect Expenses) xxxxxxxx
Fixed Assets (Accumulated Depreciation Reserve) Non-CA (Fixed Assets) xxxxxxxx

iii. Model accounting entry for Sale of Fixed Assets:

Sale of Fixed Assets

Particulars Grouping Dr Amt Cr Amt
Party Account CA (TR) xxxxxxxx
To Fixed Assets Non-CA (Fixed Assets) xxxxxxxx
To GST Payable D&T (GST Liability) xxxxxxxx

Reversal of Accumulated depreciation on Fixed Assets

Particulars Grouping Dr Amt Cr Amt
Fixed Assets (Accumulated Depreciation Reserve) Non-CA (Fixed Assets) xxxxxxxx
To Fixed Assets Non CA( Fixed Assets) xxxxxxxx

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 Loss on Sale of Fixed Assets Entry
Particulars Grouping Dr Amt Cr Amt
Loss on Sale of Fixed Assets P&L (Indirect Expenses) xxxxxxxx
To Fixed Assets Non-CA (Fixed Assets) xxxxxxxx

Profit on Sale of Fixed Assets Entry

Particulars Grouping Dr Amt Cr Amt
Fixed Assets Non-CA (Fixed Assets) xxxxxxxx
To Profit on Sale of Fixed Assets P&L (Indirect Income) xxxxxxxx

Receipt against the Sale of Fixed Assets

Particulars Grouping Dr Amt Cr Amt
Bank Account CA (Cash & Bank) xxxxxxxx
To Party Account CA (TR) xxxxxxxx

iv. Model accounting entry for Disposal of Fixed Assets:

Disposal (Writing off) of Fixed Assets

Particulars Grouping Dr Amt Cr Amt
Fixed Assets (Accumulated Depreciation Reserve) Account Non -CA (Fixed Assets) xxxxxxxx
Loss on Disposal of Assets (Balancing Figure) P&L (Indirect Expenses) Xxxxxxxx
Fixed Assets Account Non-CA (Fixed Assets) xxxxxxxx

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16.Statutory & Tax (GST/TDS/Income Tax/TCS) related Compliances:

(Please note that Tax provision reproduced below are applicable as on 31.03.2025. However, the same are subject to change from time to time through Govt
notifications.)

IBA being recognized as an Association of persons, needs to ensure the following statutory & tax related compliances:

Statutory compliance:

o All taxes under Income Tax, GST, Tax Deducted at Source needs to be paid as per the due dates without delay.

o All returns under Income tax, GST, Tax Deducted at Source to be filed as per the due dates without delay.

o All transactions of Revenue to be verified for Income tax, GST, Tax Deducted at Source applicability.

o All Expense transactions to be verified for compliance under withholding tax.

o GST paid on expense to be confirmed for input credit before passing accounting entry.

o Regular and timely payment of Provident Fund and Professional Tax

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80 | P a g e
A. Tax Deducted at Source (TDS):

a) Transactions that are subject to TDS:

As per provisions applicable as on 31.03.2025, the following transactions or specified payments are subject to deduction of tax at source.
Some major activities on which TDS is applicable are given hereunder. List mentioned below is not an exhaustive one and may undergo
change as per the Govt notification from time to time. Some Examples of prominent cases where TDS is not applicable are listed below. For
full list, please refer to TDS Provisions under the Income Tax ACT.

Monthly Salary Payments (only if it falls under the TDS category)

Interest earned on fixed deposits.

Contract payments exceeding the limit of Rs. 30,000

Dividend income exceeding the limit of Rs. 5,000 where payment is by mode other than cash.

Professional and Technical Services fee exceeding the limit of Rs. 30,000

Sale of land or building with a value exceeding Rs. 50 lacs.

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b) Transactions that are not subject to TDS:

TDS is based on the simple premise that tax is deducted when a payment is due or when an actual payment is made; whichever is
earlier. As on 31.03.2025, some of the important cases where TDS is not required to be deducted is given as under. However, this
list is not an exhaustive one and is subject to change depending on the notification issued by Govt/Tax authorities from time to
time. Some examples prominent cases where TDS is not applicable are listed below. For full list, please refer to TDS Provisions in
the Act.

On declaration furnished by the payee on Form 15G or 15H

Payment to Government/RBI/Statutory Corporation etc in nature of interest/dividend

Exempt Incomes

On certificate issued by ITO u/s 197

Interest earned on NSC, KVP, Indian Vikas Patra Scheme,.

Sale of Land & Building for a value not exceeding Rs. 50.00 lacs.

TDS is not Deducted on reimbursement of expenses like Travelling expenses, Management expenses,
etc.

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c) Due dates for deposit of TDS with Government:

Type of entity deducting TDS Payment made Due date for Paying TDS

Others For the Month of March 30th April

Other Months 7th of Next Month

d) Online Challan Correction:

Online correction of TDS challan has to be carried out on ‘TRACES’ (TDS Reconciliation Analysis and Correction Enabling System). Digital
Signature is mandatory to register on TRACES for requesting online challan correction.

As of now, Steps for online correction on TRACES are as follows:

➢ Login to TRACES website with user ID, password and TAN

➢ Under defaults, choose ‘Request for correction’
➢ Enter relevant Financial Year, Quarter, Form Type whether, Latest Accepted Token number. Correction category should be “Online” and
click on ‘Submit’
➢ A request number will be generated
➢ Click on ‘Go To Track Correction Request’ under Defaults again and enter Request number or Request period and click on ‘View
Request’ or you can also click on ‘View All Requests’
➢ When request status** becomes ‘Available’ click on Available / In progress status to proceed with the correction
➢ Provide information of valid KYC
➢ Select the type of correction category from the drop down as ‘Challan Correction’
➢ Make the required corrections in the selected file
➢ Click on ‘Submit for Processing’ to submit your correction
➢ 15 digits token number will be generated and mailed to registered e-mail ID

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e) As per the provisions in vogue at present, following TDS returns are required to be filed:

Sr.No. Returns
1 Form 24Q for salaries
2 Form 26Q for other than salaries
3 Form 26QB for Section 194(IA)
4 Form 26QC for Section 194(IB)
5 Form 26QD for Section 194(M)
6 Form 27Q for Non-resident
7 Form 27EQ for TCS

f) The due dates for quarterly filing of TDS returns are as follows:

Quarter Quarter Period Due date to file TDS return

1st Quarter April to June On 31st July of the same F.Y.

2nd Quarter July to September On 31st Oct of the same F.Y.

3rd Quarter October to December On 31st Jan of the same F.Y.

4th Quarter January to March On 31st May of the next F.Y.

g) TDS & TCS Rate Chart - TDS & TCS rates prevailing as on 31.03.2025 which are generally applicable to association are shown in
Annexure F. These rates are subject to change as and when notified by the Govt./Tax Authorities.)

h) Late filing of return of TDS:

If the deductor fails to furnish the TDS return on or before the specified due date, he shall be liable to pay a penalty under section 234E @ ₹ 200
per day till the date of default subject to the maximum amount of TDS levied.

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i) Model accounting entries for payment of TDS:

Statutory Dues Payment TDS Payable

Grouping Dr Amt Cr Amt

TDS Payable CL (D&T-TDS Liability) xxxxxxxx
Interest on Late Payment P&L (Indirect Expense) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

Statutory Dues Late filing of TDS Liability return

Grouping Dr Amt Cr Amt

Late Fees for filing P&L (Indirect Expense) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

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 B) Goods & Service Tax (GST)

The GST is levied in the state where goods and services are consumed (and not where they are manufactured), which makes it a destination-based
tax. It is charged at every point of sale and is included in the price that a consumer pays when purchasing a product.

a) Records and accounts to be maintained under the GST regime:

1) Understand GST Categories:
Identify the different GST categories applicable to your business transactions, such as CGST (Central GST), SGST /UTGST (State/Union
Territory GST), IGST (Integrated GST), and cess.
2) Maintain Proper Records:
Keep detailed records of all your business transactions, including sales, purchases, expenses, and input tax credits. Ensure that all relevant
documents, such as invoices and receipts, are well-organized.
3) Classify Transactions:
Categorize your transactions appropriately based on GST rates and types. Classify them as taxable, exempt, export or non-GST supplies.
4) Input Tax Credit Reconciliation:
Reconcile the input tax credits on purchases with the GST paid on sales. Verify that all eligible input tax credits are accounted for and
have proper documentation.
5) Prepare GST Invoices:
Ensure that all your sales invoices are prepared in accordance with the GST regulations. Include the required details, such as GSTIN
(Goods and Services Tax Identification Number), HSN (Harmonized System of Nomenclature) or SAC (Service Accounting Code) codes,
and other relevant information as per GST provisions. Ensure that invoices provided by vendors contain all relevant details to consider it
as a valid tax invoice.
6) w.e.f 1st August 2023, GST Act mandates, issuing of only GST E-invoice, if turnover of the issuing entity exceeds Rs.5 cr. Ensure that
vendors falling under this category are issuing proper e invoices for all purchases made by IBA.
7) Verify and Correct Errors:
Review your records for any errors or discrepancies. Ensure that all transactions are accurately recorded and that there are no missing or
incorrect entries.
8) Generate GST Return:
Use accounting software or GST return filing tools to generate the GST return based on the prepared data. The software should be capable
of handling the specific return forms required by the tax authorities.

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9) Review and Finalize:
Review the generated GST return for accuracy and completeness. Verify that all relevant details are included and that the calculations are
correct.
10) File the GST Return:
Submit the finalized GST return through the online portal provided by the tax authorities. Ensure that the return is filed within the
specified due date to avoid penalties.
11) Keep Records for Audit:
Retain all supporting documents and records for a specified period, as per the regulations, in case of an audit or tax inspection, every
business owner registered under GST must maintain the following records:

• Details of all the inward supplies purchased by IBA, including the name and address of the supplier along with invoice copy.
o Details of sales - Details of all the outward supplies made by IBA, including the name GSTIN (in case of registered customers) and
address of the customer.
• Stock of goods - The current amount of goods available in the taxpayer’s inventory.
o Input Tax Credit availed - The value of Input Tax Credit availed during the tax period on all purchases of materials, procurement of
services and purchase of capital goods.
• Output tax payable - The output tax payable on the sale of goods or services.
• Output tax paid - The GST paid either by utilizing of input tax credit or in cash.
• Any other records if required - Any additional record required by the Government for a particular business type, such as:
o Goods or services imported or exported during a tax period.
o Inward and outward supplies that attract the payment of tax on reverse charge, along with relevant documents such as invoices/e-
invoices, as applicable, bills of supply, delivery challans, credit notes, debit notes, receipt vouchers, payment vouchers, refund
vouchers and e-way bills.
• Accounts to be maintained under the GST regime
• Every business owner should maintain the following accounts:
o Account of stock with respect to the goods purchased and sold. This account should contain all the related details like opening
balance, amount of goods received and supplied, goods lost/stolen/destroyed/written off as gift or free samples, balance stock of
raw materials, finished goods, scrap, and wastage.
o Account of advances received and paid, along with adjustments if any.
o Account of tax amounts, which contains details of tax payable, tax collected and paid, input tax, input tax credit claimed (along
with tax invoice as proof), credit note, debit note, and delivery challan (issued or received during a particular tax period).

