Practising accountants who leave CIMA

If you wish to continue as an accountant or tax adviser in practice, or any other category listed in the Money Laundering Regulations 2007, having resigned or failed to renew your membership of CIMA (and are not a member of a body which is recognised in Schedule 3 of the Money Laundering Regulations 2007), we must advise you that it is a legal requirement for 'external accountants' in the UK who are not otherwise regulated to register for anti-money laundering supervision with HMRC. 

We understand that this will cost £95.00 for 2008, and a rate will be set for successive years in the light of HMRC’s experience and costs. Failure to register is regarded as a criminal offence, punishable by a fine and possibly imprisonment.

If you have retired, or are no longer in practice, you should also be aware that you (or your former practice, if it is in new ownership) are required to maintain files of past clients for anti-money laundering purposes under the new Regulations for at least five years from the date of the end of the business relationship (records must include the customer due diligence papers and supporting evidence of business activity - Regulation 19). This is a legally enforceable requirement.

HM Treasury requires all external accountants (ie those offering services to the public or to other companies or professionals) to be aware of their responsibilities, and CIMA, as a Supervisory Authority under the Regulations, has a duty to inform resigning Members in Practice of the situation that might arise if they leave CIMA but decide to continue offering accounting services, or indeed fail to register with CIMA as being in practice.