Below is a list of terms used within the ICAEW Directory with regards to the type of work an ICAEW accountancy member firm specialises in. Terms are listed alphabetically. To browse the glossary choose a letter from A to Z above.
Accounts preparation
The preparation of finalised accounts of businesses, companies or other
organisations from the basic accounting records. This includes limited companies
and partnership/sole trader accounts.
organisations from the basic accounting records. This includes limited companies
and partnership/sole trader accounts.
Acquisitions and mergers
Advice on all aspects of taking over or merging with another enterprise, including
identification of other suitable businesses and negotiating agreements.
Advice on all aspects of taking over or merging with another enterprise, including
identification of other suitable businesses and negotiating agreements.
Administration
A rescue procedure under which a licensed insolvency practitioner is appointed
to a company, which either is, or seems likely to become, unable to pay its debts.
(See also Corporate Recovery .)
A rescue procedure under which a licensed insolvency practitioner is appointed
to a company, which either is, or seems likely to become, unable to pay its debts.
(See also Corporate Recovery .)
Areas of accreditation
Three areas of accountancy work are regulated by statute: Investment Business,
Audit regulation, Insolvency licence.
Three areas of accountancy work are regulated by statute: Investment Business,
Audit regulation, Insolvency licence.
Assurance services
The evaluation by a professional accountant of subject matter that is the responsibility
of another party using identified suitable criteria, expressing a conclusion that
provides the intended user with a level of assurance about that subject matter.
The evaluation by a professional accountant of subject matter that is the responsibility
of another party using identified suitable criteria, expressing a conclusion that
provides the intended user with a level of assurance about that subject matter.
Audit
For companies above a certain turnover level and some other organisations,
there is a legal requirement for a report on the accounts by an independent auditor,
registered with the Institute of Chartered Accountants in England and Wales or
another Recognised Supervisory Body.
For companies above a certain turnover level and some other organisations,
there is a legal requirement for a report on the accounts by an independent auditor,
registered with the Institute of Chartered Accountants in England and Wales or
another Recognised Supervisory Body.
Audit (public company)
As well as undertaking the audit, advice can be given on Stock Exchange
reporting requirements and compliance with accounting standards.
As well as undertaking the audit, advice can be given on Stock Exchange
reporting requirements and compliance with accounting standards.
Audit (private company)
To report on the accounts of private companies as an independent auditor.
To report on the accounts of private companies as an independent auditor.
Audit exemption
Certain companies with a turnover of less than £5.6 million are not legally required to conduct an audit
Certain companies with a turnover of less than £5.6 million are not legally required to conduct an audit
Audit regulation
This is one of the areas of accountancy work which are regulated by statute by ICAEW. Under Part II of the Companies Act 1989, firms which wish to undertake company audit work must be registered with either the Institute or another Recognised Supervisory Body (RSB). If firms wish to promote company audit services they may choose to publicise the fact that they are registered auditors. There is no obligation to do so. This Directory indicates whether a firm which has chosen to promote its company audit services is registered with the Institute or with another RSB.
This is one of the areas of accountancy work which are regulated by statute by ICAEW. Under Part II of the Companies Act 1989, firms which wish to undertake company audit work must be registered with either the Institute or another Recognised Supervisory Body (RSB). If firms wish to promote company audit services they may choose to publicise the fact that they are registered auditors. There is no obligation to do so. This Directory indicates whether a firm which has chosen to promote its company audit services is registered with the Institute or with another RSB.
Back duty
Accessing and negotiating with the Inland Revenue, for example, on tax underpaid in previous years as a result of failing to provide adequate information about income tax to the tax authorities.
Accessing and negotiating with the Inland Revenue, for example, on tax underpaid in previous years as a result of failing to provide adequate information about income tax to the tax authorities.
Bankruptcies
Dealing with personal insolvency.
Dealing with personal insolvency.
Book-keeping
The provision of a book-keeping service for clients running their own business.
The provision of a book-keeping service for clients running their own business.
Book-keeping systems
Advice on manual and computerised methods of recording your accounting
transactions.
Advice on manual and computerised methods of recording your accounting
transactions.
Business plans
Assistance with developing and writing plans for your business, together with
forecasts of profit and cash flow.
Assistance with developing and writing plans for your business, together with
forecasts of profit and cash flow.
Business start-up
Advice on all aspects of starting a business, including finance.
Advice on all aspects of starting a business, including finance.
Capital gains
Advice on taxation of gains or losses arising from the disposal of personal or
business assets.
Advice on taxation of gains or losses arising from the disposal of personal or
business assets.
Company formation
Formation of a limited liability company including documentation, name
availability and provision of the Memorandum and Articles and statutory registers.
