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.......................... 42

Financial Statements

 Introduction ....................................................................................................... 52

 Statement of Net Cost........................................................................................ 59

 Statement of Operations and Changes in Net Position ...................................... 61

 Reconciliations of Net Operating Cost and Budget Deficit............................... 63

 Statements of Changes in Cash Balance from Budget and Other

 Activities ........................................................................................................... 64

 Balance Sheets................................................................................................... 65

 Statements of Long-Term Fiscal Projections..................................................... 66

 Statements of Social Insurance.......................................................................... 67

 Statement of Changes in Social Insurance Amounts......................................... 70

Notes to the Financial Statements

 Note 1. Summary of Significant Accounting Policies....................................... 72

 Note 2. Cash and Other Monetary Assets.......................................................... 84

 Note 3. Accounts Receivable, Net..................................................................... 85

 Note 4. Loans Receivable, Net and Loan Guarantee Liabilities........................ 86

 Note 5. Inventory and Related Property, Net .................................................... 90

 Note 6. General Property, Plant, and Equipment, Net....................................... 92

 Note 7. Investments........................................................................................... 93

 Note 8. Investments in Government-Sponsored Enterprises............................. 97

 Note 9. Advances and Prepayments.................................................................. 101

 Note 10. Other Assets........................................................................................ 102

 Note 11. Accounts Payable................................................................................ 103

 Note 12. Federal Debt and Interest Payable ...................................................... 104

 Note 13. Federal Employee and Veteran Benefits Payable ............................... 107

 Note 14. Environmental and Disposal Liabilities.............................................. 118

 Note 15. Benefits Due and Payable ................................................................... 120

 Note 16. Insurance and Guarantee Program Liabilities..................................... 121

 Note 17. Advances from Others and Deferred Revenue.................................... 122

 Note 18. Other Liabilities.................................................................................. 123

 Note 19. Collections and Refunds of Federal Revenue ..................................... 125

 Note 20. Commitments...................................................................................... 128

 Note 21. Contingencies ..................................................................................... 131

 Note 22. Funds from Dedicated Collections...................................................... 138

 Note 23. Fiduciary Activities............................................................................. 144

 Note 24. Long-Term Fiscal Projections............................................................. 147

 Note 25. Social Insurance.................................................................................. 153

 Note 26. Stewardship Property, Plant, and Equipment...................................... 162

 Note 27. Disclosure Entities and Related Parties .............................................. 163

 Note 28. Public-Private Partnerships................................................................. 169

 Note 29. COVID-19 Activity ............................................................................ 170
 Note 30. Subsequent Events ............................................................................. 172

Required Supplementary Information (Unaudited)

 The Sustainability of Fiscal Policy.................................................................... 174

 Social Insurance ................................................................................................ 185

 Social Security and Medicare .......................................................................... 185

 Railroad Retirement, Black Lung, and Unemployment Insurance .................. 200

 Deferred Maintenance and Repairs ................................................................... 202

 Other Claims for Refunds.................................................................................. 202

 Tax Assessments ............................................................................................... 203

 Federal Oil and Gas Resources.......................................................................... 203

 Federal Natural Resources Other than Oil and Gas........................................... 205

 Land and Permanent Land Rights ..................................................................... 206

Other Information (Unaudited)

 Tax Burden........................................................................................................ 208

 Tax Gap ............................................................................................................. 209

 Tax Expenditures............................................................................................... 210

 Unmatched Transactions and Balances............................................................. 211

Appendices

 Appendix A: Reporting Entity........................................................................... 212

 Appendix B: Glossary of Acronyms.................................................................. 216

U.S. Government Accountability Office Independent Auditor’s Report...... 222

For a complete listing of frequently used acronyms found 

throughout the Financial Report, please refer to the Glossary 

of Acronyms located in Appendix B.