1. STORES BILL PAYMENT Procedure and Precautions By Niraj Kumar IRAS(P) 1999 Batch

3. A/c office AB no/CO 6 no is given on the bill Particulars of Bill is noted in the PO register Distribution of Bills among the dealers- randomly Checking of Bills & ‘original’ PO &R’NoteBillsPOR’Note Firm submits Bill directly to PO from COS Passing of Bill safeguard safeguard against double payment Preparatn ofCO7 Send to Book SecPreparatn of Cheque To Cash & Pay office Payment to supplier

4. Check of Purchase Order Stores Code-2805 Continuity in the no. of P.O. Sanction of the Competent Authority. P.O. do not infringe with the Purchase Policy Rules as given in Ch- III, Stores code-I Items in P.O. are not that need to be purchased thru DGS&D No variation in rate from time to time for same kind of item Rates,qty, DP & other particulars are as per contract. No erasures, overwriting or unattested corrections in P.O. P.O. is signed by an authorized Gaz officer of Stores Validity of D.P., if expired, COS’s Modifican Advice(MA) on firms’ appeal. Provision of fund vis-à-vis Fiscal year and Exchequre

5. Check of Supplier’s Bill Stores Code-2819 Bill is prepared in Std. Form (Form S.2817) and if not, then all necessary particulars are given in the submitted bill. Bill is marked ‘Original’ and is free from erasures, overwriting or unattested corrections and bears the sign and address of the vendor. Vrifican of rates and qtys in the bill with that in the PO recd from COS Above be certified by SO, who will ensure that particular of the bill are noted on PO to keep a track. Clerk for totals and calculations will verify: - –That rates, qtys & nomen in the bill agree with that in the R’Note Pt- II. –That rates are given in both words and figures. –That R’Note Pt-II is signed by the authorised officer and his sign matches with the specimen kept in the A/c office. –That purchase is made by authority competent and as per the rule in force.

6. –Extra charges claimed by supplier are accepted by Stores deptt as per terms of contract. –That all recoveries due from supplier are made. –In case ST is charged in the bill, reference to ST No of the supplier is given. The Purchase A/c register clerk should verify the amount lying at the credit of the supplier in his ledger. –The amount so verified should be written on the bill. –The value of the bill should be posted as debit in the Purchase A/c Register. –In case no credit is received thru R’Note Pt-III, the bill should be kept pending till the receipt of such credit, except in case of 90%/100% bills authorised in the case of reputed/well known suppliers) Time-Barred Bill- –If a firm prefers it’s bills after 3 years –To regularise- firm’s appeal to COS – if approved – FA&CAO(W&S)– Rly. Bd’s approval

7. Check of R’notes pt-III (in cases where payment is not to be made on proof of despatch) Stores Code-2807 No and date of R’note Rate and quantities on R’note Value should be calculated There are no over-writings, erasures or unattested corrections in the R’note Alteration Memo- issued by depot, to regularise the R’Note, if any alteration/mistake takes place in it.

8. Safeguards against double payment No bill is passed for payment unless a credit for the amount billed for exists in the Purchase A/c register. AB no/CO6 no of the bill is quoted and value of the bill is posted as debit against the credit in the Purchase A/c register from R’Note pt-III Pt-II of the R’Note received with bill is punched and defaced so that duplicate claims are not passed. Duplicate copies of Part II of the Receipt Note should not in any circumstances be issued to the suppliers by the depots. Particulars of the bill are noted on the PO to avoid that a duplicate bill is not received for the same qty for which the bill has already been passed.

9. Bill Passing- to be ensured For Stock Items purchased thru COS,Stock Items For Non-Stock Items purchased thru COS,Non-Stock Items For Imported Stores.Imported Stores

10. Stock Items 98/95 per cent bill –bill in original –inspection certificate –ED documents –valid ITCC & STCC –proof of despatch –PO in original 2/5 per cent bill: –bill in original –R’Note Pt III 100% one time payment: –bill in original –PO in original, –R’Note –valid ITCC & STCC.

11. Non-Stock Items 98/95 per cent bill –bill in original –inspection certificate –ED documents –valid ITCC & STCC –proof of despatch –PO in original 2/5 per cent bill: –bill in original –certificate by the consignee/indentor 100% one time payment: –bill in original –PO in original, –certificate by the consignee/indentor –valid ITCC & STCC

12. Imported Stores 100 per cent after receipt and acceptance: –Invoice –Package lists –Bill of Lading –QA certificate/Inspection certificate –Country of origin certificate –R’Note Letter of Credit: –10 per cent upfront to Bank Request for LC from Stores Pay Order copy –90 per cent payment Bank’s advice for payment against LC R’Note Original Invoice