(November 9, 2015)—The Internal Revenue Service released their findings from the recent audit of the St. Joseph School District completed in July.
“The district, overall, did well during this audit process. The findings are minimal and the fees assessed are marginal with the amount of documents reviewed. We will look at amending any policies or procedures that will prevent these issues from happening in the future and use this as a learning opportunity,” said Dr. Robert Newhart, Superintendent.
The district will agree to the payment of additional taxes owed in 2013 of $15,460.68 and in 2014 of $11,789.16. The total amount is $27,249.84. Reasons include:
• Six employees that Medicare taxes were not withheld in 2013 ($9827.06)
• Five employees whose Medicare taxes were not withheld in 2014 ($7255.38)
• Three employees that were paid through accounts payable and not through payroll
($797.63)
• Thirty-two vehicles taken home by staff on a nightly basis without proper documentation-
2013 ($4836.16)
• Thirty vehicles taken home by staff on a nightly basis without proper documentation-
2014 ($4533.90)
*(Due to rounding from the IRS, the amount is off by $.29)
A separate penalty fee from the IRS also included:
• Eleven W-9’s that were incorrectly filed or provided to the payee ($2200)
In June 2015, the Superintendent’s Office received a letter from the Department of the Treasury, Internal Revenue Service, to examine federal tax returns for the 2013 calendar year. The EDUCATING EACH CHILD FOR SUCCESS examination of documents took place July 21-24, 2015.
The request was to examine, among other documents:
1. Completed Authorization and Declaration form.
2. Organizational Chart for calendar year 2013 including identification of principal executives.
3. Minutes of the meetings of the School Board for calendar year 2013.
4. Audited financial statements covering calendar year 2013.
5. Independent auditor letters to management and internal auditor reports to management relating
to calendar year 2013.
6. Chart of Accounts including a description of each account in use during calendar year
2013.
7. Copies of all employment contracts including, but not limited to, individual executive officer
contracts and union contracts in effect during calendar year 2013.
8. Copies of all termination agreements.
CLICK HERE to see a copy of the report.