- Original Poster
- #1
Hi there, I just need some advice really - I set up my small online business 4 1/2 years ago, I completed my own accounts on basic excel spreedsheets detailing column based calculations of sales vat and totals then another one for purchases ( expenditure) grouping common expenses such as stock stationery postage drawings bank charges and the such like.
At the end of year I would take information from the 3rd spreadsheet which showed accumlative figures - pretty simple so I thought, but I didnt realise that the stock balance for end of year needed to be added to the profits. I then was discussing with a friend who had previously owned a business and said that I should use a package such as quickbooks or even appoint an accountant.
After experiencing emmense concern and worry that I may in fact be doing something incorrect and hearing of my friends husbands horror storhy of being investigated and slapped with a 90,000.00 bill from hmrc, also I discovered that I had exceeded the £75,000.00 annual sales threshold to become Vat registered, I decided maybe I should hand over to an accountant.
Therefore, 2 years later but before the 2nd years tax submission was due I appointed a local accountant who owned a Tax Assist franchise. We agreed a fixed fee of £500.00 per year for the book-keeping quarterly vat submissions and annual tax self assesment.
I was so relieved and felt tht such a huge weight had been lifted from my shoulders. Unfortunately, as time went on - I realised that I was just getting quarterly e-mails from my accountant just giving me the vat figures to be paid to HMRC without any breakdown of where thesee figures had come from. I was finding that I was running y business in the dark regarding figures, I didnt receive any sales figures mothly or quarterly and hadnt a clue how well or how badly I w as doing.
I raised this issue on several occasions, but the accountant assured me that I wasin good hands and not to worry I could see figures on the annualy tax return and the annual draft accounts that needed to be signed. This continued for a year and a half.
I decided to raise the subject of the figures as I was not happy ploughing through until the year end to discover whether the business had done ok or not. My accountant become quite hostile nd advised that he couldnt see what the problem was, he advised that the best form of action would be to go in a visit the offices every now and again to view the details on his computerised system (not sure what he used).
This was of great inconvenience and I declined but diud advise that if he couldnt provide the figures I required then I would have to re-consider his services and seek an alternative company of accountants to help me with my needs.
He then advised that at the end of that current quarter he would cease his professional relationship with me he saw no reason for us to continue if I was not happy with his work. The last quarter again I received an email detailing the figures payable for vat purposes but this time had total sales and purchases, it was then that I realised the figure he had advised me to pay was the same figure of the purchases I paid the sum as it was due that day to be paid, but I questioned him about it and he admitted he had made a mistake!
In the meantime my accounts were due for submission 09-10 I submitted my closing stock sheet with liuidtion figures as I had done previously and he refused to ccept them stating that the figure should be at least double that of the opening balance from the year before. Most of my stock is discontinued and some dates back to 2007, I had already begun to wind down the stock content on his advice as he stated it was dead money and had bought in far less stock than that of the year before so I am unsure why he is doubting my figures, he requested the more recent stock that I had bought in should be valued at the cost price, but I stated an average of £2.50 per pice should take this into consideration as some was worth more and some far less, but stull he will not accept this.
I had requsted that he continue with my accounts until the end of this financial year to give me time to seek alternative help but he has refused.
I received an e-mail today stating that if I do not submit the stock sheet within the next 7 days for the 09-10 self assessment, he would return all my documentation via courier and presume I have found alternative help!!!! The self assessment is not due for submission until Jan-11 and he submited 08-09 Jan of this year.
I am soo worried and stressed out by all this I have just buried my head in the sand - I have even considered giving up my business as now I have a complete gap in my accounts from what I used to do at home and dont know where to start to rebuild the history for the past 2 1/2 yrs
Im sorry for the essay but needed to explain the whole situation regarding this I suffer from stress and am left feeling completely vulnerable, my vat is due to be paid at the end of the month and I dont even have my log in details he has everything!!!
