corporation tax and annual accounts for a limited company

System
System Posts: 100,534 🤖 Admin 🤖
edited 12:08PM in AAT member discussion
Hi

I have been asked to complete a Limited company's annual accounts and corporation tax return. Although I have completed the AAT taxation exam successfully I am not sure if I am qualified to do his annual accounts (do you need to be ACCA qualified?) also I am not sure how much to charge him? Also does anyone know of any software I could buy to do multiple company accounts? :?

I would really appreciate any advise you can give me as I am new to this? :)

Thank you for your help

Lynn Harris

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:corporation tax and annual accounts for a limited company

    Limited company accounts are signed off by the Directors and can (and usually do) contain an accountants report signed by the accountant concerned.

    You do not have to be a fully qualified accountant to prepare the financial statements, but depending on their purpose (i.e. if they are being used for lending purposes) then some banks do insist on professionally qualified people i.e. ACCA firms or AAT MIPs to endorse them.

    There are various accounts production software packages on the market these days. Iris Accounts Productions is extremely user-friendly, however, it is quite expensive. There are other packages such as Sage accounts production, VT (which is an Excel based product) and others present. It's just a matter of assessing your needs and getting the right software.

    In terms of cost it would all depend on the work involved. Typically a small Ltd Co. with a fairly good standard of bookkeeping whose accounts would take approximately 3 days to complete could be charged at anything from £1,000 upwards (bear in mind I work for a practice, I am not self-employed). Other MIPs may be able to offer a more appropriate cost basis.

    Best regards
    Steve
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:corporation tax and annual accounts for a limited company

    Hi Steve

    Thankyou for your help!! The client basically consists of 1 director, he was a sole trader until recently. He has asked me to complete his annual accounts and corporation tax return as he doesn't have enough time to do it himself so I wouldn't have thought that there would be any accounts.

    Regarding the software, I will definately look into getting one of those suggested.

    Thanks again!!

    Lynn :)
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:corporation tax and annual accounts for a limited company

    I use VT. It is very user friendly and reasonably priced.

    Dottie

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