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 o Supplier details containing the name, GSTIN and address of the supplier from whom taxable goods/services, have been received.
o Recipient details containing the name, GSTIN and address of the buyer to whom goods/services were supplied.
o Address of the warehouse/garage or any other premises where the goods are stored. This includes goods stored during transit,
along with the details of the stock stored at that instance.

j) Returns to be filed
A registered person is required to file the following returns:

GSTR-1 (Quarrterly or Monthly)- IBA need to file it on Monthly Basis

GSTR-1A (Quarterly or Monthly)
GSTR-3B (Quarterly or Monthly)- IBA need to file it on Monthly Basis
GSTR-9 (Annual Return)
GSTR-9C (Self Certified Reconciliation Statement)

k) Monthly Returns
Starting from 1st January 2021, a person with turnover exceeding Rs. 5 crore has to file on monthly basis only.
Returns Information
GSTR-1 In GSTR-1 return, only sales and sales return details are to be filed. It includes all types of sales and sales return like B2B,
B2C, export sales, exempted sales and also amendment in invoices previously uploaded.
• 4A - Taxable outward supplies made to registered persons (other than reverse charge supplies) including supplies made through
e-commerce operator attracting TCS - B2B Regular

• 4B - Taxable outward supplies made to registered persons attracting tax on reverse charge - B2B Reverse charge
• 5 - Taxable outward inter-state supplies made to unregistered persons (where invoice value is more than Rs. 1 lakh) including
supplies made through e-commerce operator, rate wise- B2CL(Large)
• 6A – Exports (with/without payment)
• 6B - Supplies made to SEZ unit or SEZ developer – SEZWP/SEZWOP
• 6C - Deemed Exports – DE
• 7- Taxable supplies (Net of debit and credit notes) to unregistered persons (other than the supplies covered in Table 5) includi ng
supplies made through e-commerce operator attracting TCS - B2CS (Others)

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• 8 - Nil rated, exempted and non-GST outward supplies
• 9A - Amendment to taxable outward supplies made to registered person in returns of earlier tax periods in table 4 - B2B Regular
• 9A - Amendment to taxable outward supplies made to registered person in returns of earlier tax periods in table 4 - B2B Reverse
charge
• 9A - Amendment to Inter-State supplies made to unregistered person (where invoice value is more than Rs. 1 lakh) in returns of
earlier tax periods in table 5 - B2CL (Large)
• 9A - Amendment to Export supplies in returns of earlier tax periods in table 6A (EXPWP/EXPWOP)
• 9A - Amendment to supplies made to SEZ units or SEZ developers in returns of earlier tax periods in table 6B (SEZWP/SEZWOP)
• 9A - Amendment to Deemed Exports in returns of earlier tax periods in table 6C (DE)
• 9B - Credit/Debit Notes (Unregistered) – CDNUR
• 9C - Amended Credit/Debit Notes (Registered) - CDNRA
• 9C - Amended Credit/Debit Notes (Unregistered) - CDNURA
• 10 - Amendment to taxable outward supplies made to unregistered person in returns for earlier tax periods in table 7 including
supplies made through e-commerce operator attracting TCS - B2C (Others)
• 11A (1), 11A (2) - Advances received for which invoice has not been issued (tax amount to be added to the output tax liability)
(Net of refund vouchers, if any)
• 11B (1), 11B (2) - Advance amount received in earlier tax period and adjusted against the supplies being shown in this tax period
in Table Nos. 4, 5, 6 and 7 (Net of refund vouchers, if any)
• 11A - Amendment to advances received in returns for earlier tax periods in table 11A(1), 11A(2) (Net of refund vouchers, if any)
• 11B - Amendment to advances adjusted in returns for earlier tax periods in table 11B(1), 11B(2) (Net of refund vouchers, if any)
• 12 - HSN-wise summary of outward supplies
• 13 - Documents issued
• 14 - Supplies made through E-Commerce Operators
• 14A - Amended Supplies made through E-Commerce Operators
• 15 - Supplies U/s 9(5)
• 15A (I) - Amended Supplies U/s 9(5) – For Registered Recipients
• 15A (II) - Amended Supplies U/s9(5) – For Unregistered Recipients

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GSTR-3B Every month, IBA has to file a summary return GSTR 3B and report consolidated figures for sales and purchases. They are
also required to compute and pay the taxes based on self-declaration. Also, they are required to file GSTR-1 monthly/
quarterly based on the turnover limit and report invoice wise detail of outward supplies. Based on the GSTR-1 filed by
suppliers, GST portal will auto-populate GSTR 2A return for a particular recipient. Problem arises where there exists a
difference between the figures declared in the GSTR-1 by a supplier and the corresponding summary figure declared in the
GSTR-3B by him. IBA should include the following checkpoints to ensure nil data gap and avoid the notices from GST
authorities –
• 3.1 Details of Outward supplies and inward supplies liable to reverse charge (other than those covered by Table 3.1.1)
• 3.1.1 Details of Supplies notified under section 9(5) of the CGST Act, 2017 and corresponding provisions in IGST/UTGST/SGST
Acts

• 3.2 Out of supplies made in 3.1 (a) and 3.1.1 (i), details of inter-state supplies made
• 4. Eligible ITC

• 5 Values of exempt, nil-rated and non-GST inward supply

• 5.1 Interest and Late fee for previous tax period

• 6.1 Payment of tax

E-Invoicing As IBA turnover exceeds Rs 5 Crore it is mandatory to issue E-invoices to its customers. These are to be posted to the
GST portal through Tally.
Due date for filing GSTR-1 for monthly filers is 11th of the succeeding month.
Here is a summary of details to be filed in GSTR-1:
• B2B Sales – Every E- invoice issued to other business (which provided GSTIN) is to be entered. Date, invoice number,
GSTIN, Invoice Value and Taxable Value (rate-wise) is to be entered for each invoice issued.
• B2C Net Sales – Net sales (Sales – Sales return) and IGST/CGST/SGST is to be reported state-wise and rate-wise. For example,
sales and tax to be reported for sales in Delhi at rate of 18% and in Delhi at rate of 12% to be reported separately, likewise for
all states or union-territories. There is no need to maintain invoice wise details.

• Credit-Note/Debit-Note – Details of each Credit note and Debit note issued is to be entered individually.
• Export Sales – Details of each invoice of export sales is to be entered.
• Other details – other details such as nil rated sales, exempted sales, tax on advance payment, amendment in old invoices,
HSN/SAC summary, document details are to be entered. Some of them are optional for small taxpayers.

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 GSTR-9 · GSTR-9 is the annual return which has to be filed for every financial year i.e. from 1st April to 31st March. All persons
(Annual whether filing on monthly basis or quarterly basis, are required to file this return.
Return)
Filing GSTR-9 is made optional for the year 2018-19, 2019-20 and 2020-21 for persons with aggregate turnover of less then
Rs. 2 crore.
· GSTR-9 contains details for sales, purchases, input tax credit, tax payable, adjustments made in next financial year etc.
· If there is some tax payable as per GSTR-9 (due to any mistake or adjustment) then we have to file DRC-03 after making
payment in regular manner.
Note: If there is more than one GSTIN on same PAN, separate GST returns are to be filed for each GSTIN.
GSTR-9C • GSTR-9C is a self-certified reconciliation statement which reconciles the figures in the annual returns (GSTR-9) with the
(Self certified audited financial statements of the taxpayer.
reconciliation • It is filed annually by taxpayers whose turnover exceeds a specified limit, which is currently set at INR 5 crores.
statement) • The due date for filing GSTR-9C is typically on or before December 31st following the end of the financial year.

Revised Returns:

GST returns cannot be revised in the present filing system. The mistake made in a return can be rectified in the subsequent return when such
mistake comes into notice. However, the rectification is not allowed in following circumstances: -

1. An error is found as a result of scrutiny, audit, inspection or enforcement activity by the tax authorities.
2. After any of the following dates
(a) due date of return of month of September or quarter July to September of following year
(b) actual date of furnishing annual return of the relevant year.

l) Late Fees for Delay in Filing of GST Return:

Name of the Act Late fees for every day of delay

Central Goods and Services Act, 2017 (CGST) Rs 25*
Respective State Goods and Services Act, 2017 (or) Union Rs 25*
territory Goods and Services Act, 2017(SGST or UTGST)

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 A Late Fees of Rs. 50 per day is liable to be paid, if any monthly/quarterly return is not submitted within due date.

Maximum penalty from 1st June 2021 onwards will be as follows

Turnover Limit/GSTR Returns Late Fees
Taxpayers having Annual Aggregate Turnover (AATO) in Late fees to be capped to a maximum of Rs 2000 (1000 CGST+1000
preceding year upto Rs 1.5 crore SGST).
Taxpayers having AATO in preceding year between Rs 1.5 crore to Late Fees to be capped to a maximum of Rs 5000 (2500
Rs 5 crore, CGST+2500 SGST).
Taxpayers having AATO in preceding year above Rs 5 crores, late Fees to be capped to a maximum of Rs 10000 (5000
CGST+5000 SGST).
Annual return a penalty is payable at Rs. 200 per day. Maximum penalty in such
case is 0.25% of the turnover in the State or Union Territory of
filing entity.

Interest On Late Payment of Taxes

If tax is paid after the due date of payment of tax, then interest is payable at 18% per annum. Unlike Income tax, interest is payable by calculation
on daily basis.

C) Reverse Charge Mechanism (RCM) under GST on Services: Refer the notification 13/2017 Central Tax Rate
dated 28 June 2017
Sr Supply of Services Supplier of Services Recipient of Services
No.

1 Taxable services provided by any person who is Any person who is in a non- Any person who is located in a taxable country
located in a non-taxable territory and received by taxable country.
any person who is in a taxable territory other than
non-assessees online recipient

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2 Services provided by Goods Transport Agency Goods Transport Agency • Any registered factory,
(GTA) in respect of transportation of goods by • Any registered society,
road. • Any corporative society established by any
law,
• Any person registered under CGST/SGST/
UTGST Act,
• Any body-corporate,
• Any partnership firm whether registered or
not under any law,
• Casual taxable person
3 Services provided by an individual advocate or An individual advocate or Any Business Entity
firm of advocates by way of legal services, directly firm of advocates
or indirectly
4 Services provided by arbitral tribunal An arbitral tribunal Any Business Entity
5 Sponsorship services Any Person Anybody-corporate or partnership firm
6 Services provided by government or local Government or Local Any Business Entity
authority, excluding – authority
• Renting of immovable property,
• Services specified below-
o Services given by the Department of Posts in
the form of speed post, fast parcel post, life
insurance, and agency services to persons
other than the government;
o Services in relation to an aircraft or a vessel,
inside or outside the precincts of a port or an
airport;
o Transport of goods or passengers
7 Services provided by a director of a company or a A director of a company or A company or a body corporate
body corporate a body corporate
8 Services provided by insurance agent to any Any Insurance Agent Any person carrying on insurance business.
person carrying on insurance business
9 Services provided by a recovery agent to a Banking A recovery Agent Any Banking Company or a Financial Institution
Company or a Non-Banking Financial Company or a Non-Banking Company
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 10 Services by way of transportation of goods by A person located in non- The customs station of clearance in India.
ship/boat/vessel from a place outside India up to taxable Territory to a
the customs station of clearance in India. person located in non
taxable territory
11 Transfer or permitting the use or enjoyment of a Author or Music Composer, Publisher, Music Company, Producer
copyright relating to music, an author, composer, Photographer etc.
photographer and artistic work
12 Radio taxi or passenger transport services Taxi driver or a Rent a cab Any person
provided through Ecommerce operator Operator
13 Supply of services by the members of Overseeing Members of overseeing Reserve Bank of India
Committee to Reserve Bank of India Committee constituted by
the RBI

m) GST Input Blocked Credit List as per Section 17(5):

Sl No List of Blocked Credit Exception of Blocked Credit

1 Motor vehicles, having an approved seating capacity However, the input tax credit will be available if such a motor vehicle
of not more than 13 persons (including drivers), is used for providing any of the following taxable supplies –
which is used for transportation of persons. 1. Transportation of passengers;
2. Further supply of such motor vehicles;
3. Providing training on driving such motor vehicles.
Vessels and aircraft However, the input tax credit will be available if such vessels and
2 aircrafts are used for providing any of the following taxable supplies –
1. Transportation of passengers;
2. Transportation of goods;
3. Further supply of such vessels and aircraft;
4. Providing training on navigating such vessels or flying such aircraft.
3 Service relating to general insurance/ servicing/ However, the input tax credit will be available when such services are
repair and maintenance of motor vehicles, vessels or received by the taxable person engaged in:
aircraft (as stated above) 1. Manufacture of such motor vehicles/ vessels/ aircraft;
2. 2. Supply of general insurance services with regard to such motor
vehicles/ vessels/ aircraft.

