Wednesday 30 September 2009
Do your clients know all they should about the Companies Act 2006? Our Audit and Accounts lecturers are reminding everyone on courses of the key changes introduced in the final phase of the Companies Act 2006. Whilst many firms have been pro active with advice to clients throughout the Act's implementation the surprised looks on some faces in the audience indicate that some have been less so!
Whatever you have or haven't already done, you may wish to raise relevant issues with your clients the next time you speak to them. They will also be hearing from Companies House so they may even have questions to ask you! An aide memoire of relevant matters has been prepared by our technical team for you to print out and keep on your desk as a prompt. You can download a copy in audit and accountancy issues below.
If the Companies Act wasn't enough, those of you who act for Charities have even more legislation to contend with. If you are a Charities SAM user, make sure you catch up on the news below.
It's not just the accounts team who are busy, following speculation in the press, our tax team are eagerly awaiting the announcement of the date of the Pre-Budget and preparing for the next round of updating course notes.
Nicola Hurley
Director
nicola.hurley@mercia-group.co.uk
Pre-Budget 2009 - What will you be telling your clients?
To save you time and money and help you advise clients on the possible effects any announcements in this year's Pre Budget will have on them, our technical team is producing an easy-to-digest summary in a language your clients will understand.
We can provide you with a personalised printed summary of the highlights or a more comprehensive summary in various digital formats. So however you prefer to communicate with your clients we have a perfect solution for your practice. To find out more click here to download a circular, or call the Marketing Support Team on 0116 258 1242.
CPD Courses for Tax Specialists
Following the popularity of our spring courses we will be commencing a new programme of courses in November 2009. These will be presented by highly experienced tax professionals including tax barristers.
- Tax Issues for Distressed & Insolvent Companies
- Advanced Tax Aspects of Reorganising the Family Company/Group
- Advanced Payroll Issues
- Property Tax in a Tough Climate
A printed circular will be with soon or you can download a copy here. If you have any questions please contact Kay Sanders at kay.sanders@mercia-group.co.uk
Audit and Accountancy Issues
Prepare your clients to set SAIL (and other provisions of the Companies Act 2006 which take effect on 1 October 2009)
As we mentioned in last month's newswire, if you are a registered office address for any of your company clients, you will have received or will shortly receive a "Z-card" from Companies House. This fold-away credit card sized leaflet provides an overview of some of the key changes that apply from the 1 October.
A pdf version of the "Z-card" can be obtained from Companies House website here. For more detailed guidance visit http://www.companieshouse.co.uk
To save you some time, we have prepared and aide memoire for you to use when communicating with your clients. This is available here.
Filing accounts from 1 October 2009
If you haven't yet attended your audit and accounts update course or you missed the headline article in the September issue of Audit and Beyond please note some changes to the filing requirements. In particular:
- the auditors' report delivered to the registrar does not need to be signed - the balance sheet still needs the signature of a director;
- signatures should be in black ink;
- the company name and registered number must appear on one of either; the balance sheet, the directors' report, the auditors' report or the directors' review report (previously the number simply had to be in a prominent place - often the front cover being used);
- there is no longer a 14 day concessionary time period for re-filing of accounts (where, for example, the original copy is illegible) - so plan to avoid filing accounts close to the deadline.
A New Cross Profession Accountants Report
Earlier this month the CCAB published a cross-profession accounts compilation report, designed to be used by professional accountants who are practising members / member firms of the accountancy bodies that are members of CCAB. The new report consists of 'core' paragraphs and 'optional' paragraphs, which include a disclaimer.
The core paragraphs must be used in the report as they describe the extent and nature of the involvement of professional accountants in the preparation of the accounts. Some of the optional paragraphs explain the respective responsibilities of practitioners and directors and others clarify the purpose of the accounts compilation service in contrast with assurance services such as an audit. The use of optional paragraphs is intended to be a matter for the individual practitioner's professional judgement.
Details of the new report can be found here.
The ACCA has already updated its guidance to take account of the new guidance, which can be found in its Technical Factsheet 132.
The new style report will be incorporated, where relevant, into the next scheduled updates of our technical manuals.
Amendments to Accounting Standards
The Accounting Standards Board has issued amendments to the following:
- UITF Abstract 42 'Reassessment of Embedded Derivatives' and FRS 26 'Financial Instruments: Recognition and Measurement - Embedded Derivatives;
- FRS 20 'Share-Based Payment - Group Cash-settled Share-based Payment Transactions.
