We are committed to providing a high standard of customer service. We welcome suggestions on how our service to you could be improved. We hope that you will not have the need to complain but if you do, we will look into your complaint carefully and promptly and do all we can to explain the position to you and address your concerns.
All accounts, statements and reports prepared by us are for your exclusive use within your business or to meet specific statutory responsibilities.
No third party shall acquire any rights under this agreement to provide professional services.
These terms are governed by, and construed in accordance with the law of the relevant UK jurisdiction as determined by law. Each party irrevocably waives any right it may have to object to any action being brought in Courts of the relevant jurisdiction.
Agreement of terms
Once agreed, these terms will remain effective from the date of signature until it is replaced. Either party may vary or terminate our authority to act for you at any time without penalty. Notice of termination must be given in writing.
If anything is unclear to you or you require any further information please let us know.
ANNUAL ACCOUNTS – LIMITED COMPANIES
Responsibilities of Directors
As director of the company, under the Companies Acts you are responsible for ensuring that the company maintains proper accounting records and you are ultimately responsible for preparing accounts.
You undertake to keep records of sales invoices, purchase invoices, receipts and payments, together with any other documents relating to the company’s transactions and activities. It will also be necessary for you to provide a record of stock at the company’s year end.
A private company is usually required to file its accounts at Companies House within 9 months of the year end. The company will be liable to fines if it fails to do so. In order to avoid this we will produce statutory accounts, suitable for filing, within the required period, provided all your records are complete and presented to us within five months of the year end, and all our queries are promptly and satisfactorily answered.
You will complete all other returns required by law, for example, confirmation statements and notifications of changes in directors and Persons of Significant Control (PSC’s), unless you have asked us specifically to deal with these for you. We shall, of course, be pleased to advise you on these and any other company matters if requested.
Responsibility of the accountants
We will prepare the company’s accounts on the basis of the information that is provided to us and some or all of this work may be undertaken by our subcontractors in the UK or abroad. We will also draft the accounts in accordance with the provisions of the Companies Act, and related Accounting Standards for approval by the Board.
Should our work lead us to conclude that the company is not entitled to exemption from an audit of the accounts, or should we be unable to reach a conclusion on this matter, then we will advise you of this.
You have instructed us to prepare your financial statements for the year(s) ended as agreed and subsequent years. It was agreed that we should carry out the following accounting and other services:
1. write up the accounting records of the company insofar as they are incomplete when presented to us;
2. complete the postings to the nominal ledger; and
3. prepare the accounts for approval by yourselves.
You agree that you will arrange to:
1. keep the records of receipts and balances;
2. reconcile the balances monthly with the bank statements;
3. post and balance the purchase and sales ledgers;
4. extract a detailed list of ledger balances; and
5. prepare details of the annual stocktaking, including prices and in a form which will enable us to verify the prices readily by reference to suppliers’ invoices.
6. prepare details of work-in-progress at the accounting date and make available to us the documents and other information from which the statement is compiled.
You are responsible for the detection of irregularities and fraud. We do not undertake to discover any shortcomings in your systems or any irregularities on the part of your employees or others, although we will advise you of any that we encounter in preparing your accounts, unless prohibited from doing so by the Anti Money Laundering Legislation.
We will report that in accordance with your instructions and in order to assist you to fulfil your responsibilities, we have compiled, without carrying out an audit, the accounts from your accounting records and from the information and explanations supplied to us.
We have a professional duty to compile accounts which conform with generally accepted accounting principles and which comply with the Companies Acts and applicable accounting standards.
If it is agreed that we should carry out the following accounting and other services:
1. keep the records of receipts, payments and balances;
2. reconcile the balances monthly with the bank statements;
3. post and balance the purchase and sales ledgers;
4. extract a detailed list of ledger balances;
5. prepare details of the annual stocktaking and work in progress, suitably priced and extended in a form which will enable us to verify the prices readily by reference to suppliers’ invoices;
6. complete the postings to the nominal ledger;
We will prepare the bookkeeping on the basis of the information that is provided to us and some or all of this work may be undertaken by our subcontractors in the UK or abroad.
You are responsible for the detection of irregularities and fraud. We would emphasise that we cannot undertake to discover any shortcomings in your systems or any irregularities on the part of your employees or others, although we will advise you of any that we encounter.
We will prepare a computation for corporation tax purposes adjusted in accordance with the provisions of the Taxes Acts for the relevant year end and all subsequent years. We will also prepare and file the corporation tax return (form CT600) required under the Corporation Tax Self Assessment regulations within 12 months of the year end. The corporation tax return, together with the supporting corporation tax computations, will be sent to you for approval and signature prior to submission to the Inspector of Taxes.
