Decree No. 118 / 1972 Coll.
Decree of the President of the State Bank of the Czechoslovak and Federal Ministry of Finance on treasury operations in socialist organisations
Valid
Effective from 01.03.1973
118
DECLARATION
Chairman of the State Bank of the Czechoslovak and Federal Treasury
of 13 December 1972
on treasury operations in socialist organisations
The President of the Czechoslovak State Bank pursuant to § 7 (5) (f) of Act No. 144 / 1970 Coll., on the Czechoslovak State Bank, and the Federal Ministry of Finance in an agreement with the Federal Statistical Office pursuant to § 35 (3) of Act No. 21 / 1971 Coll., on a uniform system of socio-economic information, provides:
General provisions
Subject matter and scope of the adjustment
(1) This decree regulates the execution of cash-cashtransactions (cash) in socialist organisations1 (hereinafter referred to as "organisations'), as well as their documentation and records.
(2) The Treasury Operations of the Czechoslovak State Bank (hereinafter referred to as "the Bank") are governed by specific instructions from the President of the Bank.
Basic obligations of organisations in the conduct of treasury operations
When carrying out treasury operations, organisations shall in particular:
(a) contribute to the smooth and rapid circulation of cash by ensuring an appropriate value composition both in their withdrawals and in their disbursements;
(b) comply with the terms and place of cash withdrawals for payment of mezz2) agreed with the Bank following the specified pay dates, 3)
(c) to transfer all cash in excess of the limit of the cash balance to its account with the money institution;
(d) indicate on the documents on which they collect or collect cash, or indicate the amount of money to be paid in cash, the symbols of the payment order (4) and use cash for the purposes for which they were collected or retained from cash received; if they have exceptionally been used for a purpose other than that indicated, specify their intended use in the next cash withdrawal;
(e) keep an analytical record of treasury operations;
(f) to ensure that treasury operations are carried out separately from the accounting service if the organisation or its component has at least two paid staff; This obligation does not apply to shops, public catering establishments and service establishments,
(g) to ensure the safety of cash handling, storage and movement;
(h) submit the necessary documents to the bank, provide the required information and allow on-the-spot verifications;
i) inventory cash in the cash register of the organization or its components, 5)
(j) to check the implementation and documentation of treasury operations.
Implementation and documentation of treasury operations
Establishment of treasury and treasury provisions
(1) In order to carry out treasury operations, treasury offices are usually set up in organisations or their components.
(2) The cashier shall be carried out by an organisation worker or another person (hereinafter referred to as the cashier). In order to perform its duties (both permanent and temporary), the cashier must be entrusted in writing with the head of the organisation and an agreement on material responsibility must be concluded with him (Annex 2) (6).
(3) The transfer and taking over of both the permanent and the temporary performance of the cashier's duties and the associated extraordinary inventory7) cash may only be made at the direction of the head of the organisation.
(4) The cashier must in particular:
(a) to check that the ticket documents have the required formalities (Section 4), in particular if they are signed by a worker (s) or, where appropriate, by a person (s) authorised to make available the ticket transactions in accordance with the relevant legislation8 (hereinafter referred to as authorised personnel);
(b) verify the identity of the recipient of cash, except in the cases referred to in § 4 (5);
(c) to confirm the execution of the treasury operation by signing the document;
(d) to keep a cash register (Section 5), to report cash balances within the specified time limits and to agree on the amount of cash in the cash register;
(e) to transmit the documentation of the treasury operations on a daily basis or within the time limits set by the head of the organisation to the accounting officer concerned;
(f) report immediately to the head of the organisation cash deficits and surpluses.
(5) Where a treasurer is performed by persons as volunteer officials of social organisations, they shall not be subject to the provisions of paragraph 2, second sentence.
Ticket documents
(1) The supporting documents for which cash operations are carried out must bear the following particulars:
(a) the name of the ticket;
(b) the number of the ticket,
(c) name of organisation;
(d) the date on which the ticket is drawn up;
(e) the name and address of the payer or payee;
(f) the amount of payment in figures and in words;
(g) purpose of payment;
(h) signatures of authorised staff;
(i) the signature of the treasurer or of the person involved in the treasury operation.
(2) The ticket must be numbered in accordance with the order of the entries in the ticket book on a continuous basis, either in one row or separately, in separate rows, of revenue and expenditure.
