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My accountant scammed me!

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  1. #1

    Join Date
    Jul 2018
    Posts
    2

    My accountant scammed me!

    Hey guys

    So basically the title says it all.
    I started a company in HK a few years back for a project that didn’t mature, but I kept the company alive so maybe I could start it later.

    Nevertherless I had to file a tax return for the very few transactions the company had, and used an accountant that the agent suggested and paid them for it.

    It seems though the accountant never sent the tax return to IRD, because I received a summons to appear in court for not filing a return… Tried to contact him for explanations but no reply.

    I wonder what I should do next:
    -Contact IRD for details?
    -Hire a lawyer for the court?
    -Take legal action against the accountant?
    -Hire a new accountant to file the tax return before the court?
    -Something else?

    Any ideas welcome…


  2. #2

    Join Date
    Sep 2012
    Location
    香港
    Posts
    1,162

    Better don't ignore!!!

    Contact a lawyer. Have at hand the full correspondence with the accountant and all other relevant docs. Maybe you'll be slapped with a small fine etc. But definitely don't ignore.


  3. #3

    Join Date
    May 2010
    Posts
    4,713

    CPA? or the other CPA?


  4. #4

    Join Date
    Jul 2018
    Posts
    2
    Quote Originally Posted by dumbdonkey:
    CPA? or the other CPA?
    What do you mean?
    From what i've seen, someone does the bookeeping and a CPA does the auditing.
    I was talking to the person that was doing the bookeeping, who was contacting the CPA.

  5. #5

    Join Date
    Dec 2002
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    薄扶林
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    48,089

    Your best bets might be to contact IRD and approach them with the evidence / correspondence that you've instructed your bookkeeper / accountant who has failed you.

    IRD can be pretty forgiving when you show that you're genuinely not at fault and are cooperating with them.

    Having said that and I don't want to be harsh about this - it is no really a valid excuse (from my view as a business owner) to drop the ball into someone elses lap and not follow up with them. The buck stops at you - the owner.

    Sort IRD out first.. deal with the rest of the shit later.

    MABinPengChau, dbaz and spode like this.

  6. #6

    Join Date
    Nov 2007
    Location
    Wanchai
    Posts
    5,067

    Yea you probably got a filing exemption after year one especially if it wasn't being used. Then one year the IRD picked you at random for a filing spot check and it was brushed under the carpet by your Co Sec.

    It's probably just a case of filing a couple of nil returns anyway but going to court for this, and I am speaking from experience (I attended on behalf of a client), is not the most pleasant experience. The likelihood is they will slap you with a fine of Circa HKD 2k and give you 30 days to file the overdue returns.

    Unfortunately my client still hasn't done the latter so I expect another summons to appear any day now. The IRD have already visited me at the office since.

    shri, MABinPengChau, dbaz and 1 others like this.

  7. #7

    Join Date
    Dec 2002
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    薄扶林
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    48,089

    @Trebor - is there any room for approaching the IRD or once the summons are issued, you're forced to go in and deal with the court?


  8. #8

    Join Date
    Nov 2007
    Location
    Wanchai
    Posts
    5,067
    Quote Originally Posted by shri:
    @Trebor - is there any room for approaching the IRD or once the summons are issued, you're forced to go in and deal with the court?
    No they will give extensions if you promise you will have the filings done they do give some leeway but unfortunately was not possible with my case