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 Additionally, the input tax credit of such services will also be available
when motor vehicles/ vessels/ aircraft are used for the purposes as
stated above.
4 Leasing or renting or hiring of motor vehicles/ The Input tax credit will be available when motor vehicles/ vessels/
vessels/ aircraft aircraft are used for the purposes as stated above.
5 Works contract service when supplied for
construction of an immovable property (other than
plant and machinery
6 Goods or services or both, wherein, the tax is paid
under section 10 i.e. composition scheme.
7 Goods or services or both received by a non-resident Goods are imported by a non-resident taxable person
taxable person.
8 Goods or services or both when used for personal
consumption
9 Goods lost or stolen or destroyed or written off or
disposed of by way of gift/ free sample.
10 Tax paid in accordance with the provisions of the
following sections
1. Section 74 – Tax not paid or short paid by reason
of fraud or willful misstatement or suppression of
facts;
2. Section 129 – Detention, seizure and release of
goods/conveyance;
3. Section 130 – Confiscation of goods/ conveyance.
11 The Input tax credit will not be available for the The Input tax credit will be available where an inward supply of such
following supply of goods or services or both – Food goods or services is used for making taxable outward supply of the same
and beverages; Outdoor catering; Beauty treatment; category of goods or services or as an element of taxable
Health services; Cosmetic and plastic surgery; Life Composite/mixed-supply.
insurance and health insurance; Membership of club,
health and fitness centre; Travel benefits provided to
employees on vacation like leave or home travel
concession.

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I. Model accounting entry for GST Liability Set off with Input Tax Credit:

GST Liability Set off with Input Tax Credit

Particulars Grouping Dr Amt Cr Amt

IGST Payable D&T (GST Liability) xxxxxxxx
CGST Payable D&T (GST Liability) xxxxxxxx
SGST Payable D&T (GST Liability) xxxxxxxx
To IGST Input Credit D&T (GST Liability) xxxxxxxx
To CGST Input Credit D&T (GST Liability) xxxxxxxx
To SGST Input Credit D&T (GST Liability) xxxxxxxx

Transfer of GST Liability to GST Payable Ledger

Particulars Grouping Dr Amt Cr Amt

IGST Payable D&T (GST Liability) xxxxxxxx
CGST Payable D&T (GST Liability) xxxxxxxx
SGST Payable D&T (GST Liability) xxxxxxxx
To GST Payable (Balancing Figure) D&T (GST Liability) xxxxxxxx

Transfer of Excess GST Input to GST Receivable Ledger

Particulars Grouping Dr Amt Cr Amt

GST Receivable (Balancing Figure) D&T (GST Liability) xxxxxxxx
To IGST Payable D&T (GST Liability) xxxxxxxx
To CGST Payable D&T (GST Liability) xxxxxxxx
To SGST Payable D&T (GST Liability) xxxxxxxx

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 II. Model accounting entry for payment of GST Liability:

Statutory Dues Payment Entry (GST Liability & Late filing of GST Return)

Particulars Grouping Dr Amt Cr Amt

GST Payable D&T (GST Liability) xxxxxxxx
Late Fees for filing GST Return P&L (Indirect Expense) xxxxxxxx
To Bank CA(Bank) xxxxxxxx

III. Model accounting entry for RCM Booking:

GST RCM booking Entry

Particulars Grouping Dr Amt Cr Amt

Security Exp/Legal Exp (Expenses Covered under RCM) P&L (Direct Expense) xxxxxxxx
IGST RCM Input Account D&T (GST Assets) xxxxxxxx
CGST RCM Input Account D&T (GST Assets) xxxxxxxx
SGST RCM Input Account D&T (GST Assets) xxxxxxxx
To Sundry Creditors CA (TP) xxxxxxxx
To IGST RCM Output Account D&T (GST Liability) xxxxxxxx
To CGST RCM Output Account D&T (GST Liability) xxxxxxxx
To SGST RCM Output Account D&T (GST Liability) xxxxxxxx

IV. Model accounting entry for RCM liability Payment:

RCM Liability Payment Entry

Particulars Grouping Dr Amt Cr Amt

IGST RCM Output Account D&T (GST Liability) xxxxxxxx
CGST RCM Output Account D&T (GST Liability) xxxxxxxx
SGST RCM Output Account D&T (GST Liability) xxxxxxxx
To Bank CA (Bank) xxxxxxxx
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D. PROFESSION TAX:
If the total liability of any organization is above Rs. 1.00 lac p.a, organization shall be required to furnish a Monthly return on or before the last date
of the month to which the return relates. Professional Tax in Maharashtra is handled by the Maharashtra State Tax on Professions, Trades, Calling
and Employment Act, 1975 which came into effect on 1st April 1975. As per this act, professional tax is applicable for both individuals and
companies.

Latest Profession Tax Slab Rates in Maharashtra 2024-25

The professional tax payable in Maharashtra depends on the predetermined tax rates and salary of the taxpayer. The following is the details regarding
the applicable professional tax rates as on 31.03.2025 in Maharashtra. These are Subject to change on notification of the Govt from time time):
Men Monthly Gross Salary Amount Payable as Professional Tax
Up to Rs.7,500 Nil
Rs. 7,501 to Rs.10,000 Rs. 175 per month
Above Rs. 10,000 • Rs. 200 per month except for the month of February.
• Rs. 300 for the month of February.
The State Government of Maharashtra also implemented a special privilege for women professionals and women monthly wages as follows:
Women Monthly Gross Salary Amount Payable as Professional Tax
Up to Rs. 25,000 Nil
Above Rs. 25,000 • Rs. 200 per month except for the month of February.
• Rs. 300 for the month of February.

Professional Tax Late Payment Penalty:

Penalty of 1.25% tax is payable for each month if an enrolled individual fails to pay this tax on time.
On the other hand, employers must pay 2% interest per month on the total amount due if they fail or delay doing so.

Professional Tax Returns:

Periodicity Applicability Due Date If Delay in filing Returns
Monthly Liability more than one lakh in year 10th of Subsequent Month • Delay up to one-month Rs.200/-
Yearly Liability less than one lakh in year 31st March, of the Financial Year • Delay is more than one-month Rs.1000/-

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I. Model accounting entry for the professional tax payment:

Statutory Dues Payment Professional Tax

Particulars Grouping Dr Amt Cr Amt
Professional Tax Payable D&T (Professional Tax Liability) xxxxxxxx
Interest on Late Payment, if any P&L (Indirect Expense) xxxxxxxx
To Bank CA(Bank) xxxxxxxx

Payment of late fees of PT return

Particulars Grouping Dr Amt Cr Amt

Late Fees for filing PT Return P&L (Indirect Expense) xxxxxxxx
To Bank CA(Bank) xxxxxxxx
Note : Professional Tax Liability booked at the time of booking of Salary expenses.

E. Provident Fund:

a) Employees’ Provident Fund Organization (EPFO) is a statutory body incepted by the government of India. Being the country’s largest social
security organization, it mainly encourages people to save for retirement. EPFO comes under the purview of the Ministry of Labour and
Employment and was established in 1951.
b) The EPF Scheme, 1952 aims at providing social security to employees employed in an EPF covered establishment. Under the EPF, Scheme,
1952, an employee of any covered establishment drawing monthly wages up to Rs. 15,000 is statutorily required to join the fund and to
contribute 12% of wages, which includes basic wages, dearness allowance and retaining allowance, if any. The employer is also required to
contribute 12% of the wages.
PF Contribution amount is to be deposited on or before 15th of the month following the month in which deduction is made.

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 I. Model accounting entry for booking of Provident Fund:

Statutory Dues Booking- Provident Fund

Particulars Grouping Dr Amt Cr Amt

Salary P&L (Direct Expenses) xxxxxxxx
Establishment Expenses towards Employers Contribution Provident Fund P&L (Direct Expenses) xxxxxxxx
To Employees Contribution to EPFs CL (Employees Related Dues) Xxxxxxxx
To Employers Contribution Provident Fund CL (Employees Related Dues) Xxxxxxxx
Provident fund transfer to Provident Fund Payable Account

Particulars Grouping Dr Amt Cr Amt

Employees Contribution to EPF CL (Employees Related Dues) xxxxxxxx
Employers Contribution to Provident Fund CL (Employees Related Dues) xxxxxxxx
To Provident Fund Payable CL (Employees Related Dues) xxxxxxxx

I. Model accounting entry for payment of Provident Fund:

Statutory Dues Payment -Provident Fund

Particulars Grouping Dr Amt Cr Amt

Provident Fund Payable CL (Employees Related Dues) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

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F. Gratuity & Leave Encashment:
Gratuity:

IBA maintains a Gratuity Fund with the Life Insurance Corporation of India. The contributions towards the funds are made based on the Valuation
report cum demand submitted by LIC. For the purpose of settling off the employees’ liabilities, IBA has established a IBA Employees GGCA Trust.
The Contributions to LIC are paid through the IBA bank account directly. However, the employee claims are received in the Bank account of the
trust. Employee’s liability is settled through the Trust account. The contribution by IBA to the Approved Gratuity Fund for exclusive benefit of its
employees is an allowable deduction u/s 36(1)(v) of Income Tax Act, 1961.
G.

IBA maintains an MC approved Gratuity Fund with LIC. The Accounting as per AS 15 will be as follows :

I. Model accounting entries for Provision Booking of Gratuity Liability, Transfer & Payment to LIC Fund:

Gratuity Provision Account with Premium and Service cost of LIC

Particulars Grouping Dr Amt Cr Amt

Employee Benefit Expense (Staff Gratuity) P&L (Establishment Expenses xxxxxxxx
under Direct Expenses)
To Provision for Gratuity IBA Staff CL(Employees Related Dues) xxxxxxxx

Gratuity Provision transfer to Balance With LIC Fund

Particulars Grouping Dr Amt Cr Amt

Provision for Gratuity IBA Staff CL(Employees Related Dues) xxxxxxxx
To Balance with LIC Fund CL(Employees Related Dues) Xxxxxxxx

Gratuity Provision Payment to LIC Fund

Particulars Grouping Dr Amt Cr Amt

Balance with LIC Fund CL(Employees Related Dues) xxxxxxxx
To Bank CA(Cash & Bank) Xxxxxxxx

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II. Model accounting entries for payment of Gratuity to employee:

Gratuity Receipts from LIC Fund

Particulars Grouping Dr Amt Cr Amt

Trust Bank Account CA (Cash & Bank) xxxxxxxx
To LIC Gratuity Fund CL (Employee Related Dues) xxxxxxxx
Gratuity Receipts transferred from Trust Bank account to regular Bank Account

Particulars Grouping Dr Amt Cr Amt

IBA Bank Account(PNB 092) CA (Bank) xxxxxxxx
To Trust Bank Account CA (Bank) xxxxxxxx
Gratuity Amount Payable entry

Particulars Grouping Dr Amt Cr Amt

LIC Gratuity Fund CL (Employee Related dues) xxxxxxxx
To Mr. A (Retired Employee) CL (Employee Related dues) xxxxxxxx
Gratuity Payment to Employee

