- Prepayments to the PS-DBM for the purchase of commonly used office supplies amounting to PhP 101,415.20 were erroneously recorded as outright expenses, while the deliveries totaling to PhP 94,680.40 were not recorded resulting in the misstatements of Office Supplies Expense account of PhP 101,415.20, Office Supplies Inventory account of PhP 94,680.40 and Due from NGAs account of PhP 6,734.80 as of the end of 2009.
- COA recommended that MPC's accountant prepare the Journal Entry Voucher (JEV) to effect the necessary adjustments in order to reflect the accurate balances of the Office Supplies Expense, Office Supplies Inventory and Due from NGAs accounts; follow strictly the rules and regulations on the proper classification and recording of office supplies as these are procured from, and delivered by the PS and subsequently issued to the requisitioners; and prepare monthly the RSMI to support the JEV for the issued supplies and materials.
- No depreciation was provided for procured properties during the year amounting to P1.08 million, thus overstating the PPE account by P79,015,15. Likewise, accounts totaling P125,266.00 were misclassified, casting doubts on the reliability of the appropriate PPE accounts. The Diliman Diary also observed that neglecting to factor in depreciation would tend to artificially inflate the amount of “available” balances of MPC.
- COA recommended that Management require the accountant to prepare a Journal Entry Voucher to effect the proper adjustments of the foregoing errors and to correct the misstatements on the appropriate Property, Plant and Equipment accounts.
- MPC failed to deduct and withhold Value Added Tax and Expanded Withholding Tax of PhP 143,758.93 and PhP 57,503.57, respectively on payments for security services contrary to the BIR Revenue Regulations Nos. 16-2005 and 30-2003, depriving the government of the use of said funds for its programs and projects.
- As a result of this neglect, COA rrecommended that the MPC Administration require the JAS Security Agency handling them to refund, and cause the immediate remittance to the BIR the amount of P201,262.50 VAT and EWT. Henceforth, require its Accounting Office to comply strictly to the rules and regulations on withholding and the remittances of taxes.
- MPC's mandate is to be the National Center of Excellence for Higher Professional Teacher and Technical Education and Training, and the Center for Development on Shoe and Leather Craft Industry. It aims to provide quality and relevant education and training for prospective teachers, trainers and technician, and to provide quality research for the development of shoe and leather craft industry.
State Universities and Colleges are Haunted by COA's 2009 Audits into their Financial Expenditures (A Series of Articles co-located on one (1) continuously updated link)