What Is Budgetary Accounting?

Budget accounting refers to a type of management activity carried out on the process and results of government budget funding activities. It is the accounting used by financial departments and administrative institutions at all levels to calculate, reflect, and monitor the implementation of government budgets. It uses currency as the main unit of measurement to continuously, systematically and completely reflect and supervise the economic operations of financial departments and administrative institutions at all levels of government. ^[1]

Budget accounting

(Modern Accounting Branch)

The differences between budget accounting and corporate accounting are mainly reflected in the following

The accounting entity refers to the specific unit for which accounting work serves.

Basic principles to be followed in budget accounting:

Assets = Liabilities +

The vertical system is divided according to the structure of state power and administrative regions. Our government budget can be divided into central budgets and local budgets, the latter including provinces (autonomous regions, municipalities), cities (community cities, autonomous prefectures), counties (autonomous counties, District cities, districts), townships (ethnic townships, towns).

The horizontal system is established according to the divisions of governments at all levels, and is mainly composed of general budget accounting, administrative unit accounting, non-profit organization accounting and treasury accounting, tax collection accounting, and professional bank appropriation accounting participating in budget execution at all levels of government. . `The classification of the total fiscal budget accounting is consistent with the classification of the government budget. The government budget is divided into five levels: central, provincial, city, county, and township. The total budget accounting includes the central budget general accounting established by the Central Ministry of Finance, the provincial general budget accounting established by the provincial finance departments, and the municipal financial bureau established by the municipal finance bureau. Budget accounting, county fiscal general budget accounting established by the county finance bureau, and township financial general budget accounting established by the township finance office.

Administrative and institutional accounting classification: competent accounting unit, secondary accounting unit, and tertiary accounting unit.

The accounting basis of budget accounting is mainly based on the realization of income and payment systems, emphasizing the accounting treatment of budget revenue and expenditure.