Pfms Manual Of Payment And ing Through Pfms 1lx3u

PUBLIC FINANCIAL MANAGEMENT SYSTEM (PFMS)

MANUAL OF PAYMENT AND ING THROUGH PFMS

Volume II Toolkit for Drawing &Disbursing Officer and Programme Division (Head of Department/Head of Office)

CONTROLLER GENERAL OF S DEPARTMENT OF EXPENDITURE MINISTRY OF FINANCE NEW DELHI Website: www.pfms.nic.in November, 2016

Payment Process Flow in PFMS (Volume II)

PREFACE

The Public Financial Management System (PFMS) is a web-based application for payment, ing and reconciliation of Government transactions and integrates various existing standalone systems. The PFMS software application has been programmed in friendly manner. The of PFMS will find onscreen information to run various modules. However, an attempt has been made through this Manual to cover all processes to be followed in Civil Ministries of Government of India for registration of s, payment, ing and reconciliation so as to make it a comprehensive one-stop guidance material.

2.

The purpose of this Manual is to provide a training tool for the managerial and

supervisory staff and above all to the employees dealing with the payment and related issues in Civil Ministries of Government of India. The effort has been to draft this Manual in the form of a simple and usable document and as far as possible, to outline the procedures and the mechanisms involved in its operation for payment.

3.

Chapter 1 and Chapter 2 of Volume-II of ‚MANUAL OF PAYMENT &

ING THROUGH PFMS‛ provide steps to be followed for registration and the functions to be carried out by Program Division (PD) and Drawing & Disbursing officer (DDO) respectively in a comprehensive manner.

Payment Process Flow in PFMS (Volume II)

CONTENTS

Table of Contents GLOSSARY OF IMPORTANT ............................................................................. 1 1. REGISTRATION OF PROGRAM DIVISION (PD) AND ITS FUNCTIONS .............................. 2 2. REGISTRATION OF DRAWING & DISBURSING OFFICER AND HIS ROLE & RESPONSIBILITY ....................................................................................................... 49 3. PROCESSING OF NIL BILL IN PFMS............................................................................. 71 4. MANUAL ON ‘LETTER OF AUTHORIZATION’ (LOA) FUNCTIONALITY ON PFMS .... 85

Payment Process Flow in PFMS (Volume II)

GLOSSARY OF IMPORTANT Unless there is something averse in the subject or context, the defined in this section are used in this Manual in the sense hereunder explained: I.

AAO

-

Assistant s Officer

II.

CA

-

Controller of s

III.

CCA

-

Chief Controller of s

IV.

CGA

-

Controller General of s

V.

CDDO

-

Cheque Drawing & Disbursing Officer

VI.

Checker

-

Signifies approving authority

VII.

SMS

-

Central Plan Scheme Monitoring System

VIII.

DH

-

Dealing Hand

IX.

DPR

-

Detailed Project Report

X.

DSC

-

Digital Signatory Certificate

XI.

FY

-

Financial Year

XII.

GePG

-

Government e-payment Gateway

XIII.

HOD

-

Head of Department

XIV.

HOO

-

Head of Office

XV.

IFD

-

Integrated Finance Division

XVI.

IGA

-

Inter Government Advice

XVII.

Maker

-

Denotes data entry operator/Dealing Hand

XVIII.

NCDDO

-

Non Cheque Drawings & Disbursing officer

XIX.

PAO

-

Pay & s Officer

XX.

Pr. A.O

-

Principal s Officer

XXI.

Pr. CCA

-

Principal Chief Controller of s

XXII.

PD

-

Program Division (istrative Division)

XXIII.

PFMS

-

Public Financial Management System

XXIV.

S.O

-

Section Officer

XXV.

U.S

-

Under Secretary

XXVI.

Vendor

-

Denotes payee (To whom payment is to be made)

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Payment Process Flow in PFMS (Volume II)

CHAPTER-1 REGISTRATION OF PROGRAM DIVISION (PD) AND ITS FUNCTIONS

READY REFERENCE FOR PROGRAMME DIVISION (PD) 1.

Registration of Programme Division (PD) in PFMS portal. (a) Click on ‚ Sanction ID generation ‛ hyperlink on the home page, below the button. (b) Select ‚Program Division‛ as ‚Type of s‛ from drop-down list. (c) Select an option from the ‚Controller‛ drop-down list. (d) Select ‚PAO‛ from drop-down list. (e) Select ‚DDO‛ from drop-down list. (f) Fill other columns viz. First name, Last name, Designation, Email, Phone no., Mobile No. (g) Enter ID (which u wants to create for your ) (h) Enter word (which u wants to create for your ) (i) Enter ‚Hint Question‛, Answer and confirm Answer. (j) Enter ‚Word Verification‛ letters in text box which are appearing above the Word verification Text box. (k) Click the ‚Submit‛ button. (l) saved successfully message will appear on the web page.

2.

After Registration of Programme Division (PD), PD will be approved by the DDO.

3.

as PD by using ID and created and approved by DDO. a. Mapping of PAO/DDO: Select a. Master and click Mapping b. Click on PAO/DDO details. c. Edit mapping.

2

Payment Process Flow in PFMS (Volume II) d. Select PAO from drop down list. e. Tick the PAO and DDO from the shown list. f.

Click Add and save button

g. DDO mapped successfully message will appear on top of the screen. b. Mapping of existing vendors. a. Master and click Mapping b. Click on Vendor details. c. Existing vendors who are ed on PFMS can be searched by filling details like, Vendor type (personal), vendor name, unique code, No. State and district. d. After entering details in criteria above, click search button. e. A list of mapped vendors will appear on the screen. f.

Tick

the vendor we want to map.

g. Click Add and save button. h. Vendor mapped successfully message will appear on screen. i.

The details of mapped vendor will appear in mapped vendor list.

c. Create New Vendor (Beneficiary to whom the payment is to be made) a. Click the link Masters, then click Vendors and then click Add New. b. Select Type : Personal c. Fill Vendor details viz. Name, Father’s name, DOB, Aadhar No., Pan No. Address, e mail address, Bank details (Bank Name, No.). Although four fields Name, Address, City Mobile No. is mandatory to save the record, use is advised to fill all the fields. d. BANK DETAILS : Select Bank name ( ‚Y‛ suffix against Bank Name indicates that the bank is integrated with PFMS) e. Enter No. f.

Click Add bank details.

g. Click Save. h. Modification in Vendor’s Details :

3

Payment Process Flow in PFMS (Volume II) i.

Go to Master data > Vendors

j.

After editing in details . click

>

Manage

UPDATE

SANCTION GENERATION BY PROGRAMME DIVISION (PD) a) Click on link SANCTION and then CREATE NEW b) Create Sanction window will appear on the screen. c) Fill the File No., IFD/HOD File no., date sanction no. and date in relevant column. d) Select the scheme. For Non-Plan expenditure this field is left blank. e) Select PAO f) Select DDO g) Select Sanction Type : Expenditure h) Add : HEAD DETAILS : Grant , Function Head, Object Head, Category i)

Enter Amount

j)

Click

Add Heads

k) Enter Vendor details: Vendor type – Personal, vendor. Enter amount then click l)

Click

Vendor: Select from the mapped

Add

Create Sanction

m) Message will appear: Sanction has been saved successfully, do you want to proceed with Payee details. n) Click

YES

Message: Payee details have been submitted successfully.

STEPS FOR PROGRAMME DIVISION (PD) 1.

Registration of Programme Division (PD) on PFMS portal

2.

Approval of Registration of Programme Division (PD) by DDO.

3.

Change of on first PFMS portal

4

Payment Process Flow in PFMS (Volume II)

1.

4.

Grant/Schemes Mapping

5.

Mapping of PAO/DDO Details

6.

Creation of new vendor

7.

Modification in Vendor’s Details

8.

Mapping of already existing vendor on PFMS

9.

Sanction Generation by Program Division

10.

Modification in already created Sanction, if required.

11.

Approval of Sanction by Program Division

REGISTRATION OF PROGRAMME DIVISION (PD) ON PFMS PORTAL (NOTE: If Program Division is already ed on PFMS portal for Plan fund

disbursement; same can be used for Non-Plan payment as well). In case of new program division, under take the following two steps to PROGRAM DIVISION (PD) on PFMS Portal: Click the ‚ Sanction ID Generation s‛ hyperlink on the home page, below the ‚‛ button. 1. Select ‚Program Division‛ as ‚Type of s‛ from drop-down list. It is a mandatory field, and cannot be left blank. 2. Select an option from the ‚Controller‛ drop-down list. It is also a mandatory field, and an option should be selected for it. 3. Type ‚First Name‛ in the textbox provided. It is a mandatory field and cannot be left blank. 4. Type ‚Last Name‛ in the textbox provided. It is a mandatory field and cannot be left blank. 5. Enter ‚Designation‛ name in the textboxes provided. It is a mandatory field and cannot be left blank. 6. Enter a valid ‚Email‛ id in the textbox provided. It is a mandatory field and cannot be left blank. details of the ed will be sent to this email id only.

