Office of the Auditor | State of Hawai`i

Summary

This report assesses certain tax exemptions and exclusions from Hawai‘i’s General Excise Tax and Use Tax. Section 23-71 et seq., Hawai‘i Revised Statutes, requires the Auditor to annually review different tax exemptions, exclusions, and credits on a 10-year recurring cycle. This report is our first review under these statutes.

Summary

June 30, 2019 Financial Statements and Single Audit Report The auditors from Egami & Ichikawa CPAs, Inc. identified one significant deficiency in internal control over financial reporting or other matters that is required to be reported in accordance with Government Auditing Standards. There were no findings that were considered to be material weaknesses in internal control over compliance in accordance with the Uniform Guidance.

June 30, 2019 Financial Statements and Single Audit Report The auditors from KMH LLP identified one material weakness and one significant deficiency in internal control over financial reporting that are required to be reported under Government Auditing Standards. They also identified three material weaknesses in internal control over compliance that are required to be reported in accordance with the Uniform Guidance.