Amendment status not verified — confirm the current text below against the official source.
The City Corporation Fund.- (1) The City Corporations shall be formed in such a manner that they are economically viable to undertake all their the obligatory and mandatory functions. (2) In case of any of the City Corporations are not in a position to raise enough resources on its own to carry out its obligatory and mandatory functions and their establishment cost, the State Government shall provide grants in aid to such City Corporations to meet the resource gap. (3) The State Finance Commission under Article 243Y of the Constitution of India shall give recommendations to the State Government for such grant-in- aid to one or more of the City Corporations after evaluating the sources of revenue and the expenses in each of the City Corporations. The State Finance Commission shall also identify the potential sources of revenue which can be raised in each City Corporation along with the rates and the efficacy of the collection; as also providing incentives to the Ward for revenue mobilization. (4) There shall be for each City Corporations constituted under this Act a City Corporation Fund which will receive monies from all the sources of the revenue including the grant-in-aid provided by the State Government. (5) The City Corporation Fund shall be held, applied and disposed of in accordance with the provisions of this Act, the rules and the regulations made there under or any other law for the time being in force. (6) Every head of accounts shall be suitably categorised into revenue account and capital account and all items of receipts shall be kept appropriately under such revenue account or capital account as the case may be. (7) The expenditure from the City Corporation Fund shall be kept appropriately under such revenue account or capital account, as the case may be. (8) The City Corporation shall prepare and maintain books of accounts using the double entry accrual system of book keeping, in accordance with the accounting standards recommended by the Institute of Chartered Accountants of India, and in such manner as may be prescribed.