The Government of India appointed a Task Force in 2002 under the Comptroller and Auditor General of India (C&AG) to prescribe the accounting systems and processes to be followed by ULBs for enhancing the capacity of their systems and operations, financial procedures and accounting systems. These recommendations were embodied in the National Municipal Accounting Manual (NMAM). The Karnataka Municipal Accounting Manual has been developed based on the NMAM, C&AG task force recommendations and professional literature from the Institute of Chartered Accounts of India (ICAI).

The eGov Financial Accounting System computerizes the accounting operations of a City Corporation or Municipality and provides an entire IT system that manages daily accounting and statutory reports. The system enables the ULBs to move to a double-entry, accrual basis accounting system with the ability to prepare Balance Sheet and Income & Expenditure Accounts for their operations. The system provides simple, easy to use screens to enter accounting data and produce all the statutory reports specified in the KMAM. In addition, it will be integrated to the Property Taxation system to create automatic accounting transactions triggered by property tax receipts. Similarly, the system provides integration capability with other software applications to automatically capture the financial accounting impacts of activities in these systems.

The following salient features of the eGov Financials system make it uniquely suited for Karnataka's ULBs:

• Compliant with C&AG/UDD accounting guidelines
• Supports double-entry, accrual basis accounting
• Supports Fund-based accounting
• Highly flexible codification structure in line with the recommended structure of NMAM
• Transactions screens configured for ease of use by ULB personnel
• All statutory reports (Balance Sheet, Income/Expenditure) as specified in the KMAM
• Security with role-based access control
• Full financial disclosure through the city website
• Internet based architecture

Citizen Centric:

The financial accounting system is expected to be operational throughout the state by June 2006. Following this, financial reports summarizing the state of the ULB's financial health will be put out for the citizens on a regular basis, giving them an opportunity to  If you have inputs on how to make this system better please send your inputs to contact@egovernments.org