CHAPTER 1.

INTRODUCTION

Sec. 1. Definition. – The Chart of Accounts provides the

framework within which the accounting records are constructed. It is
a list of general ledger accounts consisting of real and nominal
accounts.

Sec. 2. Rationale. – The Chart of Accounts is prescribed for

use by all sectors of the government. The descriptions of all the
accounts and the instructions as to when these are to be debited and
credited are provided to achieve uniformity in the recording of
government financial transactions.

Sec. 3. Elements of Financial Statements. – Elements of

financial statements of government agencies are those elements that
relate to the status or measurement of financial position and
measurement of performance of government agencies which are
relevant to decisions that would require the commitment of
resources. Those elements directly related to the measurement of
financial positions as shown in the balance sheet are assets, liabilities
and equity. The elements directly related to the measurement of
performance which is shown in the Statements of Income and
Expenses are revenue/income and expenses. The definitions of the
different elements are as follows.

a. Assets – economic resources

of an agency that are recognized and measured in
conformity with generally accepted accounting
principles. Assets also include certain deferred charges
that are not resources but that are recognized and
measured in conformity with generally accepted
accounting principles.

b. Liabilities – economic
obligations of an agency that are recognized and
measured in conformity with generally accepted
accounting principles. Liabilities also include certain
deferred credits that are not obligations but that are
recognized and measured in conformity with generally
accepted accounting principles.

1
 c. Equity – the interest of the
government in an agency which is the excess of an
agency’s assets over its liabilities.

d. Revenue/Income – increase
in economic benefits during the accounting period in
the form of inflows or enhancements of assets or
decreases of liabilities that results in increases in
equity.

e. Expenses – decreases in
economic benefits during an accounting period in the
form of outflow or depletions of assets or incurrence of
liabilities that results in decrease in equity.

Sec. 4. Balance Sheet Accounts. – The balance sheet

accounts consist of assets, liabilities and equity. These are classified
into the following:

Assets –
Current Assets
Cash
Receivables
Marketable Securities
Inventories
Prepaid Expenses
Other Current Assets
Long-Term Investments
Property, Plant and Equipment
Other Assets

Liabilities –
Current Liabilities
Long-Term Liabilities
Other Liabilities

Equity –
Government Equity
Project Equity

Sec. 5. Revenue/Income and Expense Accounts. – The

revenue/income and expense accounts consist of the following:

2
 Revenue/Income –
General Income Accounts
Agency Specific Income Accounts

Expenses –
Personal Services
Maintenance and Other Operating Expenses
Financial Expenses

Sec. 6. Classification of Revenue/Income. – The

revenue/income accounts are classified into:

a. Ge
neral Income Accounts – This account group
encompasses all types of revenue/income generated by
all sectors of government in the exercise of their
administrative and regulatory function, income from
public enterprises/investments, and income from grants
and donations including subsidies.

b. Spe
cific Income Accounts – This account group encompasses
all taxes, fees and charges imposed by a specific sector
of government for taxes due on income, property, use or
sale of goods and services, international trade and
transactions and other taxes as well as those arising from
their regulatory and proprietary functions.

Sec. 7. Classification of Expenses. – The expense accounts

are classified into:

a. Personal
Services (PS) – This account classification includes basic
pay, allowances, bonus, cash gifts, incentives and
benefits and other personnel benefits of officers and
employees of the government.

b. Maintenance
and Other Operating Expenses (MOOE) – This account
classification includes expenses necessary for the regular
operation of an agency like traveling expenses, repairs
and maintenance, subsidies, etc.

3
 c. Financial
Expenses (FE) - This account classification includes
bank charges, interest expenses, commitment charges
and other financial charges. It also includes losses
incurred relative to foreign exchange transactions.

Sec. 8. Intermediate Accounts. – The intermediate accounts

are accounts which are closed ultimately to the Government Equity
account at the end of accounting period.

Sec. 9. Account Codes. – The New of Chart of Account

consists of three-digit codes grouped as follows:

Accounts Account Code

Assets 100-299
Asset Contra Accounts 300-399
Liabilities 400-499
Equity 500-599
Revenue/Income 600-799
General Account 600-699
Agency Specific Account 700-799
Expenses 800-999
Personal Services 801-830
Maintenance and Other
Operating Expenses 831-950
Financial Expenses 951-960

4
 Chapter 2. THE CHART OF ACCOUNTS

Sec. 10. The Chart of Accounts. – The Chart of Accounts is

prescribed for use of the national government agencies, local
government units and government-owned and/or controlled
corporations.