(3) Sales, establishments, public catering establishments or other similar components of organisations may be used for the sale of goods and the provision of services to confirm receipt of cash of simplified cash documents, which shall contain at least the elements referred to in paragraph 1 (b), (d) and (f), and the amount received may not be indicated by words. The arrangements for the models of such documents shall be approved by the authority of the superior organisation, which shall ensure that such documents do not acquire the character of money substitutes.
(4) The documents must be signed by authorised staff before receipt or payment of cash. In respect of receipts, the signature of authorised staff shall not be required if it is a cash receipt which the treasurer is entitled to receive in the performance of his duties or under specific instructions from the head of organisation. The names and signatures of authorised staff shall be notified in advance to the cashier and to the accounting officer concerned.
(5) Save as otherwise provided in the Special Regulation9), unless it is a cash transaction when buying a fleet or gold by organisations authorised to carry out this activity, cash payments are to be made as follows:
(a) the expenditure document must be drawn up in the name of the consignee;
(b) the consignee or his authorised representative shall confirm receipt of the cash on the bill of expenditure by his signature;
(c) on payment of cash to a payee who is not personally known to the teller, the teller shall record the basic information on the expenditure document of the recipient's identity card or any other replacement identification card (type, number),
(d) on payment to the authorised consignee's agent, the cashier shall, in addition to the basic identity details, record the document under which the agent is authorised to accept the cash; If a single authorisation is issued, this document shall be attached to the expenditure document.
(6) If the original documents (such as invoices, receipts, travel bills, etc.) contain or are supplemented with all the particulars of the ticket documents, cash transactions may be carried out on the basis of these original documents.
(7) The forms of receipts and receipts which are used in cash operations in the organisation shall be treated as forms strictly cleared. The forms of the ticket and documents shall be superseded which cannot be used for the execution and documentation of the cash transaction (e.g. damaged, erroneously filled), shall be discarded by a diagonal cross-check and deposited together with the relevant cash documents.
Cash book
(1) The ticket book to which cash operations are entered must be bound and must be marked before the first entry:
(a) identification of the ticket book;
(b) the name of the organisation;
(c) the period covered by the register;
(d) the serial numbering of the pages (sheets), starting with the number 1 and the number of numbered pages (sheets) mentioned in the note at the beginning or at the end of the ticket book; if ticket books with perforated sheets are used, the order fixed sheets and the relevant perforated sheets shall be numbered in accordance with them;
(e) on each page (sheet) of the ticket, a pre-print enabling entries to be made into the specified columns in the arrangement referred to in paragraph 2.
(2) Each record of a cash operation in the cash register must include:
(a) the date on which the treasury operation is carried out;
(b) the number of the ticket,
(c) a brief description of the treasury operation;
(d) the amount of cash received or issued.
(3) The balance in the cash register shall be shown by the cashier either on each day on which at least one cash operation took place or within the time limits specified in writing by the head of the organisation, but at least on the last day of each month.
(4) Sellers, establishments, public catering establishments, or other similar components of organisations, as well as organisations backed up, local national committees and their components may, instead of the ticket book, use other documents to replace it with the authority of the superior organisation (e.g. cash or cash diary).
Corrections in ticket and ticket books
Corrections to the entries in the ticket documents and in the ticket books or in the documents replacing them may only be made in the manner applicable to the corrections to the entries in the accounting documents. 10)
Receipt, use and withdrawal of cash
(1) Organisations and its components may have at least 500 cash in each cash register after the end of the working day, - CZK (limit of the cash balance), 11), mainly in small money. The amount of this limit may be modified in writing, taking into account the economic need for cash and the safety of their safekeeping by the head of the organisation, provided that the change in the limit has not been reserved for the authority responsible for the organisation.
(2) Organisations may retain cash in their cash registers beyond the fixed limit of the cash balance,
(a) which were accepted at a time when they could no longer be transferred to their account with the money institution;
(b) admitted to custody.
(3) The terms of the money institution or the post office, or the agreement or contract concluded between the money institution or the post office and the organisation, apply to cash withdrawals.
(4) Organisations and their components, which collect revenue for the State budget, are obliged to transfer the cash received to their income account with the Money Institute as soon as they exceed 200, - Kčs; However, at the end of each quarter they shall be obliged to pay such cash without regard to the amount.
