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The Pentagon has failed its annual audit for the eighth year in a row.
Since Congress mandated independent annual audits across the Department of Defense in 2018, the department has failed to pass a single one.
The Pentagon listed $4.65 trillion in assets and $4.72 trillion in liabilities through fiscal year 2025, which ended in 30 September, but was unable to account fully for its balance sheet.
The Epoch Times reports, “An audit report, finalized on Dec. 18 by the Department of Defense Office of Inspector General, identified 26 material weaknesses and two significant deficiencies in the Pentagon’s financial reporting practices for the year.
“Auditors rendered adverse opinions in 10 of 28 subaudits contained within the overall Pentagon audit for the year. Adverse opinions are issued when audits find financial reporting to be inaccurate.
“The audit also listed further disclaimers of opinion, meaning auditors could not be certain one way or another whether the balance sheets of certain funds or programs were accurately recorded.”
Auditors discovered material misstatements within the Joint Strike Fighter Program, which covers the F-35 Lightning II stealth fighter used by the US military and allied nations.
There were also misstatements amounting to $18.9 billion in programs the US military uses to augment the military capabilities of allies and partners.
The Pentagon currently aims to pass its first audit in 2028.
“We have reviewed the audit report and acknowledge the findings and results. The Department of War is committed to resolving its critical issues and achieving an unmodified audit opinion by 2028,” Jules Hurst, the Pentagon comptroller, said.
Secretary of War Pete Hegseth said the latest report showed continuing improvements across the Pentagon’s accounting efforts.
“This year’s audit revealed remediations in key areas, reflecting significant progress in financial management,” Hegseth said in a statement attached to the audit report.