CHART OF ACCOUNTS

Account
Account Title
Code

ASSETS

Current Assets:

Cash
101 Cash in Treasury
102* Cash-National Treasury, Modified Disbursement System
(MDS)
103* Cash-Bangko Sentral ng Pilipinas
105 Petty Cash Fund
106* Cash-Collecting Officers
107 Cash-Disbursing Officers
110 Cash in Bank-Local Currency, Current Account
111 Cash in Bank-Local Currency, Savings Account
112 Cash in Bank-Local Currency, Time Deposits
113 Cash in Bank-Foreign Currency, Current Account
114 Cash in Bank-Foreign Currency, Savings Account
115 Cash in Bank-Foreign Currency, Time Deposits

5
 CHART OF ACCOUNTS

Account
Account Title
Code

--------------------------------------------------------
* for use of National Government agencies

Receivables
121 Accounts Receivable
122 Notes Receivable
123 Loans Receivable, Current
124 Real Property Tax Receivable
125 Special Education Tax Receivable
126 Interest Receivable
127* Currency Swap Receivables
128 Due from Officers and Employees
129 Due from Other Funds
Due from NGAs
131 Due from LGUs
132 Due from GOCCs
133 Due from NGOs/Pos
134* Due from National Treasury
135* Due from Central Office
136* Due from Regional Offices/Staff Bureaus
137* Due from Operating Units
138 Receivables – Disallowances/Charges
139 Other Receivables
301 Allowance for Doubtful Accounts

Marketable Securities
Treasury Bills
141 Stocks
142 Bonds
143 Other Marketable Securities

6
 CHART OF ACCOUNTS

Account
Account Title
Code

--------------------------------------------------------
* for use of National Government agencies

Inventories
144 Raw Materials Inventory
145 Work In Process Inventory
146 Finished Goods Inventory
147 Merchandise Inventory
148 Accountable Forms Inventory
149 Office Supplies Inventory
150 Medical, Dental and Laboratory Supplies Inventory
151 Food/Non-Food/Supplies Inventory
152 Gasoline, Oil and Lubricants Inventory
153 Agricultural Supplies Inventory
154 Livestock and Crops Inventory
155 Spare Parts Inventory
156 Construction Materials Inventory
157 Other Agricultural Products Inventory
158 Confiscated Goods Inventory
160 Other Inventory Items

Prepaid Expenses
161 Prepaid Rent
162 Prepaid Insurance
164 Prepaid Interest
165 Other Prepaid Expenses

Other Current Assets

166 Guaranty Deposits
167 Deposits on Letters of Credit
168 Advances to Contractors

7
 CHART OF ACCOUNTS

Account
Account Title
Code

--------------------------------------------------------
* for use of National Government agencies

170 Other Current Assets

Long–Term Investments
171 Loans Receivable – Long-Term, LGUs
172* Loans Receivable – Long-Term, GOCCs
173 Loans Receivable – Long-Term, Others
174 Investments in Stocks
175 Investments in Bonds
176 Investments in GOCCs
177 Sinking Fund – Cash
178 Sinking Fund – Securities
179 Other Long-Term Investments

Property, Plant and Equipment

201 Land
202 Land Improvements
302 Accumulated Depreciation – Land Improvements
203 Leasehold Improvements
303 Accumulated Depreciation – Leasehold Improvements
204 Buildings
304 Accumulated Depreciation – Buildings
205 School Buildings
305 Accumulated Depreciation – School Buildings
206 Markets and Slaughterhouses
306 Accumulated Depreciation – Markets and
Slaughterhouses
207 Hospitals and Health Centers

8
 CHART OF ACCOUNTS

Account
Account Title
Code

--------------------------------------------------------
* for use of National Government agencies

307 Accumulated Depreciation – Hospitals and Health

Centers
208 Other Structures
308 Accumulated Depreciation – Other Structures
209 Industrial Machineries
309 Accumulated Depreciation – Industrial Machineries
210 Other Machineries
310 Accumulated Depreciation – Other Machineries
211 Firefighting Equipment and Accessories
311 Accumulated Depreciation – Firefighting Equipment and
Accessories
212 Construction and Heavy Equipment
312 Accumulated Depreciation – Construction and Heavy
Equipment
214 Technical and Scientific Equipment
314 Accumulated Depreciation – Technical and Scientific
Equipment
215 I T Equipment and Software
315 Accumulated Depreciation – IT Equipment
216 Telegraph, Telephone, Cable, TV and Radio Equipment
316 Accumulated Depreciation – Telegraph, Telephone,
Cable, TV and Radio Equipment
217 Artesian Wells, Reservoirs, Pumping Stations and Conduits
317 Accumulated Depreciation – Artesian Wells, Reservoirs,
Pumping Stations and Conduits
218 Motor Vehicles
318 Accumulated Depreciation – Motor Vehicles
219 Watercrafts