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Payment Process Flow in PFMS (Volume II)

7. Enter ‚Phone Number‛ in the textbox provided. It is a mandatory field, and cannot be left blank. 8. Enter ‚Mobile No.‛ in the textbox provided. It is an optional field, and it can

be left blank. 9. Enter a ‚ ID‛ in the textbox provided. It is a mandatory field, and it can be alphanumeric. ID can contain minimum of 4 characters. 10.Type ‚‛ of your choice in the textbox provided. It is a mandatory field, and it should contain alphanumeric texts. At least one special character should be included in the , and it should not be less than 6 and more than 15 characters. 11. Retype your in the ‚Confirm ‛ textbox. It should be same as entered in the textbox. It is also a mandatory field. 12. Select a ‚Hint Question‛ from the drop-down list. It is a mandatory field, and an option should be selected for it. 13. Type an ‚Answer‛ in this textbox for the hint question which is selected from the drop-down list. It is a mandatory field, and it should contain minimum of 6 and maximum of 15 characters. 14. Retype hint question answer in the ‚Confirm Answer‛ textbox. It should be exactly same as entered in the answer textbox. It is also a mandatory field. 15. Type ‚Word Verification‛ letters in the textbox provided which are appearing above the Word Verification textbox. It is a mandatory field, and registration process cannot be completed without filling this field. 16. Click the ‚Submit‛ button.

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Payment Process Flow in PFMS (Volume II)

On pressing ‚Submit‛ button, a message will appear for successful registration of PD .

2.

APPROVAL OF REGISTRATION OF PROGRAMME DIVISION (PD) BY

DDO. This newly ed PD requires to be approved. He will be able to to PFMS only after the approval of concernedDDO.

3.

CHANGE OF ON FIRST PFMS PORTAL

7

Payment Process Flow in PFMS (Volume II) After approval from Drawing & Disbursing Officer (DDO), this newly created PD can . At first occasion PFMS portal mandates PD to change . A form will appear on the screen. PD has to perform following steps: 1

Enter your current .

2

Enter your new . The should be alphanumeric & contain at least

one special character. Further, it should not be less than 6 and more than 15 characters. 3

Confirm your new .

4

Press the button ‚Change ‛.

A message ‚ changed

successfully‛ will flash on the screen. Click ‘ok’. Now, Pr.AO can with new .

4.

GRANT/SCHEMES MAPPING BY PD

Grant/Scheme is required to be mapped for Plan as well as Non-Plan expenditure (if there is any). PD logs into PFMS with his id and . MASTER > MAPPING

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Payment Process Flow in PFMS (Volume II)

The following screen will appear showing 4 tabs ‚Grant Details‛, ‚PAO/DDO Details‛, ‚Agency Details‛ and vendor details:

will go to tab ‚Grant Details‛ and click the button ‚Edit Mapping‛. Drop down menu for selection of Grant will appear. will select the desired Grant.

9

Payment Process Flow in PFMS (Volume II)

All the schemes under selected Grant will be displayed. will select the desired Scheme(s) and press ‚Add & Save‛ button.

System will display a message ‚Schemes Mapped Successfully‛. A grid showing the ‚Mapped Grant/Schemes‛ will appear at the bottom.

Now these schemes will be available at the time of generation of Sanction.

5.

MAPPING OF PAO/DDO DETAILS BY PD

PD logs into PFMS with his id and .

10

Payment Process Flow in PFMS (Volume II) MASTER > MAPPING

The following screen will appear showing 4 tabs ‚Grant Details‛, ‚PAO/DDO Details‛, ‚Agency Details‛ and ‚Vendor Details‛:

will click the tab ‚PAO/DDO Details‛. Screen will show ‚No Record Found‛

11

Payment Process Flow in PFMS (Volume II) will click the button ‚Edit Mapping‛. List of PAOs will be available in dropdown menu for selection.

will select the concerned PAO.

A list of DDOs under the selected DDO will appear for mapping

12

Payment Process Flow in PFMS (Volume II) will select the concerned DDO by checking the box given against it, and press the button‛ ADD & SAVE‛

System will display a message ‚DDO Mapped Successfully‛. A grid showing the mapped PAO/DDO will appear at the bottom.

The sanction created and approved by PD will be available for bill generation at mapped DDO and further for payment at mapped PAO.

6.

CREATION OF NEW VENDOR

Creation of Vendor (Beneficiary/Payee) i.e. to whom payment is to be made. Once a Program Division gets ed on PFMS and approved by DDO, it can create new vendors and map the already existing vendors on PFMS. For this, PD logs into PFMS with his id and .

13

Payment Process Flow in PFMS (Volume II) Following steps will be undertaken by PD to create a new vendor: MASTERS > VENDORS > ADD NEW 1) Click the link ‚Masters‛ 2) Then Click‚Vendors‛ and then click ‚Add New‛

Following screen for ‚Create Vendor‛ will appear:

3)

For creating new Vendor, after selecting type of vendor, information in following four

fields, is mandatory to be filled in : a.

Name

b.

Address

c.

City

14

Payment Process Flow in PFMS (Volume II) d.

Mobile Number: If mobile number is not available, then has to check

the box for ‚Not Available‛.

System will display a message ‚Vendor will not get the

payment alerts on mobile‛.

(Note: Though only four fields are mandatory to save the record, is advised to fill the relevant information in all the fields).

4) Type of Vendor is to be selected from drop down menu: A. Personal B. Commercial C. Institutional D. Small business Finance E. Small Scale Industry F. NGO

15

Payment Process Flow in PFMS (Volume II) G. Government Official – ImprestAdvance (Recoupment of Imprest, for which payment is made by cheque, the will select option ‘G’ above). H. Departmental Officer. (Situation may arise where payment is required to be made by cheque such as payment to MTNL, Electricity Board, Jal Board, Bank or to any individual etc. For such payments, the will select Departmental Officer as at ‘H’ above).

Fill the relevant information in above fields.

5).

Bank Details are to be entered on the same screen (these details are not required

for ‚G‛ and ‚H‛ above as the payment in these two cases is made vide cheque only). a)

Bank Name: entering first four letter of name of the bank (e.g. for state Bank of

India enter ‘stat’) will list out the bank names starting with those four initial alphabets. The has to select relevant bank from the list.

16

Payment Process Flow in PFMS (Volume II) (Note: ‘Y’ suffix against Bank Name indicates that the bank is integrated with PFMS. In such case, bank of vendor is validated by bank and IFSC code will appear automatically while creating a sanction).

b)

Number: Enter vendor’s Bank Number.

Depending upon the

Bank name selected, system will display Rule pertaining to the number digits of that particular bank.

If enters the wrong Bank Number, system will display a message: ‚Please Enter Valid Number‛ So, has to be careful while entering Number. c)

Then click ‚Add Bank Details‛

17

Payment Process Flow in PFMS (Volume II) One more row showing Bank Details will appear. (Note: Multiple Numbers of vendors can be added).

d.)

Click ‚Save‛ button.

A message will appear that Vendor/beneficiary has been added successfully. Also unique code will be allotted to this ed vendor automatically by the system. . (Note: PD is advised to note the unique code and also communicate same to the concerned vendor. This will facilitate easy search for the PD to map the vendor). ‚Vendor/beneficiary added successfully. Please note the Unique Code for ed vender for future use - VC00008138‛. (Note: At the time of creation of vendor, system has a validation for similar name, mobile number and Bank number).

18

Payment Process Flow in PFMS (Volume II)

7.

MODIFICATION IN VENDOR’S DETAILS:

Information in respect of created vendors can be modified by the PD . For carrying out modifications in already created vendor’s data, Go to ‚Masters‛ > ‚Vendors‛ > ‚Manage‛

A screen for ‚Manage Vendor‛ will appear:

Search by ‚Vendor Name‛ or ‚Unique Code‛ System will display the desired vendor.

19

Payment Process Flow in PFMS (Volume II)

Click on hyperlink of ‚Vendor Name‛ to open ‚Vendor Details‛.

Click ‚Edit‛ button System will make the ‚Vendor/Beneficiary Details‛ available for editing.

will make required modifications. Here, all the fields except ‚Type of Vendor‛ are editable. (Note: In case, cheque payment is required to be paid to same vendor who is

20

Payment Process Flow in PFMS (Volume II) already ed as e-payment vendor or vice versa, that will be required to be ed under both the types as the field ‚TYPE‛ of vendor is not editable.)

