Audit Reports

iii 1. The Report of the Comptroller and Auditor General of India for the year ended March 2016 has been prepared for submission to the Governor of Sikkim under Article 151 (2) of the Constitution......

Rule 3(20) of the Lotteries (Regulation) Rules , 2010 empowers the Comptroller and Auditor General of India (CAG) to conduct audit of any lottery or lottery scheme , organised by any State. In view of the said provision, audit of lotteries organised by the State of Sikkim , for the period 2010......

Nuclear Power Project, Units I and II 3 The KKNPP Units III, IV, V and VI are also being implemented with cooperation from Russian Federation. General Framework Agreement (GFA) for Units III and IV was signed on 10 April 2014. Works for KKNPP Units III and IV started in February 2016 and as......

DAE Department of Atomic Energy 12. DPR Detailed Project Report 13. EAR Erection All Risk 14. FRT Freight Tons 15. GCC General Conditions of Contract 16. GFA General Framework Agreement 17. GoI Government of India 18. HDFC Housing Development Finance Corporation 19. IDC Interest During......

prepared in accordance wi th the Performance Auditing Guidelines, 2014 and Regulations on Audit and Accou nts, 2007 of the Comptroller and Auditor General of......

ASE and NPCIL entered (6 November 2001) into a General Framework Agreement (GFA) which stipulated that provisional takeover of first and second Unit of KKNPP will be completed Report No. 38 of 2017 Performance Audit Report on Kudankulam Nuclear Power Project, Units I and II 9 within 68 months and......

20 The Self-Insurance fund is being collected on the concept of building a self corpus to mitigate the risks not covered under the general insurance policies. 21 Radiation and Nuclear reactors Report No. 38 of 2017 Performance Audit Report on Kudankulam Nuclear Power Project, Units I and II......

Excise and Customs CA Chartered Accountant CAAP Computer Assisted Audit Programme CAAT Computer Assisted Audit Techniques CAG Comptroller and Auditor General of India CBDT Central Board of Direct Taxes CBEC Central Board of Excise and Customs CC Chief Commissioner CCR CENVAT Credit Rules CDR......

The audit has been conducted in conformity with the Auditing Standards issued by the Comptroller and Auditor General of In......

2.5.3 Using Income Tax data for tax base broadening CBEC entrusted to Director General of Service Tax (DGST) (now DG GST) the responsibility of calling for the information from Income Tax Authorities on persons providing one or other type of services and having income of above ` 10 lakh in......

in an organisation are designed t o address risks and to provide reasonable assurance that in pursuit of the entity’s mission, the following general objectives 42 are being achieved:  fulfilling accountability obligations ;  complying with applicable laws and regulations ; ......

Tho\bgh no specific penal\fy is prescribed for non/la\fe filing of re\f\brns, r\ble 27 of \fhe said R\bles, prescribes a general penal\fy of \bp \fo a maxim\bm of ` 5,000 for viola\fing any r\ble, which is applicable \fo non/ delayed filing of re\f\brn. De\fails of ER-1/ER-3 re\f\brns......

of Excise and C\bs\foms CAAP Comp\b\fer Assis\fed A\bdi\f Programme CAAT Comp\b\fer Assis\fed A\bdi\f Techniq\bes CAG Comp\froller and A\bdi\for General of India CAS Cos\f Acco\bn\fing S\fandards CBDT Cen\fral Board of Direc\f Taxes CBEC Cen\fral Board of Excise and C\bs\foms CC Chief......

carried o\b\f by an en\fi\fy’s managemen\f and personnel which is designed \fo address risks an d provides reasonable ass\brance \fha\f following general objec\fives are ach ieved:  exec\b\fing orderly, e\fhical, economical, efficien\f a nd effec\five opera\fions;  f\blfilling......

The a\bdi\f has been cond\bc\fed in conformi\fy wi\fh \fhe A\bdi\fing S\fandards iss\bed by \fhe Comp\froller and A\bdi\for General of In......

Though no specific penalty is prescribed for non/late filing of returns, Rule 27 of said Rules prescribes a general penalty of up to a maximum of ` 5000 for violating any rule, which is applicable to non/delayed filing of return. Details of ER-1 returns submitted by manufacturers of tobacco......

11 of 2017 of the Comptroller and Auditor General of India (Appendix I). 1.2 Definition of Gross Revenue (GR)/Adjusted Gross Rev enue (AGR) in the various licenses The Licence Agreement signed between the Department of Telecommunication (DoT) and telecom service providers regulates the t......

The response of DoT is awaited. New Delhi (P K Tiwari) Dated : Director General of Audit (Post and Telecommunications) Countersigned New Delhi (Shashi Kant Sharma) Dated : Comptrolle r and Auditor General of......

TTSL and TTML were taken up for audit and the findi ngs covering the period from 2006-07 to 2009-10 were included in Comptrolle r and Auditor General of India’s Report No. 4 of 2016. It was pointed out in the Report that the Gross Revenue (GR)/Adjusted Gross Revenue (AGR) was under stated by `......