9
 CHART OF ACCOUNTS

Account
Account Title
Code

319 Accumulated Depreciation – Watercrafts

--------------------------------------------------------
* for use of National Government agencies

220 Trains
320 Accumulated Depreciation – Trains
221 Aircrafts/Aircraft Ground Equipment
321 Accumulated Depreciation – Aircrafts/Aircraft Ground
Equipment
222 Office Equipment
322 Accumulated Depreciation – Office Equipment
223 Other Equipment
323 Accumulated Depreciation – Other Equipment
224 Furniture and Fixtures
324 Accumulated Depreciation – Furniture and Fixtures
225 Ordnance
325 Accumulated Depreciation – Ordnance
226 Books
326 Accumulated Depreciation – Books
227 Other Property, Plant and Equipment
327 Accumulated Depreciation – Other Property, Plant and
Equipment
228 Work/Other Animals
229 Breeding Stocks
230 Construction in Progress – Agency Assets
231 Construction in Progress – Plaza, Parks and Monuments
232 Construction in Progress - Roads, Highways and Bridges
233 Construction in Progress – Ports, Lighthouses, Harbors,
Seawalls, River Walls and Others
234 Construction in Progress – Airports and Runways
235 Construction in Progress – Railways

10
 CHART OF ACCOUNTS

Account
Account Title
Code

236 Construction in Progress – Waterways, Aqueducts, etc.

--------------------------------------------------------
* for use of National Government agencies

237 Construction in Progress – Irrigation, Canals and Laterals

238 Construction in Progress – Electrification, Power and Energy
Structures
241 Construction in Progress – Other Public Infrastructures
242 Construction in Progress – Reforestation Projects
243 Public Infrastructures
244 Reforestation Projects
245 Arts, Archeological Specimen and Other Exhibits
249 Items in Transit

Other Assets
251 Other Assets

LIABILITIES AND EQUITY

LIABILITIES

Current Liabilities
401 Accounts Payable
402 Notes Payable
403 Loans Payable - Current, Domestic
404* Loans Payable – Current, Foreign
406 Interests Payable
407* Tax Refunds Payable
408 Guaranty Deposits Payable
409* Tax Credit Certificates Payable
410 Withholding Taxes Payable

11
 CHART OF ACCOUNTS

Account
Account Title
Code

411 GSIS Payable

--------------------------------------------------------
* for use of National Government agencies

412 PAG-IBIG Payable

413 PHILHEALTH Payable
414 Performance/Bidders/Bail Bonds Payable
427* Currency Swap Payable
428 Due to Officers and Employees
429 Due to Other Funds
430 Due to NGAs
431 Due to LGUs
432 Due to GOCCs
433* Due to National Treasury
435* Due to Central Office
436* Due to Regional Offices/Staff Bureaus
437* Due to Operating Units
439 Retirement Gratuity Benefits Payable
440 Deferred Credits to Income
441 Other Deferred Credits
448 Deferred Real Property Tax Income
449 Deferred Special Education Tax Income
450 Other Payables

Long–Term Liabilities
451 Loans Payable- Long-Term, Domestic
452* Loans Payable- Long-Term, Foreign
453 Mortgage Payable
454 Bonds Payable- Long-Term, Domestic
455* Bonds Payable- Long-Term, Foreign
460 Other Long–Term Liabilities

12
 CHART OF ACCOUNTS

Account
Account Title
Code

--------------------------------------------------------
* for use of National Government agencies

Other Liabilities
465 Other Liabilities

EQUITY
501 Government Equity
502 Project Equity

Intermediate Accounts
531 Cost of Goods Sold
532 Income and Expense Summary
533 Prior Years’ Adjustments
534 Retained Operating Surplus
537 Invested Equity
538* Subsidy to Regional Offices/Staff Bureaus
539* Subsidy to Operating Units
540* Gain or Loss on Unreconciled Accounts

REVENUE/INCOME

General Income Account

601* Subsidy Income from National Government
602* Subsidy from Central Office
603* Subsidy from Regional Office/Staff Bureaus
604 Subsidy from Other LGUs
605 Subsidy from Other Funds

13
 CHART OF ACCOUNTS

Account
Account Title
Code

606 Subsidy from Special Accounts

611* Income from Government Services

--------------------------------------------------------
* for use of National Government agencies

