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FIELD REPORT
A FIELD WORK REPORT AT SUB-TREASURY OFFICE IN KIGOMA MUNICIPAL
COUNCIL
The undersigned certify that I have read and hereby submit for examination by the
university of Institute of Finance Management a practical training report in partial
fulfillment of the requirements for the Bachelor of Accountancy course of the Institute of
Finance Management.
Mr KALEKEZI, BENJAMIN B.
Date…………………………………
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DECLARATION
I, KALEKEZI, BENJAMIN B, declare that this PT report is my own original work and
that it has not been presented and will not be presented to any other university for a
similar or any other degree award.
Signature ……………………….
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ACKNOWLEDGEMENTS
Before everything and above anything, I would like to acknowledge God’s grace upon me in
terms of health, mental stability and moreover, the opportunity to begin and finalize this field
project. Secondly, I wish to thank the Tanzanian taxpayers and the government of the united
republic through the Ministry of Finance for taking care of my studies and practical training
expenses.
Among those who merit special thanks, the following cannot be left out; Mrs Manyama
Theresia B for for her readiness to help whenever I needed her experience and skills, Mfinanga
Kundaeli W for his unconditional support throughout the PT and my fellow student, Emmanuel
Patrick for work reminders and knowledge and skills debates.
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LIST OF ABBREVIATIONS
BOT………………………Bank Of Tanzania
B. O. T…………………….Bank of Tanzania
BACC……………………..Bachelor of Accountancy
MOF……………………….Ministry of Finance
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EXECUTIVE SUMMARY
The central aim of attending the practical training at Kigoma sub-treasury office was to learn
and put the knowledge and skills I have learned in class theoretically into practice. I chose to
do the training at Kigoma sub-treasury because it is my working station at the moment and the
undergraduate degree training I am attending so far aims at boosting my capacity to carry out
my duties for the welfare of the Treasury office and the nation at large.
The Kigoma sub-treasury office performs two financial activities which are reserving and
paying money. The first activity the organization does is receiving money from the government
since the sub-treasury is the only place where the government reserves its money collected
from different sources, The second activity performed by sub-treasury is making payments to
all central Government sectors in Kigoma region according to the Government budget. The
mentioned financial activities are in fact the ones the student (me) got an opportunity to learn
how they are effectively carried while working in the Accounting unit of the sub-treasury office
which is divided into two departments which are The Bank Reconciliation department and the
Data Entry department. The main duties of the departments are reconciling the books of
Accounts of the Ministry of Finance at the sub-treasury office and Registration of vendors in
the Integrated Financial Management System (IFMS) respectively.
The field work at the Kigoma sub-treasury office was done accordingly and a lot of lessons
were effectively learnt. I got an opportunity to practice what I have learnt in theories and also
got the chance to compare and contrast what is learned in class with what is currently applied
in accounting market. I finished my practical training happily and proudly because I realized
that IFM has been offering me what really the market is hungry for. However, I also learned
that practical training is very important because there are many things done during practice
which are not effectively learnt in class.
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TABLE OF CONTENTS
CERTIFICATION ............................................................................................................. ii
DECLARATION ..............................................................................................................iii
AND ................................................................................. Error! Bookmark not defined.
COPYRIGHT ................................................................... Error! Bookmark not defined.
ACKNOWLEDGEMENTS .............................................................................................. iv
LIST OF ABBREVIATIONS ............................................................................................ v
EXECUTIVE SUMMARY .............................................................................................. vi
LIST OT FIGURES AND TABLES ..............................................................................viii
CHAPTER ONE ................................................................................................................ 1
1.0 Introduction: ............................................................................................................. 1
1.1 Background of KigomaSUB-TREASURY office; .................................................. 1
1.1.1. Major products/ services .................................................................................. 2
1.1.2 The Organization Structure ................................................................................... 2
1.1.3 Number of employees. ........................................................................................ 4
1.1.4 Activities performed. ........................................................................................... 4
1.1.5 Level of technology. ........................................................................................... 4
1.1.6 Customers ........................................................................................................... 5
CHAPTER TWO: ............................................................ Error! Bookmark not defined.