Particulars Grouping Dr Amt Cr Amt

Mr A (Retired Employee) CL (Employees Relates Dues) xxxxxxxx
To Bank CA (Bank) xxxxxxxx
1. Privilege Leave Encashment on Retirement:
IBA also maintains a Leave Encashment Fund with the Life Insurance Corporation of India. The contributions towards the funds are made based on
the valuation report cum demand submitted by LIC. The contribution by IBA to the Approved Leave Encashment Fund for exclusive benefit of its
employees is an allowable deduction u/s 36(1)(v) of Income Tax Act, 1961. Employee claims are settled directly by LIC.
I. Model accounting entries for Leave Encashment Provision to Employee:
Leave Encashment Provision Account with Premium and Service Cost Amount
Particulars Grouping Dr Amt Cr Amt
Employee Benefit Expense (Leave Encashment) P&L (Estb - Direct Expenses) xxxxxxxx
To Provision for Privilege Leave Encashment IBA Staff CL(Employees Related Dues) xxxxxxxx

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 PL Encashment Provision transfer to Balance with LIC Fund

Particulars Grouping Dr Amt Cr Amt

Provision for Privilege Leave Encashment IBA Staff CL(Employees Related Dues) xxxxxxxx
To Balance with LIC Fund CL(Employees Related Dues) Xxxxxxxx

PL Encashment Provision Payment to LIC Fund

Particulars Grouping Dr Amt Cr Amt

Balance with LIC Fund CL(Employees Related Dues) xxxxxxxx
To Bank CA(Cash & Bank) Xxxxxxxx
II Model accounting entries for payment of PL Encashment to Employee:

Particulars Grouping Dr Amt Cr Amt

Bank Account CA (Cash & Bank) xxxxxxxx
To LIC PL Encashment Fund CL (Employee Related Dues) xxxxxxxx

PL Encashment Payable entry

Particulars Grouping Dr Amt Cr Amt

LIC PL Encashment Fund CL(Employees Related Dues) xxxxxxxx
To Mr. (Retired Employee) CL(Employee Related Dues) Xxxxxxxx

PL Encashment Payment to Employee

Grouping Cr
Particulars Dr Amt Amt
Mr A (Retired Employee) CL (Employees Relates Dues) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

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G. Advance Tax:

Advance tax is the income tax that is paid in advance instead of lump sum payment at the end of FY. It is the tax that you pay as you earn. These
payments have to be made in instalments as per prevailing due dates provided by the income tax department. Non-payment of advance tax
attracts imposition of interest as well as penalty. Association is required to calculate total Taxable income for the Financial Year on or before 15th
June itself. While arriving at the total taxable income, due consideration be given to mutuality and non-mutuality concepts and segmental
accounting and estimated expenses including provisions. Regular reference be made to the budgeted revenue income and revenue expenditure
shown in annual revenue budget of concerned FY approved by MC. Calculations be kept close to actual level and necessary corrections in
estimated tax liability worked out at the beginning of the year be compared with actuals in each quarter. TDS deducted and shown in 26AS as
well as in our books be considered for arriving act actual advance tax payable amount.

Current Due Date Advance Tax Payment Percentage to total taxable income
On or before 15th June 15% of advance tax
On or before 15th September 45% of advance tax (-) advance tax already paid
On or before 15th December 75% of advance tax (-) advance tax already paid
On or before 15th March 100% of advance tax (-) advance tax already paid

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17.Budgeting:
Policy/Guidelines listed below will be followed for the formulation and monitoring of the budget:

a) A budget is segregated into Revenue Budget (revenue receipt/revenue expenditure) and Capital Budget. Budget covers both activities of
the association which includes all IBA expenses, Basic Annual Subscription collected from members and other income from Conferences
and income from activities like Subscription Fee from Transport operator, Security Printers, Interest on Deposits, FAE & ASM
Empanelment Fee and Sale of Publications.
b) Each department takes Project wise approval of Expenditure and Collections related to their Specific Projects from MC directly and
incidence of such expenses and collections do not have any bearing on P&L account of the Association. As such, the same is not included
while seeking approval of the General budget from MC.
c) In the month of January all departments are requested to provide the Budgetary estimates for both Income & Expenditure of their
department.
d) It will be the responsibility of the Departmental Head to identify and submit all their budgetary requirements/estimates for Revenue as
well as Capital budget of their department to Finance & Admin Department by the 15th of Feb every year. All departments need to obtain
prior concurrence of their estimates from DCE/CE.
e) Departments will maintain the record of assumptions and data used to arrive at the departmental budget requirements both for Revenue
Income/Expenditure as well as Capital Expenditure.
f) Budgets will be prepared for the next financial year.
g) Any item not previously considered or which is an addition to the existing list of items considered, should be clearly stated and brief
explanation be given to justify the same.
h) Finance and Admin department will place the consolidated budget before DCE/CE. After their approval the same will be placed before
Finance Committee and then to the Managing Committee for their final approval. While getting the approval for the next year budget,
variance analysis and performance review of the current year budget is also submitted to FC/MC for their approval.
i) Any changes or amendments to the already approved budgets will necessarily be required to be approved by the MC
j) After approval of budget by MC, Finance and Admin Department will communicate the approved budget to each department. So as to
perform within their approved budgetary limits and would be responsible to explain deviations, if any for obtaining MC approval.
k) Finance and Admin department is required to prepare half yearly report on budget performance and the same will be placed before
DCE/CE. After their approval, it will go to Finance Committee and then to Managing Committee for their comments/approval.
l) The budget performance report should highlight under-budgeting and over-budgeting due to wrong assumptions and suggestive controls
for monitoring future budgets.
m) Any change in statutory norms or any such reasons having significant impact on the budgets, needs to be reported to the management
immediately.

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18. Book Closure & Audit Preparations & Year End Transactions Procedure:
a. PROCEDURE FOR FINALISATION OF ANNUAL ACCOUNTS

In order to successfully close the books of accounts for the Financial Year so that correct balances are carried forward to the next financial
year, the following guidelines needs to be followed

A. Procedure for Finalization of Annual Accounts

Particulars

• Request all departments to submit list of outstanding bills on or before 20th March.
• After 20th March , make payment to vendors by NEFT/RTGS to reconcile bank accounts as on 31st March.
• ‘Requesting all contractors /vendors to submit their bill by 20th March.
• Make provisions for outstanding bills.
• Making Provision for Gratuity & PL encashment liability of Employees & provide funds to LIC towards this liability.
• Transferring Interest accrued on FDRs to Interest on FDRs -Income account.
• Check Interest received on all FDR's.
• Updating of Fixed Asset Register with calculation of Depreciation & posting the same.
• Complete the work of Bank Reconciliation with regard to all Current Accounts maintained with Banks.
• Passing entry for reversal of stale cheques, that are lying in liability outstanding account for more than 3 months
• Prepare Outstanding liability statement as on 31st March.
• Prior period expenses, if any can be adjusted against the Provisions that are no longer required and are to be written back.
• Corporate Communication Department to provide the number of seminars organised during the financial year for booking Income
and for clearing outstanding payments.
• Appropriation of 3 years’ subscription for Indian banker.
• Appropriation of prorate processing Fees collected from Transport Operator - JV to be passed
• Appropriation of prorate processing Fees collected from Security Printer - JV to be passed
• Transfer of BAS received from associate members to contingency fund as per Managing Committee decision.
• Calling for Current accounts closing balance statement and FD wise balance statement from banks and matching with the final
balance shown in tally. Physical confirmation of FD receipts.
• To scrutinise Tally accounting system (any Asset account -credit balance & any liability account -debit balance)
• Exceptional reports, if any, to be verified in Tally System

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• After cut off procedures as mentioned above, Ledger Scrutiny to be done for any errors while posting.
• Grouping of accounts such as Debtors/ Creditors/ Cash balance etc with reference to previous F.Y. annual accounts
• Trial Balance from the Tally system to be taken out & trailing to be done for ensuring that all accounts are reflecting in Balance
Sheet & Income and Expenditure account appropriately.
• Recovery of Various expenses booked & Outstanding statement - debtors statement to be prepared.
• Review of Contingent liability (pending cases of Service Tax/Income Tax & prepare notes for modification If any to be included)
• Statutory compliance TDS /GST to be verified.
• Finalise amount related to BIP Expenses incurred during current FY for raising Invoices in April next year.
• Finalise the amount of TDS & GST to paid for March month.
• Prepare schedule of investment related to earmarked fund- investment in MF's /FD's etc.
• Reconciliation of all statutory dues with liability recorded & payment
• Check prepaid expense ledger to verify all expenses for the financial year are booked properly.
• Any outstanding under Specific Funds, either raise invoices to make them debtors in current FY or show them under recoverable
expenditure for raising invoices in next year, as per the decision of the management.
• Prepare all schedules to Balance sheet & notes to accounts and Management Representation (MR) letter
• Prepare Income & Expenditure Account and Balance sheet.
• Audit of accounts.
• After Audit, Audited Annual Accounts, are to be presented before Finance Committee for seeking their recommendation for placing
before MC for its final approval.
• After approval of the Managing Committee, Annual accounts are placed before AGM for passing necessary resolution.
• Soft copies of duly signed Annual accts to be furnished to DRS for including the same in the Annual report.
• Working Funds to all Ordinary Members of the Association are to be calculated in order to raise BAS bills in April itself.
• Preparation of Budget for Next FY and presentation of the Same to Finance Committee and Managing Committee in the month of
March itself.

B. Procedure for Finalization of Tax Audit u/s 44AB of Income Tax Act 1961

• The due date for filing the tax audit report is generally the 30th of September following the end of the financial year (subject to
extensions, if any ).
• The manager F&A should provide all necessary documents and supporting evidence related to tax audit u/s 44AB of Income Tax
Act 1961, to the tax auditor..

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• Accordingly, the tax auditor prepares and files the tax audit report based on the information provided to them and in accordance
with tax regulations
• Once the draft tax audit report is prepared by tax auditor, Vice President of F & A should review the same. The Vice
President/SVP F & A to ensure that all factual information are correct and consistent with the present and past records.
• Any corrections or additional information required by the tax auditor should be promptly provided by the manager
• After finalisation of Draft Tax Audit Report, the same will be sent to our tax consultant (presently by EY). Department will
ensure that all observations of the Tax Consultant are duly taken care of before finalising the report by the Tax Auditor.
• After vetting by EY, the final tax audit report will be filed electronically on the Income Tax Department's portal. The tax auditor
uploads the signed report, and the Competent signatory approves it, using their digital signature.
C. Procedure for filing of Annual Income Tax Return

• The manager F&A will compile the data & Vice President/SVP F&A will review the data which is needed for filing of the
income tax return.
• Based on the tax audit report, the manager may need to take corrective actions or make additional disclosures in the income tax
return.
• F&A department will prepare the Computation of Income and will send it to HGS/Tax consultant for verification
• After that Computation of Income will be sent to of Tax Consultant, (presently EY) for their comments/observations.
• After receipt of duly vetted computation of income, VP/SVP F&A will file the Income Tax return with Tax authorities using
finalized data.

D. Procedure for Finalization of GST Audit

Preparation for Filing GSTR-9
• Gather Data from Monthly/Quarterly Returns:
• Collect all GSTR-1 and GSTR-3B returns filed during the financial year.
• Summarize the sales, purchases, tax liabilities, and ITC claimed in these returns.
• Ensure that the data in GSTR-1 (sales data) and GSTR-3B (tax liability and ITC) match for each tax period.
• Compare the GST return data with the actual financial statement and books of accounts.
• Reconcile the turnover reported in the GST returns with the turnover in the Profit & Loss account and other statutory records.
• Ensure that all outward and inward supplies, along with their respective tax liabilities, have been accurately recorded.
• Identify any transactions that might have been missed or incorrectly recorded in the monthly/quarterly GST returns.
• Make necessary adjustment to address the discrepancies, if any, in GSTR-9.

