What Is Magazine Voucher Accounting? Magazine Voucher

Journal voucher
What is  Journal voucher Accounting?

Meaning of magazine voucher

Journal voucher is every bit good called 'goswora voucher' inwards Nepal. Journal voucher is a primary as well as most of import tape of financial transaction inwards novel accounting system. It is a sort of voucher, which is used for recording financial transactions of the regime inwards regular gild of dates. It is a majority of master copy entry, because every financial transaction of the regime is recorded kickoff of all inwards this magazine voucher. Therefore it is every bit good called every bit the majority of master copy retry. It is based on the regulation of double entry arrangement of majority keeping i.e. every transaction has 2 aspects ane debit as well as around other credit. The audit full general has prescribed the shape of magazine voucher format every bit designed yesteryear AGF No.10, which is maintained yesteryear both key as well as operating score officers. Journal voucher is the footing for recording transaction inwards ledger accounts.

From the inwards a higher house specimen form, at that spot are a lot of things, which should hold out taken into heed piece preparing magazine voucher.

1. Name of office: scream of the office, subdivision or ministry building should hold out written on the top along alongside the scream of district, where the role is located.

2. J.V.No: it refers to the series number of magazine voucher.

3. Date: it refers to the appointment on which transaction is recorded.

4. Code No.: inwards this column, reference or code no, refers to the nib number; buy gild number etc. is written.

5. Particular: inwards his column, scream of tge concern human relationship to hold out debited as well as credited along alongside the brusk explanation nigh the financial transaction is written.

6. Ledger folio (L/F): inwards this column, page number of the ledger where the given transaction ar3 posted.

7. Budget caput No: inwards this column, the budget expenditure heads for transaction affecting budget expenditures is written.

8. Debit Rs. inwards this column, amount to hold out debited is written.

9. Credit Rs,; inwards this column, amount to hold out credited is written.

10. Receipt no, an amount: receipt number of amount received as well as the amount (cash) received inwards words are written.

11. Cheque No. as well as amount: banking concern check number as well as amount of banking concern check inwards words for payment made idea cheques are written.

12. Designation: inwards this part, signature as well as designation of the soul preparing the voucher alongside appointment is written.

13. Approved by: inwards this part, signature as well as designation of the approving the voucher along alongside the appointment are filled inwards this part.

Notes to hold out considered piece preparing magazine voucher

• Each transaction must hold out recorded inwards a split magazine voucher.

• While preparing magazine voucher, the regulation of double entry arrangement of majority keeping must hold out followed.

• The discussion B.E. must hold out used at nowadays after the discussion 'Dr' inwards the illustration of budget expenditure.

• The supporting documents of transaction must hold out attachment to the voucher, piece making its approval.

• Proper narration number must hold out written for each transaction.

• Dr. before debit transaction as well as Cr. Before transaction must hold out written.

Rule for debit as well as credit piece preparing magazine voucher

The novel accounting arrangement of HMG/ Nepal is every bit good based on the double entry arrangement of majority keeping. So the rules of debiting as well as crediting must hold out followed piece preparing a magazine voucher. It has already been thoroughly discussed before inwards commercial accounting. In the grooming of magazine voucher, each as well as every transaction has 2 aspects i.e. debit as well as credit. Influenza A virus subtype H5N1 brief summary of rules of debit as well as credit tin forcefulness out hold out presented every bit follows:

Rules of debit as well as credit on the footing of types of account

a. Personal account

Debit the received

Credit the giver.

b. Real account

Debit what come upwards in

Credit what goes out.

c. Nominal account

Debit all the expenses or losses

Credit all the income gain as well as profit.

 Rules of debit as well as credit on the footing of growth or decrease inwards assets, liabilities, expenditure, losses, income etc.

Increase In assets.

Decrease inwards liabilities debit

Increase inwards expenses or losses

 Decree inwards income or gain

Decreases inwards assets

Increase liabilities. credit

Decrease inwards expenses or losses

Increase inwards income or gain

Types of magazine vouchers

Operating score officeholder prepares the next 3 types of magazine vouchers:

• Journal voucher for budget expenditures.

