Session 2.2

Cash advances can be given for any purpose, as long as it is related to the operation of the agency.

An official or employee can received additional cash advances even if the previous cash advance has not been liquidated.

Cash advances can be used for infrastructure projects or other undertakings on a project basis.

The transfer of cash advance from one Accountable Officer (AO) to another is allowed under certain circumstances.

If expenses for official travel exceed the prescribed rate per day, a certification form the Head of Agency regarding the absolute necessity of the expenses, along with the corresponding bills or receipts, is required.

Cash advances can be used to encash checks or liquidate a previous cash advance.

If a cash advance is not used for its intended purpose within two months, it must be returned immediately.

Failure to liquidate a cash advance within the prescribed period may result in the withholding of accountable officer's salary.

For petty cash funds, an approved estimate of petty expenses for one month is required as an additional documentary requirement.

All cash advances, except for petty cash funds, must be fully liquidated at the end of each year.