Engagement Letter

MVT

I was just looking through the AAT's sample letter and I was just wondering if anyone actually uses this template or if they use their own?

It just seems like there is a lot of information which I don't need.

Also can you let me have your thoughts and advice on the following please:

A plumber has asked his friend to do his book keeping recently as his wife has passed away. (his wife was not a book keeper or accountant!)

He is VAT registered and all purchase and sales invoices are logged in Simplex vat book. The last return that his wife done was Feb 10 and so his friend has asked me to do the VAT returns from March 10 to Feb 11. Which i'm more than happy to do but I noticed when I went through March's purchase invoices his wife had included the monthly credit card statement and reclaimed VAT from this even though there is no Vat invoices/receipts attached, also I noticed that there were items on the statement which he purchased for his business which she had calculated the VAT but also there was the invoice in the file which she too calculated the VAT and so she was double counting. Now the returns I will be doing will be correct as I've told his friend that we are unable to reclaim the VAT from statements and not to include them again. But my worry is if I found this in March, April etc (which I have now taken out) presumably she has done this previously, I haven't actually checked as I'm not sure if this is my responsibility?

What would you do in this situation?

Cheers

Michelle

T.C.

You are only taking on the accounts from the day of the engagement letter. You can advise him to put previous VAT Returns right, but in the end it is up to him. All you can do is a "good job" from now onwards.

And yes, I use the standard engagement letter, but just alter is slightly depending on the client or clients, ie partnership, sole trader etc.

MVT

Thanks T.C - this is my first client and whilst I am confident in my job/services I am a little nervous - I suppose it's to be expected.

T.C.

Good to be a little nervous, it keeps you on your toes. Just have faith in your abilities and don't be afraid to ask questions...of the client or on here! Good luck.

MVT

Thanks, and I will definitely be asking questions on here so look out