The Comptroller and Auditor General (CAG) of India is a constitutional authority established under Article 148 of the Indian Constitution. The CAG's primary role is to audit all receipts and expenditures of the Government of India and state governments, including those of bodies and authorities substantially financed by the government.

However, the CAG does not audit the receipts and expenditure of Municipal Undertakings. Municipalities and local bodies (like municipal corporations, municipal councils, and panchayats) are audited by their own designated authorities, such as state-level Local Fund Audits or similar bodies, not by the CAG directly.

To clarify:

• State Governments: Audited by CAG
• Union Government: Audited by CAG
• Government Companies: Audited by CAG (if substantially financed by government)
• Municipal Undertakings: Not audited by CAG (audited by local audit bodies)

Related Topics

Constitutional Bodies in India: The CAG is one of the key constitutional bodies, along with the Election Commission, Union Public Service Commission, etc. These bodies derive their authority directly from the Constitution.

Local Self-Government: Municipalities and panchayats are part of local self-government institutions established under the 73rd and 74th Constitutional Amendments. Their audit and accounts are managed separately from state and union governments.

Key Formulae/Provisions

While there are no mathematical formulae, important constitutional provisions include:

• Article 148: Establishment and mandate of CAG
• Article 149: Duties and powers of CAG
• Article 150: Form of accounts of the Union and States
• 74th Amendment Act: Provisions for municipalities and their audit mechanisms