Company secretarial service
Advice on and assistance with keeping statutory records of shareholders,
directors and other company information.
Advice on and assistance with keeping statutory records of shareholders,
directors and other company information.
Computer systems and consultancy
Advice on how your business can benefit from the use of Information and
Communications Technology (ICT) including use of accounting software and e-commerce.
Advice on how your business can benefit from the use of Information and
Communications Technology (ICT) including use of accounting software and e-commerce.
Computerised accounting systems
The provision of advice and assistance with the implementation of computerised
accounting systems.
The provision of advice and assistance with the implementation of computerised
accounting systems.
Corporate taxation
Advice on the rules that apply in respect of corporate transactions and in
particular the tax implications of corporate groups.
Advice on the rules that apply in respect of corporate transactions and in
particular the tax implications of corporate groups.
Corporate finance
Raising of finance for companies from banks and other institutions or by means
of a share issue.
Raising of finance for companies from banks and other institutions or by means
of a share issue.
Corporate recovery
The provision of advice and assistance to companies facing financial difficulties.
The provision of advice and assistance to companies facing financial difficulties.
Customs duty
Tax paid on goods exported or imported and advice on the reliefs available.
Tax paid on goods exported or imported and advice on the reliefs available.
Data processing services
The provision of computerised reports, usually of an accounting nature, from
basic information supplied by you.
The provision of computerised reports, usually of an accounting nature, from
basic information supplied by you.
Debt counselling
On a personal level, how to control your spending and deal with the repayment
of mortgage and other arrears.
On a personal level, how to control your spending and deal with the repayment
of mortgage and other arrears.
Disposal of businesses
Assistance with all aspects of disposing of your business, including finding
potential buyers, negotiating and taxation advice.
Assistance with all aspects of disposing of your business, including finding
potential buyers, negotiating and taxation advice.
Divorce/matrimonial
Advice on taxation and other aspects of divorce and marriage.
Advice on taxation and other aspects of divorce and marriage.
Employment
Advice to employees on the tax on income earned from their employment and
advice to employers.
Advice to employees on the tax on income earned from their employment and
advice to employers.
Environmental auditing
Systematic assessment of a company’s impact on the environment and evaluation as
to whether the company has complied with legislation or other accepted standards.
Systematic assessment of a company’s impact on the environment and evaluation as
to whether the company has complied with legislation or other accepted standards.
Estate and inheritance
Inheritance tax planning.
Estate planning
Advice on planning the most effective way of passing on your wealth to future
generations.
Inheritance tax planning.
Estate planning
Advice on planning the most effective way of passing on your wealth to future
generations.
Executorship
Either acting as the named executor in a will or advising executors on the steps
to be taken.
Either acting as the named executor in a will or advising executors on the steps
to be taken.
Expert witnesses in litigation/arbitration
To act as an independent expert in legal and arbitration cases where specialist
financial comment is required.
To act as an independent expert in legal and arbitration cases where specialist
financial comment is required.
Feasibility studies
Investigating the viability of a project, both financially and commercially, before
the project commences.
Investigating the viability of a project, both financially and commercially, before
the project commences.
Financial planning and advice
Advice can be given on aspects of financial planning, both for individuals and
for businesses.
Advice can be given on aspects of financial planning, both for individuals and
for businesses.
Financial reporting
The preparation of accounts to comply with the statutory requirements and
applicable accounting standards. Limited company: accounts of limited liability companies which comply with the Companies Act. Partnership/sole trader: accounts of sole traders and partnerships. Audit exemption: accounts of limited liability companies where the
company is small enough not to require an audit. International financial reporting: preparation of limited liability accounts to international accounting standards. Limited liability partnerships: preparation of accounts of partnerships where one or more partners has limited liability.
Flotations
Advising on raising money through the Stock Exchange main market, Alternative
Investment Market or similar, and the regulatory framework.
Foreign nationals in the UK
Advice on the effect of UK taxation on foreign individuals and advice for their
employers.
The preparation of accounts to comply with the statutory requirements and
applicable accounting standards. Limited company: accounts of limited liability companies which comply with the Companies Act. Partnership/sole trader: accounts of sole traders and partnerships. Audit exemption: accounts of limited liability companies where the
company is small enough not to require an audit. International financial reporting: preparation of limited liability accounts to international accounting standards. Limited liability partnerships: preparation of accounts of partnerships where one or more partners has limited liability.
Flotations
Advising on raising money through the Stock Exchange main market, Alternative
Investment Market or similar, and the regulatory framework.
Foreign nationals in the UK
Advice on the effect of UK taxation on foreign individuals and advice for their
employers.
