Member Since: 24th Jun 2009
9th Dec 2011
How do Creditors know when a company is in liquidation?
I am not very clued up on Liquidation. Who is responsible for informing creditors when a company is in liquidation? For example, a Carrier Company went into Creditors Voluntary Liquidation leaving all of its customers holding worthless payment books of stamps to put on the parcels - paid in advance, of course. Many customers? 100s, some with £100 worth of stamps up to one with £1,500. We got caught for £300+ and I have a few clients and suppliers who got caught for a similar amount as well. We filled in a form the Liquidator supplied but have no chance of getting anything and we found him in the London Gazertte when it appeared the Creditors Meeting had already been held and everything had been tied up already. The Liquidator took the view that it is up to the Creditors to check the Gazette but why should you if you dont know the company is in liquidation? The same Limited company is still a partner in a Limited Liability Partnership formed a few months before the company went down. The company were ringing round a couple of days before the date they ceased trading trying to sell more books of stamps. The Director has directorships with about 13 companies (3 struck off or liquidated) including one of the very largest animal charities of which he is also a trustee. I think it all smells bad. I understood you had to be squeaky clean to be a Trustee of a Charity.
5th Dec 2011
This must be an enormous untapped source for the Taxman. We ordered some fancy baking tins for our China Parade on-line store. The supplier telephoned and asked for our VAT number. When I explained we were not registered they pressed me to give them a number - anyone's number as they could only supply with a VAT number! I declined and cancelled the order. On Ebay there are now many many of these baking tins being sold by people far smaller than us so it follows that this is happening on a grand scale as this is just a very minor instance . All you have to do is dream up a GB 9 figure number or use someone else's (the first one I found on my desk is on the Royal Mail's bill for our PO Box !) ........ It is not just Ebay, its the Web Site retailers as well.
I would love to have to register for VAT it might mean we were makinig money out of the business and I could stop pushing bits of paper aound! (:-(.
5th Dec 2011
When I first started the business in the mid 90s I really struggled to put together balance sheets. I spoke to an Inspector on the telephone regarding a client (aaah, the old days!) and he asked if he could give me a tip, namely that there is nothing in Tax Law that can require a balance sheet for a business so small and that they are the Inspector's "toe in" to examine the accounts. He also said that the majority of Inspectors didn't know how to read a balance sheet anyway(;-). The Inspector had trained with the Revenue and then left to go into a Practice and then returned to the Revenue so he knew what it is like out here "in the real world", the world of the carrier bags delivered on 28th January each year full of receipts which have been left on a car dashboard to bleach for many months.
26th Sep 2011
It's about time
I have a minor case of a £100 fine for failure to send a manual Return by 31 October. HMRC were informed on a 64-8 of Income from property in April 2010. Despite many requests they refused by omission to advise UTR. My client is a lady whose husband looks after all affairs like this - both his own and his wife's. He is a senior Health Service Specialist in Sheffield and is extremely good at sending all paperwork to me. HMRC say they sent UTR number to client (more than once) and as correspondence did not come back they consider client received it. For some reason they persistently refused to send it to me as Agent. After protracted official complaint HMRC wont back down and it should go to Tribunal. I have advised client to pay up as the cost would be prohibitive. How can you convince a tribunal that lies are being told? I am 110% certain that the all the fault lies with HMRC. I had an identical case to this one (both 64-8s sent in the same post) but when I complained about the penalty I got an apology.
I dread taking on a new client as the 64-8 is ALWAYS a problem when there is no previous UTR. What a farce. I am "winding down" so only get the occasional client by referral; I dont think I could cope if I could not see the end. I dont know how people with big practices cope.
16th Sep 2011
Many thanks from a very small agent.
14th Sep 2011
mydoghasfleas has a good idea there. If we all did this we wwould be making a definite statement and just maybe things might change for the better. It would certainly get leaked to the press. I send all my post "Special Delivery Next Day Signed for" but some HMRC offices refuse to sign and the post office just leave it on the desk. I have just sent off a 64-8 for a new client by this method but although it was posted on 2nd September Royal Mail can only confirm that it left their office for delivery. In other words probably the most inefficient part of HMRC at Longbenton are refusiing to sign so that there is no come back on them when they lose post. It is a simple AA job to do this. When I was with the Revenue I remember AAs binning their post to clear their desk when unsupervised (most of the time). It looks as if this practice is still going on in CAA. Longbenton, and if they dont sign for their post they dont have to answer it. What a farce.
3rd Jun 2011
Well said whiteways. My sentiments exactly, although I only have about 30 clients.
2nd Jun 2011
I wonder whether this discussion was in place if we were talking doctors. I doubt anyone would agree to be operated by ‘very good’ but yet unqualified doctor.
Posted by Suntree on Thu, 02/06/2011 - 11:52
I hate to tell you this, but a huge number of patients are treated by unqualified doctors - trainees. Indeed when I had a heart attack I was initially treated by a trainee - who saved my life.
Posted by C_D on Thu,2/6/2011
It is strange that this question has come up. I had a client come to see me yesterday, she is a Locum Occupational Therapist of many years qualified experience and she is extremely worried, even horrified, by the number of unqualified/untrained medics at all levels treating the public in our hospitals today.
1st Jun 2011
posted by Accountant78 -
Also yes let's get our profession restricted to those who have passed appropriate examinations and get rid of 'Dave from down the pub'.
And yes, I hear the protests from all of the competent unqualifieds of which I know there are many - the simple answer for you is to take the exams.
I wondered how long it would take for a 'proper' accountant to jump on the bandwagon - just 14 posts(:-).
My simple answer ?
a) I am far too ancient to take exams but still have 33 years experience under my belt (from gamekeeper to poacher as the District Inspector said at my retirement 'do').
b) I take on clients with little or no idea of keeping paperwork and induce them to find years' worth of papers, bank statements etc as they are usually years behind (akin to pulling hen's teeth), and have little money to pay a 'qualified' accountant who would not want the job anyway. Some of us have to get down and dirty with the type of taxpayer I represent. When HMRC have inquired into such clients they have accepted my accounts as they are perfectly aware that such taxpayers exist. I only act for sole traders and partnerships, never Companies, so I am hardly a threat to the legions of 'qualifieds' out there.
c) I am certain that this will be a money making exercise by HMRC. I already have to pay £120 for MLR so I would expect that it will be a similar amount for little fish like me. I am trying to wind the practice down but HMRC is forcing me to keep in business just to pay for their "licences".
TheAncientOne (Dave down the Pub)
18th Apr 2011
Can anyone remember the fraud that instigated the request that all cheques be made out to "Inland Revenue Only"? (Before they became HMRC, of course). I think it was something to do with an individual setting up a bank account in the Inland Revenue name?