This is an opportunity to collect a debt not only from the owner and founder, but also from another liable employee. Subsidiary liability occurs in cases where a company cannot fulfill its financial obligations, and its debt is transferred to other persons, including the chief accountant. This applies to the situation when the actions or inaction of the accountant led to financial problems for the organization.
Here are the main cases when subsidiary liability of the chief accountant may arise:
Unreasonable reduction of taxes . If the kenya whatsapp phone number chief accountant intentionally understated taxes, which resulted in debt to the state, he may be held liable for subsidiary liability. For example, the company cannot pay off the tax debt, and this becomes the accountant's problem.
Hiding assets . If a chief accountant hides the company's assets to avoid paying creditors, he or she may be held personally liable for the debts.
Incorrect accounting . Errors in documentation that lead to the company's inability to pay debts can also become grounds for holding the chief accountant liable.
That is, in the event of a company’s bankruptcy, the chief accountant will have to be responsible for its debt obligations with his property.
What is the responsibility for?
Consider a situation where an accountant is fired, but may still be held liable for actions taken while on the job if they caused damage to the company.
On topic. How can a manager check the work of the accounting department?
Let's consider what the former chief accountant's responsibility may be:
reporting errors;
unpaid taxes;
concealment of information.
A former accountant must remember that even after leaving office, his actions may have long-term consequences for the company.
How to minimize risks?
Carefully read the job description and strictly follow it in your work. If you have any questionable tasks from management, refer to it.
Take a responsible approach to organizing the storage space for documents.
Maintain your own archive of all payment transactions with counterparties. In case of loss or destruction of documents, you will have something to appeal to.
If you use online documents in your work, close editing access to them.
Notify management promptly of changes in tax and personnel records. In particular, of changes in tax rates.
If you discover signs of bad faith and insolvency of counterparties, tell the director about it. It is better to record this fact in a memo or report.
Enter into documents only actual transactions related to the business activities of the enterprise.
The main thing to remember is that only real documents proving your innocence can save the situation. Therefore, try to regulate all organizational processes and interactions with employees, contractors and management.