Why are the accountants quoting me £2k?

[phil81uk]

Hello,

I submitted year-end accounts for my limited company myself last year. This year I thought I'd get it done professionally as the tax calculation is more complex and there are computers to depreciated. I've called around, and the London accounts are quotating £1200 - £2000.

I quite miffed for why this is so high. I just dont get it. All my accounts are in Sage, so all I did last year was print a profit-and-loss, did a tax calculation (went to Inland Revenue to get help on this), entered the tax amount into Sage (got help with this on the forum), wrote a crappy directors report (Inland Revenue told me what to write by telephone), completed the form and sent it off. Where is the £2000 of labour?

The only complication I have this year is that there are some computers to depreciate, and the tax calculation will be more complicated as the rules changed half way through the year.

If I'm going to be charged £2k then I think I'd rather read on how to depreciate the computers myself, and ask the IR for help with the tax calculation again.

My question: Am I being mis-quoted by these accountants?

[Ian J]

London accountants with expensive salaries and premises that have to be paid for somehow will inevitably cost you more.

Unless you are a multimillion public company I would suggest that a smaller firm operating from outside the expensive London areas would be more suitable for your needs anyway as you would get a more personal service as well as not having to pay London fees.

I can heartily recommend forum member Joy who has looked after me and my affairs for a couple of years now. Joy's forum profile which includes a link to her website and therefore her contact details is here

[Joyous]

Hi Phil

If all you want is your accounts drawn up and your corporation tax return completed and submitted then anything above £1k does sound high. As others have said London firms have overheads and staff salaries to cover and this will be reflected in their fees.

My fee for the basic accounts and tax return package starts from £549 + VAT and I would expect other sole practitioners to charge similarly. Do feel free to get in contact should you require a quote.

Ian - Many thanks for the recommendation. It’s highly appreciated.

Regards

Joy

[JamesS]

You should be looking for something around the £600 mark to do your end of year accounts, if anyone quotes you loads over that don’t bother with them and find a smaller firm, as others have said, away from the expense of London.