Finance Ministry

Payment to Government Suppliers through e-Payment only if payment is above Rs 5,000 – Finance Ministry

Payment to Government Suppliers through e-Payment only. All payments above Rs 5,000 to suppliers, contractors ,etc. to be paid through payment advices-Finance Ministry

F. No. 3(2)(1)/2016/R&P Rules/ Amendment /649

Ministry of Finance
Department  of  Expenditure
OIo Controller General of Accounts
Mahalekha Niyantrak Bhawan,
GPO Complex, E-Block , INA
New Delhi-110023

Date: 05-12-2016.

OFFICE  MEMORANDUM

Subject:  Payment to Suppliers etc. by Government Departments through e-Payment

A reference is invited to this office O.M. No. 1(1)/ 2011/TA/366 dated 1st August 2016 regarding payment to Suppliers etc. above Rs. 10,000/ – by Government Departments through e-Payment.

2. In order to attain the goal of complete digitization of Government payments, the existing limit of 10,000/- prescribed in paragraph 2 of this office O.M. dated 1st August 2016 has been further reviewed. It has now been decided to lower the threshold limit to Rs. 5,000/-(Rupees five thousand only).

3. All Ministries/Departments of the Government of India shall ensure with immediate effect that all payments above Rs . 5,000 / – (Rupees five thousand only) to suppliers, contractors , grantee/loanee institutions   are made by issue of payment advices only.

This issues with the approval of the Finance Minister.

Soma Roy Burman)
Joint Controller General of Accounts

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