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Accountant

gleneagles
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Accountant

Anyone know the position if an Accountant has made an error on your tax returns and a letter arrives from the tax office to say you need to pay £ x ?

Of course you have to pay it but is the accountant liable in any way ?

Hasten to add I have never had the need for an accountant as tax was deducted from my pay but a friend who is self employed has had an unexpected tax bill even though he has an accountant.

We are born into history and history is born into us.
11 REPLIES 11
nozzer
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Re: Accountant

@gleneagles 

HMRC takes the stance that you are ultimately responsible for what is contained in your tax return, even if it was prepared by someone else. So in an ideal world you should cast an eye over it before signing to check that you are satisfied with it.

If it's wrong, then you pay the price. You may be able to sue the accountant if the liability is large enough, ie worth the expenditure on legal fees, but there is always the risk that the accountant doesn't have any legal liability insurance, so it might be pointless. Caveat emptor, and all that. 

gleneagles
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Re: Accountant

@nozzer 

Thanks for the information.

Seems wrong that someone who is a qualified person can take  no responsibility for work they are paid to do.

Most other professions have bodies that can impose sanctions if errors occur ie: medical, nursing, legal, et al.

Fortunately I have never needed the services of an accountant.

Smiley

We are born into history and history is born into us.
nozzer
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Re: Accountant

@gleneagles 

If that person is a member of a professional accountancy organisation, he can be "struck off" if the misdemeanour is bad enough. You'll still have the bill though! 😁

Edit: We could do with a professional politician's organisation so that a few can be struck off. 

TeeGee
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Re: Accountant

How did HMRC discover and error that escaped the notice of both yourself and your accountant? Was it content or simply arithmetical?

 

Mav
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Re: Accountant


@gleneagles wrote:

Fortunately I have never needed the services of an accountant.

Smiley


Shouldn't that be unfortunately Wink

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Minesapint
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Re: Accountant

@Mav Reminds me a bit of a conversation I had with my accountant.

I said, "I wish I had to pay a million a year tax"

He said, "I take your point, but if you did have to you'd feel differently"

Champnet
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Re: Accountant

You could afford to hire an Accountant specialising in ‘tax efficiency’.

nozzer
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Re: Accountant

An accountant visited the Natural History Museum. While standing looking at a dinosaur he said to his friend "This dinosaur is three billion years and nine months old".

"How can you be so precise?" said his friend.

"I was here nine months ago, and the guide told me that the dinosaur was three billion years old."

Minivanman
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Re: Accountant

@nozzer 

Just another example of an accountant getting it wrong!

Three billion? Try sixty five million. Buck2


Don't limit the friends you haven't met with arguments you'll never have.
Luzern
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Re: Accountant

Was the error found on @gleneagles  tax return one that had been missed in previous years? I don't think that impossible, having experienced it myself. My district accepted my abbreviated CGT calculations without question; my wife's wanted ite inside of a nag's ( please supply next word as you wish) . Dealing with m-i-l's affairs I reported some income from stripped bonds held in a trust for her set up by her second husband, I reported then in what I thought was the right section. next year I was rebuked.

No one has to agree with my opinion, but in the time I have left a miracle would be nice.
Minivanman
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Re: Accountant

@Luzern 

How many accountants does it take to change a light bulb?

A: How many did it take last year?

Smiley


Don't limit the friends you haven't met with arguments you'll never have.