2.0 Work done and lessons learnt .................................................................................. 6
2.1 Placement in organization. ....................................................................................... 6
2.2. Working environment: ............................................................................................ 6
2.3.1. Cash office department ..................................................................................... 6
2.3.2 Examination and registry department. ............................................................... 7
2.3.3 Data entry department. ...................................................................................... 8
2.3.4. Bank reconciliation department. ....................................................................... 9
2.3.5. Pension/mirathi department. ............................................................................. 9
CHAPTER THREE ..................................................................................................... 12
3.O ANALYSIS .............................................................................................................. 14
6.0 REFERENCES .......................................................................................................... 17
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LIST OT FIGURES AND TABLES
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CHAPTER ONE
1.0 Introduction:
TREASURY is a government organization which is operated under the Ministry of Finance, the
head of TREASURY is the Minister of Finance. The treasury's offices located in the
headquarters of different regions are known as Sub-treasury offices. Sub-treasury is where the
government reserves its money from different sources and uses it purposeful, appropriately and
conforming to the authority that govern it.
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1.1. 1.0 Location
One can arrive from Dar es salaam where the treasury's headquarters is located to Kigoma where
the Sub-treasury office is located by In Air, Road or Railway transport. Geographically, sub-
treasury Kogoma is located between 8o18’N to 8o33’S and 35o6’E to 35o20’E , it is found 2.5Km
from Kigoma Airport, 1Km from Kigoma railway station and also 90Km from Kasulu district.
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FIGURE 1.0: THE ORGANIZATION STRUCTURE OF SUB-TREASURY KIGOMA.
t
h
From the above organization
e structure bellow is the clarification of all departments and their
function.
o
a. Host
r
b. Deputyghost
c. a
Accounting unit
n
d. Internal auditing department
i
e. Cash office
z
f. Reconciliation
a department
g. t department
Data entry
i
h. Secretary office
o
i. Reception
n office
a
l
3
s
t
The host is the head of the Kigoma sub-treasury office who is responsible for managing all
operations of the office in Kigoma region, Deputy Host is the second from top responsible as the
human resource manager of the sub-treasury. The accounting section is divided into two
departments which are Reconciliation and Data entry, Data entry department is responsible for
entering primary data in the Integrated Financial Management system, while the reconciliation
department is responsible for making sure that all transactions within the organization match
with the transactions from the bank account for Mirathi deposit and PACS in Bank of Tanzania
for development, recurrent and deposit accounts. Also there is a secretary office; the office is
responsible for all secretarial services while the reception office is responsible for all reception
duties within the organization.
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1.1.6 Customers
Major customers of sub-treasury are sub-warrant holders who are authorised to spend during the
financial year the amount specified as they become due in accordance with the financial Orders
of the Republic from their authority that governs it. The fund issued under this warrant cannot
be used for any purposes other than those authorized. The warrant holders found in Kigoma
region are Regional Police Force vote 28, Regional Prison Force vote 29, Regional Medical
Officer Vote 52, Kasulu Teachers Training College vote 46, Kabanga Teachers Training College
vote 46, Kibondo Nursing College vote 52 and Resident Magistrate Kigoma vote 40.
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CHAPTER TWO
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bank are tally with the amount that appears to the bank statement for mirathi deposit account and
for recurrent account, development account and deposit account that appears to PACS report
from bank of Tanzania.
Lessons learnt in the cash office in the first week of practical training, was how the funds are
issued from the Paymaster General to sub warrant holders and other funds that are not direct
from the Paymaster General such as deposit by credit slip with sub warrant holders collection
using receipt collection cash book (RCCB), the government accounts prevailed in sub-treasury
which are recurrent account, development account, deposit account and mirathi deposit account
and also how to reconcile between document used by customers to deposit money to the bank
and funds direct from Paymaster General with bank statement for mirathi deposit account and
PACS bank of Tanzania report for recurrent, deposit and development accounts.
7
Lessons learnt in the examination and registry department during the second week was how the
payment voucher are supposed to be prepared according to Finance Act and the procedures to
follow when preparing the request of purchasing order according to procurement Act.