Under the scheme, two SIMs were de livered to distributor agains t price of one SIM. Audit observed from the General Ledger (GL) of VTL that revenue of one SIM was accounted while the cost of SIM given free amounting to ` 5.25 crore was not considered for computation of GR/AGR. As the scheme......

Under the scheme, two SIMs were de livered to distributor agains t price of one SIM. Audit observed from the General Ledger (GL) of QTL that r evenue of one SIM was accounted while the cost of SIM given free amountin g to ` 1.90 crore was not considered for computation of GR/AGR. As the scheme......

 Adopt a prudent medium-term ceiling for general gov ernment debt 4 of 60 per cent of GDP to be achieved by no later than financial ye ar 2022-23. Within the overall ceiling of 60 per cent, adopt a ceiling of 40 per cent for the Centre, and the balance 20 per cent for the State.  Adopt fiscal......

1 1.2 Amendments in FRBM Act 1 1.3 FRBM Review Committee 3 1.4 Review of compliance of provisions of FRBM Act by the Comptroller and Auditor General of India (CAG) 5 1.5 Structure of the Report 5 Chapter 2: Deviation in performance from the Act and Rules 2.1 Non-adherence to annual......

An important aspect of the amendment was introduction of Section 7A and Rule 8, which provid e for the Comptroller and Auditor General of India to carry out an annual rev iew of compliance of the provisions of the Act by the Union Government. What the Report covers The present report......

4.3.5 Short devolution out of net proceeds to State s In terms of Article 279 of the Constitution, the Comptroller and Auditor General of India (CAG) is required to ascertain and certify the ‘net proceeds’ (any tax or duty the proceeds thereof reduced by the cost of co llection), whose......

50.00 2.00 (-)48.00 In DDG the provision of ` 48 crore to Rajiv Gandhi Institute of Petroleum Technology was made under the head Grants-in-aid general but in Expenditure Budget Vol. I it was shown under grants for creation of capital assets. 17. Posts 331.65 Nil (-)331.65 Object head grants......

no. 1 and 9 – Union Finance Accounts; Sl. no. 2 - Pr. CCA, CBDT, Sl. no. 3 to 8 – Pr. Directorate General of Income Tax (Admn. & Tax Payers Services), Research & Statistics Wing The average number of scrutiny assessment completed by assessing officer ranged from 67 to 105 during the......

40 of 2017 (Direct Taxes) 92 7.8.3 Information received from Directorate General of Income Tax (Logistics), Research & Statistics Wing revealed that the success rate achieved by the ITD was low especially in appeals at the levels of ITAT, High Court and Supreme Court during the years 2013-14 to......

Report \bo. 40 o\f 2017 (Direct Taxes) iii High\fights The Comp\froller and A\bdi\for General of India cond\bc \fs \fhe a\bdi\f of receip\fs of \fhe Union Governmen\f \bnder sec\fion 16 of \fhe Com p\froller A\bdi\for General of India......

Products and Impact 2.1 Authority of the CAG for audit of receipts Article 149 of the Constitution of India provides that the Comptroller and Auditor General of India (CAG) shall exercise such powers and perform such duties in relation to the accounts of the Union and of the states and of any......

The a\bdi\f has been cond\bc\fed in conformi\fy wi\fh \fhe A\bdi\fing S\fandards iss\bed by \fhe Comp\froller and A\b di\for General of......

As the tax liability was more in respect of profits attributable to the PE, the taxable 78 A Duty Credit Scrip is a scrip which is issued by Director General of Foreign Trade and can be used to pay Customs Duty, Excise Duty and Service Tax. These Scrips are issued to both Exporters of Goods as......

(Appeals) CPM Cos\f Pl\bs Me\fhod CSO Cen\fral S\fa\fis\fical Office CT Corpora\fion Tax CUP Comparable Uncon\frolled Price DGIT (Sys\fems) Direc\for General of Income Tax (Sys\fems) DOR Depar\fmen\f of Reven\be DRP Disp\b\fe Resol\b\fion Panel DT Direc\f Taxes FY Financial Year GDP Gross......

13 Report No.41 of 2017 – Union Government (Indirect Taxes – Customs) CHAPTER II IRREGULARITIES IN DUTY EXEMPTION/REMISSION SCHEMES Directorate General of Foreign Trade (DGFT), under Ministry of Commerce and Industry is responsible for formulating and implementing the FTP with the main......

Countervailing duty CVD Customs tariff heading CTH Directorate of Data Management DDM Department of Revenue DoR Department of Commerce DoC Director General of Foreign Trade DGFT Development Commissioner DC Director General of Anti Dumping DGAD Domestic tariff area D TA Duty Entitlement Pass Book......

The Report contains significant results of the compliance audit of the Department of Revenue – Customs under the Ministry of Finance, and Director General of Foreign Trade under Ministry of Commerce and Industry. The instances mentioned in this Report are those, which came to notice in the......

important audit findings under the broad categories, namely, irregularities in duty exemption/remission schemes, incorrect application of general exemption notifications, short/non-recovery of applicable levies and charges and misclassification of goods. All cases where the Ministry......

