ACCOUNTING AND AUDIT

KOROL Volodymyr ¹, CHUMAKOVA Iryna ²

¹Ministry of Finance of Ukraine
²SESE “The Academy of Financial Management”
OrcID ID : https://orcid.org/0000-0003-3432-3177

Current status and need for organizational and methodological support for development of internal audit in the Ministry of Finance of Ukraine

Conclusion of the Association Agreement with the European Union provides a new stage of reformation of the national system of state internal financial control and exchange of information, experience and the best practices to ensure further development of this system, its harmonization with internationally recognized standards (IIA, INTOSAI) and methodologies, as well as the best EU practices in this area. Today at the legislative level there have already been resolved the main issues of formation and functioning in the ministries, other Central Executive authorities of internal audit units, the behavior of state internal auditors, their place in construction of the internal control system in compliance with the EU standards. However, implementation of provisions of the basic normative legal acts in practice is difficult due to the low methodological provision of the internal audit activity at the level of individual ministries. The Ministry of Finance of Ukraine, as a key state body of common policy in the sphere of state financial control, should become a model for other ministries in implementation of the new, approved in the EU, governance and control mechanisms, in particular the internal audit function. The article analyzes the main normative legal documents of the Ministry of Finance of Ukraine in the sphere of internal audit and their compliance with the requirements of regulatory legal acts and norms of International standards for the professional practice of internal auditing IIA. It is suggested measures for improvement of organizational and methodological support of the activity of internal audit in the system of the Ministry of Finance to solve problems of development of the internal audit function in the institutions and organizations belonging to the sphere of management of the Ministry.

Keywords: internal audit, internal audit unit, the Ministry of Finance of Ukraine, internal audit standards.

JEL: H80, H83.

KOROL V. . Current status and need for organizational and methodological support for development of internal audit in the Ministry of Finance of Ukraine / V. . KOROL, I. . CHUMAKOVA // Фінанси України. - 2015. - № 5. - C. 104-126.