(5) In trade and service organisations as well as in social organisations which receive cash sales either directly or through their components, the management organisation shall lay down in writing the conditions under which the expenditure to be charged can be designated. These organisations are required to report to the branches of the Bank by the ninth day of each month for the previous month the amount of cash used from sales according to purpose, indicating the symbol of the treasury plan, broken down by district (s).
Cash withdrawals
(1) Organisations collect cash from their account with the money institution
(a) payment of salaries, 12) cash sickness insurance benefits, childcare allowances, maternity benefits, maternity allowances and other similar payments (hereinafter referred to as "collective payments") in a manner and within the deadlines agreed with the Bank (its branch);
(b) to cover other expenditure in cash as justified by economic needs, 13)
unless they use cash from received sales to do so.
(2) If the place of collection is cash for payments of a bulk nature, mail or cash institution other than the bank (its branch), the organisation shall, as a rule, notify the place of early payment of the amount of cash needed and their composition two working days before their selection. The organisation shall proceed mutatis mutandis with respect to the bank if the branch of the bank so requests.
(3) Where organisations point out to their locally separated components cash on bulk payments earlier than two working days before the agreed date of their selection, they shall indicate on the documents (transfer orders, postal orders, etc.) with the bank the agreed date of their selection.
(4) If the composition does not correspond to the cash needs of the organisations required by cash, in particular with regard to the necessary share of small money, the organisation shall adjust the composition by cash according to the instructions of the paying place.
Procedure for collective payments
(1) Payments of a bulk nature shall be made on the basis of settlement and payment documents, which may at the same time constitute an expenditure document.
(2) The receipt of amounts of mass payments shall be confirmed by the authorised beneficiaries or persons authorised by them to do so in writing by them on the bill of account and payment. The signature on this document may be replaced by a signature on a payment bag or on a special receipt. If the payee is unable to write or read, the payment shall be certified by official registration or testimony15) on the bill of account and the bill of lading or, where appropriate, on a separate sheet which shall be annexed to the bill of lading and the bill of lading. If the amount has been sent to the beneficiary by means of a money institution or by mail, the signature shall be replaced by a receipt from the money institution or by mail. This receipt shall be attached to the bill of account and payment. The organisation shall ensure the proper circulation and storage of payment bags, special receipts, authorisations, official or witness records, etc.
(3) Where all the amounts shown on the bill of account and payment are not paid in one day, the bill of expenditure shall be drawn up for the sum of the amounts actually paid each day. Its date, number and total amount shall be entered by the cashier in the list of amounts paid (recap) in accordance with the bill of account and payment. Where the amounts shown in the bill of account and payment cannot be paid to the worker on the day of payment because he was unable to attend it for serious reasons, or if it is a worker who works in a remote place of work, and if they cannot be paid to the person empowered to take them over, the organisation shall send them or its component to the worker on the day set for their payment or at the latest on the next working day. 16) At the end of the payments, the cashier shall compare the list of amounts paid (recap) with the total sum of the settlement and payment instruments and shall confirm their accuracy by signing them.
(4) The head of the organisation may entrust in writing the preparation and implementation of mass payments in addition to the treasurer (s) with other staff with whom the organisation will at the same time conclude a material liability agreement. Workers (persons) who calculate or charge them may not be entrusted with the preparation and implementation of collective payments. In such organisations, the sum of the amounts shown on the bill of account and payment shall be entered immediately as a cash issue. The amount not paid shall also be sent by the organisation, or its component, in the manner referred to in the preceding paragraph. 16)
(5) If the day of payment per day of work falls, the organisation shall make the payment on the previous working day. 17)
Payment of pensions and other social security benefits
(1) Pensions and other social security benefits are paid monthly by post and national committees on the dates agreed between the Bank's headquarters, the Ministry of Labour and Social Affairs of the Czech Republic and the SSR and the Federal Ministry of Communications.
(2) Where the payment deadline referred to in the preceding paragraph is Saturday, the payment shall be made on the preceding working day; if it is for another day of work, it shall take place on the next working day.
Deposits to account
(1) In justified cases, organisations shall provide their staff or their components with small and urgent cash expenditure: (18) advances to account
(a) either at the estimated amount of expenditure as a lump sum, which must be charged no later than five working days after the purpose has been fulfilled;
(b) or at an amount corresponding to the monthly need as a permanent advance which must be charged no later than five working days after the end of the calendar month.
(2) The staff or components of organisations to which one-off or permanent advances have been granted shall provide proof of their accounts; at the end of the year, they must submit the bill so that the expenditure effected on the advance during the previous year can still be included in the expenditure of that year.
