AUDIT SUMMARY

 

Our audit of the Department of Taxation (Taxation) for the fiscal year ended June 30, 2024, found:

 

• • proper recording and reporting of all transactions, in all material respects, in the Commonwealth’s accounting and reporting system, Taxation’s financial system, and supplemental information and attachments submitted to the Department of Accounts;

 

• • two matters involving internal control and its operation necessary to bring to management’s attention that also represent instances of noncompliance with applicable laws and regulations or other matters that are required to be reported; and

 

• • corrective action on prior audit findings remains ongoing as indicated in the Findings Summary included in the Appendix.

 

In the section titled “Internal Control and Compliance Findings and Recommendations,” we have included our assessment of the conditions and causes resulting in the internal control and compliance findings identified through our audits as well as recommendations for addressing those findings.  Our assessment does not remove management’s responsibility to perform a thorough assessment of the conditions and causes of the findings and develop and appropriately implement adequate corrective actions to resolve the findings as required by the Department of Accounts in Topic 10205 – Agency Response to APA Audit of the Commonwealth Accounting Policies and Procedures Manual.  Those corrective actions may include additional items beyond our recommendation.

 

Our report includes a risk alert that requires the action and cooperation of Taxation’s management and the Virginia Information Technologies Agency (VITA) regarding risks related to unpatched software. 

 

In fiscal year 2023, we included the results of our audit over Taxation in the report titled “Agencies of the Secretary of Finance for the year ended June 30, 2023.”