A Payroll Processing Software has been recently developed by the NIC Himachal State Unit. Though the software was originally developed under Unix environment, an executable version under DOS/Windows was later developed for convenience. Several State Government departments have implemented the Payroll Processing System and at present about 15 percent of the total employee strength in Himachal Government i.e. over 20,000 employees have been covered by it. The salient features of the software (version 2.0) is that besides generating the Paybills, Schedules, Acquittence Rolls and Pay Slips, it generates additional outputs such as Pay Arrears Bills, Nominal Rolls for making Budget Provisions, Income Tax Returns for individual employees, Voucher-wise / Employee wise payments and Deduction Reports etc. All the Reports being generated by the software have been officially notified by the State Government to be accepted by the Treasuries and made a part of the user manual which has been printed by the Himachal Pradesh Government as a State Government publication.