Instructions for collecting and managing evidence of implementing audit recommendations in Vietnam

Instructions for collecting and managing evidence of implementing audit recommendations in Vietnam (Internet image)

Regarding this issue, LawNet would like to answer as follows:

On February 15, 2024, the State Audit Office issued Decision 420/QD-KTNN guiding the evidence of implementing the audit recommendations of the State Audit Office.

1. Evidence of implementing the audit recommendations of the State Audit Office

According to Article 5 of Decision 420/QD-KTNN in 2024, the evidence of implementing the audit recommendations of the State Audit Office is as follows:

1.1 Recommendations for adjusting accounting records, settlement reports, financial reports, and financial information

- Recommendations for adjusting accounting records, settlement reports, financial reports, and financial information are recommendations made by the State Audit Office to the audited units or units under its supervision and related departments to adjust accounting records, data, financial information, settlement reports, and financial reports according to the audit recommendations of the State Audit Office.

- Evidence of implementing the audit recommendations: It includes documents and materials related to the adjustments made to accounting records, financial information, settlement reports, or financial reports after the adjustments according to the audit recommendations of the State Audit Office. In case the adjusted settlement reports or financial reports of the unit include other adjustments according to the conclusions of different agencies, it is necessary to review, compare, inspect, and confirm the implementation of the adjustments according to the audit recommendations of the State Audit Office.

1.2 Recommendations for handling other financial matters

- Recommendations for handling other financial matters mainly refer to recommendations related to other recoveries, other payments, and reductions in the state budget, such as budget cancellations, recoveries, other payments to the state budget, and payments of obligations (excluding audit recommendations already specified in Circular 16/2019/TT-BTC).

- Evidence of implementing the audit recommendations: It includes records, documents, and information related to the audited unit's fulfillment of obligations with the state budget or fulfillment of obligations with the higher-level management agency for submitting to the state budget; documents implementing the reduction of expenditures by authorized agencies according to the audit recommendations of the State Audit Office.

1.3 Other recommendations

- Other audit recommendations of the State Audit Office include limitations, other errors in data, apart from recommendations for handling financial matters and other financial matters that need to be reviewed, improved, inspected, or investigated.

- Evidence of implementing the audit recommendations: It includes records, documents, and information collected, such as accounting documents, decisions made by authorized levels according to the content of the audit recommendations of the State Audit Office, or additional completion of records, documents to overcome limitations, deficiencies in management work, financial settlement, or records, documents related to the implementation of inspection, inspection, and investigation according to the audit recommendations.

1.4 Recommendations for correction and lessons learned

- Recommendations for correction and lessons learned from the State Audit Office relate to limitations, errors clearly pointed out by the State Audit Office, and recommendations for the audited unit to correct and learn from.

- Evidence of implementing the audit recommendations: It includes documents, information collected, reflecting the direction, implementation of corrections, lessons learned, or review results, handling, and rectification of the audited unit regarding the limitations and errors recommended by the State Audit Office.

1.5 Recommendations for improving mechanisms, policies

- Recommendations for improving mechanisms and policies refer to recommendations made by the audited unit to take the lead, coordinate, or advise relevant state agencies to consider, study, amend, or repeal legal normative documents, management documents (articles, clauses, etc.) that are not in compliance, overlapping, or conflicting with the current legal provisions or not in accordance with the authorized powers.

- Evidence of implementing the audit recommendations: It includes records, documents, and information collected regarding the results of taking the lead or coordinating, advising to improve mechanisms, policies according to the audit recommendations of the State Audit Office.

1.6 Recommendations for collective and individual accountability assessment

- Recommendations of the State Audit Office regarding the accountability assessment of collectives and individuals and the consideration and handling according to the legal regulations are recommendations for the audited unit to carry out or for the higher-level management agency to direct the subordinate units, organizations, and individuals related to the accountability assessment regarding existing limitations, restrictions, and misconduct that require assessment as recommended by the State Audit Office.

Evidence of implementing the audit recommendations: It includes records, documents, and information collected related to the direction and results of the accountability assessment of collectives and individuals carried out by authorized levels according to the current regulations.

(Detailed instructions can be found in Appendix I, Appendix II issued together with Decision 420/QD-KTNN in 2024).

2. Methods for collecting evidence of implementing audit recommendations in Vietnam

The method for collecting evidence for implementing audit recommendations applies examination methods according to the Monitoring and Inspection Regulations for implementing audit conclusions and recommendations; audit methods and procedures to collect audit evidence according to the State Audit Standards and related regulations of the State Audit Office, such as analysis, synthesis, comparison, interviews, etc.

The use of methods for collecting evidence for implementing audit recommendations is based on the professional judgment of state auditors and the content of the audit recommendations.

(Article 6 of Decision 420/QD-KTNN in 2024)

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