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 • Include details of any amendments made to previous returns during the financial year.
• Disclose any mistakes that were rectified in subsequent returns.
• Discharge any additional tax liability, if identified, through FORM DRC-03

Preparation for Filing GSTR-9C

• Reconciliation of turnover and ITC reported in FORM GSTR-9 with turnover and ITC as per Financial Statements
• Reconcile the total turnover reported in GSTR-9 with the audited annual financial statements.
• Identify discrepancies between the GST returns and financial records. The reconciliation process should account for such
differences and adjustments for unbilled revenue, advances, and non-GST income.

Verify Tax Liabilities and ITC:

• Reconcile the tax liabilities declared in GSTR-9 with the actual taxes paid.
• Cross-check the ITC claimed and utilized during the year with the books of accounts and GSTR-9.
• Ensure that any ITC reversal due to non-compliance or ineligible claims is accurately reflected.

19 BRANCH ACCOUNTING:

Indian Banks’ Association constitute one Branch which is called Delhi Office. All accounting entries and payments pertaining to Delhi office are
centralised and controlled by accounts team sitting in Mumbai. As such, accounts department is required to pass the following transfer entries on
monthly basis.

I. Model accounting entries in the books for Branch Accounting:

II.

Sale Entry for Delhi branch, in the Books of Delhi Office

Particulars Grouping Dr Amt Cr Amt

Head office Account CA (TR) xxxxxxxx
To Sales P&L (Direct Income) xxxxxxxx
To GST Payable D&T (GST Liability) xxxxxxxx

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Purchase/Transfer Entry in the books of HO

Particulars Grouping Dr Amt Cr Amt

Purchase A/C P&L (Direct Expenses) xxxxxxxx
GST Input D&T (GST Liability) Xxxxxxxx
To Branch CL (Trade Payable) xxxxxxxx

Entry for Credit Note Delhi branch, in the Books of Delhi Office

Particulars Grouping Dr Amt Cr Amt

Sales A/C P&L (Direct Income) xxxxxxxx
GST Payable D&T (GST Liability) xxxxxxxx
To Head office Account CA (TR) Xxxxxxxx

Entry for Debit Note Delhi branch, in the Books of H.O

Particulars Grouping Dr Amt Cr Amt

Branch A/C CA (Trade Payable) xxxxxxxx
To Purchase Account P&L (Direct Income) xxxxxxxx
To GST Input D&T (GST Liability) xxxxxxxx
Expenses Entry booked in Delhi Office

Particulars Grouping Dr Amt Cr Amt

Expenses P&L (Direct Expenses) xxxxxxxx
GST Input D&T (GST Liability) xxxxxxxx
To Sundry Creditors CL (Trade Payable) xxxxxxxx
To TDS Payable D&T (TDS Liability) Xxxxxxxx

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Payment made by HO- Entry in HO books.

Particulars Grouping Dr Amt Cr Amt

Sundry Creditors CL (Trade Payable) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

Payment made by HO (Branch TDS Liability) in H.O Books

Particulars Grouping Dr Amt Cr Amt

TDS Payable D&T (TDS Liability) xxxxxxxx
To Bank CA (Bank) xxxxxxxx

Transfer Expenses to HO -Entry booked in Delhi Books pertaining to transfer of all Expenses on month end.

Particulars Grouping Dr Amt Cr Amt

Transfer to Mumbai Branch CA/CL (Branch & Division) xxxxxxxx
To Expenses P&L (Direct Expenses) xxxxxxxx

Branch Transfer Expenses booked in HO Books

Particulars Grouping Dr Amt Cr Amt

Expenses P&L (Direct Expenses) xxxxxxxx
To Transfer From Delhi Branch CA/CL (Branch & Division) xxxxxxxx

Income Delhi Branch transfer to HO in the books of Delhi Office.

Particulars Grouping Dr Amt Cr Amt

Inter Branch Services P&L (Direct Income) xxxxxxxx
To Transfer to Mumbai Branch CA/CL (Branch & Division) xxxxxxxx

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Income Delhi Branch transfer in HO in HO Books

Particulars Grouping Dr Amt Cr Amt

Transfer to Mumbai Branch CA/CL (Branch & Division) xxxxxxxx
To Inter Branch Service P&L (Direct Income) xxxxxxxx

Sundry Creditors, Other Liabilities Except GST in the books of Branch in Delhi Office books

Particulars Grouping Dr Amt Cr Amt

Sundry Creditors CL (Trade Payable) Xxxxxxxx
TDS Payable CL (Duties & Taxes) xxxxxxxx
To Transfer to Mumbai Branch CA/CL (Branch & Division) xxxxxxxx

Liabilities Entry booked in HO in HO Books

Particulars Grouping Dr Amt Cr Amt

Transfer From Delhi Branch CA/CL (Branch & Division) xxxxxxxx
To Sundry Creditors CL (Trade Payable) xxxxxxxx

To TDS Payable CL (Duties & Taxes) xxxxxxxx

Sundry Debtors, Other Assets Except GST in Delhi Office Books

Particulars Grouping Dr Amt Cr Amt

Transfer to Mumbai Branch CA/CL (Branch & Division) xxxxxxxx
CA (TR)
To Sundry Debtors xxxxxxxx
Sundry Debtors, Other Assets Except GST in the books of HO

Particulars Grouping Dr Amt Cr Amt

Sundry Debtors CA (TR) xxxxxxxx
To Transfer From Delhi Branch CA / CL xxxxxxxx

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20 CHART SHOWING GROUPING OF ACCOUNTS in TALLY:
A. GROUPING OF INCOME HEADS
Income Group Subgroup Income
i. Direct Income Heads Indian Banker - Income Indian Banker - Advertisement
Indian Banker - Subscription
Miscellaneous Receipts Miscellaneous Recpts. (eg. Sale of Raddi
& Sale of Scrap)
Processing Fees Transport Operator Processing Fees
Transport Operators Transport Operators
Security Printers Security Printers- Invoicing
Publication Income Publication Income – Other (Sale of Books)
Publication Advertisement
Publication Income – LT (sale of Transport application
form booklet)
Seminar & Conferences Banking Technology Conference, Expo & Citations
Organised by IBA CISO Event
FIBAC – Participation Fees
FIBAC – Conference Fees
HR Conclave
PICUP Fintech
Subscription From Members Entrance Fees from Ordinary Member
Entrance Fees from Associate Member
Subscription from Ordinary Member
Subscription from Associate Member
ASM - Application Fees ASM - Application Fees
ASM - Enrolment Fees ASM - Enrolment Fees
FAE - Application Fees FAE Application Fees
FAE - Enrolment Fees FAE - Enrolment Fees
Sitting Fees Sitting Fees

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 Prior Period Income Prior Period Income
Profit/Loss on Sales of Fixed Profit/loss on Sale of Fixed Assets
Assets
Profit on Sale Mutual Profit / Loss on Sale of Investments
Investment
Profit/Loss on Sales of Fixed Sale of Old Fixed Assets
Assets
Tender Fees Tender Fees
iii. Indirect Income Heads Short Term Capital Gain/Loss Short Term Capital Gain/Loss
Long Term Capital Gain/Loss Long Term Capital Gain/Loss
Interest & Dividends Interest from Deposits/Bonds

iv. ASM & FAE INCOME GROUPS & ADVANCE INCOME HEADS:

Income Group Subgroup Tally Head

ASM INCOME SPLIT FOR A PERIOD OF 3 YEARS

Direct Income Direct Income ASM - Enrolment Fees (C.Y. 1st Year)
Current Liabilities Advance Recd.- Value to be Given ASM - Enrolment Fees (2nd Year)
Current Liabilities Advance Recd.- Value to be Given ASM - Enrolment Fees (3rd Year)
Current Liabilities Advance Recd. – Value to be Given ASM - Enrolment Fees (4th Year)

FAE INCOME SPLIT FOR 2 YEARS

Direct Income Direct Income FAE - Enrolment Fees (C.Y. 1st Year)
Current Liabilities Advance Recd.- Value to be Given FAE - Enrolment Fees ( 2nd Year)
Current Liabilities Advance Recd. – Value to be Given FAE - Enrolment Fees ( 3rd Year)

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 v. TRANSPORT OPERATOR INCOME SPLIT GROUPS AND ADVANCE INCOME HEADS

TRANSPORT OPERATOR RENEWAL FOR A PERIOD OF 3 YEARS

Direct Income Subscription to Scheme for Recommending Transport Subscription -LT (Annual Fee) (C.Y. 1st Year)
Operators
Current Liabilities Advance Recd.- Value to be Given Adv. Transport Operator Subscription (2nd Year)
Current Liabilities Advance Recd.- Value to be Given Adv. Transport Operator Subscription (3rd Year)

SECURITY PRINTER RENEWAL FOR A PERIOD OF 2 YEARS

Direct Income Subscription to Scheme for Recommending Security Printers Security Printers Annual Fees (C.Y. 1st Year)
Current Liabilities Advance Recd.- Value to be Given Adv. Security Printers Subscription (2nd Year)
Current Liabilities Advance Recd. – Value to be Given Adv. Security Printers Subscription (3rd Year)
TRANSPORT OPERATOR NEW ENROLMENT*
Current Liabilities* Advance Recd.- Value to be Given* Subscription - LT Scheme (Advance)*
SECURITY PRINTER NEW ENROLMENT *
Current Liabilities* Advance Recd.- Value to be Given* Adv. Security Printers Subscription (New
Applications) *

*Initially the amount received from New Transport Operator is parked in the advance head mentioned as “Subscription – LT Scheme (Advance)”
and for New Security Printers the same is parked in advance head mentioned as “Adv. Security Printer Subscription (New Applications)”. After
receiving the period of approval, amount so received is booked by splitting in respective years. As such, in case of any rejection of new
application, amount is refunded by directly debiting the above advance heads.

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B. GROUING OF EXPENSES HEADS:
Expense Group Subgroup Expense
Establishment Expenses SALARIES Salaries IBA Staff
Entertainment Exp. (CE & IBA Staff)
Entertainment Expenses(Staff)
Staff Medical Expenses (Allowance)
Statutory Staff Expense Employer's Cont. to EPF
Employer's Contr. to DLIS
Employer's Cont. to Admn. Charges
Employer's Contr. to Pension Scheme
Other Staff Expenses Staff Welfare Expenses
Staff Liveries
Staff Medical Expenses (Insurance Premium-Health
Check)
Staff Training Expenses
Other C2C Staff Expenses Leave Travel Allowances
Privilege Leave Encashment (paid at the time of LFC)
Staff Gratuity ( To be Paid to CE)
Staff Medical Aid – given to staff every month
Administration & Support Travelling & Conveyance Expenses Travelling Expenses
Services Conveyance Expense
Covid 19 Expenses
Rent, Rates & Taxes RRT of Palm Spring Flat P 2
RRT of Stadium House Premises
RRT of WTC Premises
Rates & Taxes
Electricity & Fuel Charges Electricity