Press ‚Update‛ button to save the edited data. System will display a message: ‚Vendor/beneficiary updated successfully. Please note down the Unique Code for ed vender for future use - VC00008138‛. After creation of a new vendor, it will be available for making payment at the end PD who created. There is no further mapping required.

8. MAPPING OF ALREADY EXISTING VENDOR ON PFMS For mapping an already existing vendor on PFMS, the Program Division needs to click ‚s‛ and then ‚ Mapping‛.

A screen for ‚ Mapping‛, showing four tabs will appear:

21

Payment Process Flow in PFMS (Volume II)

Here, ‚Vendor Details‛ is to be clicked to find and map a vendor already ed by PD of some other PAO/Ministry by using any of the search criteria e.g. Vendor Type/Name /Bank /Unique Code of vendor.

Click ‚Edit Mapping‛ button, which is given at the end of list of vendors’ names.

22

Payment Process Flow in PFMS (Volume II) Following screen will appear:

Search using any of the criteria given e.g. vendor’s name, unique code, Bank etc. Desired vendor’s name will appear.

Click on vendor’s name and press ‚Add & Save‛

button. Desired vendor’s name will start appearing in the list of mapped vendors, as can be seen below:

As per requirement, vendors can be removed also from mapping by PD by using the button ‚Remove Mapping‛ at the end of the list of mapped vendors. For example, first a vendor named ‚Mayank‛ is to be mapped by PD. ‚Vendor Details‛ button and then search using any search criteria.

23

For this, click

Payment Process Flow in PFMS (Volume II)

All the vendors named ‚Mayank‛ (across all ministries/Department working on PFMS) will appear in the list. Select the desired vendor by checking the box given against its name.

Press ‚Add& Save‛ button to map this vendor with PD. It can be seen that the desired vendor has appeared in the list of ‚Mapped Vendors‛.

24

Payment Process Flow in PFMS (Volume II) Now in case, this vendor requires to be removed from mapping with PD, select the vendor by checking box against its name and click the button ‚Remove Mapping‛

The selected vendor will disappear from the list of ‚Mapped Vendor Details‛

(NOTE: As per latest development, a facility has been provided for a PD to map all/selected vendors of another PD under the same controller, in one go).

25

Payment Process Flow in PFMS (Volume II) For this, ‚PD NAME‛ field has been provided in search criteria. will select the desired PD from the drop down menu and press ‚SEARCH‛button.

On pressing, ‚SEARCH‛ button, list of all vendors of other PD will appear. All or selected vendors may be mapped using the button ‚ADD & SAVE‛.

26

Payment Process Flow in PFMS (Volume II) All mapped vendors will appear under ‚MAPPED VENDORS‛

PD mapped vendors list by clicking the option ‚ MAPPED VENDORS‛. An Excel file will be ed.

Click the excel file to see the list of all mapped vendors.

27

Payment Process Flow in PFMS (Volume II)

The newly created and mapped vendors (and also all other already mapped) will now be available in the list showing vendors’ names, while filling up the vendor’s name at the time of generation of sanction by PD .

9. Sanction Generation by Programme Division (PD) Program Division to PFMS with his id and . Click on link ‚Sanctions‛ and then ‚Create New‛

28

Payment Process Flow in PFMS (Volume II)

The Following screen will appear:

This screen will be used by PD for creating a new Sanction. He will fill in the relevant information in the following fields: 1. Controller Name is displayed for the respective PD. 2. IFD/HOD File Number: The Integrated Finance Division number will be filled by the PD manually. 3. IFD/HOD File Date: This field has to be filled by manually. 4. Sanction Number: Is a mandatory field and has to be filled manually by the . 5. Sanction Date: - The date of Sanction should be within the financial year. 6. Scheme: The drop down menu will only display the Plan Schemes that have been mapped to the .

29

Payment Process Flow in PFMS (Volume II) 7. (NOTE: This field is to be left blank in case of payments pertaining to NonPlan expenditure.

For Non-plan expenditure, scheme codes are not

necessary; the needs to select appropriate head of s from the drop down list). 8. PAO: The drop down menu will display the PAO to which the has been mapped. The will select the PAO for which the Sanction is being created. 9. DDO: The drop down menu will display the DDO to which the has been mapped. The will select the DDO for which the Sanction is being created. 10. Sanction Type: The following types of Sanction are available for selection a. Transfer b. Expenditure c. Intra Governmental Authorization

(Note1:-Select Expenditure Type as ‘TRANSFER’ for expenditure under Object Heads 31, 33,35,36,54,55 whether Plan or Non-Plan. Scheme is required to be mapped for Non-Plan expenditure also). OBJECT

DESCRIPTION

HEAD 31

Grants-in-aid

33

Subsidies

35

Grants for creation of capital assets

36

Grants-in-Aids Salaries

54

Investments

55

Loans and Advances

(Note2: In case of Authorization of Fund to other ministry, the type of expenditure option ‚INTER GOVERNMENTAL AUTHORIZATION‛ has to be

30

Payment Process Flow in PFMS (Volume II) opted& the controller code of agent ministry has to be selected. After approval of the sanction by the PD it will be available to Pr.AO. of the functional ministry for further processing. The Pr.AO.will firstreceive the sanction and then it will be available under the option ‚Manage IGA Sanctions‛. Pr.AO will select the sanction; insert the authorisation number and date and then press ‚SUBMIT‛ button. Thereafter the said authorisation will be available to all PDs of agent ministry for creating ‚Create against IGA‛ option under ‚Sanctions‛ module. The LOA functional head is also available under the transfer entry form.

(Note3: For other payments viz. TA, OE, Medical etc., has to select ‚EXPENDITURE‛ as type). 11. Amount: Fill in the amount (Gross Amount) for which the Sanction is being generated. 12. Scanned Sanction: Only PDF Files are allowed with size not more than 4 MB. This field has been provided for ing the scanned copy of Sanction which has been created manually. sanction is not mandatory.

31

However, ing of scanned copy of

Payment Process Flow in PFMS (Volume II)

13.

Head Details

After all the above fields under ‚Sanction Header‛ have been filled up, the will proceed for filling up the data in ‚ head Details‛ in following fields by making selection from the drop down menu: 1) Grant 2) Function Head 3) Object Head 4) Category (NOTE: In case the desired heads of s do not appear, the PD may his PAO to map the missing head of s and enter the budget in same).

32

Payment Process Flow in PFMS (Volume II)

14.

Now Proceed for ‚Vendor Details‛ and key in the data in the following fields:1) Vendor Type: has to select Type of Vendor out of the eight types available for selection in drop down menu: 2) Vendor: Select the name of the vendor from the drop down menu. On selection of vendor’s name, unique code will be displayed automatically. 3) Amount: Fill in the amount as shown in Sanction.

Press ‚ADD‛ button.

33

Payment Process Flow in PFMS (Volume II) Provision is available for adding more vendors one by one by filling up vendor details and pressing ‚Add‛ button, and selecting the next vendor details from drop down menu. In this case, the amount needs to be filled against each selected vendor accordingly. ‚Remove’ Button: This button will remove the wrongly entered vendor from the vendor details if the same is not required. For this, has to check the box given against ‚Vendor Name‛ and press ‚Remove‛ button.

Now Press ‚Create Sanction‛ button. System will display the following message: Sanction has been saved successfully...!!! Do you want to proceed with payee details? Yes

No

Press ‚Yes‛ button.

On pressing ‚YES‛, system will display the ‚Payee Details‛

34

Payment Process Flow in PFMS (Volume II)

Here the system will display the ‚Available Budget‛. In case vendor has provided more than one Bank Number, can select the desired one from the list in drop down menu. ‚Instrument Type‛, whether ‚RTGS‛ (for e-payment) or ‚CHEQUE‛ is also displayed here. After checking the payee details, will press ‚Next‛ button.

System will display the e-Payment Details. If the IFSC code is not automatically shown, it means bank A/c is not validated. If payment process is urgent, can key in the correct

35

Payment Process Flow in PFMS (Volume II) IFSC code. has to give some meaningful remarks for kind of payment in the field ‚Payee Remarks‛. will press ‚Confirm‛ button.

On Pressing ‚Confirm‛ button, system will display a message for successful submission of sanction. ‚Payee Details have been submitted successfully‛.

10.

MODIFICATION IN ALREADY CREATED SANCTION, IF REQUIRED

Now if the wants to modify this recently created sanction (or any other already created sanction), he can use the option ‚Manage‛ under the sub menu ‚Sanctions‛.

