Professional Documents
Culture Documents
I. PURPOSE:
II. SCOPE
This circular prescribes the rules and regulations for the inventory of fixed assets of
all government-owned and/or controlled corporations and subsidiaries, including self-
governing boards, commissions, agencies and state colleges and universities.
Persons entrusted with the possession or custody of the property under the agency
head shall be immediately responsible to him without prejudice to the liability of either
party to the government.
Every officer accountable for government property shall be liable for its money value
in case of improper or unauthorized use or misapplication thereof, by himself or any
person for whose acts he may be responsible as provided for under Sec. 105 of PD 1445.
He shall likewise, be liable for all losses, damages, or deterioration envisioned by
negligence in the keeping or use of the property whether or not it be at the time in his
actual custody.
Every officer of any government agency whose duties permit or require the
possession or custody of government funds or property shall be accountable therefor and
for the safekeeping thereof shall be properly bonded in accordance with law.
Failure on the part of the officials concerned to submit the inventory reports
mentioned herein shall automatically cause the suspension of payment of their salaries
until they shall have complied with the requirements pursuant to Sec. 122 of PD 1445.
Physical inventory of fixed assets shall be made at least once a year as of December
31 in accordance with the guidelines enumerated herein.
3. Memorandum Receipt
4. Inventory Reports
All inventory reports shall be prepared on the prescribed form (Gen. Form No. 41-A)
and certified correct by the committee in charge thereof, noted by the Auditor and
approved by the head of the agency. The reports shall be properly reconciled with
accounting and inventory records.
VI. REPEALING CLAUSE AND EFFECTIVITY:
All circulars, orders, memoranda and existing rules and regulations inconsistent
herewith are hereby repealed or amended accordingly.