Until now, the general approach has been that a company cannot claim privilege against its own...
Accountants provide a wide range of services to individuals and businesses and therefore the claims against them can be varied. However, most professional negligence claims against accountants arise from tax advice and audits. Examples of claims include:
- Failing to identify and report upon employee fraud when auditing your company accounts;
- Mis-selling you tax mitigation, tax deferment or tax avoidance schemes (such as Film Schemes and Enterprise Zone Schemes) leaving you liable for wasted accountancy fees and incidental expenses and also potentially large liabilities for additional tax, interest and penalties;
- Incorrectly valuing a company you were buying or selling;
- Missing tax deadlines causing you to be liable for additional interest and penalties; and
- Failing to advise you of relevant tax reliefs such as Research and Development Tax Credits.