Neither of these are mainstream issues but if you require further explanation click on the link below or call our technical support team.
Copies of the amended standards can be accessed on the ASB's website.
Important News for Mercia Charities SAM Subscribers - September 2009 Update Issued
The contact at your firm who deals with technical manuals will have received an important email from us earlier this month, announcing the release of the latest update to the Charities SAM (version 6.0, dated 09/09). This email notification replaced the letter and CD that have historically been sent out, as technical manuals are now available to download from our website.
Do you have the latest version of our manuals?
If you would like to check that you have the latest versions of our manuals please click here.
It is now more important than ever to keep us up to date with the contact details of the person at your firm who deals with your technical manual subscriptions. If you would like to make any changes or check to see who we are currently sending emails to then please email Sarah Moore at sarah.moore@mercia-group.co.uk or call her on 0116 258 1200.
Tax Issues
CT filing
HMRC wrote to half a million companies and tax agents in August, to alert them to important changes to Corporation Tax (CT) filing. The mail-shot contained a new HMRC leaflet on the changes, which will require all company tax returns delivered after 31 March 2011 to be filed online, for accounting periods ending after 31 March 2010. The leaflet explains how, after 31 March 2011, CT returns must be filed online in a specified data format (known as Inline XBRL or iXBRL).
Companies House has also announced that it will accept company accounts in XBRL, the same format in which all company tax returns. Companies House will introduce their XBRL service for unaudited full accounts by the summer of 2010, and then continue to develop their XBRL capability for all the main types of accounts they receive. HMRC's new XBRL service will be available from November 2009.
For more detail visit http://www.hmrc.gov.uk/ct/returns/ct0021.pdf
Liechtenstein Disclosure Facility (LDF)
HMRC have issued additional Frequently Asked Questions for taxpayers and agents regarding the LDF.
Mansworth & Jelley again!
This Brief addresses questions HMRC have received concerning the practical implications of Revenue & Customs Brief 30/09, which covered shares acquired before 10 April 2003 by exercising employee share options - allowable deductions.
Additional Paternity Leave and Pay
The government has announced its intention to introduce Additional Paternity Leave and Pay for fathers of children due on or after 3 April 2011. If you would like to know more click here.
Cross-border VAT changes 2010, are you ready?
Further to our article in the IVC newsletter for June 2009, radical changes have been announced to the way VAT is to be accounted for on supplies to and from overseas businesses. If you or your clients are involved in supplying or receiving goods and services to and from overseas businesses, you will need to make fundamental changes to your current VAT accounting and reporting processes in order to be ready for the implementation of these changes on 1 January 2010.
New VAT filling system due to come into effect
HMRC have reminded businesses that new rules on how VAT returns are submitted and payments are made will be coming into force next year. Under the changes, HMRC intend to phase out paper VAT returns from 1 April 2010.
Businesses with an annual turnover of £100,000 or more (excluding VAT) and all newly registered VAT businesses will need to submit their VAT returns online and make payments electronically.
Those businessses that are already VAT registered and have a turnover below the threshold will still have the choice to use paper returns, although the option is to be reviewed in the run up to 2012.
More VAT news
If you would like to read more about recent tax investigation and VAT developments, please click here for this month's IVC news round-up.
Office Gossip and Idle Chat!
Season's Greetings!
We know it's early but the shops are already preparing for the silly season and no doubt you are also starting to think about the office celebrations and Christmas cards.
Last year we introduced the creation and distribution of Christmas eCards for all firms using our totalSOLUTION website service. There was no additional charge for the service but there was an option to make a donation to charity so this could be included on the eCards. The great news is that an amazing £8,565 was generously donated to a variety of national and local charities. It was such a success and very well received by all firms who used the service that this year we are widening the offer to include all member firms. We'll be in touch soon but thought we would share now in case you have already started to think about your options.
Great North Run...
If you have recently had a file review or attended a PDC course you may have bumped into Julie Bowles or Hannah Howe - or it could be that you tripped over them as they relaxed whilst recovering from their tremendous efforts in the Great North Run!
Both Julie and Hannah decided to take the opportunity to raise money for their favourite charities and raised over £750 between them. Ever the accountant, they also enjoyed analysing the post race stats to see how well they performed overall, by age, by gender and by age and gender!
Being a novice jogger Hannah was particularly pleased to beat a jogging tree, Bananaman, a whole host of Amy Winehouses and even Batman over the finish line!
Congratulations go out to both of them for doing so well and also to anyone else reading this who also took part in the race
