Financial Updates and Claims Requirements

THE SCHOOL MOOE REVISITED

School MOOEI. Guidelines on the Use of School MOOE Legal Basis: 1. Department of Budget & Management(DBM) & DepEd Joint Circular No. 2004-1dated January 01, 2004 entitled Guidelines on the Direct Release of Funds 2. Section 10. Republic Act No. 9155 (Governance of Basic Education Act of 2001) which provides that the appropriations intended for the field offices(elementary/secondary schools and schools division offices) are to be allocated directly and released immediately by the DBM to the said offices. 3. DepEd Order No. 60 s.2011 which provides the Implementing Guidelines on the Direct Release of MOOE Allocations of Schools to the Respective Implementing Units II. Implementing Requirements

1. The implementing units (IUs) are capable of administering their own funds since they have position items assigned to handle cashiering and bookkeeping functions, whether on a permanent or temporary basis 2. The DBM has already assigned agency codes to the said IUs, hence, they are authorized to open Modified Disbursement Scheme (MDS) Sub Accounts in governmentDepository banks and that the cash allocations intended for the aforementioned IUs are directly issued by the DBM to their respective MDS Sub-Accounts

3. The IUs are required to maintain set of books of accounts

4. The MDS Sub-Accounts of Schools Division Offices (SDOs) shall cover transactions of the SDO (Proper), elementary schools (ESs) and Secondary Schools (SSs) without financial staff, and may also include SSs, with financial staff that have no access to the banks, etc.

NON-IMPLEMENTING UNITS The Elementary School (ES) and Secondary School (SS) Without Financial Staff shall : 1.Apply for bonding with the Bureau of Treasury, Fidelity Bond Division; 2. Draw cash advance from their supervising/directing SDO for their MOOE requirements 3. Disburse funds in accordance with the existing budgeting, accounting, procurement, and auditing rules and regulations. 4. Submit to the SDO the liquidation report and all supporting documents.

III. Uses of School MOOE To fund activities as identified in the approved School Improvement Plan (SIP) which are for implementation in the current year particularly in improving learning outcomes and as specifically determined in the Annual Implementation Plan (AIP) of the school; To pay expenses for utilities(e.g. electric and water expenses ) To procure school supplies necessary in classroom teaching To pay wages for janitorial and security services To use for other mandatory expenditures except for the procurement of textbooks and other instructional materials, school furniture and equipment.

SCHOOL MOOEREQUEST FOR CASH ADVANCEUTILIZATIONLIQUIDATIONCUT OFF DATE IN THE SUBMISSION OF MOOE CASH ADVANCE7I.REQUEST FOR CASH ADVANCEDOCUMENTARY REQUIREMENTS:CASH ADVANCE VOUCHER (3 COPIES)OBLIGATION REQUEST BOX A TO BE SIGNED BY THE SCHOOL HEAD/PRINCIPAL (2 COPIES)DETAILED ESTIMATE OF EXPENSES

II. UTILIZATIONELIGIBLE EXPENDITURESNON ELIGIBLE EXPENDITURES COMMONLY USED ACCOUNT CODES:751 TRAVELLING EXPENSES753 TRAINING EXPENSES755 OFFICE SUPPLIES EXPENSES760 MEDICAL & DENTAL SUPPLIES EXPENSES761 GASOLINE, OIL & LUBRICANTS EXPENSES765 OTHER SUPPLIES EXPENSES766 WATER EXPENSES767 ELECTRICITY EXPENSES

772 TELEPHONE EXPENSES LANDLINE773 TELEPHONE EXPENSES MOBILE774 INTERNET EXPENSES781 PRINTING AND BINDING EXPENSES795 GENERAL SERVICES969 OTHER MAINTENANCE & OPERATING EXPENSES412 DUE TO BIR

III.LIQUIDATIONCASH DISBURSEMENT REGISTERLIQUIDATION REPORT FORMCOPY OF CASH ADVANCE VOUCHERSUPPORTING DOCUMENTS PER TRANSACTION

IV .CUT OFF IN THE SUBMISSION OF MOOE CASH ADVANCETHREE (3) WORKING DAYS BEFORE THE END OF THE MONTHWITHHOLDING TAXWho are the withholding agents required to register?National Government Agencies Head of offices and Chief Accountants or other persons holding similar postions in Departments, Bureaus, agencies & other instrumentalities officially designated as such by the head of office.

Treasurers of Local Government Units, Treasurers/Chief Accountant of Government Agencies & instrumentalities and GOCCs or, any person holding similar position and performing similar function as withholding agents, shall deduct and withhold the prescribed withholding taxes before making any payment to the seller of goods and servicesWhat are the expenses subject to withholding tax?All expenses paid by the government including but not limited to the following, shall be subject to withholding tax:PAYMENTS FOR:1. Supplies2. Repairs3. Catering Services4. Rental of Equipment, sound system5. Water6. Electricity

What are the rates applicable to the above mentioned expenses?INCOME TAX / EVATPurchase of Goods-1%Payment for Services-2%BUSINESS TAXIF NON-VAT REGISTERED - 3%IF VAT REGISTERED-5%HOW TO COMPUTE FOR THE WITHHOLDING TAX DUEILLUSTRATION:ABC Elementary School is registered with the BIR as a withholding agent. In Nov. 2012, the school paid for the following expenses:Supplies-11,200How will the withholding agent of ABC Elementary School compute for the taxes due to the government?