612* Income from Government Business Operations

613 Sales Revenue
621* Rent Income
622* Insurance Income
623 Dividend Income
624 Interest Income
625 Gain on Sale of Securities
626 Gain on Sale of Assets
627 Sale of Confiscated Goods and Properties
628 Foreign Exchange (FOREX) Gain
639 Miscellaneous Operating and Service Income
641 Fines and Penalties – Government Services and Business
Operations
651 Income from Grants and Donations

Specific Income Account

Income Taxes
701* Income Tax – Individuals
702* Income Tax – Partnership
703* Income Tax – Corporations

Property Taxes
711 Real Property Tax
712 Property Transfer Tax

14
 CHART OF ACCOUNTS

Account
Account Title
Code

713 Special Education Tax

--------------------------------------------------------
* for use of National Government agencies

714 Special Assessment Tax

715 Real Property Tax on Idle Lands
716* Stock Transfer Tax
717* Capital Gains Tax
718* Donors’ Tax
719* Estate Tax

Taxes on Goods and Services

721* Excise Taxes on Articles
722* Value Added Tax
723 Business Taxes and Licenses
724 Franchise Tax
725 Professional Tax
726 Occupation Tax
727 Printing and Publication Tax
735 Miscellaneous Taxes on Goods and Services

Taxes on International Trade and Transactions

736* Import Duties

Other Taxes
741* Documentary Stamp Tax
742 Community Tax
743* Science Stamp Tax
745 Weights and Measures

15
 CHART OF ACCOUNTS

Account
Account Title
Code

746 Share from Internal Revenue Collections

--------------------------------------------------------
* for use of National Government agencies

747 Share from Tobacco Excise Tax

748 Share from Economic Zones
749 Share from Expanded Value Added Tax (EVAT)
750 Share from National Wealth
751 Amusement Tax
752 Sand and Gravel Tax
753 Tax on Delivery Trucks and Vans
754* Tax on Forest Products
755* Immigration Taxes
759 Miscellaneous Other Taxes
760 Fines and Penalties – Tax Revenue

Other Specific Income

761 Registration Fees
762 Tuition/Affiliation Fees
763 Hospital Fees
Medical, Dental and Laboratory Fees
Library Fees
Athletic and Cultural Fees
Comprehensive Examination Fees
Transcript of Records Fees
Diploma and Graduation Fees
Inspection Fees
Permit Fees
Garbage Fees

16
 CHART OF ACCOUNTS

Account
Account Title
Code

Clearance/Certification Fees
774* Franchising/Licensing Fees

--------------------------------------------------------
* for use of National Government agencies

775 Fishery Rentals, Fees and Charges

Printing and Publication Income
Income from Canteen Operations
Income from Dormitory Operations
Receipt from Lease of Properties
Receipts from Communication Facilities
Receipts from Waterworks Systems
Receipts from Transportation Systems
Receipts from Markets
Receipts from Slaughterhouses
Receipts from Cemeteries
Toll Fees
Landing and Parking Fees
Other Income from School Services
Other Income from School Business Operations
Other Income from Hospital Services
Other Income from Hospital Business Operations
Other Specific Income of LGUs
Fines and Penalties – Other Specific Income

EXPENSES

Personal Services
801 Salaries and Wages – Regular Pay

17
 CHART OF ACCOUNTS

Account
Account Title
Code

802 Salaries and Wages – Part Time Pay

803 Salaries and Wages – Casual/Contractual

--------------------------------------------------------
* for use of National Government agencies

804 Personnel Economic Relief Allowance (PERA)

805 Additional Compensation (ADCOM)
806 Representation Allowance (RA)
807 Transportation Allowance (TA)
808 Clothing Allowance
809 Honoraria
810 Hazard Pay
811 Overtime and Night Pay
812 Holiday Pay
813 Christmas Bonus
814 Cash Gift
815 Productivity Incentive Benefits
816 Other Bonuses and Allowances
817 Life and Retirement Insurance Contributions
818 PAG-IBIG Contributions
819 PHILHEALTH Contributions
820 ECC Contributions
821 Pension and Retirement Benefits
822 Terminal Leave Benefits
823 Health Workers’ Benefits
824 Subsistence and Quarters’ Allowances
825 Longevity Pay
830 Other Personnel Benefits

Maintenance and Other Operating Expenses

18
 CHART OF ACCOUNTS

Account
Account Title
Code

831 Traveling Expenses – Local

832 Traveling Expenses – Foreign

--------------------------------------------------------
* for use of National Government agencies

