Pursuant to a legislative requirement, GAO examined the Internal Revenue Service's (IRS) financial statements for fiscal year (FY) 1992.

GAO found that: (1) critical supporting information for IRS financial statements was not available; (2) the available information was generally unreliable; (3) IRS internal controls did not effectively safeguard assets, provide a reasonable basis for determining material compliance with laws and regulations, or ensure that there were no material misstatements in the financial statements; and (4) there were no instances of material noncompliance with laws and regulations during FY 1992.