What should I pay my inefficient accountant

E

elleirbag

Registered User
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HI...just looking for some general guidance here.

My accountant has finally prepared my 2007 and 2008 accounts after many phone calls from me.
No Company return was made last year and I will have to pay the maximum fine ( 1,200). he said because I didn;t give him data in time last year its my fault...and I can accept that, however I got no reminder from him either...I thought that he would have some responsibility for that?

I've had to phone him so many times to prepare my accounts, he admitted early in the New Year that he was snowed under and there was no way he was going to get to them in the immediate future.

In fairness he seems to be an OK accountant, I have learned a valuable lesson in that I see now how much I have to manage him rather than him managing me( I thought that's what I was paying for)

However to add insult to injury he now wants to charge me 2,500 for each tax year to prepare my accounts. ( 5,000 in total) When I initially met him he did say it would be 600- 700 euro ( that was in 2006), unfortunately I never got that in writing!

I think this is horrendous charging.:mad:
My company is fairly straightforward, I am a freelandce contractor. Last 2 years I worked some time in the UK so there was a bit "extra" to be done in terms of expenses, but apart from that I only invoice one company and there are no complicated expenses or anything like that.

Does anyone have a ballpark of what I should expect to pay for having a set of accounts prepared? ( Given the fact that I feel through his inaction I have incurred a 1,200 fine , he's known about it for 6 months and only mentioned it yesterday)
My tax returns are late going in, I'm hoping I don;t have to pay a fine!
Any guidance gratefully received
Mucha Gracias
Ella
 
Your going to be caught a few times with Revenue in respect to late filings.

A late CT 1 filing will result in a surcharge
A late Form 12 will result in a surcharge on the tax you already paid as a Director.

If what you said it correct and you are the only employee of the Company, I don't see why abridged accounts, tax returns etc can't be prepared for around 1000eur. That's how much I know a buddy of mine gets his done for and he's a contractor like you.
 
As for the late filing fees you are both to blame so ask him to share the costs at least!
 
Thanks for the replies, yes I would agree we are both to blame for the late filing however his suggestion was that it was all my fault!!
the advice I have gotten here is great and it gives me something to discuss with this guy when I see him again...Thank you
 
I think €1,000 - €1,500 per annum is a reasonable charge, and what I would charge if all relatively straightforward.

However, this would depend on accounting information being provided in an orderly and timely manner.
 
Because the submissions to the CRO are late, the accounts will now have to be audited, probably for both years, and you'll be hard pressed to get an accountant to audit accounts for less than a few grand per year, but there are many variables in that so other accounants could expand on that better than me. However, if you can get your accountant to accept some culpability for lack of communication, and therefore subsidise the late filing fees, that would be a help to you, but ultimately, it is your responsibility as a director to have your submissions done on time. You can delegate or contarct out services, but not your responsibility. The CRO write to every company and every director each year well in advance of teh company's annual return date, so if you did not get such letters, check that teh CRO has the right home address for you, and the correct registered office address for the company. If the registered office address is that of the accountant (sometimes this is done) then the accountant has a bigger question to answer as to why he left things to run for so long. Hope that helps.
 
Try to show clearer picture to give honest reply

1.What date was Company Incorporated in 2006 ?

2. who formed the company for you- was it him or did you get it done independtly.

2a. where was company registered office.

2b. had you access to all post- check what address revenue and company office have for you.

3.What is company annual return date?

4.What is the accounting year end?

5.who deals with paye/prsi returns?

6.who deals with vat returns?

7.who filed the first B1 Form after 6 months.(no accounts needed).

8. assume 31/12/06 year end would have to be filed in company office by 28/10/07(When is the first time he asked for information to prepare these accounts)

9. assume 31/12/07 year end would have to be filed in company office by 28/10/08(when is the first time he asked you for information to prepare these returns)

10.assume 31/12/08 year end would have to be filed in company office by 28/10/09- when did he request the information from you.

11. what does letter of engagement say.

12. check p35 filed for 2006/2007/2008

13. check director tax return filed for 06/07/08.

14. check ct1 form filed for 06/07/08.

15 check all vat returns filed if relevant.

15. get detailed copy of fee notes- what is he charging for

16. If you have a lack of trust with your current accountant, make sure all os returns are filed, agree fee and explain what you taught fee would be, listen to his answer and if still in doubt move accountants.
 
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