Collections Date
Fund Remarks
Date Amount Deposited
Disbursing Officer,
which was deposited
only on January 31,
2025, because the MT
forgot to deposit it
immediately.
Sub-total ₱ 281,697.80* *with over
deposit of
₱0.42 from
previous
month
Trust Fund Dec. 26, 2024 15,000.00 Jan. 6, 2025 These collections were
deposited together with
tax revenues to LBP –
Guihulngan City to save
on transportation cost.
Sub-total 15,000.00
Grand total ₱ 296,697.38
3.5. Based on the foregoing reasons provided by the MT for the delayed deposit of
collections, it can be inferred that the Municipality still lacks adequate internal
controls over cash management.
3.6. Section 123 of P.D. No. 1445 defines internal control as “the plan of organization
and all the coordinated methods and measures adopted within an organization or
agency to safeguard its assets, check the accuracy and reliability of its accounting
data, and encourage adherence to prescribed managerial policies.”
3.7. Internal controls on collections and deposits are crucial for safeguarding assets,
ensuring the accuracy and reliability of financial information, deterring fraud, and
promoting overall efficiency within the Municipal Treasurer’s Office in particular
and the municipality in general. Without proper internal controls, there is an increased
risk of financial errors, mismanagement of funds, and potential fraud.
3.8. Some internal control measures for collections that could help address the issues of
delayed turnover or remittance by collectors to the Municipal Treasurer, as well as
prevent the delayed deposit or non-deposit of collections intact, are as follows:
3.8.1. Collection reminders or notifications sent to collectors for turnover of their
collections to the Municipal Treasurer;
3.8.2. Establishing cut-off dates for collections and deposits, especially at year-end;
3.8.3. Segregation of duties by assigning different individuals to be responsible for
collecting funds, recording transactions, and depositing funds.
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