22-14, Review of Special Funds, Revolving Funds, Trust Funds, and Trust Accounts of the Department of TaxationPosted on Nov 17, 2022 in Summary
One Special Fund, one trust fund, and one trust account did not meet criteria
OUR REVIEW of four special funds, two trust funds, and seven trust accounts of the Department of Taxation (DoTAX) found one special fund, one trust fund, and one trust account did not meet criteria and should be closed or reclassified.
Section 23-12, Hawai‘i Revised Statutes (HRS), requires the Auditor to review all existing special, revolving, and trust funds every five years. Reviews are scheduled so that each department’s funds are reviewed once every five years. Although not mandated by statute, we included trust accounts as part of our review. This is our sixth review of DoTAX’s revolving funds, trust funds, and trust accounts. It is our second review of the special funds held by DoTAX since Act 130, Session Laws of Hawaiʻi 2013, amended Section 23-12, HRS, to require review of special funds along with revolving funds and trust funds. DoTAX did not have any revolving funds during our review period.
We used criteria developed by the Legislature and by our office based on public finance and accounting literature. For each fund, we present a five-year financial summary, the purpose of the fund, and conclusions about its use. We did not audit the financial data, which is provided for informational purposes. We do not present conclusions about the effectiveness of programs or their management, or whether the programs should be continued.