You accept that in law a taxpayer cannot contract out of his fiscal responsibilities and that computations and return forms are prepared by us as agent for the company. You also accept that you are legally responsible for making correct returns and for payment of tax on time. If we ask you for information to complete the tax return and it is not provided within the time-scale requested, so that the preparation and submission of the return are delayed, we accept no responsibility for any penalty or interest that may arise.
We will advise you of the corporation tax payments to which the company will be liable, together with the due date of payment. You must inform us immediately if the company pays or receives any interest, or transfers any asset to any shareholder.
Where necessary we will deal with any queries raised by the HM Revenue & Customs and negotiate with HM Revenue & Customs on any question of taxation interest or penalties which may arise.
Any time we need to spend over and above answering straightforward queries raised by the HM Revenue & Customs is additional work for which we will need to charge separately. We will inform you before undertaking any extra work in respect of HM Revenue & Customs enquiries.
To enable us to carry out our work you agree:
1. to make a full disclosure to us of all sources of income, charges, allowances and capital transactions and to provide full information necessary for dealing with the company’s affairs. We will rely on the information and documents being true, correct and complete;
2.to respond quickly and fully to our requests for information and to other communications from us;
3. to provide us with information in sufficient time for the company’s self-assessment tax return to be completed and submitted by the due date. In order to do this, we need to receive all relevant information within 5 months of the year end; and
4. to forward to us on receipt copies of all statements of account, letters and other communications received from HM Revenue & Customs and Companies House to enable us to deal with them as may be necessary within the statutory time limits.
5. we can approach such third parties as may be appropriate for information that we consider necessary to deal with your affairs and undertake to authorise such third parties to communicate directly with us.
Payroll and year end returns
In order for us to prepare your payroll and HMRC payroll returns known as Real Time Information (RTI) returns we will need the following information from you:
Personal details of all employees (i.e. name, NI number, home address,) and other data as required by HMRC.
Notification of new employees or employees leaving your employment.
All P45's received by you.
1. If no P45 is received, you are required to provide Starter Check Lists, or equivalent, and pass that information to us for processing.
2. Notification of any employee who is ill for four or more calendar days, including weekends, bank holidays etc in time for the operation of payroll to enable us to operate statutory sick pay for you.
3. Notification of any employee who becomes pregnant or who adopts, or whose partner becomes pregnant or adopts. This will enable us to operate statutory maternity, adoption and paternity pay.
4. Details of any money or benefits made available to employees which arise directly or indirecty from their employment with you whether by you or by a third party.
5. Hours worked, rates of pay, bonuses, the amount of any pension deductions, etc.
6. Any notice of coding received by you.
Payroll returns must be received by HM Revenue & Customs on or before pay day otherwise significant penalties may be charged. Interest will be charged by HMRC if income tax and National Insurance contributions payments are late or less than indicated by the return.
We will assist in the preparation and submission of PAYE returns as required by HMRC and other authorities. However, our appointment as your agent does not absolve the company or its directors from their statutory responsibilities. It is essential that we receive full information from you promptly to enable us to file returns in time to avoid penalties.
We will provide a payroll service for the month ended as agreed and all subsequent months.
In respect of the “Automatic Enrolment” of pensions you will need to seek the advice of a person who is regulated to provide pension’s advice. We will assist you in processing your payroll based on the pension details that you provide if you have asked us to provide this service.
We will prepare and file your VAT returns for the VAT Return as agreed and all subsequent VAT Returns.
We will not be responsible for any penalties or default surcharges arising from the late submission of VAT returns. However, we will endeavour to meet the relevant deadlines if we receive all the company’s VAT records within 14 days of the end of the VAT return period.
You will ensure that:
1. all relevant VAT records are forwarded to us within 14 days of the end of the VAT return period;
2. valid VAT invoices are received for all payments where VAT is being reclaimed;
3. the VAT rating of the goods or services you supply (“supplies”) is correct, i.e. between standard rate, reduced rate, zero rate and exempt supplies;
4. we are notified in writing of any standard or reduced rate own consumption;
any non-business expenditure is clearly marked on supporting invoices;
5. all supplies made by the business are shown in the records made available to us.
6. If you deal with your own VAT returns, we will not be responsible for checking the VAT treatment of supplies made, the deductibility of input VAT and the validity of supporting invoices unless specifically requested in writing to make a detailed review, and will charge separately for this work.
If you are not VAT registered and VAT registration becomes necessary, we will endeavour to ensure that you register in time provided that:
1. you notify us in writing within 14 days of the end of each month of the total value of supplies you have made in that month; and
2. you notify us immediately in writing if the value of taxable supplies that you will make in the next 30 days is likely to exceed the annual registration limit.
You or, if a company, the company and its directors remain responsible for their VAT Returns.
There are strict rules and time limits for the submission of returns and substantial penalties may arise if these are not followed. It is therefore essential that we receive full information from you promptly to enable us to ensure that the returns are submitted in time. Returns will be sent to you for approval prior to submission.