833 Training and Seminar Expenses

834 Water
835 Electricity
836 Cooking Gas
837 Telephone/Telegraph and Internet
838 Postage and Deliveries
839 Subscription Expenses
840 Advertising Expenses
841 Rent Expense
842 Insurance Expense
843 Fidelity Bond Premium
844 Survey Expense
845 Storage Expense
846 Zoological/Animal Maintenance Expenses
847 Printing and Binding Expenses
848 Accountable Forms Expenses
849 Office Supplies Expenses
850 Medical, Dental and Laboratory Supplies Expenses
851 Food/Non-Food Expenses
852 Gasoline, Oil and Lubricants Expenses
853 Agricultural Supplies Expenses
854 Legal Services
855 Auditing Services
856 Consultancy Services
857 General Services

19
 CHART OF ACCOUNTS

Account
Account Title
Code

858 Security and Janitorial Services

859 Taxes, Duties and Licenses

--------------------------------------------------------
* for use of National Government agencies

860 Tax Credit Subsidy

861* Tax Exemption Expenses
862 Public Infrastructure Repairs and Maintenance
863 Reforestation Project Maintenance
864 Buildings Maintenance
865 School Buildings Maintenance
866 Markets and Slaughterhouses Maintenance
867 Hospitals and Health Centers Maintenance
868 Other Structures Maintenance
869 Industrial Machineries Maintenance
870 Other Machineries Maintenance
871 Firefighting Equipment and Accessories Maintenance
872 Construction and Heavy Equipment Maintenance
874 Technical and Scientific Equipment Maintenance
875 IT Equipment Maintenance
876 Telegraph, Telephone, Cable, TV and Radio Equipment
Maintenance
877 Artesian Wells, Reservoirs, Pumping Stations & Conduits
Maintenance
878 Motor Vehicles Maintenance
879 Watercrafts Maintenance
880 Trains Maintenance
881 Aircrafts/Aircraft Ground Equipment Maintenance
882 Office Equipment Maintenance
883 Other Equipment Maintenance
884 Furniture and Fixtures Maintenance

20
 CHART OF ACCOUNTS

Account
Account Title
Code

885 Ordnance Maintenance

--------------------------------------------------------
* for use of National Government agencies

886 Other Repairs and Maintenance

887 Awards and Indemnities
888 Rewards and Other Claims
889 Grants and Donations
890 Representation Expense
891 Extraordinary and Miscellaneous Expenses
892 Confidential and Intelligence Expenses
893 Anti-insurgency/Contingency Expenses
894 Subsidy to National Government Agencies
895 Subsidy to Local Government Units
896 Subsidy to Government Corporations
897 Subsidy to Other Funds
898 Subsidy to Special Accounts
901 Membership Dues to International Institutions
902 Depreciation – Land Improvements
903 Depreciation – Leasehold Improvements
904 Depreciation – Buildings
905 Depreciation – School Buildings
906 Depreciation – Markets and Slaughterhouses
907 Depreciation – Hospitals and Health Centers
908 Depreciation – Other Structures
909 Depreciation – Industrial Machineries
910 Depreciation – Other Machineries
911 Depreciation – Firefighting Equipment and Accessories
912 Depreciation – Construction and Heavy Equipment

21
 CHART OF ACCOUNTS

Account
Account Title
Code

914 Depreciation – Technical and Scientific Equipment

915 Depreciation – IT Equipment

--------------------------------------------------------
* for use of National Government agencies

916 Depreciation – Telegraph, Telephone, Cable, TV and Radio

Equipment
917 Depreciation – Artesian Wells, Reservoirs, Pumping Stations
and Conduits
918 Depreciation – Motor Vehicles
919 Depreciation – Watercrafts
920 Depreciation – Trains
921 Depreciation – Aircrafts/Aircraft Ground Equipment
922 Depreciation – Office Equipment
923 Depreciation – Other Equipment
924 Depreciation – Furniture and Fixtures
925 Depreciation – Ordnance
926 Depreciation – Books
927 Depreciation – Other Property, Plant and Equipment
928 Obsolescence – IT Software
929 Bad Debts Expense
937 Discount on Real Property Tax
938 Discount on Special Education Tax
947 Loss on Sale of Assets
948 Loss of Assets
950 Other Expenses

Financial Expenses
Bank Charges
Interest Expenses

22
 CHART OF ACCOUNTS

Account
Account Title
Code

953* Commitment Charges

954 Documentary Stamps Expenses

--------------------------------------------------------
* for use of National Government agencies

955 Other Financial Charges

956 Foreign Exchange (FOREX) Loss
957* Debt Services Subsidy to GOCCs
958* Loss on Guaranty

23
 --------------------------------------------------------
* for use of National Government agencies

24