Article 6
1. The appropriations authorised in the budget for a relevant year may be used solely to cover expenditure incurred and legally committed in that financial year. 2. Commitment appropriations shall be entered in the accounts for the financial year on the basis of the legal commitments entered into up to 31 December of that year. 3. Payment appropriations shall be entered in the accounts for the financial year on the basis of the payments effected by the accounting officer by 31 December of that year. 4. Apropriations corresponding to legal obligations duly contracted at the end of the financial year shall be carried forward automatically to the following financial year only, and shall be identified respectively in the accounts. 5. Appropriations which have not been used by the end of the financial year for which they were entered shall be cancelled, unless they are carried over in accordance with paragraph 4. 6. Appropriations placed in reserve and appropriations for staff expenditure shall not be carried over. For the purposes of this Article, staff expenditure comprises remuneration and allowances for staff who are subject to the Staff Regulations. 7. Appropriations which have not been used and have not been committed at the end of the financial years for which they were entered shall be cancelled and paid back to the Parties in accordance with the percentages established in Annex V of the Treaty and the actual contributions paid by the parties.