REPORT DIGEST

ILLINOIS INDEPENDENT TAX TRIBUNAL

COMPLIANCE EXAMINATION
FOR THE TWO YEARS ENDED JUNE 30, 2025

Release Date:  February 5, 2026

FINDINGS THIS AUDIT: 4

CATEGORY:  NEW -- REPEAT – TOTAL
Category 1:  0 -- 1 -- 1
Category 2:  0 -- 3 -- 3
Category 3:  0 -- 0 -- 0
TOTAL:  0 -- 4 -- 4

FINDINGS LAST AUDIT: 8

State of Illinois, Office of the Auditor
General
FRANK J. MAUTINO, AUDITOR GENERAL

To obtain a copy of the Report contact:
Office of the Auditor General, 400 West
Monroe, Suite 306, Springfield, IL
62704-9849
(217) 782-6046 or TTY (888) 261-2887

This Report Digest and Full Report are also
available on the worldwide web at
www.auditor.illinois.gov

SYNOPSIS

• (25-03) The Illinois Independent Tax
Tribunal (Tribunal) had weaknesses over its
voucher processing function during the
examination period.

• (25-04) The Tribunal’s internal controls
over its receipt processing function were
not operating effectively during the
examination period.

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

VOUCHER PROCESSING WEAKNESS

The Tribunal had weaknesses over its
voucher processing function during the
examination period.

Due to our ability to rely upon the
processing integrity of the Enterprise
Resource Planning System (ERP) operated by
the Department of Innovation and Technology
(DoIT), we were able to limit our voucher
testing at the Tribunal to determine
whether certain key attributes were
properly entered by the Tribunal’s staff
into ERP. In order to determine the
operating effectiveness of the Tribunal’s
internal controls related to voucher
processing and subsequent payment of
interest, we selected a sample of key
attributes (attributes) to determine if the
attributes were properly entered into the
State’s ERP System based on supporting
documentation. The attributes tested were
1) vendor information, 2) expenditure
amount, 3) object (s) of expenditure, and
4) the later of the receipt date of the
proper bill or the receipt date of the
goods and/ or services.

We then conducted an analysis of the
Department’s expenditures data for Fiscal
Years 2024 and 2025 and noted the Tribunal
did not timely approve 30 of 131 (23%)
vouchers processed during the examination
period, totaling $14,651. We noted these
vouchers were approved between 31 and 109
days after receipt of a proper bill or
obligating document.

We recommended the Tribunal timely approver
proper bills and obligations due.

Tribunal officials agreed with the finding.

RECEIPT PROCESSING INTERNAL CONTROLS NOT
OPERATING EFFECTIVELY

The Tribunal’s internal controls over its
receipt processing function were not
operating effectively during the
examination period.

Due to our ability to rely upon the
processing integrity of the ERP operated by
DoIT, we were able to limit our receipt
testing at the Tribunal to determine
whether certain key attributes were
properly entered by the Tribunal’s staff
into ERP. In order to determine the
operating effectiveness of the Tribunal’s
internal controls related to receipt
processing, we selected a sample of key
attributes (attributes) to determine if the
attributes were properly entered into the
State’s ERP System based on supporting
documentation. The attributes tested were
1) amount, 2) fund being deposited into, 3)
date of receipt, 4) date deposited, and 5)
SAMS Source Code.

Our testing noted 13 of 140 (9%) attributes
were not properly entered into the ERP
System. Therefore, the Tribunal’s internal
controls over receipt processing were not
operating effectively.

Due to this condition, we qualified our
opinion because we determined the Tribunal
had not complied, in all material respects,
with applicable laws and regulations,
including the State uniform accounting
system, in its financial and fiscal
operations.

Even given the limitations noted above, we
then conducted an analysis of the
Tribunal’s receipt data for fiscal years
2024 and 2025. We noted the Tribunal’s
receipts data did not document the date on
which the payment was received for 82 of 82
(100%) receipts in Fiscal Year 2024. As
such, we were unable to determine if the
Tribunal deposited the receipts timely.

We recommended the Tribunal design and
maintain internal controls to provide
assurance that its data entry of key
attributes into ERP is complete and
accurate.

Tribunal officials agreed with the finding.

OTHER FINDINGS

The remaining findings pertain to
inadequate control over filing fees and
failure to fully implement the Illinois
Independent Tax Tribunal Act of 2012. We
will review the Tribunal’s progress towards
the implementation of our recommendations
in our next compliance examination.

ACCOUNTANT’S OPINION

The accountants conducted a State
compliance examination of the Tribunal for
the two years ended June 30, 2025, as
required by the Illinois State Auditing
Act.  The accountants qualified their
report on State compliance for Finding
2025-004. Except for the noncompliance
described in this finding, the accountants
stated the Tribunal complied, in all
material respects, with the requirements
described in the report.

This State compliance examination was
conducted by Roth & Co., LLP.

COURTNEY DZIERWA
Division Director

This report is transmitted in accordance
with Section 3-14 of the Illinois State
Auditing Act.

FRANK J. MAUTINO
Auditor General

FJM:KJM