36

Payment Process Flow in PFMS (Volume II)

Following screen will appear:

Using the different search criteria, can search his sanction. He will write ‚Sanction Number‛ and press ‚Search‛ button, desired sanction will appear:

Open the Sanction by clicking on “Sanction Number”.

37

Payment Process Flow in PFMS (Volume II)

Following five options will appear: 1.

Edit Sanction: - This field is used for editing data in already created Sanction.

If wants to make modifications in already created sanction, he will press this button, following screen will appear:

38

Payment Process Flow in PFMS (Volume II) can make the desired modifications in this form and proceed further by pressing ‚Save Sanction‛ button. 2.

Payee Details: Before the proceeds for confirmation of Sanction, he will press

the ‚Payee Details‛ button to confirm the details of Payee viz. Sanction details, ing details and the details of payee’s bank . The following screen will appear:

will press ‚Confirm‛ button. On pressing ‚Confirm‛ button, System will display a message ‚Payee details have been submitted successfully‛.

39

Payment Process Flow in PFMS (Volume II)

3.

Cancel Sanction: If PD wants to cancel an already created sanction, he will

press the button ‚Cancel Sanction‛, following screen will appear:

Here will write the Remark for cancellation of sanction and press ‚OK‛ button. Sanction will be cancelled. In case he does not want to cancel it, he can go back (without writing any remark) by pressing ‚Cancel‛ button. 4.

Print Sanction Order: For taking out the print of Sanction Order (Not operational

right now) 5.

Back: This button will redirect to the previous page.

Now the ‚Payee Details‛ have been confirmed by the .

11.

APPROVAL OF SANCTION BY PROGRAM DIVISION

For approval of already created sanction, clicks the option ‚Approve‛ under submenu ‚Sanctions‛

40

Payment Process Flow in PFMS (Volume II)

Screen for ‚Search Sanctions‛ will appear:

will key in the desired sanction number or use any other search criteria and press ‚Search‛ button.

41

Payment Process Flow in PFMS (Volume II)

Already created sanctions (but pending for approval) will appear for selection.

will select the sanction by clicking over the hyperlink of ‚Sanction Number‛, the sanction details will be displayed on the screen.

42

Payment Process Flow in PFMS (Volume II)

Here, will find following options for selection: 1. Edit Sanction 2. Payee Details 3. Approve/Reject 4. Cancel Sanction 5. Print Sanction Order 6. Back

1.

Edit Sanction: At the time of approval of sanction, In case the PD wants to

edit the Sanction, he will click the ‛Edit Sanction‛ button; system will make the sanction available for editing.

43

Payment Process Flow in PFMS (Volume II)

PD can make the desired modifications in sanction and again save it by Clicking ‚Save Sanction‛ button.

2.

Payee Details: This field is used to see and confirm the details of Payee viz.

Sanction details, ing details and the details of payee’s bank , before the proceeds for confirmation of Sanction. will press the ‚Payee Details‛ button, following screen will appear:

PD can see the details and confirm the sanction for approval.

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Payment Process Flow in PFMS (Volume II)

On confirmation, system will display the message ‚Payee details have been submitted successfully...!!!

3.

Approve/Reject: after confirming the Payee details, can either ‚Approve‛ or

‚Reject‛ the sanction, as the case may be. has to write remark for action.

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Payment Process Flow in PFMS (Volume II) 4.

Cancel Sanction: This field is used to cancel the already created sanction.

will click this button, give the remark and press ‚OK‛ button to cancel the sanction. (Note: Cancelled sanction also requires approval for cancellation.)

5.

Print Sanction Order: This option is used for taking print out of approved sanction

order. (Note: Right now this field is not operational for printing of sanction orders pertaining to non-plan payments).

6.

Back: This button will redirect the to previous page.

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Payment Process Flow in PFMS (Volume II)

Now will click the button ‚Approve/Reject‛, and give a remark for approval of sanction, which is a mandatory field. After writing the remark, will press ‚Approve‛ button.

On pressing ‚Approve‛ button, following screen will appear showing the message ‚Sanction approved successfully‛

Now after the sanction has been approved by the PD , it will be electronically transmitted and will be available atDDO level for generation of bill.

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Payment Process Flow in PFMS (Volume II) (NOTE: Once a sanction has been approved by PD , it will no more be available with him for carrying out further modification. Though the same sanction will be available under ‚Manage Sanction‛ option, but only for viewing. In case approved sanction needs to be edited/cancelled, DDO will return the sanction to PD and same will be available at PD level for further action i.e. editing/cancellation under the option ‚Manage sanction‛).

***

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Payment Process Flow in PFMS (Volume II)

CHAPTER-2 REGISTRATION OF DRAWING & DISBURSING OFFICER AND HIS ROLE & RESPONSIBILITY

READY REFERENCE FOR DRAWING & DISBURSING OFFICER (DDO) 1. Registration of DDO on PFMS portal. (a) Click on ‚ Sanction ID generation ‛ hyperlink on the home page, below the button. (b) Select ‚Drawing & Disbursing Officer ‚as ‚Type of s‛ from drop-down list. (c) Select an option from the ‚Controller‛ drop-down list. (d) Select ‚PAO‛ from drop-down list. (e) Select ‚DDO‛ from drop-down list. (f) Fill other columns viz. First name, Last name, Designation, Email, Phone no., Mobile No. (g) Enter ID (which u wants to create for your ) (h) Enter word (which u wants to create for your ) (i) Enter ‚Hint Question‛, Answer and confirm Answer. (j) Enter ‚Word Verification‛ letters in text box which are appearing above the Word verification Text box. (k) Click the ‚Submit‛ button. (l) saved successfully message will appear on the web page. 2.

After Registration of DDO, PAO will approve the DDO.

3.

After approval by PAO, PFMS portal as DDO by id and .

4.

DDO will receive the sanctions created and approved by the PD/SA.

5.

To receive Sanction : a) Click on link Sanction/Receive Sanction. b) Click on the Sanction Number you want to receive.

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Payment Process Flow in PFMS (Volume II) c)

If you want to receive more than one sanction at a time, Tick the box before Sanction No. and then click receive sanction.

d) A message will appear‚sanction has been received by DDO‛. e) To generate bills: Click on link Sanction/Generate bills. f)

For Bills to be generated without deduction click on check box and then on Generate bills.

g) For bills with deduction. Click on sanction no to open the sanction and then click on Generate bill no, to add the deduction. h) Click on Generate Bill No. i)

Then add deduction, DDO wants to make from payment. Select the deduction type from the drop down menu from the provided deduction heads. If the head is not available in drop down list then select ‚Others‛.

j)

On selecting ‚Others‛ Grant No., Functional head, Object head, Category have to be entered in deduction details.

k)

After entering above details click

l)

A message ‚Deduction added successfully‛ will appear.

Add deduction

m) Then click Generate Bill n) A message ‚Bill No. 000000... has been generated‛ will appear. o) For printing bill. Click ‚To print bill, Print‛ below the above msg. p) Now this bill will be available at Dealing hand level in PAO. Sequence of actions by DDO: 1. DDO will create his ID on PFMS portal. 2. PAO will approve this ID. 3. After approval, DDO has to change word on first time . 4. DDO will receive sanction created and approved by PD. 5. Generate bills. 6. Add deduction details if any. 7. Print Bill.

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Payment Process Flow in PFMS (Volume II)

The Departments of the Central Government, Heads of Departments and s have powers (vide Rule 114 of Delegation of Financial Powers Rules, 1978) to declare as the Head of Office any Gazetted Officer subordinate to them. The Head of Office or any other Gazetted Officer designated as Disbursing Officer by a Department of the Central Government, a Head of Department or an [vide Rule 2 (xii) of GFRs] functions as the Drawing &Disbursing Officer for drawing bills and making payments on behalf of the Central Government and is responsible for all moneys received or disbursed in his office and the maintenance of s thereof. In accordance with Rule 35(2) of Central Government (Receipts and Payments) Rules the Head of Office may, however, authorise any Gazetted Officer serving under him to sign a bill or order for him, communicating the name and specimen signature of the officer to the PAO or cheque drawing DDO/Treasury Officer with whom he is in . This does not however, confer on the Gazetted Officer so authorised any powers of the Head of Office nor does it relieve the Head of Office in any way of his responsibility for the accuracy of the bill or for the disposal of the money received in payment. PFMS envisaged role & responsibility of DDO in accordance with Rule 2 (xii) of General Financial Rules 2005. The DDO is responsible for generating online bills for sanction submitted by Programme Division. He is also responsible for adding deductions/recoveries from the bills. The physical copy of bills along with all vouchers, necessary documents etc. shall also be presented to concerned Pay & s Office. Broadly, DDO has to approve PD , receive sanction and generate bills. To begin functions in PFMS, DDO has to himself with PFMS portal as DDO . Website address: pfms.nic.in or www.cga.nic.in> SMS (home page will open)

STEPS FOR DRAWING & DISBURSING OFFICER (DDO) 1.

