I was wondering if there were any thoughts with regards to this:
I have just taken on a new client working in the medical profession. During our initial meeting, spreadsheets were produced by the new client, outlining the expenses that, to his knowledge, the existing accountant was 'allowing'.
Some of these expenses were as follows:
- Clothing for work - no logo, simply trousers, shirts and such like (certainly not PPE) 'needed for work'
- Mileage allowance - 45p per mile etc., but also, motor costs such as insurance, servicing and MOT testing
- Staff uniforms - None purchased
- Use of home as an Office - Having seen the claim value, it is evident that the flat scheme was not used, and client has never discussed the 'number of rooms' method. Has his own clinic to work from.
- There were other 'questionable' expenses - but not listed, as the list would be pretty long!!!
I am told that at no time has the expenses outlined on the spreadsheets ever been discussed, and that he would 'send them off' and then meet to agree the tax liability, sign the accounts and tax return and then simply pay the bill.
Maybe I'm being a little naive, but surely you would expect a sizable accounting practice to offer a better service than outlined. Or is it a case of, 'well you agreed these figures - not our fault that HMRC does not agree with you'.
Please let me know what you think - thanks