Foreign subsidiary companies in the UK
The tax implications of foreign companies trading in the UK.
The tax implications of foreign companies trading in the UK.
Forensic accounting
Using accounting, auditing and investigative skills to assist enquiries which are
likely to result in a case in a court of law, hence requires knowledge of rules of evidence.
Using accounting, auditing and investigative skills to assist enquiries which are
likely to result in a case in a court of law, hence requires knowledge of rules of evidence.
Fundraising
Advice to any organisation on how to raise funds for its operation.
Advice to any organisation on how to raise funds for its operation.
Grants and finance
A financial incentive to a business from the European Union, UK government or other
state body to encourage a particular outcome, eg to invest in a particular region or process.
A financial incentive to a business from the European Union, UK government or other
state body to encourage a particular outcome, eg to invest in a particular region or process.
Human Resources
Advice on staffing issues for employers which might include training,
development and employment law.
Advice on staffing issues for employers which might include training,
development and employment law.
Insolvency licence
This is one of the areas of accountancy work which are regulated by the ICAEW. Where an office promotes insolvency work, at least one individual at that office must be a Licensed Insolvency Practitioner. Licensed Insolvency Practitioners will hold an insolvency licence, issued either by this Institute or by another Recognised Professional Body (RPB).
This is one of the areas of accountancy work which are regulated by the ICAEW. Where an office promotes insolvency work, at least one individual at that office must be a Licensed Insolvency Practitioner. Licensed Insolvency Practitioners will hold an insolvency licence, issued either by this Institute or by another Recognised Professional Body (RPB).
Internal audit
The function, carried out within an organisation, of examining, evaluating and
reporting on accounting and other controls on the operations of the organisation.
The function, carried out within an organisation, of examining, evaluating and
reporting on accounting and other controls on the operations of the organisation.
Investigations
A critical but constructive examination of any part of your organisation.
Investment appraisal
An examination of the merits of different forms of investment, whether to retain
an investment and, if FSA authorised, whether to make certain investments.
Investment Business Authorisation
This is one of the areas of accountancy work which are regulated by the ICAEW. Under the Financial Services and Markets Act 2000, firms which wish to recommend specific investment business products have to be authorised to do so by the Financial Services Authority (FSA). The Institute can license firms to provide a wide range of investment advice,including advice on private company shares and selling investments, that arises out of or is complementary to another service. The Directory indicates which form of authorisation a firm has.
Limited companies
Advice on all aspects of taxation that affect limited companies and limited liability
partnerships, including tax on business profits and capital gains.
Advice on all aspects of taxation that affect limited companies and limited liability
partnerships, including tax on business profits and capital gains.
Liquidations
Dealing with insolvencies of individuals or businesses.
Dealing with insolvencies of individuals or businesses.
Loan finance and leasing advice
Advising on whether to borrow and buy an asset or lease it, together with
sources of funds.
Advising on whether to borrow and buy an asset or lease it, together with
sources of funds.
Management accounting consultancy
Advice on establishing an efficient system of management reporting and
interpretation of the information recorded.
Advice on establishing an efficient system of management reporting and
interpretation of the information recorded.
Management advice to business
Advice on financial and other management aspects of controlling your business.
Advice on financial and other management aspects of controlling your business.
Management buyouts
Advice to a management team on all aspects of the purchase of the organisation
which employs them.
Management consultancy
Investigation and advice on specific managerial, financial and operational
aspects of your business.
Advice to a management team on all aspects of the purchase of the organisation
which employs them.
Management consultancy
Investigation and advice on specific managerial, financial and operational
aspects of your business.
National Insurance
Advice both to employers and employees on the effect of National Insurance
contributions on salary and benefits.
Advice both to employers and employees on the effect of National Insurance
contributions on salary and benefits.
Outsourcing - Financial services
Undertaking the processing of transactions on behalf of others, eg, insurance,
banking, investment and other financial services.
Undertaking the processing of transactions on behalf of others, eg, insurance,
banking, investment and other financial services.
Overseas countries
The taxation implications of investing and trading overseas.
The taxation implications of investing and trading overseas.
Partnerships and sole traders
Calculation and agreement of the tax liability of partnerships and sole traders
arising from their business activities.
Calculation and agreement of the tax liability of partnerships and sole traders
arising from their business activities.
PAYE
Assistance with the Pay As You Earn (PAYE) system of tax collection
Assistance with the Pay As You Earn (PAYE) system of tax collection
Payroll service and advice
The provision of a payroll service and advice on payroll matters.
The provision of a payroll service and advice on payroll matters.
Pensions and insurance advice
Advice on the most suitable pension or insurance arrangements, either for an
individual or for a company wishing to establish a pension scheme.