Registration of DDO on PFMS portal

2.

Approval of Registration of DDO by PAO.

3.

Change of on first PFMS portal

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Payment Process Flow in PFMS (Volume II) 4.

Approval of Registration of PD

5.

Sanction Receive

6.

Bill Generation a. Generation of Bill without Deduction b. Generation of Bill with Deduction

7.

Action on Bill Returned by PAO

1. REGISTRATION OF DDO ON PFMS PORTAL: Click ‚ SANCTION ID GENERATION S‛ hyperlink on home page, below the ‚‛ button as shown in figure below. A registration form will appear. The ‘’ has to fill all fields marked with (*) as explained below. In case mandatory field is left blank system will flash message against blank box. For e.g. Phone No. is required. Type of s: Select Drawings & Disbursing Officer from the drop-down list. Controller:

Select Controller of your Ministry from drop down list. For

example 010-CCAPOWER PAO:

Select PAO from drop down list. PAO is given along with code.

For e.g. 013455-PAO (Sectt.), Ministry of Power, New Delhi. The has to select concerned PAO to whom bills will be presented. Wrong selection of PAO code will send the bill to wrong PAO. DDO:

Select DDO from drop down list. DDO is given along with code.

For e.g. 213456-Section Officer, Ministry of Energy, New Delhi. The has to select his own DDO code. (Note: The PAO and DDO code should be correct otherwise online bills will appear in other PAO) First Name:

Type first name as per office record

Last Name:

Type last name as per office record

Designation:

Provide your designation (Section Officer/DDO/Under Secretary)

52

Payment Process Flow in PFMS (Volume II) E-Mail:

Provide your e-mail id (preferably nic. e-mail id). details of

the ed will be sent to this e-mail id only. If wrong e-mail id is given system will flashmessage ‘invalid e-mail id’ against box Phone Number:

Give your office Phone Number with STD code

Mobile Number:

Give your 10 digit Mobile number. This is an optional field.

Nevertheless, the will receive SMS only on this mobile number Id:

Provide your id with minimum four characters and can be

alphanumeric. The id is unique for each . :

Give your in the textbox.

The can be

Alphanumeric & contain at least one special character. Further, it should not be less than 6 characters and more than 15 characters Confirm : Re-type . Hint Question:

Select hint question from the drop-down list

Answer:

Give answer to above hint question. may note down answer

for future reference to retrieve . Confirm Answer:

Re type the above answer

Word Verification:

Enter the characters appearing in box just above

Click the ‚SUBMIT‛ button.

53

Payment Process Flow in PFMS (Volume II) On successful registration, following message appears at top of the web page. : ‘ has been Saved Successfully’

This newly ed DDO is required to be approved by concerned Pay & s Officer. After approval from PAO, DDO can start working on PFMS portal.

2. APPROVAL OF REGISTRATION OF DDO BY PAO The newly ed DDO will be able to work on PFMS portal only after its approval by concerned PAO.

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Payment Process Flow in PFMS (Volume II)

3. CHANGE OF ON FIRST PFMS PORTAL After approval from Pay & s Officer (PAO), this newly created DDO can PFMS portal. At first occasion PFMS portal mandates PD to change . A form will appear on the screen. PD has to perform following steps: 1

Enter your current .

2

Enter your new . The should be alphanumeric & contain at least

one special character. Further, it should not be less than 6 and more than 15 characters 3

Confirm your new

4

Press the button ‚Change ‛.

A message ‚ changed

successfully‛ will flash on the screen. Click ‘ok’. Now, Pr.AO can with new .

55

Payment Process Flow in PFMS (Volume II) 4. APPROVAL OF PROGRAMME DIVISION BY DDO: The new PD is to be approved by DDO. The steps are as under: 

Choose ‚‛ > ‚Manage‛



Manage sub module can be used for performing functions of approving, editing, enabling and disabling of s.



Enter details in any field viz. id, first name, last name, status, division, and type and click ‘search’. The newly created will appear in the grid below. The DDO can filter new from the link provided in first row indicated in blue color. The status of new will be shown as ‘created’ in status column.



Click ’s name (indicated in red color). The screen will appear as follows:



Click on name (shown in blue color). Enter remarks and choose ‘Approve’. A message ‘ has been approved successfully’ will appear at top. The DDO has the options either to ‚approve‛ ,‘reject’ the new PD or ‘Defer Decision’

56

Payment Process Flow in PFMS (Volume II) Once DDO approves the new PD , thereafter he cannot delete them. The approved s can only be ‘enabled’ or ‘disabled’. However, s details are editable. The screen shows editable fields: 

Editable fields: First name, last name, phone, mobile no. and designation. On choosing ‘save’ a message’ ‚ Edited Successfully‛ flash on screen.

Approved can . At first occasion PFMS portal asked him to change . The has to change the . (Note: Multiple PDs can be created under a DDO). The DDO can edit his details by using sub module ‘View Details’ in ‘ Master’ module.

The editable fields are First name, last name, phone, mobile no., email and designation. (Note: Change in ’s profile should get approved from the authority who initially approved the registration of )

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Payment Process Flow in PFMS (Volume II)

5.

SANCTION RECEIVE The sanction submitted by all PD s will appear at DDO under the option ‚Sanction‛ > ‚receive‛. To generate bills DDO has to first receive the sanction. The sanction can be received in bulk or one by one.

The DDO can put information in search field and find out sanction against which bill is to be generated.

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Payment Process Flow in PFMS (Volume II)

Before receiving sanction, it can be checked by clicking sanction number indicated in blue colour in the grid. The sanction submitted by PD will be shown as ‘approved’ in sanction status field. To view payee details click ‚payee details‛ button. Select ‚‘receive sanction (DDO)‛ to receive it and ‚return to PD‛ in case it is to be returned to PD.

The can also directly receive sanction. Tick the box given against Sanction No. and press ‚receive‛ buttonbelow. The sanctions can be received in bulk. To receive sanctions in bulk tick box ‚All‛ and choose ‚receive‛ button at the bottom. Click ‚return to PD button‛ if sanction is to be returned. The sanctions received will be available for generation of bills.

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Payment Process Flow in PFMS (Volume II)

6. GENERATE BILLS: The received sanction will appear in ‚sanction‛ > ‚Generate bills‛. There are two different ways for generating bills. One is for bill without any deduction and another is for bill with deduction(s). The bill generated by DDO will appear at DH level in Pay & s Office. The status of bill will be shown as generated. The sanction received by DDO will be shown as ‘DDO received’ in sanction status field. The DDO can put information in search field and find out sanction received by him and against which bill is to be generated.

(a) Generation of Bill without Deduction

60

Payment Process Flow in PFMS (Volume II) (b) Generation of Bill with Deduction (a) GENERATION OF BILL WITHOUT DEDUCTION For bills to be generated without deduction click on check box and then on ‚Generate bills‛. A message ‚bill(s) has been generated successfully‛ will appear above grid. A bill number will be allotted by system itself in arithmetic series.

(b) GENERATION OF BILL WITH DEDUCTIONS: For bills to be generated with deduction click on sanction number to open the sanction and then on ‚Generate bill‛ number to add deduction. Field for adding deduction will appear. Select favouring of vendor given at left side. Some of the standard deduction codes have been provided in drop down list. may choose from them; other details viz. grant number, function head, object head and category will automatically appear in the respective box. Enter the amount to be deducted from the bill in amount column and click ‘Add deduction’. The details of deduction added will appear in grid below with a message ‘Deduction added successfully’. Similar steps may be repeated for more deductions. The net effect of deductions will be shown below the grid. In case of any error in deductions, tick the box and press ‚remove‛ button. The added deduction will be removed. If there is more than one payee in sanction id generated by PD, the DDO can add deduction for each payee. In such case select favouring one by one and add deduction as explained above.

61

Payment Process Flow in PFMS (Volume II) If DDO chooses ‘other’ from standard code list then he has to provide grant number, function head, object head, category and amount in the respective column and follow the steps explained above in order to add deduction. After adding all deductions click on ‚Generate bills‛ button given at bottom. The bill will be generated with bill number and a message ‚bill generated with bill number‛ will appear at top. can print the bill from the link ‘to print click here’ The generated bill will appear at DH level in Pay & s Office with status ‘generated bill’. (In case, the deductions have been added but the bill is to be prepared without deduction, can press ‚CANCEL‛ button to remove all deductions and press the button ‚Generate Bill Number‛ to generate it without deductions.)