25 Report No.41 of 2017 – Union Government (Indirect Taxes – Customs) CHAPTER III INCORRECT APPLICATION OF GENERAL EXEMPTION NOTIFICATIONS Government under section 25 (1) of the Customs Act, 1962 is empowered to exempt either fully or subject to such......

Executive summary v Customs revenue I 1.1 to 1.14.3 1 Irregularities in Duty exemption/ Remission Schemes II 2.1 to 2.7.1 13 Incorrect application of General exemption notifications III 3.1 to 3.5 25 Short/Non-recovery of applicable levies and other charges IV 4.1 to 4.4.1 33 Mis-classification of......

Dated: 21 November 2017 Principal Director (Customs) Countersigned New Delhi (RAJIV MEHRISHI) Dated: 22 November 2017 Comptroller and Auditor General of......

51 Report No.41 of 2017 – Union Government (Indirect Taxes – Customs) Annexure 5 Details of test checked cases of ‘Incorrect Application of General Exemption Notifications’ accepted and recovered by the department (Refer Chapter III) Sl. No. Draft Audit Paragraph Field office name Amt.......

Union Minister for State, MoWR,RD&GR as Vice Chairperson, Secretaries of Government of India, Chief Secretaries of States as members and Director General of NMCG as the Member Secretary. The role of ETF is to coordinate amongst the Ministries/Departments and State Governments concerned,......

BPL Below Poverty Level BRC Budget Review Committee BUIDCo Bihar Urban Infrastructure Development Corporation Limited C&AG Comptroller and Auditor General of India CA&FS Conditional Assessment and Feasibility Study CCA Consolidated Consent and Authorization CETF Composite Ecological Task Force......

BPL Below Poverty Level BRC Budget Review Committee BUIDCo Bihar Urban Infrastructure Development Corporation Limited C&AG Comptroller and Auditor General of India CA&FS Conditional Assessment and Feasibility Study CCA Consolidated Consent and Authorization CETF Composite Ecological Task Force......

Report No. 5A (2000) of the Comptroller and Auditor General of India (C&AG) highlighted the limitations of Ganga Action Plan, based on which the Public Accounts Committee (PAC) made (2003-04) certain recommendations in its 62nd report (Thirteenth Lok Sabha). PAC accepted (March 2008)......

as MoDW&S was already working on this area under Swachh Bharat Mission (Gramin) [SBM(G)] scheme, with objectives to bring about an improvement in the general quality of life in the rural areas, by promoting cleanliness, hygiene and eliminating open defecation; and to accelerate sanitation coverage......

8.2 Directions issued by the Court i. The Comptroller and Auditor General was directed to conduct a special audit of all the Centrally Financed Schemes launched to rejuvenate the River Ganga as well as the amount spent by the State Governments for rejuvenation of the River Ganga, within a......

NMCG/SPMGs were to prepare their annual accounts and financial statements in accordance with the generally accepted accounting principles and procedures in India. Further, their annual audited consolidated financial statements were to be prepared by 31 July every year. Financial Management Manual......

: C OMMENTS ON A CCOUNTS 4.1 Introduction Constitutional provisions relating to financial matters, Delegation of Financial Powers Rules (DFPRs) 1978, General Financial Rules, 2005(GFRs) and other standing instructions issued by the Ministry of Fin ance, are the guiding principles for sound......

This aspect was commented upon in the Reports of the Comptroller and Auditor General of India on the Accounts of the Union Government for the years ended 2007-08 to 2015-16 with the recommendation that the Government may conduct a comprehensive review of the structure of Government Accounts......

** Fiscal services and General Services (Police, Public Works, Defence, Other Administrative Services, Grants-in-aid and Contributions etc.) In 2016-17, the largest share of non-tax revenue (56.41 per cent) came from user charges levied by various departments which offer Economic Services to the......

The Controller General of Accounts (CGA) prepares the Appropriation Accounts in respect of Civil Ministries. The Ministries of Defence, Railways and the Department of Posts prepare the Appropriation Accounts of their respective Grants. The Comptroller and Auditor General of India submits four......

12 1.2.9 Return on Investments 13 1.3 Expenditure Analysis 14 1.3.1 Sectoral Expenditure 15 1.3.2 Revenue Expenditure 16 (a) Revenue Expenditure on General Services 16 (b) Revenue Expenditure on Social Services 17 (c) Revenue Expenditure on Economic Services 18 1.3.2.1 Trend of Major Revenue......

HIGHLIGHTS xi HIGHLIGHTS This Report of the Comptroller and Auditor General of India (CAG) is on the accounts of the Union Government and analyses the f inances of the Union Government for the year 2016-17. It also......

5.1.3 Savings not surrendered and allowed to lapse Rule 56 of General Financial Rules, 2005, provides that savings in a Grant or Appropriation are to be surrendered to Government as soon as these are foreseen without waiting for the last day of the year. Savings should also not be held in reserve......

System (formerly kn own as Central Plan Scheme Monitoring System (CPSMS)) is a software which is being implemented by the Office of Controller General of Accounts in partnership with National Informatics C entre. The software has established a common transaction-based on-line fund......