• Journal voucher for advance transactions.

• Journal voucher for miscellaneous transactions.

Journal voucher for budget expenditure

Journal voucher is every bit good called full general magazine voucher or magazine voucher for ordinary tractions. The magazine voucher which is prepared to tape the budget expenditures of regime is called magazine voucher for budget expenditures. To stand upwards for budget expenditure, the discussion B.E. is mentioned before the championship of an expenditure nether this magazine voucher. For example, B.E. salary, B.E. allowance, B.E. rent, B.E. role operating expenses, B.E. slice of furniture etc.

Types of magazine vouchers
Operating score officeholder prepares the next 3 types of magazine vouchers:
• Journal voucher for budget expenditures.
• Journal voucher for advance transactions.
• Journal voucher for miscellaneous transactions.
Journal voucher for budget expenditure
Journal voucher is every bit good called full general magazine voucher or magazine voucher for ordinary transactions. The magazine voucher which is prepared to tape the budget expenditure of regime is called magazine voucher for budget expenditures. To stand upwards for budget expenditure, the discussion B.E. is mentioned before the championship of an expenditure nether this magazine voucher. For example, B.E. salary, B.E. allowance, B.E. rent, B.E. role operating expenses, B.E. slice of furniture etc.
Budget expenditure voucher is prepared every bit follow:
Dr. B.E.(name of the budget head)
Cr. N.R. bank
Notes to hold out considered piece preparing magazine voucher for budget expenditure:
• The budget caput or sub-head should hold out debited but non an detail of expenditure.
• Budget caput or sub-head number must hold out maintained inwards the prescribed column.
• All the payments are assumed to hold out through Nepal rastra banking concern except the illustration of trivial expenses. So Nepal rastra banking concern should hold out credited inwards each transaction.
• A brusk or brief or consummate narration should hold out written for an expiration of each traction.
• A split magazine voucher must hold out prepared for each transaction.
Journal voucher for advance transactions
The payment made inwards advance for buy of goods as well as service is called advance expenditure. But it is non actual expenditure, but it is non actual expenditure; it is paid for buy of assets. So, advance is recorded inwards the advance ledger account. accounting to novel accounting system, advance expenditure are recorded twice:
• At the fourth dimension of giving advances.
• At the fourth dimension of advance clearance.
Journal voucher at the fourth dimension of giving advance
An advance should hold out given to a soul to brand expenditure on budget head. When the advance is given, the magazine voucher is prepared debiting the scream as well as transportation service of soul taking advance as well as caput against which the advance is given every bit next way:
Journal voucher for advance clearance
Advance is given to the soul for specific purpose. The soul taking advance has to submit necessary bills as well as invoice for the clearance of advance after the consummate of the work. The amount of advance may hold out cleared inwards whatever ane of the next ways:
• When the full amount of advance has been returned.
• When the amount of expenditure is equal to the advance.
• When the amount of expenditure is less the advance.
• When the amount of expenditure is less than the advance.
• When the partial clearance is made.
Rules for debit as well as credit for dissimilar weather of advance clearance
1. When the full amount has been returned through banking concern voucher
Dr. NR Bank
Cr. Designation as well as scream of received
Advance clearance of the relevant BH