7.

ACTION TO BE TAKEN ON BILL RETURNED BY PAO

The Bill returned by PAO, will be available under ‚Manage Sanction‛ module at DDO level. ‚SANCTION‛ > ‚MANAGE SANCTION‛

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Payment Process Flow in PFMS (Volume II)

DDO can select the sanction status ‚PAO Returned‛. All the sanctions returned by PAO to DDO will be displayed.

DDO will click the hyperlink of desired sanction to open it. Sanction details will be displayed on screen.

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Payment Process Flow in PFMS (Volume II)

can see the reasons for return of bill by clicking ‚Remarks by PAO‛

DDO can see the ‚Payee Details‛

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Payment Process Flow in PFMS (Volume II)

If the correction is required to be made by PD, DDO will select the option ‚Return to PD‛.At PD level, this returned sanction will be available under ‚Manage Sanction‛ for modification/cancellation, as the case may be. In case the correction is required to be made by DDO, he will first receive the sanction by clicking the button ‚Receive Sanction (DDO)‛

65

Payment Process Flow in PFMS (Volume II)

Now this sanction will again be available for generation of bill under the option ‚Generate Bill‛. DDO will generate the bill either without deduction or with deduction, as the case may be.

66

Payment Process Flow in PFMS (Volume II)

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Payment Process Flow in PFMS (Volume II)

Bill number will remain the same.

If the correction is required to be made by PD, DDO will select the option ‚Return to PD‛.

68

Payment Process Flow in PFMS (Volume II)

69

Payment Process Flow in PFMS (Volume II)

At PD level, this returned sanction will be available under ‚Manage Sanction‛ for modification or cancellation, as the case may be.

*****

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Payment Process Flow in PFMS (Volume II)

CHAPTER-3 PROCESSING OF NIL BILL IN PFMS A facility/functionality has been provided in PFMS for processing NIL bills (debit and minus debit in the same head and in same bill or both debit and credit under different head in the same bill and net amount is NIL like NPS bill). Voucher number in case of NIL bill will be generated after ing of the bill by PAO. No further action is required in NIL bill after its three level ing (DH, AAO and PAO) in PFMS. In case of ‚NIL’ Bill i.e. ‚Sanction Amount‛ is ‚Zero‛, the system will allow to enter multiple heads with different Grants and/or different Functional Heads. In such cases, no vendor will be available for selection while creation of sanction. Three types of ‚NIL‛ bills can be processed in PFMS 1.

‚NIL‛ bill for adjustment of Advance.

2.

‚NIL‛ bill of New Pension Scheme.

3.

‚NIL‛ bill for one Debit Head and one/multiple Credit heads in same

sanction. CASE I: NIL BILL FOR ADJUSTMENT OF ADVANCE

71

Payment Process Flow in PFMS (Volume II)

CASE II: NIL BILL OF NEW PENSION SCHEME

72

Payment Process Flow in PFMS (Volume II)

73

Payment Process Flow in PFMS (Volume II)

CASE III: DEBIT and ONE/MULTIPLE CREDIT HEADS IN SAME SANCTION

74

Payment Process Flow in PFMS (Volume II)

75

Payment Process Flow in PFMS (Volume II)

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Payment Process Flow in PFMS (Volume II)

After the sanction has been created successfully, it will be approved by PD.

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Payment Process Flow in PFMS (Volume II)

After approval of Sanction for “NIL” bill, it will be available at DDO level, who will first receive it.

After the sanction has been received successfully by DDO, it will be available for Bill generation.

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Payment Process Flow in PFMS (Volume II)

After the Bill Number has been generated by system, it will be available in PAO at DH level. DH will first receive the sanction. Token number will be automatically generated by the system.

DH will the bill and it will be forwarded to AAO.

79

Payment Process Flow in PFMS (Volume II)

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Payment Process Flow in PFMS (Volume II)

AAO will the bill and it will be forwarded to PAO.

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Payment Process Flow in PFMS (Volume II)

Voucher number in case of ‚NIL‛ bill will be generated after ing of bill by PAO. There will be no further action required in this case.

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Payment Process Flow in PFMS (Volume II)

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Payment Process Flow in PFMS (Volume II)

The Report “CMP 02 – Compilation Sheet” may be viewed by the for voucher number.

This completes the process of processing of “NIL” bill in PFMS. ***

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Payment Process Flow in PFMS (Volume II)

CHAPTER- 4 MANUAL ON ‘LETTER OF AUTHORIZATION’ (LOA) FUNCTIONALITY ON PFMS

Letter of Authorization (LOA) refers to the settlement of inter departmental transactions through book adjustment or without resorting to cash settlement. It relates to the programmes or activities for which one Ministry/Department utilizes the services of another Central Ministry /Department as its agent for executing the activity. The procedure of the same is indicated in para 8.5 of Civil s Manual (CAM)

On PFMS, the sanction in respect of ‚Letter of Authorization‛ is to be created and approved by the PD (Program Division) of Functional Ministry and thereafter submitted to Pr.AO.

Pr.A.O. of Functional Ministry will enter ‚Authorization Number‛ and

‚Authorization Date‛ and submit it.

After this, it will be available to all PDs of

Executing/Agent Ministry/Department and he will be able to create further sanction against IGA (Intra Governmental Authorization). STEPS TO BE FOLLOWED BY FUNCTIONAL MINISTRY/DEPARTMENT 1. CREATION OF SANCTION BY PD 2. APPROVAL OF SANCTION BY PD 3. RECIVEING OF SANCTION BY Pr.AO 4. MANAGE/ISSUE OF IGA SANCATION BY Pr.AO

STEPS TO BE FOLLOWED BY EXECUTING/AGENT MINISTRY/DEPARTMENT 5. CREATE SANCTION AGAINST IGA 6. APPROVAL OF IGA SANCTION BY PD 7. RECEIVING OF SANCTION BY DDO 8. GENERATION OF BILL BY DDO

85

Payment Process Flow in PFMS (Volume II) 9. RECEIVING OF BILL BY DH 10. /RETURN OF BILL BY DH 11. /RETURN OF BILL BY AAO 12. /RETURN OF BILL BY PAO 13. DIGITALLY SIGN PAY FILE 14. DIGITAL SIGN BATCH

1.

CREATION OF SANCTION BY PD OF FUNCTIONAL MINISTRY First of all, PD of Functional Ministry will generate a sanction. For this, he will

PFMS with his ID and and go to: ‚SANCTIONS‛>‚CREATE SANCTION‛

will enter the details of sanction viz. IFD/HOD File No. & Date and Sanction No. & Date. He will select the PAO and DDO from the drop down list. In case of LOA, he has to select ‚INTRAGOVERNMENTAL AUTHORIZATION‛ as type of Sanction.

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Payment Process Flow in PFMS (Volume II)

On selection of type of sanction as ‚INTRAGOVERNMENTAL AUTHORIZATION‛, a grid for selection of Controller will appear below. will enter the gross amount in the field ‚Sanction Amount‛. He can a scanned copy (pdf with size not more than 4 MB) of sanction. However, ing of Scanned sanction is optional.

will enter Head details by selecting the concerned heads from drop down list. Then, he will enter amount of sanction and press the button ‚ADD HEADS‛.

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Payment Process Flow in PFMS (Volume II)

A grid showing the ing head details will appear below. In case of selection of wrong heads, the record can be deleted using (*) given against it.

A list of Controller will be available for selection.

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Payment Process Flow in PFMS (Volume II)

PD will select the controller of Executing/Agent ministry in respect of whom‚Letter of Authorization‛ is to be issued, and press the button ‚CREATE‛.

System will display a message: ‚Sanction has been saved successfully‛.

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Payment Process Flow in PFMS (Volume II)

The status of sanction may be viewed through the option ‚SANCTIONS‛>‚MANAGE SANCTIONS‛.

The status of Sanction will be shown as ‚SUBMITTED‛

90

Payment Process Flow in PFMS (Volume II) 2.

APPROVAL OF SANCTION BY PD OF FUNCTIONAL MINISTRY Now this sanction needs to be approved by PD. For this, he will go to:

‚SANCTIONS‛>‚APPROVE SANCTION‛

All the sanctions pending for approval will appear. If not displayed on screen, can trace a particular sanction by using the search criteria given above.

will click the

hyperlink of sanction to open it.

Details of sanction will be displayed to the . Under the field ‚Authorization Details‛, Name of the authorized controller will be displayed.

However the fields for

‚Authorization Number‛ and ‚Authorization Date‛will remain blank as the same are to be entered by Pr.AO of functional ministry.