8
NOTE: The paid voucher are given to the payees after stamped on PAID to each copy of voucher
and detached one copy for retain in cash office and file it for reference purposes.
Lessons learnt in the data entry department during the third week of practical training is that
every person whether employees, supplier and others should registered in IFMS so that to get the
specific identification number which is different to others in IFMS. And every receipt received
and recorded its amount in the registry book the same amount are received in IFMS and
approved by head of sub treasury ready for payment in IFMS.
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of the employee to retire. After the employee collecting all the named documents to sub treasury
he or she will be okay to retire at the right time and be pensioned accordingly.
10
Lessons learnt in pension/mirathi department; All letters received by the employee from the
employer must be kept for further use because all rights of the dead employee are paid to his/her
dependants considering all the necessary documents. Only the wife or husband and children
under 21 years will continue to be paid the retired pension after the death of the retired
employee.
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3.0. CHAPTER THREE: LITERATURE REVIEW
During the practical training period, an important task that was performed regularly was bank
reconciliation. A definition by Cox (2003) attempts to define bank reconciliation as the
explanation of the difference between the final bank balance on the bank statement and the
cashbook maintained by an individual.
Cox and Faradon (2003) have identified major causes of the differences between the bank
balances and the cash book balances to be un-presented cheques, outstanding lodgments,
payments in, payments out and other errors.
Gupta (2003), states that "a bank reconciliation statement is prepared to reconcile bank balances
shown by a cash book and by bank statements. It helps in detecting, if there is any error in
recording the transactions and ascertaining the correct bank balance on a particular date"
Following the recent trends in the technological industry as well as the banking industry, most
people use electronic (cyber) banking as their main mode of accessing their bank accounts. This
has led to a change in the main fees and structure of the bank statements. Authors Slatter &
Wittry (2014) have observed that recently causes of the discrepancies between bank balances and
cash book balances are caused by ATM withdrawal charges, online fees, automatic transferes
and direct deposits.
In recent years bank reconciliation has evolved from the normal manual reconciliation to a
different easier and faster proccess. Accounting software has risen in popularity currently, these
softwares have reduced the bulkiness and manual labour required to undertake a bank
reconciliation procedure. An example is the software which allows a user to reconcile a bank
account and even print out the reconciliation statement at the will of the user.
Following the financial management reforms in Tanzania, the Government through the Public
finance Act (2001) adopted the Integrated Financial Management Information Systems (IFMS).
According to Diamond & Khemani, (2006) the attributes of a well established IFMS is to enable
real-time reconciliation of parallel but related streams of transaction data – at the agency level:
cheques issued with those paid by the banks; at treasury: receipts from banks with the cheques
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paid by taxpayers; cash balances reflected in the agency ledgers with the cash balances in the
banks.
During the practical training I was involved with reconciling the books of accounts of the
ministry of Finance in the sub treasury Kigoma, which is done by electronic matching where by
bank statement are imported in the Integrated Financial Management System and find out for the
un-reconciled figures which found in Cash book and not in bank statement and also the figures
found in bank statement and not in the Cash book, after checking the figures missed in either
Cash book not in bank statement or bank statement not in Cash book then they do matched
electronically in the system of IFMS and normally the sub treasury performs reconciliation of its
accounts in Monthly basis and there is no way to make reconciliation with no electronic cash
book and bank statement.
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4.0 CHAPTER FOUR: ANALYSIS
There is always a tension between Theory and Practice. These two separate realms are connected
through a process of abstraction and application. To explain this relationship by way of theory,
Theory deterritorializes Practice, and Practice reterritorializes Theory: A Theory which is a
becoming-Practice and a Practice which is a becoming-Theory. To explain this relationship by
way of practice, Theory is abstracted Practice, and Practice is applied Theory. Theory is a belief
that guides action; therefore it’s a systematically organized knowledge applicable in relatively
wide variety cases. Normally it is what one has in theory that will apply when it comes into
practice. Theory on the other hand does not cover all what is needed in practice given variety
tasks and duties undertaken in different organizations. The following below is what were
observed during practical training at the sub-treasury office in Kigoma as the comparison
between theory and practice:-
Preparation of bank reconciliation; At the college, I learned only one method of preparing the
bank reconciliation statement, but in practice I have learned more than one method and the most
interesting method was that of using the computerized accounting system which is currently not
insisted so much by academicians at IFM in comparison to the conversional method. There is an
age-old problem with this particular relationship: those who specialize in Practice often claim
that those who specialize in theory are detached from the ‘real world,’ ie, the world of Practice.