Advice on the most suitable pension or insurance arrangements, either for an
individual or for a company wishing to establish a pension scheme.
Pension scheme
Administration of a business pension scheme which might include a membership
database, record of contributions, running bank accounts, paying benefits and
preparation of scheme accounts.
Administration of a business pension scheme which might include a membership
database, record of contributions, running bank accounts, paying benefits and
preparation of scheme accounts.
Personal taxation
Advice on all aspects of tax as it affects the individual, including self-assessment.
Advice on all aspects of tax as it affects the individual, including self-assessment.
Planning
Advice on how to arrange transactions in the most tax-beneficial manner.
Practice Assurance
Practice Assurance (a compulsory scheme of practice review) applies to all members who hold a practising certificate and who offer accountancy services to the public. These members are required to comply with four published, principles-based standards. In most cases, practising certificate holders will be monitored through an Annual Return and a review visit to ‘member firms’ in the UK and abroad, whether or not they use the descripttion Chartered accountant. Where a practising certificate holder works within a ‘mixed’ firm, the firm’s parent body will undertake the monitoring, under reciprocal arrangements. If there is no parent body, the Institute will monitor the individual. Member firms which are subject to Practice Assurance monitoring and which comply with the principles-based standards are entitled to use the Institute’s logo and Practice Assurance legend. Firms which are not member firms but who wish to join the scheme may not use the Institute logo but may use the legend.
Advice on how to arrange transactions in the most tax-beneficial manner.
Practice Assurance
Practice Assurance (a compulsory scheme of practice review) applies to all members who hold a practising certificate and who offer accountancy services to the public. These members are required to comply with four published, principles-based standards. In most cases, practising certificate holders will be monitored through an Annual Return and a review visit to ‘member firms’ in the UK and abroad, whether or not they use the descripttion Chartered accountant. Where a practising certificate holder works within a ‘mixed’ firm, the firm’s parent body will undertake the monitoring, under reciprocal arrangements. If there is no parent body, the Institute will monitor the individual. Member firms which are subject to Practice Assurance monitoring and which comply with the principles-based standards are entitled to use the Institute’s logo and Practice Assurance legend. Firms which are not member firms but who wish to join the scheme may not use the Institute logo but may use the legend.
Property
The impact of taxation on transactions involving land.
The impact of taxation on transactions involving land.
Reorganisations and company reconstructions
Advice on schemes of rearrangement to assist companies over financial difficulties.
Advice on schemes of rearrangement to assist companies over financial difficulties.
Risk management
Profiling the risks faced by a business (such as business interruption and fraud)
and developing a strategy for dealing with them.
Profiling the risks faced by a business (such as business interruption and fraud)
and developing a strategy for dealing with them.
Self-assessment
Amongst many other aspects, this includes advice about record-keeping, tax
returns and the systems for the payment of tax.
Amongst many other aspects, this includes advice about record-keeping, tax
returns and the systems for the payment of tax.
Share valuations
Preparation of a report on the valuation of shareholdings, usually in unquoted
companies, and negotiation of an agreed value.
Preparation of a report on the valuation of shareholdings, usually in unquoted
companies, and negotiation of an agreed value.
Takeovers
Advice and assistance throughout the whole process of taking over another
organisation.
Advice and assistance throughout the whole process of taking over another
organisation.
Taxation
All aspects of tax work for companies, businesses and individuals, including
preparing computations, dealing with the Inland Revenue and advising on taxation.
All aspects of tax work for companies, businesses and individuals, including
preparing computations, dealing with the Inland Revenue and advising on taxation.
Tax Investigations and enquiries
Assessing and negotiating with the Inland Revenue, for example on tax underpaid
in previous years as a result of failing to provide adequate information about
income to the tax authorities.
Assessing and negotiating with the Inland Revenue, for example on tax underpaid
in previous years as a result of failing to provide adequate information about
income to the tax authorities.
Trusteeship
Advice on the use of trusts and also acting as a trustee.
Advice on the use of trusts and also acting as a trustee.
Trusts
How trusts are taxed and their use in tax planning.
How trusts are taxed and their use in tax planning.
UK companies overseas
The tax implications of UK companies trading overseas.
The tax implications of UK companies trading overseas.
UK nationals overseas
Advice on the effect of UK and overseas taxation on UK nationals working overseas.
Advice on the effect of UK and overseas taxation on UK nationals working overseas.
Value added tax
Advice on complying with, and the incidence of, VAT on business transactions
Advice on complying with, and the incidence of, VAT on business transactions
Venture capital
Finance, often for new projects where there is a significant element of risk.
Assistance with sources and proposals for finance.
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