Regularity audits

• Relying on the work of others
• Budget and accountability cycle: 18 months
• What happens if there are shortcomings?
• Objections

All ministers account to parliament each year to explain what they did with the tax money they received and spent. For the operation of a democracy, their accounts must be correct and auditable. The Court of Audit has a statutory duty to audit the ministries' annual reports each year. Our regularity audits check that the ministers use tax money in accordance with the rules.

Relying on the work of others

Wherever possible our regularity audits rely on audits carried out by other parties, for example the audit departments of the ministries. We also carry out our own investigations.

Budget and accountability cycle: 18 months

On the third Tuesday in September each year (Budget Day) the government presents its plans for the coming financial year. More than 18 months later the ministers account in their annual reports for the activities they carried out. They do so on Accountability Day, the third Wednesday in May. We then publish 'Accounting for Central Government', the Court of Audit's report on the central government financial accounts. On the same day we also present our reports on the ministries' annual reports.

• Accounting for Central Government
  In this report, we issue a statement of approval on the central government annual financial report. We thus approve the central government statement of expenditures and receipts and trial balance. We also inform the House of Representatives about the ministries' operational management and the ministers' accounts as presented in their annual reports.
• Reports on the annual reports
  In our reports on the ministries' annual reports we state whether the ministers have used tax money in accordance with the rules. We also assess whether the financial information in the annual reports and the trial balances is complete and accurate and look at the ministries' operational management. We then issue an opinion on the policy information presented in the ministries' annual reports.

What happens if there are shortcomings?

Our reports on the ministries' annual reports disclose any errors and uncertainties that we find in the annual reports and trial balances. We also report on any problems in the ministries' operational management. We thus inform parliament and encourage the ministers to improve their operational management.

Objections

The Court of Audit can lodge an objection if it detects irregularities or shortcomings in a minister's financial management or material management. We are not quick to lodge objections. Before we do so, we first carry out a more detailed investigation of the problem. Such an investigation is known as an objection audit. Depending on the findings, we then decide whether or not to lodge an objection. The objection procedure is a sign that measures are needed urgently.