The preparation and approval of the budget estimates as provided in Rule 3 and 4 should be completed by the prescribed authority within the stipulated time as specified below:- Particulars f1 "~ I i.- R.7 GRAJv!PAN. (BUDGET ESTIMATES) RULES, 1997 (PR)305 n tn ::t g n h it e n e 3 timates of receipts and expenditure for the next financial year:-'
(i) The estimate of receipts should be exhaustiye:lnd cautious ;.'.n1 provide for the col~ectionsofentire loans outstanding and those falling d' :.:
during the budget year. . '." .
.(ii) Estimates should be as close and accu'tale as possible. A saving in an estimate i~ as much a financial irregularity as an excess.
. (iii)The estimate of receipts including grants shall be based on a comparison of the last two years receipt and in case of fixed receipts upon actual demand inclusive ofany arrears and the probability of their realisation.
(Iv)The estimate of expenditure on fixed establishments as' well as fixed.monthly recurring charges on account of rent, allowances etc. shall be made according to the actual sanctioned scale irrespective of savings and shall provide for the gross sanctioned pay without deduction ,of Income tax etc.
(v)For contingent expenditure, the estimate shall be based upon the average actual exp~nditure for the past two years, exclusive of any special item of expenditure that may have been incurred during these year.
(vi) Funds allotted by State Government and Zila panchayat and Janapada PanchayatJor specific functions shall be provided only for those functions without any diversion for other purposes.
(viti)Pr~visions should'be mae..efor the due discharge of all liabilities in respect of lOaIJ;sand interest due there upon, contracted by the Gram . ..-,.....-P.anchayatandfor ..otheF~ommitments.faJ.ling.due.for~Paymentduringthe- ---i -,-- .,------ . . budget period. '
(viii)Variati~n of more than ten percent, .between the .figures of the-.
budget year and those of the previous year should be adequately explained. . ,
(ix)The closing balance to be provided in the budget shall not be less than five per cent of the estimated receipts' of the Gram Panchayat from taxes, cess, etc.; collected under the provision of Chapter-IX of the Act, without taking ihto consideration the Grant-in-'aid or loans that may be received from State Government Zila Panchayat or Janapad Panchayat for-- - -specill~-purposes: - -- --- - ~ ---. --.-- - ._-~ -- --.- ---.- .---- -.--
(x) Due account shall be taken of,cash contributions expected from people and institutions for aided or self help programmes.
(xi) Due amount should be 'pro\ided in the budget for..incomplete works, with a Viewto their accomplishment in the next financial year or years. .
(xii)The estimated amount in the budget should be rounded off to the nearest multiple of hundred. For example, Rs. 640 should be noted as Rs.
600 and Rs. 660 as Rs. 700. ',;
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(xiii)A detailed NoteexPlaining each Budgetory provisions and justifying the amount so provided ,must also accompany the Budget.