New SOP for Handling Returns and Refunds under SNA SPARSH
The Ministry of Finance has released a comprehensive Standard Operating Procedure (SOP) to streamline the process of handling returns and refunds for Centrally Sponsored Schemes (CSS) under the SNA SPARSH framework. This system, which stands for Real-time System for Integrated Quick Transfers, ensures "Just-in-time" fund flow by integrating State IFMIS with RBI's e-Kuber and PFMS.
Defining Returns and Refunds
A payment is officially completed once funds are credited to the bank account of the beneficiary or vendor. Any reversal required after a successful credit is treated as a return or refund of scheme funds.
Common Reasons for Beneficiaries
- Ineligibility identified after receiving funds.
- Receipt of duplicate benefits.
- Benefits assigned under the wrong category.
- Voluntary surrender of the benefit.
Common Reasons for Vendors
- Payments for duplicate invoices.
- Errors in work order rates.
- Payment released for cancelled purchase orders.
- Shortage in supplied quantity.
Procedures for Returning Funds
Beneficiaries or vendors must first coordinate with the concerned Implementing Agency to verify the refund amount before choosing one of the following methods:
Method A: Return via Demand Draft
The individual obtains a Demand Draft in favor of the State Treasury and submits it to the Implementing Agency, which then deposits it.
Method B: Return via Treasury Challan
The individual fills out a prescribed treasury challan and remits the funds via NEFT/RTGS. A copy of this transaction must be shared with the agency for their records.
Refund of the Central Share
Once the refund is credited to the State Treasury, it is the state's responsibility to return the applicable Central share to the Government of India through the Bharatkosh portal. The SOP details specific login and payment generation steps for state users on Bharatkosh to ensure unspent balances are properly tracked as either reduction of expenditure or deduct recoveries.
For more detailed technical guidelines and step-by-step instructions on Bharatkosh registration, you can download the full PDF below.
Download Full SOP (PDF)Educational Purpose Only: The information provided in this article is for general informational and educational purposes only.
Accuracy & Mistakes: While every effort has been made to ensure the accuracy of the content based on the official Memorandum, Human errors or omissions may occur. We do not warrant the completeness or reliability of this information.
No Liability: Under no circumstances shall the author or this website be held liable for any loss or damage (including financial loss) arising from the use of, or reliance on, the information presented here.
Are you a Central Government Employee?
Don’t stay in the dark! Vital updates on Service Rules, Pension policies, and your career are happening right now.
Add as Preferred Source on Google
Follow us to ensure our latest exclusive reports appear first in your Google Search and Discover feed.
Comments
Post a Comment