Confused!!? - The Book-keepers Forum (UK)

saraunderwood · Member

Confused!!?

Shamus · Forum Moderator & Expert

Hi Sarah,

unfortunately under the ICB regulations you cannot practice without a practicing licence for which you need to pass (currently) either your level II manual or computerised (Very soon you will need to pass bith).

You could however step down from the ICB, buy your MLR cover from HMRC and then do either the AAT ABC bookkeeping course or OU course B191 instead of ICB as either of those are around the same level as the ICB level II.

Passing the afore mentioned bookkeeping qualifications would get you exemptions from IAB or ICB exams and you could then join / rejoin at a higher level via exemptions and get a practicing certificate.

The route above will be a lot more expensive but it all depends on the amount of money that you would be giving up if you lose this client.

If its just a couple of hundred then do the ICB first. If your looking at a thousand or more I would look at alternative routes such as the one detailed above.

All the best,

Shaun.

-- Edited by Shamus on Thursday 15th of April 2010 01:18:55 PM

Rhianrach · Expert

Just had a look at thet there ABC course and it's got me wishing I had done that instead of the foundation. evileye

Steve

saraunderwood · Member

Many Thanks Shaun for your good advice. Had the meeting with the client and came to an agreement of completing his day to day bookkeeping and vat returns. I have already contacted HMRC to get covered for Money Laundering regs.

Sarah

Stardoe · Guru

Hi all,

I am currently a registered student with the ICB planning on taking my Level 2 in May/June but I am already working for 4 clients in my local area, mainly just every day bookkeeping work. The ICB obviously know I am working as they have issued me with a supervision licence for MLR as I don't have a practice licence yet. These clients include two Limited companies. The ICB haven't said anything about me not being able to work whilst not qualified.

I was already working for two of these clients when I registered with the ICB and I wasn't about to stop working just because they said I couldn't!

Pauline

saraunderwood · Member

Thank you pauline for your post!

I will phone the ICB regarding a supervision licence for MLR!
What is this supervision licence?

Also ICB have told me the next available date for the level 2 is not untill July. They are not taking any bookings until Mid June!!

Sarah

Stardoe · Guru

Hi Sarah,

My supervision licence covers me for the MLR and was far cheaper than registering with HMRC, £60 as opposed to £120. I assume that the supervision licence is in place of the practising certificate as I'm not qualified yet.

Thanks for letting me know about the exam bookings! I suppose I should have phoned them earlier, but thought as they've now changed to "on demand" exams that I could get a date and time that was convenient to me.

Pauline

Shamus · Forum Moderator & Expert

Hi Pauline,

I'm confused (doesn't take a lot at my age!). The big question is then so whats the point in a practicing certificate if they give out supervision licences before you are qualified to hold a practicing certificate? Doesn't that defeat the object of the practicing certificate?

Its existence makes no sense at all to me and I would be interested to know if it's something that they're still handing out now that they're making existing practice certificate holders pay for more exams just to retain their existing practicing certificates.

If they are then we can all forget about taking anymore exams and just apply for this instead.

Thanks for bringing it to our attention Pauline.

Shaun.

Rhianrach · Expert

Sounds similar to MIP with the AAT ............ no point to it.

Wella · Expert

Hi Shaun

I'm confused too!?

I've just had a look round the ICB website and cannot find any reference to a supervision licence.

The FAQ section also states that, you must have a Practice Licence to work self employed.

How strange

Bill

Shamus · Forum Moderator & Expert

Hi Bill,

just had a glance around our own site and Ann Marie got one of these off the ICB in this thread :

http://www.book-keepers.org.uk/index.spark?aBID=106474&p=3&topicID=33442345

Unfortunately neither of us picked up on the supervision licence in that one as Ann-Marie went from ICB lvl I with a supervision licence to Lvl II with a practice licence within a couple of posts so it was never an issue.

Just a guess but it sounds as though the ICB are just raising a bit more extra cash by undercutting HMRC for MLR.

I suspect though that anyone taking this route would not be able to mention their ICB status and would not have access to the ICB practice area so it would really be just as though one had taken out MLR through HMRC but cheaper.

Excellent, bit more good advice that we can pass out to newbies. Don't bother with exams or the expense of HMRC. Get your cut price MLR here!

So Bill, when are you going to be defecting to the IAB then?

Shaun.

Wella · Expert

I've just had a look at the thread - see what you mean.

Still confused because there seems to be a contradiction in their regulations.

On one hand they stipulate that an ICB member cannot work self employed without a practice certificate and student (and affiliate I believe) members cannot get a practice licence. Even with the practice licence you can only work to the level of your competence (your exam grade level).

I am hanging in until September, when my practice licence (for what it's worth!!) runs out, I want to see what happens with the changes to AAT as well but I am pretty sure I will jump ship, the way things are going. The only benefit I can see of being a member in practice is the use of the ICB logo (you have to jump through hoops to even use that, with all the proofs you have to send before you can have things printed - a website is a real nightmare to get approved, if you use their logo) and access to technical and legal advise.

Anyway the sun is shining, so I'm not complaining much. Just waiting for a big lump of super heated ash to fall from the skies

Bill

Is it me? or is there a problem with the forum today. Keeps freezing me out but other sites are OK

Stardoe · Guru

Hi all,

When I joined the ICB as a registered student I telephoned them regarding covering me for MLR as my registration with HMRC was about to expire and they said they could cover me with a Supervision Licence. I've just had a look round their site and cannot find any mention of a Supervision Licence. It is a bit strange though that they allow me to practise even though I'm not qualified. I suppose as long as I don't use their crest or letters and don't advertise in any way that I'm associated with the ICB?

My covering letter that came with the Supervision Licence states:-

"The registration for MLR does not in any way indicate that you hold membership with the Institute. It merely ensures that you remain compliant with the new regulations and can continue to provide bookkeeping services. You will not be entitled to any of the membership benefits available to members".

So, in effect I suppose you could register as a student member £45, apply for a Supervision Licence £60 - total £105, still £15 less than with HMRC, and just keep renewing....lol

Pauline

RobH · Expert

'Squeal like a pig' where's that quote from Bill not to answer!

Shamus · Forum Moderator & Expert

Hi Pauline,

thanks for the update.

In allowing this work around to improving quality of work by circumventing the exam process the ICB really do seem to be making a mockery of their very reason for existence. Namely promoting bookkeeping as a profession.

It does sound a bit like one of those wrinkles that will get ironed out over time so I would be adverse to advising anyone to take this route myself but for now if it's a cheaper route to MLR cover then go for it.

Thanks again for posting this option. It ended up with Bills and My jaws somewhere around our ankles that this option existed.

Hope that you're having a great weekend,

All the best,

Shaun.

Stardoe · Guru

Hi Shaun,

Please pick your jaw up from your ankles, it isn't seemly...lol Just to clarify here that I do fully intend to take all the manual exams and the computerised exams and possibly the payroll diploma as well. This wasn't just a work around to get cheaper MLR registration. To save money I am not upgrading my membership and applying for a Practice Licence until I have completed Level III.

I suppose they had to do something to accommodate those students who were already practising. I have been bookkeeping for a number of years but have never taken any formal exams and was keen to progress.

I'm having a good weekend thanks. Lovely weather at last!! I had to forego studying to sit in the garden.

Hope you're all having a good one too.

Pauline