How to Change Accountants

Businesses change accountants for a number of reasons.

Often these are positive ones, perhaps the business has outgrown its former advisers. When a new client joins us we are required by our Institute to write a letter to the previous accountant. This is normally merely a formality because we will be seeking information which might influence our decision whether to accept appointment. If the previous accountant is regulated by one of the main accountancy bodies they must reply to our letter. Only in very extreme circumstances would we be unable to act such as when the previous accountant had uncovered a fraud. Fortunately, we have never received a reply which has prevented us from acting.

Our letter will also request information that we need to be able to deal with your tax and accounts matters properly. Again, the previous accountant should supply us with the information that we have asked for. The only circumstances where we may be refused the information we are requesting, is where there is a dispute over fees. Such a dispute will not prevent us from acting for you.

Hopefully, the parting will not be acrimonious. It will probably make the transition smoother if you write a short letter to the previous accountant explaining that we will now be dealing with your affairs. If appropriate, you may wish to thank the previous accountant for their help in the past.

When we take over your affairs we will build a picture of the various tax issues involved. If we need information relating to previous years we should always be able to get this, either from the previous accountant or from the Inland Revenue.