Can anyone advise me at all? I thinking of lodging a complaint to the head office of Tax Assist, but will definitely be cancelling my direct debit until my accounts have been signed off for this year.
Look forward to hearing anyone that can help
At the end of year I would take information from the 3rd spreadsheet which showed accumlative figures - pretty simple so I thought, but I didnt realise that the stock balance for end of year needed to be added to the profits. I then was discussing with a friend who had previously owned a business and said that I should use a package such as quickbooks or even appoint an accountant.
After experiencing emmense concern and worry that I may in fact be doing something incorrect and hearing of my friends husbands horror storhy of being investigated and slapped with a 90,000.00 bill from hmrc, also I discovered that I had exceeded the £75,000.00 annual sales threshold to become Vat registered, I decided maybe I should hand over to an accountant.
Therefore, 2 years later but before the 2nd years tax submission was due I appointed a local accountant who owned a Tax Assist franchise. We agreed a fixed fee of £500.00 per year for the book-keeping quarterly vat submissions and annual tax self assesment.
I was so relieved and felt tht such a huge weight had been lifted from my shoulders. Unfortunately, as time went on - I realised that I was just getting quarterly e-mails from my accountant just giving me the vat figures to be paid to HMRC without any breakdown of where thesee figures had come from. I was finding that I was running y business in the dark regarding figures, I didnt receive any sales figures mothly or quarterly and hadnt a clue how well or how badly I w as doing.
I raised this issue on several occasions, but the accountant assured me that I wasin good hands and not to worry I could see figures on the annualy tax return and the annual draft accounts that needed to be signed. This continued for a year and a half.
I decided to raise the subject of the figures as I was not happy ploughing through until the year end to discover whether the business had done ok or not. My accountant become quite hostile nd advised that he couldnt see what the problem was, he advised that the best form of action would be to go in a visit the offices every now and again to view the details on his computerised system (not sure what he used).
This was of great inconvenience and I declined but diud advise that if he couldnt provide the figures I required then I would have to re-consider his services and seek an alternative company of accountants to help me with my needs.
He then advised that at the end of that current quarter he would cease his professional relationship with me he saw no reason for us to continue if I was not happy with his work. The last quarter again I received an email detailing the figures payable for vat purposes but this time had total sales and purchases, it was then that I realised the figure he had advised me to pay was the same figure of the purchases I paid the sum as it was due that day to be paid, but I questioned him about it and he admitted he had made a mistake!
In the meantime my accounts were due for submission 09-10 I submitted my closing stock sheet with liuidtion figures as I had done previously and he refused to ccept them stating that the figure should be at least double that of the opening balance from the year before. Most of my stock is discontinued and some dates back to 2007, I had already begun to wind down the stock content on his advice as he stated it was dead money and had bought in far less stock than that of the year before so I am unsure why he is doubting my figures, he requested the more recent stock that I had bought in should be valued at the cost price, but I stated an average of £2.50 per pice should take this into consideration as some was worth more and some far less, but stull he will not accept this.
I had requsted that he continue with my accounts until the end of this financial year to give me time to seek alternative help but he has refused.
I received an e-mail today stating that if I do not submit the stock sheet within the next 7 days for the 09-10 self assessment, he would return all my documentation via courier and presume I have found alternative help!!!! The self assessment is not due for submission until Jan-11 and he submited 08-09 Jan of this year.
I am soo worried and stressed out by all this I have just buried my head in the sand - I have even considered giving up my business as now I have a complete gap in my accounts from what I used to do at home and dont know where to start to rebuild the history for the past 2 1/2 yrs
Im sorry for the essay but needed to explain the whole situation regarding this I suffer from stress and am left feeling completely vulnerable, my vat is due to be paid at the end of the month and I dont even have my log in details he has everything!!!
Can anyone advise me at all? I thinking of lodging a complaint to the head office of Tax Assist, but will definitely be cancelling my direct debit until my accounts have been signed off for this year.
Look forward to hearing anyone that can help