2. When amount of expenditure is equal to the advance
Dr. B.E. the related BH
(With the amount of the expenditure)
Cr. Designation as well as scream of the receiver
Advance clearance of the relevant BH
3. When amount of expenditure is to a greater extent than than the advance
Dr. B.E. the relevant BH
(With the amount of expenditure)
Cr. N.R. Bank
(Excess amount paid)
Cr. Designation as well as scream of received
4. When amount of expenditure is less than the advance
Dr. B.E. the relevant BH
(With the amount of expenditure)
Dr. Cash or Nr bank
(With the amount of return)
Cr. Designation as well as of the receiver
Advance clearance of the relevant BH
(Being advance cleared yesteryear Mr.,/Mrs.…)
5. When the partial clearance  is made
Dr. B.E. (Name of the budget head)
Cr. Designation as well as scream of receiver
Partial advance clearance of the relevant BH
(Being practical advance clearance yesteryear Mr. / Mrs.…)
Miscellaneous magazine vouchers
The magazine voucher is to hold out prepared, relating to other than budget expenditure as well as advance is called miscellaneous magazine voucher. There are sure enough transactions, which practice non after budget caput as well as advance. The next transactions are recorded inwards the miscellaneous magazine voucher.
• Revolving fund released
• Budget release
• Petty cash fund
• Budget transfer
• Distribution of salary as well as deductions made on it
• Security deposits
• Annual closing
• Rectification of error
Revolving fund release/ print fund
Accounting treatment
Rules for debit as well as credit for revolving fund
1. When initial revolving fund received
Dr. Nr bank
Cr. Initial revolving fund
(Being initial revolving fund)
2. When additional revolving fund received
Dr. Nr bank
Cr. Revolving fund
(Being additional fund received)
3. When excess revolving fund refunded
Dr. revolving fund
Cr. N.R. Bank
(Being excess revolving fund refunded)
Budget release
Budget loose refers to the amount received from treasury as well as comptroller inwards a monthly or 3 monthly for incurring regular expenses. HMG operating score officeholder similar didactics health, municipality, hamlet evolution committee, district evolution committee, populace corporation, society etc. commonly received for monthly budget releases for their expenses. These officers practice non larn print fund.
Petty cash fund
Petty cash notice is created yesteryear the NG role both key as well as operating score for the payment of dissimilar type of pocket-size expense similar coolie, bus, fare, postage, tea as well as coffee, freight etc. it is non possible to pay such types of expenditure through cheque. Therefore, to pay such types of expenditure, HMG role created a fund which is known every bit trivial cash fund. Journal voucher of trivial cash fund are every bit follows:
1. When trivial cash fund is created or established
Dr. trivial cash fund a/c
Cr. N.R. Bank
(Being trivial cash fund is created)
2. When making a reimbursement of trivial cash fund
Dr. BE
Dr. BE
Cr. N.R. Bank
(Being reimbursement of trivial cash fund)
3. When the trivial cash fund is closed
Dr. BE expenses (budget exp.)
Dr N.R.Bank (unspent amount)
Cr. Petty cash fund
(Being trivial cash fund yesteryear depositing residual amount into bank)
Budget transfer
The amount transferring from ane budget caput to around other budget caput is called budget transfer. In other word, if at that spot is surplus amount inwards ane caput as well as deficit inwards the around other caput at the same time, it tin forcefulness out hold out transferred from surplus caput to deficit alongside the permission of ministry. It is non cash expenditure, thence yous are non required to exercise the words. B.E. is non used piece passing magazine voucher. The magazine voucher is this illustration volition hold out every bit follow:

Distribution of salary as well as deduction made on it
Salary is paid to employees of regime officeholder after deduction of provider fund as well as income tax. Journal voucher is prepared. While deduction is made at the fourth dimension of the payment of salary, at that spot are next types of magazine vouchers.
Employees' provident fund
Provident from is a facility to the employees provided yesteryear the regime officeholder to its permanent staffs, which volition hold out given dorsum to the employees after retirement.

Salary is distributed to employees every calendar month for the services rendered yesteryear so after deducting 10% provided fund from the salary of each staff as well as so adds 100% of such deduction every bit contribution to his provident fund. Such every bit full amount should hold out deposited yesteryear the officeholder to the provident fund officer.
1. When magazine voucher for salary as well as allowance distributed to staff every bit per payroll.
Dr. BE salary
Dr. BE allowance
Cr. Provident fund
Cr. NR Bank
(Being salary distributed to staff every bit per payroll)
2. When magazine voucher for the deducted amount is deposited inwards the provident fund officer.
Dr. provident fund
Cr. N.R. Bank
(Being the deducted amount deposited into concerned account)
Income tax
Income taxation is to hold out paid yesteryear the employee (staff) out of their salary. Income taxation is deducted alone from the taxable salary every bit per income taxation act. Income taxation human activity has been sure enough exemption bound of income for taxation purpose. An employee should hold out paid income taxation on the income over the exemption limit. The deducted amount of income taxation must hold out deposited into the income taxation office.
1. Journal voucher, piece distributed after deducting income tax
Dr. BE salary
Cr. Income tax
Cr. NR Bank
2. When magazine voucher, piece deposit the amount of income taxation office
Dr. Income tax
Cr. NR Bank
Provident fund loan
HMG employees deposit their provident fund inwards the provident fund officer. They tin forcefulness out larn a facility to tae loans inwards illustration of financial crisis, out of their provident fund deposit. Such loan is repaired inwards monthly installment footing yesteryear making deduction from their monthly salary.
Citizen investment fund
It is a voluntary investment, which tin forcefulness out hold out made yesteryear interested employees inwards the scheme introduced yesteryear government. In other word, regime has introduced a social safety scheme called scheme of citizen investment fund. Therefore, the regime officeholder makes a deduction inwards the monthly salary of employees as well as deposited it to the citizen investment fund officer. The job gets involvement on as well as they tin forcefulness out utilize their fund when required.
1. when distribution of salary after deduction citizen investment fund
Dr. BE salary
Cr. Citizen Investment fund
Cr. NB bank
2. When deposit of amount deducted every bit citizen investment fund to the concerned officer.
Dr. Citizen investment fund
Cr. NB Bank
Personal loan
The personal of the regime officeholder tin forcefulness out borrow the loan from the officer. When they are inwards financial crisis. The loan taken yesteryear an employee from the officeholder personal loan. Such a loan is to hold out repaid yesteryear the employees inwards pocket-size installment deducted from their monthly salary.
1. When distribution of alary after deducing loan to employees
Dr. BE salary
Cr. Personal loan
Cr. NR Bank
2. When deposit of deducted amount into banking concern concern human relationship of the office.
Dr. BE salary
Cr. Personal loan
Cr. NR Bank
Security deposit
Security deposits are concern alongside the amount received from the contractor or goods suppliers for supplying goods as well as services every bit security. The contractor should hold out deposited every bit supplier 5% of contract amount. Such amount volition hold out refund after the contest of concerned contract. Thus, 2 magazine vouchers are prepared to tape the receipt as well as homecoming of deposit.
1. When safety deposit coin is received
Dr. NR Bank (security deposit)
Cr. Security deposit a/c of Mr. /Mrs.
2. When safety deposit coin is refunded
Dr. Security deposit a/c or Mrs
Cr NR Bank
Loan
Loan the operating regime role tin forcefulness out have loan or provide loan to other role alongside the approving of district treasury as well as comptroller's office. The loan is issued inwards the status of repaying banking concern it later on on. The magazine vouchers are maintained yesteryear both officers (given as well as received) every bit follows:
a. When loan is received
dr. NR Bank
Cr. Office loan
b. When loan is repaid
Dr. Office loan
Cr. NR Bank
Rectification of errors
As error is a mistake, may hold out intentional or international as well as rectification denotes human activity of correcting the errors that conduct hold already committed inwards the procedure of preparing regime account. There are several types of errors, committed; these errors should hold out ratified yesteryear preparing rectifying magazine voucher. The next steps are preparing rectifying or errors:
• Make a right entry
• Make a incorrect entry
• Make the reverse of incorrect entry
• Make a rectified entry
Notes: it tin forcefulness out hold out prepared same every bit rectification of magazine entries. Which is already discussed?
Annual closing
All the books of accounts of Nepal regime officeholder are to hold out shut at the halt of the ashard. At the halt of the every yr around temporary accounts similar safety deposit account. Advance concern human relationship as well as loan to employees are closed. Likewise, other concern human relationship should conduct hold been shut similar trivial cash fund a/c, budget loose a/c, budget expenditure as well as banking concern a/c. the procedure of closing dissimilar accounts operating during the yr for dissimilar transaction  is called annual closing. At the halt of the financial years, the next types of closing entries should hold out made:
j. When artificial clearance of advance:
Dr. B.E.
Cr. Employees

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