Study On Internal Control In Canteen’s Procurement And Payment Business Of National Taxation Bureau In Yongzhou City

Due to the report of strengthening the construction of administrative institutions’ internal control in 2010,it is required for administrative institutions to establish their internal control system which is suitable for China’s situation and matches their own characteristics and economic activity patterns It is of benefit to save administrative costs,improve administrative efficiency and management level and increase the anti-corruption efforts.November 29,2012,the Ministry of Finance issued the "Administrative Institutions Internal Control Code(Trial)" since January 1,2014 will come into effect,National Taxation Bureau in Yongzhou City is represented as the research subject in this paper and its purchase and payment cycle as the study object.The construction and implementation of its internal control are analyzed,as well as the deeper reasons to cause these problems.The corresponding improvement suggestions are given in the end.The historical evolution of internal control theory and its practice are reviewed according to the relevant literature at home and abroad.The characteristics of the purchasing and payment cycle of administrative institutions is cleared,as well as the multiple principal-agent relationship within it.The risks and critical control points of the purchasing and payment cycle of administrative institutions are analyzed,as well as the internal control framework,which composed of unit level and operational level.Based on the general understanding of National Taxation Bureau in Yongzhou City and its material goods,the chain and the processes of purchasing and payment cycle are listed.Its implementation of internal control is viewed from the two aspects of system and procedure.Taking the internal control framework of administrative institutions as reference,it is concluded that the internal control problems of purchasing and payment cycle of National Taxation Bureau in Yongzhou city include that the internal control department is not set up,executive order takes the place of internal control,risk assessment mechanism is absent,communication is poor,information technology is not high and the capability of internal control staff is not sufficient.The improvement suggestions of the internal control of purchasing and payment cycle of National Taxation Bureau in Yongzhou city are given in the end in terms of ideology,organization,system,management and personnel.It should publicize the knowledge of internal control through daily and project training,set up aspecial internal control department,improve the internal control system from authorized approval,budget management to procurement files,improve the internal management mechanism by establishing the risk management system,making communication more open and promoting the process of informatization,strengthen human resource development by paying close attention to internal team building and shaping the internal control culture.