(1) The government of Nepal, state and local levels shall prepare periodic statements of income and expenditure in a format approved by the Office of the Auditor General on the recommendation of the Office of the Comptroller General.
(2) According to sub-section (3), the province shall submit the quarterly statement of its income and expenditure to the Ministry within thirty days from the date of expiry of such period, including the statement received from the local level.
(3) The local level shall submit its quarterly statement of income and expenditure to the ministry and province within fifteen days from the date of expiry of such period.
(4) According to sub-sections (2) and (3), the province and local level should also submit the estimate of the income and expenditure that may occur in the third quarter when submitting the statement of income and expenditure for the second quarter.
(5) If the details are not submitted within the specified period according to sub-sections (2) and (3), the Government of Nepal may withhold the subsidy provided to the provincial and local levels.