The Pentagon has failed to pass a full financial audit for the eighth year in a row.
Congress initially mandated annual independent audits across the Department of Defense in 2018. In that time, the department has failed to pass a single full audit.
The Department of Defense—also known as the Department of War—lists $4.65 trillion in assets and $4.72 trillion in liabilities through fiscal year 2025, which ended on Sept. 30. The Pentagon cannot account for its full balance sheet.
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….