(3) The staff and bodies of organisations to which permanent advance payments have been made shall keep a record of them on the prescribed forms.
(4) If the expenditure for which a one-off advance has been granted cannot be effected, the advance must be refunded no later than the next working day following the finding. An additional one-off advance may be issued to the worker or component for the same purpose only after the previous advance has been cleared. An additional increase in the one-off advance shall not be considered an additional advance.
Saving cash by organisations on travel holding books
Backup components of budgetary organisations and cooperatives (e.g. schools in nature, pioneering camps, recovery facilities) and local (basic) components of social organisations may, where justified and with approval of the head of organisation, deposit cash on travel holding books. Only the authorised official or the head of the organisation may collect such cash.
Cash handling, storage and transfer safety
(1) The Head of Organisation is responsible for ensuring the security of handling, storage and movement of cash both within and outside the organisation and its components.
(2) The cash of the organisation as well as its components must be stored in safe cash boxes or other replacement facilities which must be locked
(a) at a time outside the cash-desk hours,
(b) during cash-out hours only if they are located outside the cash-out area or if the cashier is removed from the cash-out area.
(3) In organisations or components thereof which cannot ensure the deposit of cash in cash in cash boxes for serious reasons, the leading organisation shall determine under which conditions cash may be stored in other replacement devices (e.g. portable hand-held cash registers, lockable cabinets or other safe devices).
(4) In cases identified by the head of the organisation, organisations or their components may also store or transport cash from other organisations or citizens, if they are separately registered, separately stored and labelled.
(5) The ticket holder has the key to the cash box or other replacement device. If the cashier's box has more than one lock, the head of the organisation shall determine which staff will be entrusted with the keys to the other locks and what their duties are. The key allocation records shall be kept by the staff responsible for that management.
(6) The duplicates of keys from the cashier's box or other replacement devices shall be kept by organisations or their components in a safe place designated by the head of the organisation, in an envelope sealed by the cashier (s) to whom the original keys have been entrusted.
Control of treasury operations
Cash differences
(1) A cash deficit shall be considered to be the observed difference between the lower cash situation and the balance reported in the cash book or in a document replacing it.
(2) A cash surplus shall be considered as the observed difference between the higher cash position and the balance declared in the cash book or in the document replacing it. For the surplus found, the organisation is required to issue an income ticket which may not be required under § 4 (1) (e) and (h).
Control of implementation and documentation of treasury operations
(1) The Head of Organisation shall determine the number and extent of systematic and random checks on the implementation and documentation of treasury operations, including periods for which they will be carried out, taking into account the frequency of the treasury operations and the specific conditions of the organisation and its components; the date for carrying out random checks shall be determined in such a way that it is not known in advance to the control site.
(2) The check shall recalculate the cash in cash and the recorded condition shall be compared with the data in the cash book or in a document replacing it; In addition, the withdrawals and deposits shall be verified according to the statements of the organisation's accounts at the money institution and the accompanying documents, the admissibility of the treasury operations carried out, the accuracy of the documents required, the correctness of the keeping of the cash book or the documents replacing it, ensuring the security of cash handling, their storage and transfers, the causes of the cash differences and compliance with the other provisions of this Order shall be examined.
(3) A report shall be drawn up on the checks carried out and the deficiencies identified, indicating the names of the workers or persons responsible for the deficiencies. The Head of Organisation shall decide on measures to address deficiencies, set deadlines for the implementation of the measures and identify the personnel or persons responsible for the implementation of the measures.
The control of compliance with the provisions of this decree shall also be exercised by the authorities of the superior organisations and the competent inspection or review bodies in accordance with specific rules. 19)
Final provisions
If special conditions in the organisations and their components so require, they shall further adapt the binding working and control procedures for the conduct of treasury operations in accordance with this decree of the Head of Organisation or the authority superior to the organisation (by command, organisational directive, etc.).
Exemptions and derogations from the provisions of § 2 (b) and (d), 3, 7 to 10, 11 (1) and 4, 12 and 13 of this Decree may be authorised by the Bank's headquarters. Exceptions and derogations from the provisions of Sections 2 (e), 4, 5 and 11 (2) and (3) of this Decree may be authorised by the Federal Ministry of Finance. Exemptions and derogations from the provisions of Section 2 (f) may allow the Bank's head office in agreement with the Federal Ministry of Finance.
