I took over a client recently, i am preparing their year end as well as moving to MTD software and making sure they are all compliant for VAT submissions.
By preparing the accounts i have come accross errors on all VAT returns submitted by the previous accountant totalling a material under declaration of +£6k
Now for the purpose of the year end accounts as at Dec 2018 should i make an adjustment to the sales/purchases/VAT and move the liability to the following year where i will complete VAT652, any fines surley shouldn't be the clients as theyr were paying for a service.
Box 6 under declared by £20,021.11
Box 7 over declared by £15324.40
Its been a right mess!
Any advice on year end process would be greatly appreciated.