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Postage & Courier Expenses Postage- Others
Postage - Franking Machine
Courier
Courier- Local
Courier - Outstation
Communication Expenses Mobile Phone
Telephone Delhi
Telephone Stadium House
Telephone WTC
Internet
Printing & Stationery Expenses Printing & Stationery
Books and Periodicals Subscription to Books & Periodicals
Legal Expenses Legal Expenses
Professional Fees Professional Fee-Insp. of Security Printers
Professional Fees - (IBA)
Professional Fees- Internal Audit
Professional Fees- Others (EY, HGS, Talent Pro, HR
Consultant etc etc)
Expert Committee- Fees
Subscription to Membership Subsn: Ibfed-International Banking Federation
Subsn. APRACA
Subsn. CMIE
Subsn. Maha Economic Dev. Council
Meeting Expenses Meetings (Separate sub heads of each type of meeting)
Miscellaneous Expenses Bank Charges
Input CGST Disallowed
Input IGST Disallowed
Input SGST Disallowed
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 Misc. Non Consumable Items
Misc. Other Expenses
Out of Pocket Expenses
Reversal ITC on Sale of Mutual Fund & Fixed Assets
Conferences (Overseas) Conference Overseas Boarding, Lodging FBT
Conference Overseas Travel (SIBOS/FIMMDA)
Repairs & Maintenance Air Conditioner Maintenance
Premises Maintenance
Motor Car Maintenance
Computer Maintenance & Accessories
Other Equipment & Furniture & Fixture Maintenance
Website IBA Website
Web Application Charges
Property Tax Property Tax (CCI)
Property Tax (MVIRDC)
Water Charges Misc – CCI Water Charges
Misc – Delhi Water Charges
Insurance - Charges Insurance - Charges
Advertisement Expenses Advertisement Expenses
Prior Period Expense Prior Period Expense
Loss on Sale of Fixed Assets Loss on Sale of Fixed Assets
BC Registry Project BC Registry Project
Debtors Reversed Debtors Reversed
Debtors W/off Debtors W/off
Corporate Gift Corporate Gift
Advertisement Expenses Advertisement Expenses
Miscellaneous Expenses Festival Celebration Expenses

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Research & Publication Publication – Indian Banker Expenses Indian Banker Advertisement Expenses
Indian Banker - Content Management & Production
Exp
Indian Banker – Honorarium Exp
Indian Banker – Other Expenses
Indian Banker – Postage
Indian Banker - Printing
Seminar & Conferences Organised Seminar & Conferences Banking Technology Conference, Expo & Citations
by IBA-Exp CISO Exp
Climate Finance Exp
FIBAC Exp
HR Conclave Exp
PICKUP Fintech Exp
Seminar CBDC Exp
Seminar Workshop Exp

RECOVERABLE EXPENSES- These are the expenses which are incurred in completing various projects assigned to the Association on behalf of
members. Normally we recover share in expenses after incurring expenditure. However, where the amount is large, we collect the amount in
advance to be spent at a later date.

Direct Expenses Share in Expense recoverable from Members Projects

Direct Expenses Recoverable EASE Expenses for Public Sector Banks
BIP Expenses
Customer Service Survey 2023 Expenses
Digital Banking Unit Expenses
Doorstep Banking Service Expenses
HR Legal Exp
Legal Expenses
SIBOS Expenses

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 FSIB Expenses
MAB Expenses
SEWA Portal Project Exp
SIDBI IBA IFC (Global SME Finance Forum 2023)
H. GROUPING OF LIABILITY HEADS:
Group Subgroup Head Subhead
Liability SOURCES OF FUND Earmarked Funds Fixed Assets Building Fund
Fixed Assets Other than Building Fund
Staff Consumer/Conveyance Loan Fund
Staff Housing Loan Fund
Special Fixed Asset Building (SFAB) Fund
Members Fund Contingency Fund
Income & Expenditure Account (Reserve &
Surplus)
Corpus Fund
Entrance Fees
Current Liabilities Sundry Creditors Party wise ledgers are maintained
IGST Output
Duties & Taxes - GST Liability CGST Output
SGST Output
TDS Commission & Brokerage
TDS Contract (Companies)
TDS Contract (Non-Companies)
TDS Professional Fees (Companies)
Duties & Taxes – TDS Liability TDS Professional Fees (Non-Companies)
TDS Rent-Building
TDS Rent - Plant & Machinery
TDS Salaries

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Duties & Taxes – PF Payable Provided Fund (PF Payable)
Provisions of Income Tax Income Tax A.Y.
Provisions for Employee Future Benefits Provision for Leave Encashment Liability
Provision for Gratuity
Provisions: Others Provision Stamp Duty – WTC Premises
Salary Saving Scheme (LIC)
Liabilities General – Liabilities HO Employees Cont. to EPF
EPF(Voluntary)

Liabilities General – Liabilities Profession Profession Tax - Mumbai

Tax
Adv. Security Printers Subscription 2025-26
Adv. Security Printers Subscription 2026-27
Adv. Security Printers Subscription 2027-28
Adv. Security Printers Subscription (New Applications)
Adv. Transport Operator Subscription 2025-26
Advance Received Value to be Given Adv. Transport Operator Subscription 2026-27
Adv. Transport Operator Subscription 2027-28
Adv. Transport Operator Subscription 2028-29
ASM - Enrolment Fee F.Y. 2025-26
ASM - Enrolment Fee F.Y. 2026-27
ASM - Enrolment Fee F.Y. 2027-28
ASM - Enrolment Fee F.Y. 2028-29
FAE - Enrolment FEE- 2025-26
FAE - Enrolment FEE- 2026-27
FAE - Enrolment FEE- 2027-28
Indian Banker Subscription 2025-26
Indian Banker Subscription 2026-27
Indian Banker Subscription 2027-28
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 FAE - Enrolment FEE- 2028-29
Subscription - LT Scheme (Advance for new cases)
Specific Projects where amount has been Digital Banking Unit Fund
collected in advance from members. EASE Contribution Fund
Legal Expense HR Fund
MAB Fund
Specific Projects where amount has been Media Campaign Fund
collected in advance from members. PMYY Fund
Bharat QR Fund
I. GROUPING OF ASSETS HEADS:
Subgroup Head Subhead
Fixed Assets Computers Computers & Accessories
Equipment
Land & Building Building - Lease Hold – (WTC)
Building -Owned Residential (Palm Springs)
Equipment Air Conditioners
Equipment Electrical Installation
Furniture & Fixture Furniture & Fixture
Motor Car Motor Car
Website Development Website Development
Fixed Assets Depreciation Reserve Air Conditioners - Dep. Reserve
Building - Lease Hold- Dep. Reserve
Building -Owned Residential - Dep. Reserve
Computer - Dep Reserve
Electrical Installations - Dep. Reserve
EQUIPMENT -DEP. RESERVE
Furniture & Fixtures- Dep. Reserve
Motor Car- Dep. Reserve
Website Development- Dep. Reserve

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Investment Long Term Investment Financial Benchmark India Pvt Ltd under IBA Joint Venture group
Invest LT PNB—Bank FDs
Invest LT Qatar National Bank- Bank FDs
Invest LT SBI – Bank FD
Invest LT Union Bank – Bank FDs
Reliance Equity Hybrid Growth Fund – Mutual Fund
SBI CRISIL IBX SDL INDEX- Mutual Fund
Current Assets Cash in Hand Petty Cash At Stadium House
Petty Cash At WTC
Petty Cash At DLC
Bank Accounts ICICI BANK LTD S B A/c 000401125712
Punjab National Bank - Current A/c No. 10801131000092
State Bank of India A/c No. 31724666558
Union Bank Current A/c No. 319504010019064
Union Bank of India A/c No. 319501010036158
Sundry Debtors Under below mentioned heads separate party wise/member wise ledgers are
opened
Transport Operator & Security Printer
AD Camp
ARC
BAS
BIP
BTC Expo
CSS
EASE
FIBAC
GYAN Sangam
IARC
IBA-HR
KOL
SFAB-IF (member wise leger is maintained)

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 SIBOS
The Global SME Finance Forum 2023
SWIFT
Provision for Doubtful Debts
Sundry Assets Prepaid Expenses year wise
Loans & Advances - Deposits Deposit with BEST/BSES
Deposit with BPCL Dealer
Deposit with CCI (Rent)
Deposit with Mahanagar Gas Ltd.
Deposit with MVIRDC
Lease Rent Security Deposits - IBA Staff
Lease Rent Security Deposit – IBA Professionals
Security Deposit - Google Maps Platform
Security Deposit with Palm Spring Flat
Unused Stamps in Franking Machine
Interest Free Advance to staff
Int. Accrued. on Investments due but not received
IGST Input Credit IGST Input Credit
CGST Input Credit CGST Input Credit
SGST Input Credit SGST Input Credit
UTGST Input Credit UTGST Input Credit
TDS Receivable under GST TDS Receivable under GST

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21. Internal Audit Report & Compliance Process

Managing Committee will appoint Internal Auditor for a period of three years and accounts of the Association will be audited on monthly
basis by the Internal Auditor so appointed. Monthly report will be submitted to Finance & Admin department who will ensure
compliance of the audit observations and monthly Action Taken Report will be prepared and placed before Advisor Finance & Admin.

The Finance and Accounts Department should keep the following data ready for verification every month for internal audit:

i. Cash Book
ii. Bank Books reconciliation with Bank Statement
iii. Receipts/Payments/Journal Vouchers
iv. Investments Reconciliation (Fixed Deposit Receipts, Interest Certificate & Balance Confirmations etc)
v. Income Reconciliation along with supporting MC note
vi. Payment of statutory dues
vii. Expenses Vouchers & MC notes related to expenses
viii. Cash Vouchers & Physical Cash Reconciliation
ix. Salary & Professional Fees Payment with statutory Dues
x. Fixed Assets Invoice verification
xi. Reconciliation of Recovery from members under various projects & BAS collection
xii. Any other document/Statement as mentioned in the requirement list of the Internal Auditor

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22. Reportings & Compliances:

As part of the management function, Finance & Admin will be responsible for preparing and ensuring the Compliance of the following:
a) Half yearly Income & Expenditure Account
b) Yearly Financial Statement and Balance Sheet & Audit of Books of Accounts
c) Investment tracker
d) Receivable tracker
e) ATR on advice of the Tax Consultant for Direct as well as Indirect Taxes.
f) Statutory Compliance Report
g) ATR on observations of Internal Audit Report on monthly basis
h) Advance Tax computation and its timely payment
i) Timely preparation and filing of following returns:
a. GSTR-1
b. GSTR-3B
c. GSTR-9 & GSTR-9C
d. TDS Quarterly returns
e. Computation of Income and filing of Annual Income Tax Return
f. Timely completion of Tax Audit and filing of Tax Audit Report

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 23. GST Return Formats-(GSTR-1) Annexure A

FORM GSTR-1
[See rule 59(1)]
Details of outward supplies of goods or services

Financial year 2024-25

Tax period November

1 GSTIN 27AAAAI0812R1ZJ
2 (a) Legal name of the registered person INDIAN BANKS ASSOCIATION
(b) Trade name if any INDIAN BANKS' ASSOCIATION
(c) ARN AA271124575249Z
(d) ARN date 10/12/2024

No. of records Document

Description Type Value (₹) Integrated Tax (₹) Central Tax (₹) State/UT Tax (₹) Cess (₹)

4A - Taxable outward supplies made to registered persons (other than reverse charge supplies) including supplies made through e-commerce operator attracting TCS - B2B Regular
Total 28 Invoice XXXXX XXXXX XXXXX XXXXX 0.00

4B - Taxable outward supplies made to registered persons attracting tax on reverse charge - B2B Reverse charge
Total 2 Invoice XXXXX XXXXX XXXXX XXXXX 0.00

5 - Taxable outward inter-state supplies made to unregistered persons (where invoice value is more than Rs. 1 lakh) including supplies made through e-commerce operator, rate wise - B2CL (Large)
Total 2 Invoice XXXXX XXXXX 0.00

6A – Exports (with/without payment)

Total 0 Invoice 0.00 0.00 0.00
- EXPWP 0 Invoice 0.00 0.00 0.00
- EXPWOP 0 Invoice 0.00

6B - Supplies made to SEZ unit or SEZ developer - SEZWP/SEZWOP

Total 0 Invoice 0.00 0.00 0.00

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 - SEZWP 0 Invoice 0.00 0.00 0.00
- SEZWOP 0 Invoice 0.00

6C - Deemed Exports – DE
Total 0 Invoice 0.00 0.00 0.00 0.00 0.00

7- Taxable supplies (Net of debit and credit notes) to unregistered persons (other than the supplies covered in Table 5) including supplies made through e-commerce operator attracting TCS - B2CS (Others)
No. of records Document
Description Type Value (₹) Integrated Tax (₹) Central Tax (₹) State/UT Tax (₹) Cess (₹)

