Defense, Aerospace & Government Contracting

How to Record GSA Schedule Audit Support

Recording internal labor costs for coordinating and providing data for a GSA Office of Inspector General (OIG) schedule audit.

Account NameTypeDebit ($)Credit ($)
G&A Expense - Internal Audit SupportDebit8,000.00-
Accrued PayrollCredit-8,000.00

💡 Accountant's Note

Internal labor used to support GSA audits is generally allowable as a G&A expense, provided the support is not related to defending against claims of fraud or specifically prohibited activities.

Practitioner & Systems Framework

💻 ERP Architecture

Create a unique project or charge code for GSA Audit Support within the G&A cost pool.

⚠️ Audit Flags

Reclassifying direct contract labor as G&A audit support to hide cost overruns; lack of specific project codes for audit defense.

📄 Required Documentation

GSA OIG audit notification letter, internal labor distribution reports, and correspondence with the GSA auditor.

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Expert Analysis by Qusai Ahmad

General Accountant Supervisor & IFRS Specialist

Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.

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