What is tax and accountingconsulting?
A tax advisor providing tax or accounting advice encounters a question from time to time when invoicing his clients what exactly he is billing. This issue arises especially in accounting companies, which, in addition to keeping accounts, also provide tax and other advice to clients.
TaxWise, as an accounting, tax and payroll consulting company, has decided to further explain how consulting billing takes place with us. We invoice the provision of tax or accounting advice based on the real time spent providing advice. In addition to time, the reward for providing advice also depends on the person providing the advice, which may be a tax advisor, partner, junior or senior accountant.
Not all the time actually spent providing tax and accounting advice is actually invoiced. For your better picture, we give practical examples of when we invoice tax and accounting advice and when we do not.
Unpaid tax advice
- The client's advice lasts for a short time (up to 5 minutes), or the tax advisor will find out the opinion of another tax advisor on the problem being addressed. We do not take this activity into account in our billing.
- Face-to-face meetings, phone calls and email communications, when the tax advisor informs the client how his business is doing or how the client is doing in general, is not subject to invoicing.
- When accounting for a specific document, the accounting officer is not entirely sure how to post the document, but this is not a complex accounting case. The accounting officer shall come to consult a tax advisor. The tax advisor devotes his time to the accountant, but does not examine the document from a tax/accounting point of view, but only provides an explanation to the accounting officer.
- Preparing an opinion or answering a client's question takes longer than it would be objective and defensible for various reasons. After individual consideration, we do not invoice this time beyond the objective framework to the client at all.
- A tax advisor cannot control all tax law rules from his head, but when dealing with a complex issue, he sometimes has to study the area in depth and look into the available literature. We do not invoice clients to study and search for related resources beyond tax advice.
- The tax area is one of the most frequently changing legislative areas. We ensure that our clients are constantly informed and therefore prepare information materials for our clients. You will not find the time spent preparing information materials in our invoicing.
- No one is inconseconomous and any of us can sometimes fail to provide the client with exactly the right information (there is no exception). Should such a situation occur, we not only bear full responsibility towards the client, but we do not invoice the client for such advice.
Paid tax advice
- Preparing an opinion by a tax advisor at the client's request is subject to invoicing.
- We also take our customers' answers to various questions from tax, accounting or other areas answered by the tax advisor in our invoicing.
- When accounting for a particular document, the accounting officer encounters a more complex problem and goes to consult a tax advisor. Unless this is a simple accounting case and the tax advisor has to assess the document from an accounting or tax point of view, we invoice such performance.
- When checking the accounts, checking the VAT return or drawing up the financial statements and the tax return, we encounter a problem or possible risks that we are obliged to bring to the client's attention. We then take such advice into account in our invoice.
- As part of our communication with the client, the client will provide us with information on the basis of which we identify possible tax risks with the client. We will notify the client of these risks and take such billing advice into account.
For TaxWise clients we prepare various interesting topics from the tax, accounting and related areas that help our clients in their business. We do not invoice such advice to our clients either.
Ing. Ján Svočák
Ing. Pavol Grožaj
Mgr. Ing. Ľuboš Čandik
Unpaid accounting advice
- We do not take into account short phone calls with the client (within 5 minutes) regarding accounting advice in our billing.
- Similarly, short written answers to clients and short meetings (within 5 minutes) regarding accounting advice are not invoiced to clients.
- The junior accountant needs the help of a more experienced senior accountant when accounting for a specific document, and it is not about assessing the document from an accounting point of view, but just providing an explanation to the junior accountant.
- The accounting officer shall consult a tax adviser when accounting for a specific document or when considering a matter or a question from a client. The tax adviser either advises the accountant on how to post the document or solves the problem, or assesses a deeper tax-accounting issue. In these situations, we do not invoice clients for the time spent on the matter.
Paid accounting advice
- In the event that the customer does not deliver the invoice or other document for posting, which is necessary for the management of the accounts and the accounting officer then contacts the supplier to deliver the document in question to us, we invoice such accounting advice to the clients.
- If a client comes in person and needs to consult an accountant about an issue, and this is not just a short meeting, then we take such advice into account in our invoicing.
- Similarly, if the client needs to explain an accounting issue by phone or in writing, we invoice the advice provided by the junior or senior accountant.