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Payment Process Flow in PFMS (Volume II)

After confirming the correctness of submitted sanction, PD will proceed to approve the same by pressing the button ‚APPROVE/REJECT‛.

will enter appropriate remark and press the button ‚APPROVE‛.

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Payment Process Flow in PFMS (Volume II)

Available budget will be reduced by the amount of approved sanction. System will display a message: ‚Sanction approved successfully‛

The status of sanction can be viewed as ‚APPROVED‛ through the option ‚SANCTIONS‛ > ‚MANAGE SANCTIONS‛

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Payment Process Flow in PFMS (Volume II)

can view the details of sanction by clicking its hyperlink.

3.

RECIVEING OF SANCTION BY Pr.AO OF FUNCTIONAL MINISTRY The Financial Adviser /Pr. Chief Controller of s/Chief Controller of

s/Controller of s of the functional Ministry / Department will issue annual budget allocation letter, indicating the amount approved in the Budget for the year for the programme or activity assigned to the agent or executing Department, after obtaining necessary financial sanctions. Now this approved sanction for ‚Letter of Authorization‛ will be available with Pr.AO of functional ministry for further action. He will PFMS with his ID and and go to: ‚SANCTIONS‛>‚RECEIVE SANCTIONS‛

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Payment Process Flow in PFMS (Volume II)

All the approved sanctions, pending for receiving, will appear. If not displayed on screen, desired sanction may be traced using search criteria given above. Before receiving a sanction, can view the details of sanction by clicking its hyperlink.

Details of sanction will be displayed to . Pr.AO can either ‚Receive Sanction‛ if the sanction is correct or ‚Return to PD‛ in case sanction is not found to be correct. After the sanction for its correctness, Pr.AO will proceed to receive the same by pressing the button ‚RECEIVE SANCTION‛.

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Payment Process Flow in PFMS (Volume II)

System will display a message: ‚Sanction received successfully‛.

4.

MANAGE IGA SANCATION BY Pr.AO OF FUNCTIONAL MINISTRY Now the received sanction will be available with Pr.AO of functional ministry under

the option: SANCTIONS > MANAGE IGA SANCTIONS

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Payment Process Flow in PFMS (Volume II)

A screen for ‚Manage Intra Governmental Authorization sanctions‛, showing allthe sanctions approved with sanction type ‚Intra Governmental Authorization‛ will appear. Pr.AO has to enter ‚Authorization Number‛ and ‚Authorization Date‛. He may click the hyperlink of sanction to view its details before entering the same.

Details of sanction will be displayed to . He has to enter here ‚Authorization Number‛ and ‚Authorization Date‛, and press‚SUBMIT‛button.

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Payment Process Flow in PFMS (Volume II)

On pressing ‚SUBMIT‛ button by Pr.AO. system will show the sanction status as ‚CLOSED‛.

5.

CREATE SANCTION AGAINST IGA BY PD OF EXECUTING/AGENT MINISTRY The executing/agent Ministry or Department, on the condition of observance of

normal procedures of sanction will incur the expenditure. The Pay & s Office of the executing Ministry will book the expenditure under the relevant expenditure head against the Demands for Grants of the functional Ministry/Department and furnish the monthly and progressive figures of expenditure to the Pr. s Office of the functional Ministry / Department. This is to enable the latter to monitor the flow of

98

Payment Process Flow in PFMS (Volume II) expenditure on the programme /activity and prepare Appropriation s related to the Grant.

A sanction for ‚Letter of Authorization‛ as submitted by Pr.AO of functional Ministry/Department

will

be

available

with

all

the

PDs

Ministry/Department for creation of sanction against that IGA.

of

Executing/Agent For this, PD of

Executing/Agent Ministry/Department will PFMS through his id and and go to: ‚SANCTIONS‛>‚CREATE AGAINST IGA‛

A screenshowing, all the ‚Intra Governmental Authorization Sanctions‛ available for creation of sanction, will appear. will press the button ‚CREATE SANCTION‛ given against the desired sanction.

99

Payment Process Flow in PFMS (Volume II) On pressing the button ‚CREATE SANCTION‛, a screen for creation of sanction will appear. will enter the relevant details in the fields under ‚Sanction Header‛ viz. IFD/HOD File Number & Date and Sanction Number & Date. He will select the concerned PAO and DDO from the drop down menu. He will select ‚Transfer‛ or ‚Expenditure‛ as the type of expenditure, as the case may be. Here, it may be noted that Head Details are filled up automatically on the basis of ‚Letter of Authorization‛ issued from Functional Ministry/Department.

Depending upon the type of expenditure selected a grid for selection of ‚Vendor Details‛ in case of type ‚Expenditure‛ or ‚Agency Details‛ in case of type ‚Transfer‛ will appear. PD will select the concerned vendor, fill the amount to be paid to him and press the button ‚ADD‛. Expenditure in respect of amount of sanction as authorized by functional ministry through ‚Letter of Authorization‛ may be incurred fully or partially as the case may be, but not in excess over the amount authorized by Functional Ministry/Department.

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Payment Process Flow in PFMS (Volume II)

A grid showing the vendor(s) details will appear below. In case of wrong vendor, record can be deleted by checking the box given in front of vendor’s name and pressing the button ‚REMOVE‛. In case record is correct, will proceed to create a sanction by pressing the button ‚CREATE‛.

System will display a message: ‚Sanction has been saved successfully‛. ‚Do you want to proceed with Payee Details?‛ will press the button ‚YES‛ to proceed further with Payee Details of vendor.

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Payment Process Flow in PFMS (Volume II)

Bank Details of vendor will be displayed to PD. After confirming the correctness of details, he will press the button ‚NEXT‛.

IFSC code will appear automatically if the details of vendor have been validated by Bank. Otherwise, may enter the correct IFSC code. Some meaningful Payee Remarks is also mandatory to be filled up. The payees remarks will become part of the SMS being sent to the beneficiary after realization of payment. After this, will press the button ‚CONFIRM‛.

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Payment Process Flow in PFMS (Volume II)

System will display a message: ‚Payee Details have been submitted successfully‛

The executing Ministry /Department are authorized to incur expenditure up to the limits specified in the authorization letter.The s Officer of the executing/agent Ministry will not honour any claim that would result in excess over the amount authorised by functional Department, in any case. Expenditure in respect of amount of sanction as authorized by functional ministry through ‚Letter of Authorization‛ may be incurred fully or partially, as the case may be. However, there is a validation in system for not allowing PD of Executing/Agent

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Payment Process Flow in PFMS (Volume II) Ministry/Department to create a sanction against an IGA (Intra Governmental Authorization) for amount exceeding the total of IGA amount.

6.

APPROVAL OF SANCTION CREATED AGAINST IGA BY PD OF

EXECUTING/AGENT MINISTRY/DEPARTMENT A sanction created against IGA by PD of Executing/Agent Ministry/Department requires to be approved. For this PD will go to: ‚SANCTIONS‛>‚APPROVE SANCTION‛

All the sanctions pending for approval will appear.

may trace a desired

sanction by using search criteria given above.PD will click the hyperlink of sanction to view its details.

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Payment Process Flow in PFMS (Volume II)

The details of sanction will be displayed to the .

After confirming the

correctness of data and ing the payee details, he will press the button ‚APPROVE/REJECT‛.

will enter the appropriate remarks and press the button ‚APPROVE‛.

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Payment Process Flow in PFMS (Volume II)

Now this approved sanction will be electronically transmitted to DDO for bill generation. 7.

RECEIVING OF SANCTION BY DDO OF EXECUTING/AGENT MINISTRY/

DEPARTMENT DDO will PFMS through his ID and and go to: ‚SANCTIONS‛>‚RECEIVE SANCTIONS‛

All the sanctions as approved by PD will be displayed.

may use search

criteria to find a particular sanction. Sanctions can be received one by one or in bulk in one go. He can either directly receive the sanction by clicking the check box given against it and pressing the button ‚RECEIVE SANCTION‛ or he can click the hyperlink of sanction to

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Payment Process Flow in PFMS (Volume II) view its details before receiving. In case the sanction is not correct, he can return it to PD by pressing the button ‚RETURN SANCTION TO PD‛.

On clicking the hyperlink of sanction, details will be displayed to DDO.

After

ing the details, he will press the button ‚RECEIVE SANCTION (DDO)‛. System will ask for the confirmation. will press ‚OK‛ button.

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Payment Process Flow in PFMS (Volume II) 8.

Generation of Bill by DDO of Executing/Agent Ministry/Department After a sanction has been received by DDO, it will be available for generation of bill

under the option ‚SANCTIONS‛>‚GENERATE BILLS‛.

