Challenges facing government revenue auditing in a digital transformation environment under electronic payment systems

Abstract

In the last decade, governments have witnessed a rapid expansion in the adoption of electronic payment systems for revenue collection (taxes, fees, fines, and public service revenues) with the aim of enhancing the efficiency of financial collection, increasing transparency, and reducing financial waste. This digital transformation has led to new challenges for auditing bodies related to controlling electronic financial transactions, ensuring the reliability, accuracy, and integrity of data, and protecting information from hacking, fraud, and manipulation. This research aims to clarify the role of government revenue auditing under electronic payment systems and analyze the impact of using digital technologies on the effectiveness of internal and external auditing. It highlights modern practices and the necessary control standards to mitigate the risks associated with electronic revenue collection. The study addresses electronic auditing tools and systems, the requirements for their success, and the obstacles facing government entities in adopting them. The study concluded that there is a strong correlation between the application of electronic payment systems and the efficiency of financial auditing, reflecting a positive impact on improving the audit process and reducing the challenges associated with it in the digital transformation environment. Strengthening governance, developing auditors' skills, and integrating financial systems with regulatory bodies are among the most important requirements for enhancing the reliability and transparency of government revenue audits when using electronic payment methods. The study also recommends strengthening integration among various government systems related to finance and revenue to ensure seamless data exchange and full compliance with financial auditing standards, thereby enhancing transparency and reducing technical challenges.