Dimension 20.2. Timing, coverage and data requirements

Time period Coverage Data requirements/ calculation Data sources
At the time of the assessment. CG.
  • Information on the approach(es) to transferring revenue collections to the Treasury and other designated agencies.
  • The promptness of transfers to the Treasury or other designated agencies.
  • Entities/revenue authorities collecting CG revenue, the Treasury or other designated revenue recipients, and the central bank.

revenue, commercial banks, central Bank, post office, etc.). It should also indicate how tax, duties, or any other revenue payment reach the Treasury or other designated agencies, to what extent payments are made directly into accounts controlled by the Treasury, and the time gap between revenue collection and transfer to the Treasury or other designated agencies.

Dimension 20.3. Revenue accounts reconciliation


20.3:1. This dimension assesses the extent to which aggregate amounts related to assessments/charges, collections, arrears, and transfers to (and receipts by) the Treasury or designated other agencies take place regularly and are reconciled in a timely manner. This will ensure that the collection and transfer system functions as intended and that the level of arrears and revenue float are monitored and minimized. It is important that any difference between amounts assessed or levied by responsible entities and amounts received by the Treasury or other designated agencies can be explained. (N.B. this does not assume or imply an accrual based accounting system: the data and reports used for assessing this indicator are based on cash accounting.) The responsible entity should normally keep records in its accounting system on aggregate amounts levied and on transfers to the Treasury. The responsible entity should also keep


records reflecting amounts levied and paid by each payer, but this may be done in other data systems. The responsible entity should be able to aggregate such information, so that it can report how much of amounts levied is (a) not yet due, (b) in arrears (the difference between what is due and what has been paid in) and (c) collected by the responsible entity but not yet transferred to the Treasury. For revenues from extractive industries, the Extractive Industries Transparency Initiative has developed standards for the disclosure and reconciliation of what companies pay and what governments receive9 .

20.3:2. The PEFA report narrative should note whether the reconciliation of revenue assessment, collections, arrears and transfers to the Treasury or other designated agencies has been carried out by entities collecting most central government revenue, and if so, how often, and how long it takes to complete the reconciliation after the period under consideration.

20.3:3. The criteria for rating this dimension clearly establish that the reconciliations of assessments, collections, arrears, and transfers to treasury accounts have to be done between the revenue collection entities and Treasury. It is important that these are done because differences can arise between Treasury receipts and revenue collection entities. This can be a particular problem if Treasury account codes are not identical to revenue collection entity codes (usually recording receipts at a higher level)


9 Refer to https://eiti.org/ for more information.

Pillar Five: Predictability and Control in Budget Execution