Research On Internal Control Of Budget Business Of Administrative Institution

Public institution is government social service organizations engaged in the education,science,culture,health and other activities,which is a special kind of unit in China.The internal control of domestic public institution is lagging behind the development of domestic enterprise.The work efficiency and effect of budget business will be affected with lacking of an internal control mechanism,therefore,establishing an improvement internal control system of budget business of public institution is imminent in China.Ministry of Finance of the People's Republic of China issued "Administrative institutions internal control standard(trial)" on November 29,2012 and "The guidance of comprehensively implementing the internal control of administrative institutions" on December 21,2015.These two specifications propose the overall train of thought and the specific plan for the internal control of public institution,especially for the internal control of budget business.This paper study the internal control of budget business of public institution,taking "public institution A" as an example.An accounting firm carried out a fundamental evaluation for "public institution A".From the result of fundamental evaluation,this paper analyzed the existing problems in internal control of budget business and the reasons.After that,I sorted out the workflow of budget business,and developed a reasonable internal control business process for budgeting,budget execution,budget adjustments,final accounts and evaluation.The potential risks in business processes for budget business were ascertained and a risk control matrix was constructed by this study.The most important part of this paper is that an evaluation system for the internal control of budget business of "public institution A",and the self-evaluation was carried out in "public institution A".Finally,this paper proposed improvement measures for the internal control construction of budget business based on the appraisal results.The level of the internal control construction of budget business for "public institution A" would be promoted effectively if the proposed improvement measures were implement successfully,carrying out the principles of "promoting development by evaluation".This study also can provide the ideas and practice guides for the internal control of budget business of public institution in China.