Member Since: 1st Dec 2009
24th Aug 2012
If you are not likely to be paid for any work you do then I would suggest that you don't do any more than is absolutely necessary!
I may be wrong, but I do not think you are professionally obliged to work for nothing!
9th Aug 2012
I think a telling point here is also that Julie has stated that she was confused by the request for "Accounting policies".
The requirements of the Companies Act and GAAP/IFRS are not something you can simply "pick up" when compiling Company Accounts.
I would also strongly suggest that Julie obtains professional help when compiling Company Accounts. They are not simply Self-Employed accounts with the company name tacked on them!
Apologies if this is deemed a little patronising, but that "telling point" has me as worried as the tax implications involved here!
12th Jun 2012
I would ask them to let you know how much cash they need in a year to support themselves, their children and their lifestyle. When they come up with a ridiculously low amount (to justify their lower remuneration expectations and potential claim for CTC) show them an analysis of exactly how much they have actually drawn out of the bank etc in order to live for the past 2 or 3 years, and do a direct comparison for them.
If, as I suspect, the actual drawn exceeds what they estimate they need, ask them why, and where they might possibly think they can trim their outgoings.
I'd then set up a standing order for minimum salaries and the dividends that have been agreed to and tell them that they cannot take anything else out without prejudicing their CTC claims.
Also calculate for them the consequences of taking more out and the overdrawn DLA and the fact that as an overdrawn loan account is "deemed" to be distributions it might well cause a problem with the CTC anyway!
8th Jun 2012
Personally I'm surprised that in a rugby club, full (presumably) of hulking great rugby players, that this even got this far! Not that I'm suggesting anything other than a "peaceful and civilised" settlement to the matter you understand! But in my experience rugby players who have been "done over" tend to operate on the principal that "I can fix that ... come 'ere you!"
11th May 2012
Surely this is also affected by the "commuting" element of the mileage used?
24th Apr 2012
It's a thought! :D
But if it's a gradual trend then after it freezes there should be an obvious "missing" element in the following years accounts, so it really should be feasible to establish where it arose from, and how. "Forensic accounting" at it's best mate! :D
24th Apr 2012
Having read through this, if you get the accounts going back until the balance sheet item arises it must be possible to work out the debit entry!
This isn't a particularly small amount and it would surely be obvious, or at least reasonably obvious, as to where the other entry would be?
27th Mar 2012
As another thought why not just treat them as another long-term sub-contract and work on their stuff through your own firm. After all, you have been reliant on a large sub-contract so far, and this might be the next step enabling you to finance an increase in your own clients slowly and surely as you have done so far?
It also means you don't have to worry about sharing anything with the other partners and you can decide when you want to pull out and go it alone entirely. You won't have that option in a partnership!
22nd Mar 2012
Limited companies are covered by the Companies Act which has a "no netting off" rule!
Partnerships, as far as I am aware, do not?
22nd Mar 2012
Interesting. With a Partnership we used to act for under the FRS, the Partnership tax Return was queried and had to be amended to show the Gross sales as turnover with the FR VAT shown as a charge in the expenses! This was at the insistence of the Revenue!
Admittedly a couple of years ago now, but still!