Every year our company holds a major golf tournament to raise money for the local branch of a national charity. We ask all of our vendors, including our auditing firm (Big 4), to participate in the tournament and to make a contribution. They are always happy to, and we are always appreciative. This year, we are conducting an exhaustive review of all of our expenses, with a key focus on our professional fees- especially the
Do you know what fees your auditing firm is charging you for?
Answers
This sounds unethical to me. Does anyone else share that opinion?
Anon
Check your letter of appointment/terms of engagement with them to see how explicit it is in terms of reimbursement of expenses.
Then ask the firm to explain how they decided to charge you back for the donation and listen to their response.
Then wait to see if they agree to get involved this year in the charity event.
Then decide what your company should do regarding your choice of auditors. You don't indicate if you are a public company, so whether an Audit Committee of the board should get involved is something else to determine.
A "Charity Donation" is not (or definitely should not be) a reimbursable expense for a professional organization. I'd say most consider it advertising/
I'd have a conversation with the Partner in Charge of the office your account is located at; and then find another firm.
Anonymous - It's been a couple of months since your question. Did you get some sort of resolution on this? The problem with Big 4 firms is you pay Big 4 prices, so they will charge you back for ever little thing.
I am with Len and Wayne on this one in how you should resolve it. For