Common breaches of the SRA accounts rules
As it is the time of year when many reporting accountants are carrying out the detailed testing required to prepare the annual accountant’s report to the SRA, this article may provide a timely reminder of a few of the more common breaches of the rules – some as a result of misunderstanding the rules. Keep an eye out for them – or if you are in a law firm, make sure you avoid the common mistakes.
Although this part of the rules changed back in 2008 there is still plenty of evidence that balances are not always being dealt with in accordance with rules 14(3) and (4).
For balances that have arisen on matters completed after 14 July 2008, firms must either: