A Study On Budget Implementation Audit Transformation

With the increasing promotion of socialist democracy, the deepening reform of economic financial system and the rapid development of socialist economy, audit has been spreading throughout China and its influence continues growing. Accordingly, society has raised higher hopes for audit, which plays a significant role in economic supervision, and financial budget implementation audit, which maintains a permanent theme in state audit, has attracted more and more public attention. Financial budget implementation audit is the basic function of auditing organizations, and it has been playing a positive role in safeguarding financial laws and regulations, maintaining market economic order and coordinating financial fund structure, and has achieved a lot since its implementation. However, it is now a key period for budget implementation audit. The reform of financial budget management, which aims at establishing public finance system and centres around expenditure reform, is being deepened; the process of democratic rule of law, which focuses on strengthening the legislation and supervision rule of the National People's Congress and implementing itself upon the people, is being promoted; the value orientation of national policies, which targets safeguarding the rights and interests of people and letting the achievements of reform and opening up benefit all people, is becoming more and more clear. Under this background, how to adapt to the challenges caused by the change of auditing environment is no doubt a new demand for the budget implementation audit transformation of audit organizations.Because of the imperfection of the unscientific constitution, law, policy and supervision system, budget implementation audit has its limitations and has encountered many tricky problems in different aspects such as auditing coverage, auditing resources, audit methods, etc. How the audit organizations should meet its developing needs and overcome its limitations is becoming more and more important in optimizing budget implementation audit, promoting reform of public financial system and socialist democracy, and ensuring harmonious development of society. The main objective of this essay is to systematically discuss and study the transformation of budget implementation audit. This essay starts with budget management and related democracy theories, and analyses government audit theory, performance audit theory and supervision system of the National People's Congress. Meanwhile, practice achievements in budget implementation audit during the past few years has been solidified, and theory evidence in the transformation is put forward. This essay studies limitations of the current budget implementation audit, elaborates its problems and difficulties, and analyses causes of them from many different angles. In accordance with the change of budget implementation audit environment and demands of self development, this essay emphasizes the inevitability of budget implementation audit transformation, and points out its directions combining foreign experience and domestic situation. This essay closely unites theory and practice, studies complementing systems and polices of budget implementation audit transformation, and offers suggestions on its reform and improvement.