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3. Accounting System

  1. The Panchayats shall maintain their books of accounts on accrual basis under the double entry system of book-keeping
  2. The Panchayats shall follow the Accounting Policies prescribed in the Kerala Panchayat Raj Accounts Manual for accounting transactions, maintaining Books of Accounts and preparing Financial Statements.
  3. Separate Books of Accounts shall be maintained for each year
  4. All transactions pertaining to the Panchayat shall be recorded in the Books of Accounts maintained