Solicitor Trust Accounts
Audit Requirement
Under Section 237 of the Legal Profession Act 2008, a law practice must at least once in each financial year have its trust records externally examined by an external examiner appointed in accordance with the regulations.
Only an accountant who is a registered company auditor an employee or agent of the Board, may be appointed as an external examiner.
At AMW, we have three registered company auditors. We have vast experience in the audit of Solicitors Trust Accounts and annually audit over 20.
Audit Process
An audit would involve, among other compliance and verification testing, obtaining the monthly trust bank account reconciliations and testing the underlying information. It also involves testing receipts and payments from the trust account to supporting documentation, authorisation by clients and engagement letters.
At the end of the audit, the External Examiner’s Report, the Declaration by the Law Practice regarding Trust Money, the Trust Money Statement with supporting documentation and the Law Practice Profile forms are submitted to the Legal Practice Board.
