Housing and Urban Development (HUD) Audits are sometimes used to audit for-profit entities that participate in various HUD programs. Not-for-profit and government organizations using HUD would require a Single Audit.
The U.S. Department of Housing and Urban Development (HUD) can require for-profit organizations working with HUD programs to be audited. The American Institute of CPAs states that HUD audits are designed to provide HUD managers with clarity as to whether the auditee has
- Provided accurate financial data and reports
- That controls and processes are in place to assure the HUD programs are being managed in accordance with regulations and applicable laws
- Used federal funds properly and with compliance to terms and conditions outlined
HUD Audits must follow a specific structure and procedure. Because of these requirements, it’s critical that your auditor be experienced in HUD Audits.