ACCOUNTING FOR GOVERNMENT AND NON-PROFIT

ORGANIZATIONS

Define the following terms: (2 pts)

1. Notice of Cash Allocation (NCA)

- Cash authority issued quarterly by the DBM to central, regional and provincial
offices and operating units to cover the cash requirements of the agencies. A cash or
disbursement authority that is periodically issued is referred to as a Notice of Cash
Allocation (NCA), which issuance is based upon an agency submission of its Monthly
Cash Program and other required documents.

2. Notice of Transfer of Allocation (NTA)

- The NTA is an authority issued by an agency’s Central Office to its regional and
operating units to cover the latter’s cash requirements.

3. Tax Remittance Advice (TRA)

- The Tax Remittance Advice (TRA) is an accountable document issued by NGA
and approved by the Agency Head to record the remittance of all taxes withheld to the
BIR. The same document shall be the basis for the BIR and the BTr to draw a JEV to
record the tax collection and deposit in their respective books of accounts. The JEV
shall be recorded in the GJ.

4. Non-Cash Availment Authority (NCAA)

- The NCAA is the authority issued by the DBM to agencies to cover the
liquidation of their actual obligations incurred against available allotments for availment
of proceeds from loans/grants through supplier’s credit/constructive cash.

5. Cash Disbursement Ceiling (CDC)

- The CDC is the disbursement authority issued by the DBM to agencies with
foreign operations allowing them to use the income collected by their Foreign Service
Posts to cover their operating requirements.