A client of mine recently invested in a business as a non-exec shareholder, which was represented by a firm who I believe are unregulated. They list an ICAEW firm as an "associate" but don't appear to be ICAEW themselves.
I was appalled to discover that they had gone off and filed a 2020 personal tax return for her without her knowledge/consent. She has expressed this in writing. It is wrong of course because they didn't bother writing to us for professional clearance and they set the business address as her home address so she has confirmed that she didn't see anything.
They emailed me today - fairly flippantly - to say that there was some confusion and they attached the "approval" letter that went with the return - to the wrong address of course.
The last sentence on the letter is "can you send an email back to approve your tax return. If we do not get a response within 14 days we will file this tax return".
The tax return includes a legal statement by the taxpayer but clearly, this policy means they are filing tax returns in people's names without their knowledge or permission - especially if they send it to the wrong address.
What can I do about this? My client's position has been compromised but filing an unapproved tax return is surely illegal? Is there an HMRC contact? Money laundering report?
Frankly, I'm getting a bit fed up with the behaviour of unregulated accountants. I know it's unfair to tar all with the same brush, but the really bad firms seem to be unreg'd in this way as there's no comeback...