Ammending submitted accounts to show profit??

[Contreras]

The question is whether the payment was a divi or a dl. If it was a divi you can't undeclare it. If it was a DL and you mistakenly declared it as a divi (aye, right) then you might have a shot at amending your accounts. Amending accounts isn't illegal. Amending a payment from divi to DL is. You'd need to amend your divi voucher and meeting minutes as well. You do have those don't you?

Well if it was genuinely a DL then one would hope not.

However I have to agree with the others that amending the accounts this way (legitimate or not) would be asking for trouble.

[eek]

Well turns out there were funds owed to the Director at the year end that can be offset against the shortfall in the shareholders' fund, so don't need for a DL. Wouldn't this be what should have been done in the first place?

You really don't know why you are talking about do you? I would recommend finding another accountant and learning the basics about running a business asap before HMRC take a closer interest in you....

[SueEllen]

Well turns out there were funds owed to the Director at the year end that can be offset against the shortfall in the shareholders' fund, so don't need for a DL. Wouldn't this be what should have been done in the first place?

You can't go back and change history. Well you can but you may end in jail....

Look change accountants to one who makes you do your own invoices and book keeping. Then you will know when you are allowed to take a dividend and when you can't. You will also be more aware of what expenses you can and can't claim plus why. That way you won't end up in this mess again.

[eek]

And if you want to be spoon fed Crunch are reasonable accountants and will give you a very easy to follow screen that shows you exactly what is happening and what you can and can't do...

[meridian]

I was after a new mortgage and it was soon brought to my attention that my last year's accounts were showing a loss (well the shareholder funds were showing approx £1500 deficit) which the mortgage company takes as a loss and therefore will not lend.
SJT

Bit confused with this bit. Your accounts shouldn't be showing a loss if you've made a profit during the year and distributed it as dividends?

Sounds like neither you nor your mortgage company know the difference between a loss and a liability?

[Alan @ BroomeAffinity]

Well turns out there were funds owed to the Director at the year end that can be offset against the shortfall in the shareholders' fund, so don't need for a DL. Wouldn't this be what should have been done in the first place?

As a man in a big hat once said "Better to remain silent and be thought a fool than to speak and remove all doubt"

If there were excess funds owed to the director it'd show on the BS as a liability so would have no impact on the BS value.

[Scruff]

Can't you have the sales accrued into the correct accounting period?

[GlenW]

These were the accountant's words.. actually

So not only are they rubbish accountants but their English is pretty damn poor as well.

[Freelancer Financials]

SJT, it's obvious that you're not using a mortgage broker from what you are saying. Each lenders criteria differs when it comes to assessing affordability based on accounts. Some lenders will only work on your physical drawings and others will use your net profits. The majority of lenders also want to see a positive capital account e.g. The assets must outweigh the liabilities. Virgin Money go even further by taking into account your net current assets.

If you're a contractor working on a day rate, then you can also be assessed on your contract rate, avoiding the need to submit accounts.

John Yerou

[tractor]

...

Can't you have the sales accrued into the correct accounting period?

Only if you are Tesco or Enron.


Then you do it by the billion.