A screen showing all the received sanctions will appear. q) For Bills to be generated without deduction, click on check box given against the desired sanction and then click on the button ‚Generate bills‛. r)

For bills to be generated with deduction(s), click on sanction number to open the sanction and then click on ‚Generate Bill Number‛ to add the deduction.

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Payment Process Flow in PFMS (Volume II)

Fields for adding deduction will appear. Select favouring of vendor given at left side. Some of the standard deduction codes have been provided in drop down list. may choose from them; other details viz. grant number, function head, object head and category will automatically appear in the respective box. Enter the amount to be deducted from the bill in amount column and click ‘Add deduction’. The details of deduction added will appear in grid below with a message ‘Deduction added successfully’. Similar steps may be repeated for more deductions. The net effect of deductions will be shown below the grid. In case of any error in deductions, tick the box and press ‚REMOVE‛ button. The added deduction will be removed. If there is more than one payee in sanction id generated by PD, the DDO can add deduction for each payee. In such case select favouring one by one and add deduction as explained above. If DDO chooses ‚OTHER‛ from standard code list then he has to provide grant number, function head, object head, category and amount in the respective column and follow the steps explained above in order to add deduction. (In case, the deductions have been added but the bill is to be prepared without deduction, can press ‚CANCEL‛ button to remove all deductions and press the button ‚Generate Bill Number‛ to generate it without deductions.)

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Payment Process Flow in PFMS (Volume II)

After adding all deductions click on ‚Generate bills‛ button given at the bottom.

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Payment Process Flow in PFMS (Volume II)

The bill will be generated with bill number and a message ‚bill generated with bill number‛ will appear at top. can print the bill from the link ‘to print click here’

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Payment Process Flow in PFMS (Volume II) The generated bill will appear at DH level in Pay & s Office of Executing/Agent Ministry/Department with status ‘generated bill’. 9.

RECEIVING OF BILL BY DHOF EXECUTING/AGENT MINISTRY/DEPARTMENT DH logs into the PFMS portal with his id and . To receive a

sanction from DDO, DH will click the option ‚SANCTIONS‛>‚RECEIVE SANCTIONS‛

Screen will appear showing the listing of all the sanctions available for receiving at DH level. DH has the option to select one, all or selected sanctions. He may use search criteria for tracing a particular sanction.

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Payment Process Flow in PFMS (Volume II)

The desired sanction will appear. DH may receive it directly by clicking the checkbox given against it and pressing the button ‚RECEIVE SANCTION‛, or click its hyperlink to view its details first.

System will display a message: ‚Bill(s) have been received successfully‛. A system generated token number will also appear in a grid.

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Payment Process Flow in PFMS (Volume II)

10.

ING/RETURN OF BILL BY DH Now DH will go to ‚Sanctions‛>‚ Bill‛

Screen appears showing the list of all the sanctions which have been received by DH and are available for ‚/Return‛.

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Payment Process Flow in PFMS (Volume II)

If the desired sanction is available in the list, DH can directly open it by clicking on sanction number. If the desired sanction is not visible, then DH can trace the same by using search options. Screen appears showing the Sanction Details, Details, Bill Details, Bill deduction details, Budget Details and Vendor Details.

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Payment Process Flow in PFMS (Volume II) To see the Payee details, DH may click the button ‚Vendor Details‛. DH has two options available; he can either ‚Forward to AAO ()’ or ‚Forward to AAO (Return)‛. If he opts for ‚Forward to AAO (Return)‛, he will have to give the remark for same.

After ing the payee details and correctness of other data, DH may proceed to the bill. He will press the button ‚FORWARD TO AAO ()‛.

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Payment Process Flow in PFMS (Volume II) System will ask for the confirmation of action. ‚Are you sure you want to the sanction further?‛ DH will press ‚OK‛ button.

System will display a message: ‚Bill has been ed to AAO successfully.‛

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Payment Process Flow in PFMS (Volume II) The status of sanction may be viewed as ‚ed By DH‛ through the option ‚SANCTIONS‛>‚MANAGE SANCTIONS‛

Now this Bill (Sanction) will be electronically transmitted and will be available at AAO level . 11.

/RETURN OF BILL BY AAO OF EXECUTING/AGENT

MINISTRY/DEPARTMENT AAO will PFMS portal with his id and . He will go to: ‚SANCTIONS‛>‚ BILL‛

If the desired sanction is displayed on screen, AAO can directly open it by clicking on sanction number. If the desired sanction is not visible, then AAO can trace the same by using search option. will click the hyperlink of sanction to open it to view its details.

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Payment Process Flow in PFMS (Volume II)

On clicking the Sanction Number, Screen showing the Sanction Details, Details, Bill Details, Bill deduction details, Budget Details and Vendor Details, appears. Before ing the bill, AAO can see the Payee Details by clicking the button ‚Vendor Details‛.

AAO has two options available; he can either ‚Forward to PAO ()‛ or ‚Forward to PAO (Return)‛. If he opts for ‚Forward to PAO (Return)‛, he will have to

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Payment Process Flow in PFMS (Volume II) give the remark for same.If AAO has to the bill, he will click the option ‚Forward to PAO ()‛, system will ask to confirm the action by displaying a message: ‚Are you sure you want to the sanction further?‛

AAO will ‚OK‛ button. Screen will display the message ‚Bill has been ed to PAO successfully.‛

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Payment Process Flow in PFMS (Volume II) The status of sanction may be viewed as ‚ed By AAO‛ through the option ‚SANCTIONS‛>‚MANAGE SANCTIONS‛.

12.

/RETURN

OF

BILL

BY

PAOOF

EXECUTING/AGENT

MINISTRY/DEPARTMENT PAO will PFMS portal with his id and and go to: ‚SANCTION‛>‚ BILL‛

All the bills (Sanctions) which have been ed by AAO will be available at PAO level. If the desired sanction is not visible in the list, can search it by using search option. PAO will open the desired sanction by clicking over the hyperlink of Sanction Number.

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Payment Process Flow in PFMS (Volume II)

On clicking the Sanction Number, Screen showing the Sanction Details, Details, Bill Details, Bill deduction details, Budget Details and Vendor Details, will appear. Before ing the bill, PAO can view the payee details by clicking the button ‚Vendor Details‛.Here, two options are available. PAO can either the bill for payment or return the bill to DDO. If the bill is to be returned, PAO will give the reason for return and press the button ‚Return Bill to DDO‛.IF PAO has to the bill for payment, he will click the option ‚ Bill‛.

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Payment Process Flow in PFMS (Volume II) System will ask for confirmation of action. PAO will press the button ‚OK‛.

System will display a message: ‚Bill has been ed successfully‛.

The status of bill may be viewed as ‚ED BY PAO‛ through the option ‚SANCTIONS‛>‚MANAGE SANCTIONS‛.

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Payment Process Flow in PFMS (Volume II)

13.

DIGITALLY SIGN PAY FILE All the sanctions for e-payment, ed by PAO , will appear at Signatory 1

for digital g. Sanctions amounting to Rupees below 10 lakhs will be digitally signed by Signatory 1 only. However, the sanctions, amounting to Rupees 10 lakhs and above, will require to be digitally signed by both signatory 1 and signatory 2. In order to sign multiple e-payment files in one go, payment batch file needs to be generated. will go to: ‚SANCTIONS‛ > ‚DIGITALLY SIGN PAY FILE‛

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Payment Process Flow in PFMS (Volume II) A screen for ‚DIGITAL SIGN ON BILLS‛, showing all e-payment sanctions ed by PAO, will appear. will select the desired sanctions by clicking the check box given against each sanction and then press the button ‚GENERATE PAYMENT BATCH FILE‛.

A Payment batch file will be generated for the selected records.

14.

DIGITAL SIGN BATCH

Now will go to ‚SANCTIONS‛ > ‚DIGITAL SIGN BATCH‛

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Payment Process Flow in PFMS (Volume II) A screen for ‚DIGITAL SIGN ON BILLS‛, showing all the payment batch files pending for digital signatures, will appear. can proceed for digitally g the batch or he can also delete batch for recreation, if required.

can click the hyperlink of batch number to view the sanctions it contains.

will insert his DSC into system and click the button ‚DIGITAL SIGN‛

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Payment Process Flow in PFMS (Volume II) In case of sanction for payment amounting to Rupees 10 lakhs and above, digital signatures of signatory 2 are also required after the payment has been digitally signed successfully by signatory 1.

This completes the process flow of ‚Letter of Authorization on PFMS‛.

******

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Payment Process Flow in PFMS (Volume II)

Public Financial Management System O/o Controller General of s Department of Expenditure, Ministry of Finance 3rd& 4th Floor, Shivaji Stadium Annexe Connaught Place, new Delhi 110001 Email: - [email protected]

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