Share this content

Insisting on copy purchase invoices

Didn't find your answer?

Self Assessment...

I'm curious, what's your policy regarding copy invoices for expense deductions?

Do you insist on physically seeing copy invoices and receipts from clients?

Or if they send a spreadsheet breakdown and confirm they have the copies stored after hearing all the consequences / advice from you, is that suitable?

Replies (10)

Please login or register to join the discussion.

avatar
By OldParkAcct
15th Oct 2021 12:40

You are preparing a tax return not completing an audit. Why would you need to see every invoice? If something looks unusual then perhaps ask for invoice to clarify that an error has not been made, unless client is happy to pay for every item of income and expense to be scrutinised.

Thanks (4)
By Moonbeam
15th Oct 2021 14:52

I ask for invoices for unusual purchases, or for large amounts, not the whole lot.

Thanks (1)
ALISK
By atleastisoundknowledgable...
15th Oct 2021 17:37

I only ask is somethings confusing/suspicious. But TBH whatever answer they give I accept. I’m filling in a form based on the info they provide, not auditing them.

Thanks (0)
avatar
By zebaa
16th Oct 2021 10:39

Even audit only samples. Huge amount of work to do otherwise for all but the smallest business.

Thanks (0)
avatar
By Catherine Newman
16th Oct 2021 14:04

I agree with all of the above. Only ask if something stands out that is likely to cause HMRC to ask the question.

Thanks (0)
avatar
By Calculatorboy
17th Oct 2021 20:55

We are not bloodhounds

Thanks (0)
avatar
By meadowsaw227
18th Oct 2021 12:08

I always ask for ALL expense invoices - whether or not I actually look at them all is another matter.
I do not want the client to think that I just rubber stamp their returns and that I would subsequently hide behind "the client supplied the info" as an excuse at a latter date.

Thanks (0)
Replying to meadowsaw227:
avatar
By Carolynne
18th Oct 2021 15:15

Me too, I always ask for all invoices, and I can then select the ones I want to view, that are unusual or higher amounts etc. In this way, the client will in the main, obtain the invoices so that if they should be chosen by HMRC for a review, the panic of having to scurry around for them would be over, as they are already prepped.

Indeed, one thing I say to clients, who these days receive invoices by WhatsApp, Email, via Paypal etc. If you had to go back and trace your steps to obtain them, how much time would it take. Whereas if you store them all in once place from the outset, the job is done as you go along.

Thanks (0)
Replying to meadowsaw227:
paddle steamer
By DJKL
18th Oct 2021 16:06

The key then is to make it very clear within both your engagement letter and also on the actual fee note that you issue that you do not check all invoices received from the client, if you are insisting upon receiving them all but not making it explicit you are not checking all there might be an argument you were negligent were a cost to be claimed that ought not have been claimed. "I gave to my accountant and he/she did not flag I ought not to have claimed XXXXXX"

I used to put on fee notes something like "Reviewing input vat invoices each quarter (note we do not check all invoices)"

Thanks (1)
Replying to DJKL:
avatar
By Carolynne
18th Oct 2021 16:15

That is very good advice

Thanks (0)
Share this content