Total 6 Net Value XXXX XXXX XXXX XXXX 0.00

8 - Nil rated, exempted and non-GST outward supplies

Total XXXX
- Nil 0.00
- Exempted XXXX
- Non-GST 0.00

9A - Amendment to taxable outward supplies made to registered person in returns of earlier tax periods in table 4 - B2B Regular
Amended amount - Total 0 Invoice 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - Original) 0.00 0.00 0.00 0.00 0.00

9A - Amendment to taxable outward supplies made to registered person in returns of earlier tax periods in table 4 - B2B Reverse charge
Amended amount - Total 0 Invoice 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - Original) 0.00 0.00 0.00 0.00 0.00

9A - Amendment to Inter-State supplies made to unregistered person (where invoice value is more than Rs. 1 lakh) in returns of earlier tax periods in table 5 - B2CL (Large)
Amended amount - Total 0 Invoice 0.00 0.00 0.00
Net differential amount (Amended - Original) 0.00 0.00 0.00

9A - Amendment to Export supplies in returns of earlier tax periods in table 6A (EXPWP/EXPWOP)

Amended amount - Total 0 Invoice 0.00 0.00 0.00
Net differential amount (Amended - Original) - Total 0.00 0.00 0.00
- EXPWP 0 Invoice 0.00 0.00 0.00
- EXPWOP 0 Invoice 0.00

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9A - Amendment to supplies made to SEZ units or SEZ developers in returns of earlier tax periods in table 6B (SEZWP/SEZWOP)
Amended amount - Total 0 Invoice 0.00 0.00 0.00
Net differential amount (Amended - Original) - Total 0.00 0.00 0.00
- SEZWP 0 Invoice 0.00 0.00 0.00
- SEZWOP 0 Invoice 0.00

9A - Amendment to Deemed Exports in returns of earlier tax periods in table 6C (DE)

Amended amount - Total 0 Invoice 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - Original) 0.00 0.00 0.00 0.00 0.00

9B - Credit/Debit Notes (Registered) – CDNR

No. of records Document
Description Type Value (₹) Integrated Tax (₹) Central Tax (₹) State/UT Tax (₹) Cess (₹)

Total - Net off debit/credit notes (Debit notes - Credit 2 Note XXXX XXXX XXXX XXXX 0.00
notes)
Credit / Debit notes issued to registered person for taxable outward supplies in table 4 other than table 6 - B2B Regular
Net Total (Debit notes – Credit notes) 2 Note XXXXX XXXX XXXX XXXX 0.00
Credit / Debit notes issued to registered person for taxable outward supplies in table 4 other than table 6 - B2B Reverse charge
Net Total (Debit notes – Credit notes) 0 Note 0.00 0.00 0.00 0.00 0.00
Credit / Debit notes issued to registered person for taxable outward supplies in table 6B - SEZWP/SEZWOP
Net Total (Debit notes – Credit notes) 0 Note 0.00 0.00 0.00
Credit / Debit notes issued to registered person for taxable outward supplies in table 6C – DE
Net Total (Debit notes – Credit notes) 0 Note 0.00 0.00 0.00 0.00 0.00

9B - Credit/Debit Notes (Unregistered) – CDNUR

Total - Net off debit/credit notes (Debit notes - Credit 0 Note 0.00 0.00 0.00
notes)
Unregistered Type
- B2CL 0 Note 0.00 0.00 0.00
- EXPWP 0 Note 0.00 0.00 0.00
- EXPWOP 0 Note 0.00

9C - Amended Credit/Debit Notes (Registered) – CDNRA

Amended amount - Total 0 Note 0.00 0.00 0.00 0.00 0.00
Net Differential amount (Net Amended Debit notes - 0.00 0.00 0.00 0.00 0.00
Net Amended Credit notes) - Total

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 Amended Credit / Debit notes issued to registered person for taxable outward supplies in table 4 other than table 6 - B2B Regular
Net total (Net Amended Debit notes - Net 0 Note 0.00 0.00 0.00 0.00 0.00
Amended Credit notes)
Amended Credit / Debit notes issued to registered person for taxable outward supplies in table 4 other than table 6 - B2B Reverse charge
Net total (Net Amended Debit notes - Net 0 Note 0.00 0.00 0.00 0.00 0.00
Amended Credit notes)
Amended Credit / Debit notes issued to registered person for taxable outward supplies in table 6B - SEZWP/SEZWOP
Net total (Net Amended Debit notes - Net 0 Note 0.00 0.00 0.00
Amended Credit notes)
Amended Credit / Debit notes issued to registered person for taxable outward supplies in table 6C – DE
Net total (Net Amended Debit notes - Net 0 Note 0.00 0.00 0.00 0.00 0.00
Amended Credit notes)

9C - Amended Credit/Debit Notes (Unregistered) – CDNURA

Amended amount - Total 0 Note 0.00 0.00 0.00
Net Differential amount (Net Amended Debit notes - 0.00 0.00 0.00
Net Amended Credit notes) - Total
Unregistered Type
No. of records Document
Description Type Value (₹) Integrated Tax (₹) Central Tax (₹) State/UT Tax (₹) Cess (₹)

- B2CL 0 Note 0.00 0.00 0.00

- EXPWP 0 Note 0.00 0.00 0.00
- EXPWOP 0 Note 0.00

10 - Amendment to taxable outward supplies made to unregistered person in returns for earlier tax periods in table 7 including supplies made through e-commerce operator attracting TCS - B2C (Others)
Amended amount - Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - Original) 0.00 0.00 0.00 0.00 0.00

11A(1), 11A(2) - Advances received for which invoice has not been issued (tax amount to be added to the output tax liability) (Net of refund vouchers, if any)
Total 0 Net Value 0.00 0.00 0.00 0.00 0.00

11B(1), 11B(2) - Advance amount received in earlier tax period and adjusted against the supplies being shown in this tax period in Table Nos. 4, 5, 6 and 7 (Net of refund vouchers, if any)
Total 0 Net Value 0.00 0.00 0.00 0.00 0.00

11A - Amendment to advances received in returns for earlier tax periods in table 11A(1), 11A(2) (Net of refund vouchers, if any)
Amended amount - Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
Total 0.00 0.00 0.00 0.00 0.00

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11B - Amendment to advances adjusted in returns for earlier tax periods in table 11B(1), 11B(2) (Net of refund vouchers, if any)
Amended amount - Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
Total 0.00 0.00 0.00 0.00 0.00

12 - HSN-wise summary of outward supplies

Total 8 NA XXXX XXXX XXXX XXXX 0.00

13 - Documents issued
Net issued documents 53 All Documents

14 - Supplies made through E-Commerce Operators

Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
(a) Liable to collect tax u/s 52 0 Net Value 0.00 0.00 0.00 0.00 0.00
(b) Liable to pay tax u/s 9(5) 0 Net Value 0.00 0.00 0.00 0.00 0.00

14A - Amended Supplies made through E-Commerce Operators

Amended amount – Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - Original) 0 Net Value 0.00 0.00 0.00 0.00 0.00
(a) Liable to collect tax u/s 52
Description No. of records Document Type Value (₹) Integrated Tax (₹) Central Tax (₹) State/UT Tax (₹) Cess (₹)
Amended amount – Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - Original) 0 Net Value 0.00 0.00 0.00 0.00 0.00
(b) Liable to pay tax u/s 9(5)
Amended amount – Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - Original) 0 Net Value 0.00 0.00 0.00 0.00 0.00

15 - Supplies U/s 9(5)

Total 0 Document/Net 0.00 0.00 0.00 0.00 0.00
Value
- For Registered Recipients 0 Document 0.00 0.00 0.00 0.00 0.00
- Regular 0 Document 0.00 0.00 0.00 0.00 0.00
- DE 0 Document 0.00 0.00 0.00 0.00 0.00
- SEZWP 0 Document 0.00 0.00 0.00
- SEZWOP 0 Document 0.00
- For Unregistered Recipient 0 Net Value 0.00 0.00 0.00 0.00 0.00

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15A (I) - Amended Supplies U/s 9(5) – For Registered Recipients
Amended amount - Total 0 Document 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - 0 Document 0.00 0.00 0.00 0.00 0.00
Original)
- Regular 0 Document 0.00 0.00 0.00 0.00 0.00
- DE 0 Document 0.00 0.00 0.00 0.00 0.00
- SEZWP 0 Document 0.00 0.00 0.00
- SEZWOP 0 Document 0.00

15A (II) - Amended Supplies U/s 9(5) – For Unregistered Recipients

Amended amount - Total 0 Net Value 0.00 0.00 0.00 0.00 0.00
Net differential amount (Amended - 0 Net Value 0.00 0.00 0.00 0.00 0.00
Original)

Total Liability (Outward supplies other than Reverse charge) XXXXXX XXXXX XXXXX XXXXX 0.00

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GST Return Formats- (GSTR-3B)
Year 2024-25
Period November

GSTIN of the supplier 27AAAAI0812R1ZJ

2(a). Legal name of the registered person INDIAN BANKS ASSOCIATION
2(b). Trade name, if any INDIAN BANKS' ASSOCIATION
2(c). ARN AB271124481126A
2(d). Date of ARN 18/12/2024

3.1 Details of Outward supplies and inward supplies liable to reverse charge (other than those covered by Table 3.1.1)

Nature of Supplies Total taxable Integrated Central tax State/UT tax Cess
value tax
(a) Outward taxable supplies (other than zero rated, nil rated XXXXX XXXXX XXXXX XXXXX 0.00
and exempted)
(b) Outward taxable supplies (zero rated) 0.00 0.00 - - 0.00
(c ) Other outward supplies (nil rated, exempted) XXXXX - - - -
(d) Inward supplies (liable to reverse charge) XXXXX XXXXX XXXXX XXXXX 0.00
(e) Non-GST outward supplies 0.00 - - - -

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 3.1.1 Details of Supplies notified under section 9(5) of the CGST Act, 2017 and corresponding provisions in IGST/UTGST/ SGST Acts

Nature of Supplies Total Integrate Central State/ UT Cess

taxable d tax tax tax
value
(i) Taxable supplies on which electronic commerce operator pays tax u/s 9(5) [to 0.00 0.00 0.00 0.00 0.00
be furnished by electronic commerce operator]
(ii) Taxable supplies made by registered person through electronic commerce 0.00 - - - -
operator, on which electronic commerce operator is required to pay tax u/s 9(5) [to
be furnished by registered person making supplies through electronic commerce
operator]

3.2 Out of supplies made in 3.1 (a) and 3.1.1 (i), details of inter-state supplies made

Nature of Supplies Total taxable value Integrated tax

Supplies made to Unregistered Persons XXXXX XXXXXX
Supplies made to Composition Taxable Persons 0.00 0.00
Supplies made to UIN holders 0.00 0.00

4. Eligible ITC

Details Integrated Central tax State/UT tax Cess

tax
A. ITC Available (whether in full or part)
(1) Import of goods 0.00 0.00 0.00 0.00
(2) Import of services 0.00 0.00 0.00 0.00
(3) Inward supplies liable to reverse charge (other than 1 & 2 above) XXXX XXXX XXXX 0.00
(4) Inward supplies from ISD 0.00 0.00 0.00 0.00
(5) All other ITC XXXXX XXXXX XXXXX 0.00

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 5 Values of exempt, nil-rated and non-GST inward supplies
Nature of Supplies Inter- State supplies Intra- State supplies
From a supplier under composition scheme, Exempt, Nil rated supply 0.00 0.00
Non-GST supply 0.00 0.00

5.1 Interest and Late fee for previous tax period

Details Integrated Central tax State/UT tax Cess
tax
System computed Interest - - - -
Interest Paid 0.00 XXXX XXXX 0.00
Late fee - 0.00 0.00 -

