I've told all my clients that my fee is DOUBLE if stuff comes in after 31 December. So I've got just one to go, straightforward £200 job that I'll get £400 for. Amazingly she's a repeat offender, happens 2 years out of 3. Keeps me in the style etc..
I take the view that you just need unambiguous written authority, which can be an Email.
Absolutely agree with this - unambiguous being the key word. I don't see a need to quote the 32 digit number - if you've only sent them one return that's the one they'll be referring to. But unambiguous does mean rather more than a text saying "OK"!
Love the original email. I'd have been inclined to respond with something like "I take it you're really busy, so I'll explain that to HMRC and hopefully they'll let you off doing a tax return this year". I don't tend to have too many problems as I double my charge-out rate for tax returns received after 1 December (clearly stated in 6 April letter), so if they do come in late I'm happy doing the work for silly money. And yes, I do charge the extra, and yes, they do pay! But ususally only for one year, and next year it all comes in earlier. You have to be cruel to be kind sometimes!
I disagree with the general thrust of these replies. I have several clients like this. If the accounts only include, e.g. business use of car/telephone, and the private part is charged to drawings, then just show those on the return with no add backs. To be on the safe side include a white space note saying "Private use of ..... charged to drawings". Easy. No need to create extra work. Reduce your fees accordingly!
I disagree with the general thrust of these replies. I have several clients like this. If the accounts only include, e.g. business use of car/telephone, and the private part is charged to drawings, then just show those on the return with no add backs. To be on the safe side include a white space note saying "Private use of ..... charged to drawings". Easy. No need to create extra work. Reduce your fees accordingly!
Few do, because the medical defence organisations provide cover for the main risk, and the other risks are not worth the hassle of becoming a LLP. What do you perceive to be the benefit?
Just to let you know that 17 months later HMRC have given in. As you advised we got Keith Gordon to advise, and he would have taken it to Tribunal, but we managed to win at the Independent Review stage. So thanks for your useful recommendation.
It's easy - just learn to say "no". Don't advertise, don't promote yourself. Just refuse point blank to take people on, however nice they are, however profitable it would be for you. I did this 20 years ago. The doomsters all said I would lose work and I haven't - I have a reputation for being exclusive and people beg me to take them on, but I just say no. If I lose a client for whatever reason I may take on the next through the door, but usually I am relieved to gain a bit more time because clients expand and grow. Price out all the awkward ones, devote quality time to the good ones, keep your fees reasonably high and they'll pay enough to keep you comfortable, and they'll stay loyal for years. DON'T take on employees/subcontractors - you'll just spend even more time supervising and reviewing.
In the short term tell a few time-consuming clients that you think they need a specialist firm and pass them on. Don't worry about losing fees - you didn't have time to do the work let alone bill them for it.
I only earn two-thirds what partners in a medium-sized firm would earn because I only work half as hard: what's the point of earning a bomb if you've no time to spend it? I have a few firms I rate that I recommend people go to instead, and it gives me a good supply of free lunches and specialist advice.
My answers
I've told all my clients that my fee is DOUBLE if stuff comes in after 31 December. So I've got just one to go, straightforward £200 job that I'll get £400 for. Amazingly she's a repeat offender, happens 2 years out of 3. Keeps me in the style etc..
Absolutely agree with this - unambiguous being the key word. I don't see a need to quote the 32 digit number - if you've only sent them one return that's the one they'll be referring to. But unambiguous does mean rather more than a text saying "OK"!
Love the original email. I'd have been inclined to respond with something like "I take it you're really busy, so I'll explain that to HMRC and hopefully they'll let you off doing a tax return this year". I don't tend to have too many problems as I double my charge-out rate for tax returns received after 1 December (clearly stated in 6 April letter), so if they do come in late I'm happy doing the work for silly money. And yes, I do charge the extra, and yes, they do pay! But ususally only for one year, and next year it all comes in earlier. You have to be cruel to be kind sometimes!
I disagree with the general thrust of these replies. I have several clients like this. If the accounts only include, e.g. business use of car/telephone, and the private part is charged to drawings, then just show those on the return with no add backs. To be on the safe side include a white space note saying "Private use of ..... charged to drawings". Easy. No need to create extra work. Reduce your fees accordingly!
I disagree with the general thrust of these replies. I have several clients like this. If the accounts only include, e.g. business use of car/telephone, and the private part is charged to drawings, then just show those on the return with no add backs. To be on the safe side include a white space note saying "Private use of ..... charged to drawings". Easy. No need to create extra work. Reduce your fees accordingly!
New accountants
Did the new accountants contact you for professional clearance?
If yes, what did you tell them?
If no I would complain to their professional body.
If they don't have one then ignore this post!
Incorporation
Few do, because the medical defence organisations provide cover for the main risk, and the other risks are not worth the hassle of becoming a LLP. What do you perceive to be the benefit?
Surgeon - base of operations
Hi
Just to let you know that 17 months later HMRC have given in. As you advised we got Keith Gordon to advise, and he would have taken it to Tribunal, but we managed to win at the Independent Review stage. So thanks for your useful recommendation.
Philip
Say "no"
It's easy - just learn to say "no". Don't advertise, don't promote yourself. Just refuse point blank to take people on, however nice they are, however profitable it would be for you. I did this 20 years ago. The doomsters all said I would lose work and I haven't - I have a reputation for being exclusive and people beg me to take them on, but I just say no. If I lose a client for whatever reason I may take on the next through the door, but usually I am relieved to gain a bit more time because clients expand and grow. Price out all the awkward ones, devote quality time to the good ones, keep your fees reasonably high and they'll pay enough to keep you comfortable, and they'll stay loyal for years. DON'T take on employees/subcontractors - you'll just spend even more time supervising and reviewing.
In the short term tell a few time-consuming clients that you think they need a specialist firm and pass them on. Don't worry about losing fees - you didn't have time to do the work let alone bill them for it.
I only earn two-thirds what partners in a medium-sized firm would earn because I only work half as hard: what's the point of earning a bomb if you've no time to spend it? I have a few firms I rate that I recommend people go to instead, and it gives me a good supply of free lunches and specialist advice.
Just be brave and learn to say "no"!
Daft or what!
Thanks Stephen - so SCC is right after all. But what a complete waste of time - another bent banana from Brussels!