Those who specialize in Theory often claim that those who specialize in Practice have no
fundamental understanding of what they do, and this leads to contradictory, incongruous
practices. Most of the personnel at the sub-treasury office prefer the computerized packages to
the conversional ways and believe that it should be the one insisted most by academicians to
learning students. However, reasoning brought me to the conclusion that colleges want to
produce creative graduates who can use the conversional methods combined with technologies to
produce even better software for performing Accounting duties such as preparations of bank
statements. Moreover, the purpose of having students to attend Practical training is a way used
by colleges such as IFM to cement and supplement the knowledge and skills that students
acquire in classes. Rational prediction requires theory and builds knowledge through systematic
revision and extension of theory based on comparison of prediction with observation. It is an
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extension of application that discloses inadequacy of a theory, and need for revision, or even new
theory. Again, without theory, there is nothing to revise and hence the Institution can revise and
start insisting on the use of the modern systems.
Studies taught at the college were very applicable at the Sub-treasury offices; This made the
practical training at Kigoma sub-treasury office very enjoyable and the office really appreciated
the service given by the student. I hope that they will be free to accept any student from the IFM
college with no doubt of performance, and this really affected positively the plans and ambitions
of the student and made him proud of the education given by Institute of Finance Management.
On the other hand the skills the student currently lacks is because of the level he has reached in
study and hence hopes after completion of studies at the Institute of Finance Management such
lacking skills will have been met and he will be capable of meeting different challenges in the
market. However, in theory, the difference between theory and practice is small. In practice, the
difference between theory and practice is large.
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CHAPTER FIVE: CONCLUSION AND RECOMMENDATION
The field work at SUB TREASURY KIGOMA was done accordingly and a lot of lessons were
effectively learnt. The student got an opportunity to practice what he has learned in theories and
also got the chance to compare between what is learned in class with what is currently applied in
the market. The student finished his practical training happily and proudly because he realized
that IFM has been offering him what really the market is hungry for. However, the student also
learned that practical training is very important because from practice comes innovation that
makes work performance easier. Conclusively, the student learned that rational prediction
requires theory and builds knowledge through systematic revision and extension of theory based
on comparison of prediction with observation. It is an extension of application that discloses
inadequacy of a theory, and need for revision, or even new theory. Again, without theory, there
is nothing to revise. Without theory, experience has no meaning. Without theory, one has no
questions to ask. Hence without theory, there is no learning."
.
Recommendations; If possible the college should cooperate with government entities and private
entities in making sure that the student get officially enough time at least six months to work in
different business entities so that they can be competent in working before they get employed.
This will help the student to be aware enough about what is going on in the market before they
start job-hunting at different employers or employ themselves. This will help them to get enough
experience which is among the factors considered by employers everywhere.
And because of development of technology it is better to insist the study of accounting packages
in the course of accountancy starting from the beginning of the course so as to make students of
accountancy competent in accounting packages and hence simple for them to adopt to any
accounting package in the market that will make it easier for them to secure jobs as most firms
nowadays prefer Computer packages to old methods.
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6.0 REFERENCES
www.mof.go.tz,
Journal of wizara ya fedha (UTARATIBU WA MALIPO YA UZEENI NA MIRATHI)
WWW.DAILYNEWS /REPORTERS IN Dodoma 22nd August 2011 @ 12:00
INSTITUTE OF FINANCE MANAGEMENT (July,2016), practical training Guidelines
for Bachelor Students.
Document of world bank in March 18 1982- Report no. 3634-TA
SUB-TREASURY KIGOMA (2015) The annual report 2014-2015
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