Contents

A Message from the Secretary of the Treasury

Executive Summary........................................................................................... 1

Management’s Discussion and Analysis.......................................................... 12

Statement of the Comptroller General of the United States.......................... 40

Financial Statements

 Introduction ....................................................................................................... 50

 Statement of Net Cost........................................................................................ 57

 Statement of Operations and Changes in Net Position ...................................... 59

 Reconciliations of Net Operating Cost and Budget Deficit............................... 61

 Statements of Changes in Cash Balance from Budget and Other

 Activities ........................................................................................................... 62

 Balance Sheets................................................................................................... 63

 Statements of Long-Term Fiscal Projections..................................................... 64

 Statements of Social Insurance.......................................................................... 65

 Statement of Changes in Social Insurance Amounts......................................... 68

Notes to the Financial Statements

 Note 1. Summary of Significant Accounting Policies....................................... 70

 Note 2. Cash and Other Monetary Assets.......................................................... 82

 Note 3. Accounts Receivable, Net..................................................................... 83

 Note 4. Loans Receivable, Net and Loan Guarantee Liabilities........................ 84

 Note 5. Inventory and Related Property, Net .................................................... 88

 Note 6. General Property, Plant, and Equipment, Net....................................... 90

 Note 7. Investments........................................................................................... 91

 Note 8. Investments in Government-Sponsored Enterprises............................. 95

 Note 9. Advances and Prepayments.................................................................. 99

 Note 10. Other Assets........................................................................................ 100

 Note 11. Accounts Payable................................................................................ 102

 Note 12. Federal Debt and Interest Payable ...................................................... 103

 Note 13. Federal Employee and Veteran Benefits Payable ............................... 106

 Note 14. Environmental and Disposal Liabilities.............................................. 116

 Note 15. Benefits Due and Payable ................................................................... 118

 Note 16. Insurance and Guarantee Program Liabilities..................................... 119

 Note 17. Advances from Others and Deferred Revenue.................................... 120

 Note 18. Other Liabilities.................................................................................. 121

 Note 19. Collections and Refunds of Federal Revenue ..................................... 123

 Note 20. Commitments...................................................................................... 126

 Note 21. Contingencies ..................................................................................... 129

 Note 22. Funds from Dedicated Collections...................................................... 136

 Note 23. Fiduciary Activities............................................................................. 142

 Note 24. Long-Term Fiscal Projections............................................................. 144

 Note 25. Social Insurance.................................................................................. 150

 Note 26. Stewardship Property, Plant, and Equipment...................................... 159

 Note 27. Disclosure Entities and Related Parties .............................................. 160

 Note 28. Public-Private Partnerships................................................................. 166

 Note 29. COVID-19 Activity ............................................................................ 167
 Note 30. Subsequent Events ............................................................................. 168

Required Supplementary Information (Unaudited)

 The Sustainability of Fiscal Policy.................................................................... 170

 Social Insurance ................................................................................................ 181

 Social Security and Medicare .......................................................................... 181

 Railroad Retirement, Black Lung, and Unemployment Insurance .................. 195

 Deferred Maintenance and Repairs ................................................................... 197

 Other Claims for Refunds.................................................................................. 197

 Tax Assessments ............................................................................................... 198

 Federal Oil and Gas Resources.......................................................................... 198

 Federal Natural Resources Other than Oil and Gas........................................... 200

 Land and Permanent Land Rights ..................................................................... 201

Other Information (Unaudited)

 Tax Burden........................................................................................................ 204

 Tax Gap ............................................................................................................. 205

 Tax Expenditures............................................................................................... 205

 Unmatched Transactions and Balances............................................................. 207

Appendices

 Appendix A: Reporting Entity........................................................................... 208

 Appendix B: Glossary of Acronyms.................................................................. 212

U.S. Government Accountability Office Independent Auditor’s Report...... 218

For a complete listing of frequently used acronyms found 

throughout the Financial Report, please refer to the Glossary 

of Acronyms located in Appendix B.