4.2 Transfers, as defined in IPSAS 23, are inflows of future economic benefits or
service potential from non-exchange transactions, other than taxes. Paragraph 12
of the same IPSAS states that revenue comprises gross inflows of economic
benefits or service potential that are received and receivable by the reporting
entity, signifying an increase in net assets/equity, aside from increases related to
contributions from owners. Paragraph 13 of IPSAS 23 further explains that when
an entity incurs some cost in relation to revenue arising from non-exchange
transactions, the revenue is the gross inflow of future economic benefits or service
potential, and any outflow of resources is recognized as a cost of the transaction.
4.3 Additionally, paragraph 48 of IPSAS 23 states that revenue from non-exchange
transactions shall be measured at the amount of the increase in net assets
recognized by the entity. Furthermore, paragraph 49 specifies that when an entity
recognizes an asset as a result of a non-exchange transaction, it also recognizes
revenue equivalent to the amount of the asset measured in accordance with
paragraph 42, unless it is also required to recognize a liability. When a liability
must be recognized, it will be measured according to the requirements of
paragraph 57, and the amount of the increase in net assets, if any, will be
recognized as revenue. If a liability is subsequently reduced because a condition
is satisfied, the amount of the reduction in the liability will be recognized as
revenue.
4.4 Our review of the Cash Receipts Journal and the post-audit of Liquidation Reports
(LR) for CY 2024 showed that the Municipality received the following funds
from various agencies of the National Government, recorded under the Due to
NGAs account:
Date Agency Purpose Amount Liquidations
DSWD-RFO Social Pension Program for First
4/22/2024 ₱ 12,432,000.00 ₱ 12,432,000.00
VII Semester of 2024
Health Emergency Allowance for
5/10/2024 DOH July-December 2021 and July- 15,579,000.00 15,579,000.00
December 2022
Tulong Panghanapbuhay sa ating
5/14/2024 DOLE Displaced/Disadvantage Workers 1,797,120.00 1,787,760.00
Program
Office of the Implementation of Socio-Civic
8/22/2024 1,000,000.00 1,000,000.00
President Project Fund
Health Emergency Allowance for
9/12/2024 DOH 7,092,000.00 7,056,000.00
January-July 2023
DSWD-RFO Social Pension Program for
10/4/2024 12,432,000.00 12,432,000.00
VII Second Semester of 2024
DSWD-RFO Ayuda Para sa Kapos and Kita
11/29/2024 15,000,000.00 -
VII Program (AKAP) for CY 2024
Total ₱ 65,332,120.00 ₱ 50,286,760.00
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