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How much can I do without becoming a MIP??

lisaloolisaloo New MemberRegistered Posts: 13
I qualified as a full member in November 2010 and work for a local accountancy firm. Both my partner and father are self employed and I do all their book keeping for them however I wondered if I had the software if I would be able to prepare their accounts for them or if I would have to be a Member in practice to allow me to do this?

At present my fathers are done by a local firm and my partner has just completed his first year as self employed and has not yet had a set prepared.

Any advice is welcome, thanks in advance!!

Comments

  • sharoneyresharoneyre Feels At Home Registered Posts: 28
    You have to be a MIP to take on any paid work
  • BeccaLouJ9BeccaLouJ9 Experienced Mentor DevonFMAAT Posts: 1,022
    You have to be an MIP to associate yourself with AAT, You don't need anything to do your partners'/fathers' accounts. Or anyone else's accounts. Paid or unpaid.

    (I think)

    B xxx
  • BeccaLouJ9BeccaLouJ9 Experienced Mentor DevonFMAAT Posts: 1,022
    ..actually having a little look-see at the AAT site, it may be that you can't as you are a full member. I didn't read that bit of your post. But I'm not sure.

    Best go with what Sharon said! :)

    Bx
  • lisaloolisaloo New Member Registered Posts: 13
    I wouldn't be getting paid in either case, I don't intend to be doing it for anyone else or charging just seems a waste for them both as small businesses to be paying the cost of an accountant when I can do the preparation for them!

    Lisa
  • readerreader Experienced Mentor MAAT, AAT Licensed Accountant Posts: 1,040
    lisaloo wrote: »
    I wouldn't be getting paid in either case, I don't intend to be doing it for anyone else or charging just seems a waste for them both as small businesses to be paying the cost of an accountant when I can do the preparation for them!

    Lisa

    You can find out by e-mailing aat: [email protected]

    or calling them: 0845 863 0788

    although you have probably already done this.

    I'd be stunned if you had to register as a MiP because you are just helping out your dad and partner on a voluntary basis.

    If your dad and partner are just self-employed you should be able to put together a profit and loss account, adjust for capital allowance/disallowed expenditure, and complete their tax returns online via the HMRC website. Your dad should have a copy of his previous year's tax return. If you work in a firm of accountants you have probably already done plenty of tax returns or be able to get advice on how to do one.
  • wabisabiwabisabi Feels At Home Registered Posts: 130
    Hi Lisaloo

    I'm only a L3 student but I was interested in your question as something similar cropped up in my PEAF exam a couple of months ago! And I'm also interested to know what I can and can't do.

    The official guidance doesn't mention anything about qualifications need to prepare accounts https://www.gov.uk/prepare-file-annual-accounts-for-limited-company/prepare-annual-accounts 'Small' companies (two out of three of the following: turnover of < £6.5 million, less than £3.26 million on balance sheet, fewer than 50 employees) there is an audit exemption and you can send abbreviated accounts.

    I would say that it's a question of competence. It'd be interesting to here what more experienced contributors say.

    Wabisabi
  • jow774jow774 Trusted Regular Registered Posts: 465
    I may be wrong but I was under the understanding that to do any accounts related work even on a voluntary basis you have to be an mip (if you are a full member that is). But I'd be interested to hear if that is the case as some other bodies don't ask you to register as MIP if you are doing voluntary or unpaid work for friends and family.
  • wabisabiwabisabi Feels At Home Registered Posts: 130
    wabisabi wrote: »

    It'd be interesting to here what more experienced contributors say.

    'hear' even (appalling spelling) :tongue_smilie:
  • sharoneyresharoneyre Feels At Home Registered Posts: 28
    lisaloo wrote: »
    I qualified as a full member in November 2010 and work for a local accountancy firm. Both my partner and father are self employed and I do all their book keeping for them however I wondered if I had the software if I would be able to prepare their accounts for them or if I would have to be a Member in practice to allow me to do this?

    At present my fathers are done by a local firm and my partner has just completed his first year as self employed and has not yet had a set prepared.

    Any advice is welcome, thanks in advance!!

    Regulation 8 - Members undertaking voluntary work
    A member undertaking voluntary work must comply with the following conditions. The member must:

    notify AAT that they are undertaking voluntary work, along with the details of the services being provided, by completing the appropriate forms
    submit updated information on the appropriate forms before the expiry of one calendar year after the provision of the information detailed in sub-paragraph (a) of this regulation. The member shall continue to provide that information on the appropriate forms annually, such information being provided before the expiry of one calendar year from the date of the last occasion, upon which they provided such information, until such time as they inform AAT in writing that they are no longer conducting voluntary work
    only provide the services that they have appropriate knowledge and experience of
    maintain adequate and appropriate knowledge and experience in the services they provide
    only provide services on a voluntary unpaid basis and must not earn any remuneration from their work except reimbursement of reasonable expenses. The member must not represent themselves as a licensed or registered member in practice
    comply with AAT policy on CPD for members from time to time in force
    maintain Professional Indemnity Insurance cover. If the member does not hold such cover, they must disclose this to their clients at the outset of any engagement
    comply by the provisions of AAT Code of Professional Ethics.
  • CeeJaySixCeeJaySix Well-Known Registered Posts: 645
    Could there also be ethical questions of familiarity as well, or would that only apply if it was an assurance job?
  • lisaloolisaloo New Member Registered Posts: 13
    Thanks all for input - As I am doing it on a voluntary basis I do not have to register, only complete the voluntary form to keep AAT updated on the work I am doing. I am glad of this as my current employers pay my AAT fees as part of my employment and would feel uncomfortable to say the least informing them that I was becoming a MIP. Although it is beginning to appeal and may be something I look into in the future.

    Lisa
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