Audit of systems of the Hungarian State Treasury in progress

2017-12-08 11:00:00   |   Author: Gelencsér Zsolt

The audit of the KIRA and ASP systems and the drafting of the written findings by the auditors was launched based on the documents submitted by the Hungarian State Treasury (Treasury).

Based on the documents (audit evidence) provided within the framework of the data reporting under the statutory obligation of the Treasury, the auditors started to audit the KIRA and ASP systems and to record the findings in the SAO working papers. The audit is linked to our audit of the management of the Treasury as an additional module.

The purpose of the audit is to assess whether the Treasury is operating the KIRA and ASP systems properly in compliance with legal regulations, whether internal instructions, responsibilities have been established, or the protection of data stored in the ASP system is ensured.

The adequacy of the performance of the Treasury, which plays a prominent role in the operation of state budget, carries risk for the state budget as a whole. The performance of the Treasury may have a significant impact on the proper use of public funds, the improvement of the budget balance and the reliability of the reporting of the state budget.

Accordingly, due to their utmost importance it is justified to audit the proper functioning of the KIRA system, which is run by the Treasury, and which is a more extensive data processing, payroll accounting, accounting and reporting task than it was in the previous task performance, and the ASP system being gradually introduced as a new treasury task.

 

 

Briefly about the systems involved in the audit:

KIRA: In the KIRA system, the Treasury performs the payroll accounting of the personal allowances and health care benefits for more than 900 thousand government, public and civil servants employed by government and local government bodies, and people employed as employees, professional service providers, foster parents and within the framework of other legal employment, and the KIRA system is also used to record the public dues payable by employers and to account for and report the related taxes and charges.

The centralized salary calculation provided by the KIRA system provides information on personal allowances, payroll dues and staff figures that are the most significant expenditure item of the state budget, which can be used for budget planning, management and reporting, based on a standardised labour, information, funding and control technology used for payroll accounting.

ASP: The ASP system ensures that systems required by local governments for the delivery of their tasks, are available on a single standardised interface for the delivery of tasks, including the records management system, the city portal of local governments, the electronic administration portal, the management, the real estate property cadastre system, the municipal tax system, industrial and commercial and the inheritance inventory system.

The local governments of over 1600 small towns and villages started to use of the ASP management and local government tax systems in January 2017. By law, by 2019, all 3200 municipalities join the standard nationwide transaction system in several stages.

Gábor Görgényi
Lead Auditor