Previous Accountant holding on to records

I recently changed my accountant, but am having difficulty obtaining my books and records for the previous year, together with copies of my accounts and tax return. One of the reason I left was due to their fees! Is this something to do with it?

1st June 2008

On the assumption that your previous accountant had made it clear to you at the outset what his charging structure would be, and you agreed to his terms, then yes, your accountant is perfectly entitled to retain your records while his fees are unpaid (technically, the right to retain records is called a lien).

You would have to show that he was negligent or dishonest in his dealings with you to avoid that result.

You can request his professional institute to get involved if you feel you have been overcharged, and they may review the case. You can also ask the Institute to pressure him to return your records.

Your new accountant can also write to the old ones advising them that the retention of records may prevent the completion and submission of your returns for the deadline. They could also mention that this may result in penalties or interest being incurred as a result of their refusal and they could be held responsible for meeting these.

By Jo Nockels

Disclaimer: The information provided is based on current guidance (at date of publication) from HMRC and may be subject to change. Any advice shared here is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this information, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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