What do you pay your accountant?!

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    What do you pay your accountant?!

    Would be very interested to know how much other landlords are paying to have their lettings accounts prepared?

    On what basis are you charged - do you hand over a shoebox full of receipts and bank statements, or a neat summary spreadsheet printout - does the different level of work involved get reflected in the fee charged?

    Are you charged on a 'per-property' basis - do you get charged less per property the more you have?

    #2
    We’ve only got one property. We paid £250 + VAT for two tax returns.
    We hand over a folder containing receipts, invoices, bank statements etc.

    We found our accountant through an advert on this site.

    Comment


      #3
      i pay about 2k pa for accounts for ltd co and sole trader accounts covering 90tenants (about 20 builidngs)

      Comment


        #4
        We pay roughly the same as Mrs Mug does, for two returns, but we submit a figure for the total of the maintenance/repair receipts rather than the receipts themselves. (They are available if he wants them).
        'Pause you who read this, and think for a moment of the long chain of iron or gold, of thorns or flowers, that would never have bound you, but for the formation fo the first link on one memorable day'. Charles Dickens, Great Expectations

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          #5
          I hand over a spreadsheet printout based on my bank account which I list in date order starting from 5th April. Against that I detail who I paid and what it was for. I do the same for rent received. I then prepare a page where I list all the expenses and do a gross and net profit. All my bills are listed and I detail as to how they were paid, ie Cheque,DD.SO, etc. I then do a Motoring Expence list detailing all the visits I have to make to my rented premises and is it 42p per mile. I then hand the completed "Balance Sheet" to my accountant to check my additions. And I am charged £150 + Vat.
          Mind you using the same spreadsheet (Visicalc then Microsoft Works ) I have used the same method for over 120 Vat Returns and it works for me.

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            #6
            42p per mile?
            I can take no responsibility for the use of any free comments given, any actions taken are the sole decision of the individual in question after consideration of my free comments.

            That also means I cannot share in any profits from any decisions made!

            Comment


              #7
              I itemise my rental and other income on an excel spreadsheet. All receipts and invoices are filed in a folder in date order and the accountant has access to them if they so wish. I also provide them with a list of all payments from bank accounts or credit cards together with copies of the relevant pages from these accounts, and copies of interest earned in any account.

              I pay £500 a year (£125 every three months), a substantial rise from the bookkeepers I used the last few years but I wanted to ensure I got all my allowances. I was hoping that they would look at my figures and advise if I should buy something rather than incur additional tax. If I do not get the approriate advice I will revert to a bookkeepers services.

              I claim 40p per mile for the first 10k business or solely work related miles. If I exceed 10k miles I will claim 25p per mile thereafter in line with HMRC since 2002 - 2003. When will they increase that figure, it is out of date?

              pm
              Last edited by property mongrel; 15-03-2011, 13:05 PM. Reason: smell check
              Before acting on forum advice, you may wish to consult an expert, someone who has all the relevant facts, and who accepts liability for their advice.

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                #8
                Originally posted by Phlash View Post
                42p per mile?
                Thats why in my blog I put "Is it 42p per mile" And "Property Mongrel" has said that it is 40p per mile.
                Lets hope it goes up in the budget to 50P.

                Comment


                  #9
                  Originally posted by Always Problems View Post
                  Thats why in my blog I put "Is it 42p per mile" And "Property Mongrel" has said that it is 40p per mile.
                  Lets hope it goes up in the budget to 50P.
                  HMRC says that it's 40p- so that's what it is (at least until 23 March).
                  JEFFREY SHAW, solicitor [and Topic Expert], Nether Edge Law*
                  1. Public advice is believed accurate, but I accept no legal responsibility except to direct-paying private clients.
                  2. Telephone advice: see http://www.landlordzone.co.uk/forums/showthread.php?t=34638.
                  3. For paid advice about conveyancing/leaseholds/L&T, contact me* and become a private client.
                  4. *- Contact info: click on my name (blue-highlight link).

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                    #10
                    Don't forget that the 40p per mile does not include finance charges for the vehicle (less any restriction for private use). So loan interest etc is allowable in addition to the mileage claim.

                    If you don't want to use 40p per mile, you are entitled to use the statutory method (all expenses + capital allowances, less a restriction for private use).

                    Comment


                      #11
                      What sort of vehicle cost, or annual mileage would make it better to go for the "statutory method"?

                      I have a letter from my insurance company that my business use adds £50 to my annual insurance premiums, so I will be factoring that into my accounts.

                      In the last 2 months my mileage has been 90% business, but I know towards autumn and year end this will change to around buisness 70/30 private, and 50/50 in winter.

                      pm
                      Before acting on forum advice, you may wish to consult an expert, someone who has all the relevant facts, and who accepts liability for their advice.

                      Comment


                        #12
                        Originally posted by property mongrel View Post
                        What sort of vehicle cost, or annual mileage would make it better to go for the "statutory method"?

                        I have a letter from my insurance company that my business use adds £50 to my annual insurance premiums, so I will be factoring that into my accounts.

                        In the last 2 months my mileage has been 90% business, but I know towards autumn and year end this will change to around buisness 70/30 private, and 50/50 in winter.

                        pm
                        Getting slightly off topic.

                        Probably a bit difficult to generalise, so very much dependant on individual circumstances.

                        IMHO, 40p per mile is not very realistic for (say) a petrol engined car over 2000 cc, with high maintenance & repairs, high emissions and insurance. Although the concept of "expensive" cars has now disappeared (now emissions based), it still applies to cars acquired before 6 April 2009.

                        Comment


                          #13
                          45p per mile now.

                          What is £600?

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