B. ITC Reversed
(1) As per rules 38,42 & 43 of CGST Rules and section 17(5) XXXX XXXX XXXX 0.00
(2) Others XXXX XXXX XXXX 0.00
C. Net ITC available (A-B) XXXX XXXXX XXXX 0.00
(D) Other Details XXXX XXXX XXXX 0.00
(1) ITC reclaimed which was reversed under Table 4(B)(2) in earlier tax period XXXX XXXX XXXX 0.00
(2) Ineligible ITC under section 16(4) & ITC restricted due to PoS rules 0.00 0.00 0.00 0.00

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24. Fixed Assets Sample Codes: Annexure B
6.1 Payment of tax
Description Tax Adjustment Net Tax Tax paid through ITC Tax paid in Interest Late fee
payable of Payable Integrated Central State/UT Cess cash paid in paid in cash
negative tax tax tax cash
liability of
previous
tax period
(A) Other than reverse charge
Integrated tax XXXX 0.00 XXXX XXXX XXXX XXXX - 0.00 0.00 -

Central tax XXXX 0.00 XXXX XXXX XXXX XXXX - 0.00 127.00 0.00

State/UT tax XXXX 0.00 XXXX XXXX - 0.00 127.00 0.00

Cess 0.00 0.00 0.00 - - - 0.00 0.00 0.00 -

(B) Reverse charge and supplies made u/s 9(5)
Integrated tax 8145.00 0.00 XXXX - - - - XXXX - -

Central tax 60349.00 0.00 XXXX - - - - XXXX - -

State/UT tax 60349.00 0.00 XXXX - - - - XXXX - -

Cess 0.00 0.00 0.00 - - - - 0.00 - -

Breakup of tax liability declared (for interest computation)

Period Integrated tax Central tax State/UT tax Cess
November 2024 XXXXX XXXXX XXXXX 0.00

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TDS & TCS Rate Chart- TDS & TCS rates prevailing as on 31.03.2024 and are generally applicable to association. Rates are subject to
change as per the notification issued by Govt/Tax authorities from time to time. Annexure C
a)

Sections Nature of transaction Threshold Limit (Rs) TDS Liability Rate

192 Payment of salary Basic exemption limit of Normal Slab Rates(Based on the
employee regime opted by deductee)
192A Premature withdrawal from EPF 50,000 10%
Budget 2023: TDS Liability rate for
EPF withdrawals without a PAN
number is now 20%, from the
previous maximum marginal rate

193 Interest on securities Debentures- 10%

5,000 (Individual&HUF)
Budget 2023: Exemption of TDS
Liability interest from listed
debentures has been removed.
Therefore, tax has to be deducted on
interest on such specified securities.

8% Savings (Taxable) Bonds

2003 or 7.75% Savings (Taxable)
Bonds 2018- Rs. 10,000
Other securities- No limit

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 194 Payment of any dividend 5,000 10%
194A Interest from other than interest from Senior Citizens- 50,000 10%
securities (from deposits with banks/post
office/co-operative society)

Others- 40,000
194A Interest from other than interest on securities 5,000 10%
u/s 193 and interest from banks/post
office/co-operative society.

For e.g., interest from friends and relatives

Online Gaming- Refer 194BA
Aggregate winnings during a
financial year not single
transaction
194C Payment to contractor/sub-contractor: - Single transaction- 30,000
Aggregate transactions- 1,00,000
a) Individuals/HUF 1%
b) Other than Individuals/HUF 2%
194F Payment for the repurchase of the unit by No limit 20% (exempted effective 1-10-24)
Unit Trust of India (UTI) or a Mutual Fund

194H Commission or brokerage 15,000 5% (revised 2% effective 1-10-24)

194-I Rent:
194-I(a) Rent on 2,40,000 2%
plant and machinery
194-I(b) Rent on 2,40,000 10%
land/building/furniture/fitting

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194-IA Payment in consideration of transfer of certain 50,00,000 1%
immovable property other than agricultural
land.
194-IB Rent payment by an individual or HUF not 50,000 per month 5% (revised 2% effective 1.10.24)
covered u/s. 194-I
194J Any sum paid by way of Fees for professional 30,000 10%
services
194J Any sum paid by way of 30,000 10%
remuneration/Fees/commission to a director
194J Any sum paid for not carrying out any 30,000 10%
activity concerning any business;
194J Any sum paid for not sharing any know-how, 30,000 10%
patent, copyright, etc.

194J Any sum paid as a Fees for technical services 30,000 2%

194J Any sum paid by way of royalty towards the 30,000 2%

sale or distribution, or exhibition of
cinematographic films

194J Any sum paid as Fees for technical services, 30,000 2%

but the payee is engaged in the business of
operation of the call centre.

194K Payment of any income for units of a mutual 5000 10%

fund, for example, dividend other than
income in the nature of capital gain
194N Cash withdrawal exceeding a certain amount Co-operative society: 3 Crore 2%
Others: 1 crore

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194N Cash withdrawal in case person not filing 20 lakh to 1 crore 2%
ITR for last three years and the original ITR
filing due date expired 1 crore 5%

*If cash is withdrawn by a co-operative

society the limit shall be Rs 3 Crore
instead of Rs 1 Crore
194R Perquisite or benefit to a business or 20,000 10%
profession

Others- 10,000
206AB Payment to non-filers, i.e. those who have not No limit - 2 times the rate given in the Income
filed their income tax return in the last year Tax Act or Finance Act or

- 5%, whichever is higher

Budget 2023:
Non-filers do not include:
- People who are not required to file their
ITRs
- NRs who do not have a PE in India
206AA TDS Liability in case of Non-availability of No limit Rates specified above or 20%, whichever
PAN is higher

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b) Late Payment Interest:

Section Nature of Default Amount of Interest Period

201(1A) Non-deduction of TDS, in 1% per month From the date on which tax needs to be
whole or in part deducted to the date on which tax is deducted

After deduction of TDS, non- 1.5% per month From the date of deduction to the date of the
payment of tax either in whole payment.
or in part

c) TCS Rates - generally applicable to association) :

Relevant section Nature of goods TCS Rates

Section 206C(1) Sale of Scrap 1%

Section 206C(1F) Sale of a motor vehicle of value exceeding INR 10 Lakhs 1%

Section Foreign remittance under the Liberalised Remittance Scheme of the Reserve 5% (notably with effect from
206C(1G) Bank of India 1st July 2023 the rate will be 20%-
Presently kept in abeyance.

Section Overseas tour program package 5% (notably with effect from

206C(1G) 1st July 2023 the rate will be 20%)

Section Non-furnishing of Permanent Account Number (PAN) by the collectee to Higher of the following –
206CC(1) the collector · At twice of the rates as prescribed
in the relevant provision; or
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 · 5%.
Notably, the maximum rate of
TCS should not exceed 20%.
Present kept in defence.
Section Applicable when all of the following conditions are satisfied – Higher of the following –
206CCA(1) ·The person has not furnished income tax return for the Assessment Year · At twice of the rates as
(relevant to the previous year) immediately preceding the Financial Year in prescribed in the relevant
which TCS was required to be collected; provision; or
· The time limit for submitting a return under section 139(1) of the Income · 5%.
Tax Act is expired; and Notably, the maximum rate of
· The total of TDS and TCS is INR 50,000 or more in the respective previous TCS should not exceed 20%.
year.
*Note: TDS & TCS rates & conditions will be changing every year.

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25. Late Fees and Interest thereon for Delay in Filing of GST Return
(These are subject to change by the Govt from to time.)
Annexure D

Name of the Act Late fees for every day of delay

Central Goods and Services Act, 2017 (CGST) Rs 25*
Respective State Goods and Services Act, 2017 (or) Union Rs 25*
territory Goods and Services Act, 2017(SGST or UTGST)
A Late Fees of Rs. 50 per day is liable to be paid, if any monthly/quarterly return is not submitted within due date.

a) Maximum penalty from 1st June 2021 onwards will be as follows

Turnover Limit/GSTR Returns Late Fees
Taxpayers having Annual Aggregate Turnover (AATO) in Late fees to be capped to a maximum of Rs 2000 (1000 CGST+1000
preceding year upto Rs 1.5 crore SGST).
Taxpayers having AATO in preceding year between Rs 1.5 crore to Late Fees to be capped to a maximum of Rs 5000 (2500
Rs 5 crore, CGST+2500 SGST).
Taxpayers having AATO in preceding year above Rs 5 crores, late Fees to be capped to a maximum of Rs 10000 (5000
CGST+5000 SGST).
Annual return a penalty is payable at Rs. 200 per day. Maximum penalty in such
case is 0.25% of the turnover in the State or Union Territory

b) Interest On Late Payment of Taxes - If tax is paid after the due date of payment of tax, then interest is payable @ 18% per annum. Unlike
Income tax, interest is payable by calculation on daily basis.

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 Glossary:

ABBREVIATION MEANING
BTC Banking Technology Conference & Expo
CA Current Assets
CAPEX Capital Expenditure
CBDC Central Bank Digital Currency (Conference)
CCI Cricket Club of India
CE Chief Executive
CGST Central Goods and Services Tax.
CIB Corporate & International Banking
CISO Chief Information Security Officer (CISO Event)
CL Current Liabilities
CMIE Centre for Monitoring Indian Economy
CSS Customer Service Survey
CY Current Year
D&T Duties & Taxes
DBU Digital Banking Unit
DCE Deputy Chief Executive
DLC Documentary Letter of Credit
DRS Department of Research and Statistics
DSB Door Step Banking

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EASE Enhanced Access and Service Excellence
EPF Employees Provident Fund
EY Ernst & Young
F&A Finance and Administration
FAE Forensic Audit Empanelment
FC Finance Committee
FD Fixed Deposit
FIBAC FICCI & IBA - Banking Annual Conference
FICCI Federation of Indian Chambers of Commerce and Industry
FSIB Financial Services Institutions Bureau
GGCA Group Gratuity Cash Accumulation
GST The goods and services tax
GSTR The Goods and Services Tax Return
HGS Hinduja Global Solutions
HO Head Office
HR&IR Human Resource & Industrial Relations
IARC International Asset Reconstruction Company
IBFED The International Banking Federation
IC Investment Committee
IGST Integrated Goods and Services Tax
ISP India Security Press
KoL

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 LFC Leave Fare Concession
MAB Minimum Average Quarterly Balance
MC Managing Committee
MICR Magnetic ink character recognition
MIS Management Information System
NBFC Non-Banking Financial Company
NPA Non-Performing Asset
NPC National Productivity Council of India
P&L Profit & Loss
PICKUP Pickup Fintech Conference
PMJDY Pradhan Mantri Jan Dhan Yojana
PMMY Pradhan Mantri Mudra Yojana
PSBT Payment Systems & Banking Technology
RBSB Retail Banking & Social Banking
RCM Reverse Charge Mechanism
SFAB Special Fixed Asset Building Fund
SGST State Goods and Services Tax
SH Stadium House
SIBOS SWIFT International Banking Operations Seminar
SVP Senior Vice President
SWIFT Society for Worldwide Interbank Financial Telecommunications
TA/DA Traveling Allowance / Dearness Allowance

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 TCS Tax collected at source
TDS Tax Deducted at Source
TDSP Transport Department & Security Printers
TO Transpor Operator
TP Trade Payable
TR Trade Receivable
UTGST Union Territory Goods and Services Tax
VP Vice President
WTC World Trade Centre

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 Thank you for entrusting us with your financial journey. As you reach the final page of this
accounting manual & Procedures, remember that every number tells a story. May your balance
always reflect success, your ledgers be filled with prosperity, and your financial future be as bright
as the numbers within. Should you need guidance on this fiscal voyage, our team is here to navigate
with you. Wishing you sound financial health and continued success

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