Assumption 1: The supplier of goods and services is a Non-VAT taxpayer.INCOME TAX- Expanded Withholding Tax (1%)Supplies (goods) 11,200 x 1% = 112.00BUSINESS TAX Withholding tax for NonVAT(3%)Supplies (goods) 11,200 x 3% = 336.00 Assumption 2: The supplier of goods and services is a VAT registered taxpayer. INCOME TAX-1% Expanded Withholding TaxSupplies (goods)First:Compute for the taxable baseTo get the amount exclusive of TAX, divide the VAT invoice by 1.1211,200/1.12 = 1,000.00SECOND: To compute for the withholding tax, use the amount as computed above (exclusive of VAT) and multiply by 1%.10,000 x 1% = 100.00Business Tax- 5%:Multiply the VAT invoice, exclusive of VAT by 5%10,00.00 x 5% = 500.00What are the applicable forms? BIR Form No. 1601-E- Expandable Withholding Tax (EVAT 1%)BIR Form No. 1600 Remittance Return of VAT and other Percentage TAX Withheld (5%/3%)BIR Form No. 2306 Certificate of Final Tax Withheld at source (to be issued to the Supplier VAT remittance)

BIR Form No. 2307 Certificate of Creditable Tax Withhold at Source (to be used to the supplier- income/withholding tax remittance)

When and where to File & Remit?The return shall be filed and the tax paid on or before the tenth (10th) day of the following month in which withholding was made.The return shall be filed and the tax paid with the Authorized Agent Banks (AAB) of the Revenue District Office having jurisdiction over the withholding agents place of business/office.Allowable Travel Expenses

Pursuant to EO 298, the allowable travel expenses are as follows:Hotel/Lodging 50% - P 400.00Meals 30% - 240.00Incidental Exp. 20% - 160.00Total per day 100% -P800.00

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Entitlement to travel shall start only upon arrival at the place of destination and shall cease upon departure there from at the following percentage: PARTICULARS PERCENTAGE TO COVERArrival not later than Hotel/lodging -50%12:00 noon 100% Meals 30% Incidental Exp. -20%Arrival after 12:00 Noon 80% Hotel/Lodging -50% Dinner 10% Incidental Exp. -20% PARTICULAR PERCENTAGE TO COVER

Departure before 12:00 noon 30% Breakfast -10% Incidental -20% Departure at 12:00 or later 40% Breakfast - 10% Lunch 10% Incidental 20%

Travelling Expenses

CASH ADVANCE * Travel order properly approved in accordance with Section 5 of E.O. 248, as amended; * Approved itinerary of travel detailing the transportation expenses and travel expenses to be incurred as basis for determining the amount of cash advance.(COA Circular Nos. 92-389 and 96-004) * DepEd Memorandum

LIQUIDATION/REIMBURSEMENT * Certificate of travel completed * Used tickets * Certificate of appearance * Actual itinerary of travel * DepEd Memorandum

School INSET

Training matrix should be approved by the SDSSchool MemoPayroll for meal allowance to be signed by individual teachers with corresponding amount/day & total amount receivedGAD- 5 % of school MOOE

SBM GRANTI. Guidelines on Use of GrantsII. Request for Cash AllocationIII.Liquidation25UtilizationEligible Expenditures: 1. Establishment and strengthening of school based management, such as SIP review/enhancement, AIP Preparation, strengthening of school community organizations e.g. School Governing Council/ Parents-Teachers Association, etc. ; and/or 2. Implementation of certain innovation/improvement program w/c have direct link to the achievement of EFA/MDG Goals as lifted from the approved/accepted SIP/AIP (e.g. Alternative Delivery Modes, Drop Out Reduction Program, etc.);

3. All expenses incurred in support of the first two activities enumerated are eligible as long as the expenses are classified under Maintenance and Operating Expenses (MOOE) as prescribed in Annex A of COA Circular 2003-001 in Revised Chart of Accounts under the New Government and Accounting System (NGAS).

B. Not Eligible Expenditures 1. hiring and payment of salaries of additional staff; 2. purchase of equipment; 3. payment of honorarium; 4. payment of utilities; 5. purchase and reproduction of NAT reviewers; 6. Activities funded by other special or national programs of subsidies. SBM Grants School Proposal

SBM Grant School Proposal (Proper Signatories)Submitted by: (Name & Signature of School Head)Noted by: (Name & Signature of District Supervisor) ( Name & Signature of Division SBM Coordinator)Approved by: ( Name & Signature of Schools Division Superintendent)

4. Supporting Documents per transaction:a. Purchase Requestb. Canvass (3 suppliers)c. Abstract d. Purchase Ordere. Sales Invoice/ Delivery Receipt f. Official Receiptg. Requisition and Issue Slip (RIS)h. Inspection and Acceptance Report (IAR)i. Remittance of tax withheld 1. Form 1600 and deposit slip for 5 % or 3 % 2. Form 1601-E and deposit slip for 1% or 2 %

*Inventory Custodian Slip office supplies having life span for more than a year Note: ICS should be signed by the Division Supply OfficerC. Wittholding of TaxesD. Remittance of TaxesE. School FeedingF. School INSET

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