The main objective of this research paper is to assess the extent to which the concept of water accounting has been applied for water management at the river basin scale in India. For this, the study first assesses the importance given to the use of water accounting for water management in India's national water policy. It then analyses the evolution of water accounting approaches in India through a systematic review of the past research studies on the theme. Further, it looks at their contribution to decision-making concerning allocation of water resources and resolving conflicts over water sharing. Finally, it identifies the existing gaps in the methodologies for water accounting so far used in India.