The Order of the Minister of Finance and Director-General of the Czechoslovak State Bank No 208 / 1964 Coll., on emission and treasury operations is hereby repealed.
(1) This Decree takes effect on 1 March 1973.
(2) Organisations may, in accordance with the exceptions and derogations permitted under the existing rules, proceed until 31 December 1973 at the latest.
Chairman of the Czechoslovak State Bank:
Ing. Diving v. r.
Minister of Finance of CSSR:
Doc. Ing. Rozechek, CSc.
Příloha č. 2
Annex No 2 to Decree No. 118 / 1972 Coll.
RECOMMENDED MODEL
ARRANGEMENTS ON COMPETENT RESPONSIBILITY
1) § 14 of Economic Code No. 109 / 1964 Coll. (full version No. 37 / 1971 Coll.).
2) § 113 (1) of the Labour Code No. 65 / 1965 Coll. (full version No. 42 / 1970 Coll.).
3) Principles for determining the dates of payroll payments, reg. 55 / 1965 Coll. and published in the Ministry of Finance Bulletin No. 8 / 1965 under order No. 34.
4) Paragraph 44 of the Order of the Director General of the Czechoslovak State Bank No. 85 / 1966 Coll., on payment and settlement on the accounts of organisations.
5) Federal Ministry of Finance Decree 155 / 1971 Coll., on inventories of economic resources.
6) § 176 of the Labour Code No. 65 / 1965 Coll. (full version No. 42 / 1970 Coll.), or § 45 of Act No. 49 / 1959 Coll., on Uniform Agricultural Cooperatives, as amended.
7) § 9 (b) and § 10 (b) § 155 / 1971 Coll.
8) § 20 to 26 of Economic Code No. 109 / 1964 Coll. (full version No. 37 / 1971 Coll.).
9) For example, Section 9 of Act No. 72 / 1967 Coll., on the State Savings Bank, as amended by Act No. 163 / 1968 Coll., Decree of the Ministry of Finance No. 47 / 1964 Coll., on Money Services to Citizens, as amended by Decree No. 136 / 1969 Coll.
10) Section X of Decree of the Federal Ministry of Finance No. 154 / 1971 Coll., on Accounting.
11) § 367 (c) of Economic Code No. 109 / 1964 Coll. (full version No. 37 / 1971 Coll.).
12) Article 2 of Decree No. 158 / 1970 of the Federal Ministry of Labour and Social Affairs Coll., on the regulation of wage developments and on the principles of remuneration, as amended by Decree No. 165 / 1971 Coll.
13) Sections 15 and 44 of Act No. 85 / 1966 Coll., Decree of the Minister of Internal Trade No. 10 / 1966 Coll., on the purchase of goods in internal trade by socialist organisations, as amended, Decree of the State Commission on Finance, Prices and Wages No. 96 / 1967 Coll., on Replacement of Travel, Moving and Other Expenditure, as amended, etc.
14) Paragraph 31 (2) of the Postal Code approved by the Decree of the Central Management of Communications of 9.6.1966, ECR P-10562 / 66.
15) Paragraph 240 (2) of the Labour Code No. 65 / 1965 Coll. (Full version No. 42 / 1970 Coll.).
16) § 121 of the Labour Code No. 65 / 1965 Coll. (full version No. 42 / 1970 Coll.).
17) Paragraph 13 Principle for determining the dates of pay, reg. 55 / 1965 Coll. and published in the Ministry of Finance Bulletin No. 8 / 1965 under No. 34.
18) For example according to exposition No. 96 / 1967 Coll., exposition No. 10 / 1966 Coll. etc.
19) Act No. 103 / 1971 Coll., on People's Control, Act of the Czech National Council No. 116 / 1971 Coll., on Committees and Human Control Commissions, Act of the Slovak National Council No. 121 / 1971 Coll., on People's Control in the Slovak Socialist Republic, Decree of the Minister of State Control No. 75 / 1959 Ú. l., which issues methodological guidelines for control activities, and Decree of the Federal Ministry of Finance No. 163 / 1971 Coll., on the conduct of periodic revisions of management.
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Regulation Information
| Citation | Decree of the President of the State Bank of the Czechoslovak and Federal Ministry of Finance No. 118 / 1972 Coll., on treasury operations in socialist organizations |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 29.12.1972 |
|---|---|
| Effective from | 01.03.1973 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
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