(a) The fiscal year of the counties of the state, covering each period of twelve (12) months, begins on January 1 of each year and ends at the close of business on December 31 of the same year.
(b)
(1) Counties shall use the modified accrual accounting basis for audit purposes.
(2)
(A) For county government and the regulatory basis of accounting under § 10-4-412(b)(2), “modified accrual accounting basis” is defined as an accounting system that recognizes revenues at the time revenues become available and measurable and expenditures at the time liabilities are incurred.
(B) Revenues and expenditures are accruable to the fiscal year as provided in subsection (c) of this section.
(c)
(1) Obligations incurred by a county on or before the end of the fiscal year that are not issued an accounts payable claim until the following fiscal year shall be posted to the prior fiscal year appropriations journal when paid within the first two (2) months of the following fiscal year.
(2)
(A) Revenues collected and owed to a county treasury before the end of the fiscal year and not remitted to the county treasury until the following fiscal year are accruable to the prior fiscal year when receipted by the county treasurer within the first two (2) months of the following fiscal year, except as provided in subdivision (c)(2)(C) of this section.
(B) Moneys received by the respective counties from the County Aid Fund are revenues of the year in which the moneys are received and are not revenues of the year in which the moneys were collected and paid into the State Treasury.
(C) Moneys received by the respective counties from the Treasurer of State representing county sales and use taxes are revenues of the year in which the moneys are received and are not revenues of the year in which the moneys were collected and paid into the State Treasury.
(d) The finance officers of the county shall keep and maintain records as required by law to account for accruable receivables or payables for audit purposes.