Chandigarh, May 5 – The Haryana Cabinet, which met under the chairmanship of Chief Minister Sh. Nayab Singh Saini here today, approved the repeal of the existing British-Era Municipal Account Code, 1930 and the notification of the Haryana Municipal Account Code, 2025 (Part-I and II) for implementation across all municipalities in the state which aims at bringing transparency in the accounting system of municipal bodies in Haryana. The age-old Municipal Account Code, 1930 is unable to cope with the challenges that the metamorphic changes have posed. Moreover, technological advancements have also made the municipal account code provisions obsolete and redundant.
The Municipal Account Code, 1930, which has been in effect for nearly a century, has several limitations and drawbacks in maintaining accurate and transparent municipal accounts. In contrast, the newly approved Haryana Municipal Account Code, 2025 introduces an Accrual-Based Double Entry Accounting System, aimed at modernizing and standardizing financial management practices in Urban Local Bodies (ULBs).
The Haryana Municipal Account Code, 2025 is compatible with the present day accounting system followed by every government organization across the nation. The new code will not only establish a uniform and modern accounting system for all ULBs in Haryana but will also provide a comprehensive framework for managing municipal finances, including accounting, budgeting, and financial reporting. This is a historic step in transforming the accounting system in municipalities leading to better transparency and accountability. It will also help municipalities in raising funds from market for infrastructure development.
The Haryana Municipal Account Code, 2025 (Part-I and II) will be applicable to all municipalities in the state.
