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We terminated contract with GC's rep that is using GC license, due to terrible workmanship & found out that he has not paid subs for work. Initially this person said his partner, Judson Bentley held the GC license, well that is BS and he just uses the GC license. This person now has 90% of money-at least 50%of job left to complete. He is non-licensed contractor in general who voluntarily closed his corporation with the State of Florida during the job, he still cashed checks from us. He obviously did not pay taxes on this money. When we found this out, he signed a personal responsibility note for us, we then wrote checks to him personally since we were not comfortable writing checks to a Name that did not exist any longer. We asked every time we wrote a check, did you get a corporate name yet? Not yet, blamed the State for the delay. He forged my spouse's name on Permit Docs with the City, he demanded $ from us weekly to keep the job going and we have saved voice mails of proof, on May 12th, he left the job due to questions from us, the homeowners, about the workmanship when we had called the product manufacturer for input of what he used on floors, they arrived May 12th, tested, determined not used properly by non-licensed person and that the tile in the bathrooms needed removed as well. Instead of using subs, he did the floating of the floors and the tile in the showers, when we questioned the work, he said he has done tile and flooring for 30+years. He blamed the flooring product, blamed the tile we picked for the tile shotty job. We need to now jack hammer the second time, the crap he used improperly on the floors, tear out the showers due to the way he did the tile job & need to find a new GC to finish job. We since found out that he did not pay the subcontractors such as drywall, electrician, cabinet guy. We have contacted 3 of them to offer the opportunity to finish the job, offering to pay them for non-payment from this jack- - -, they have been contacted by him and now not responding to us. He did Not have Workman's Comp on workers he had on job, the General Liability Insurance is in the GC's name that he uses, and the insurance company is not giving me any info to verify the Dec page provided to the Condo Association. This guy will not release our Doors, Hardware, Primer, Paint, Quartz Countertops, Baseboards, and the guy that has fabricated our cabinets for kitchen and baths has not given a price of what is due to him, + other items we paid him for. He brought in a water heater that has a warranty card from 2016, when we asked for the receipt he could not provide one. We have a Notice of Commencement, there are at this time no leins against us or our property. The City permits under the GC end June 20th I believe. He now is very anxious for us to sign a "Hold of the Permits", which I see no rush to do for his convenience. What if anything can be done with this bad situation about this guy and am I allowed to put this info online to the public with pics of the work?...Read More
Anonymous Contractor
1 answerAdd commentMay 27, 2022
FloridaConstruction AccountingLawsuitLicensesLien DeadlinesNotice of CommencementNotice of Intent to LienNotice of TerminationRecovery OptionsStop NoticeSubstantial Completion
I have a customer who avoid paying me $16k, the job is finished and he keep dragging the payments by claiming he don't have money. I already filed a mechanical lien and again he said he will pay but didn't. He did gave me previously 4 checks of total $16k however they all bounced. What will be the best and cheapest route for me, to continue with the lien and file a foreclosure on it or to sue in court for giving me bad checks knowing he don't have money? Thank you in advance for your help!...Read More
Anonymous General Contractor
Waiting for answerAdd commentMay 18, 2022
CaliforniaConstruction AccountingForeclosureLawsuitLien DeadlinesLien ForeclosureMechanics Lien
Good morning Mr David, Trust this mail meets you well. I am currently having issues with our external auditors on recognition of revenue in the books of our company that is into real estate development. Here is the summary, the modus operandi of the business is to buy a virgin land, develop units of flats on the same and sell the same to subscribers. In the books of the company, deposits made by the subscribers for any ongoing project is recognized as a liability while the development cost on the same is treated as an inventory pending completion of the project. So, in any financial year that a project is completed, the Subscribers deposit in the SOFP is debited while revenue in the SOPL is credited with the total amount received. Also, the Development cost (as an inventory in the SOFP) is credited while development cost in the SOPL is debited. At the moment ,we are having difficulty in applying IFRS 15 in recognizing revenue to be reported for the period ended 31st Dec 2021 because the projects are still ongoing. The following are my questions: Is IFRS 15 applicable in this scenario. If yes, how best can we resolve this? If No, what other options are available for us to be able to recognize revenue without violating the standard. I will appreciate your prompt response and professional advice on this . Regards Sunday Babajide...Read More
Anonymous Contractor
Waiting for answerAdd commentApr 27, 2022
Washington DCConstruction AccountingPay Applications
I'm an electrical contractor. We design and build energy projects for home owners like pv, storage, generators. Also do service and other elec work. Supply chain struggles dictate that we have to purchase from many vendors now. New ones demand payment in full to ship. Huge strain on our cash. Have considered the usual deposit at signing of lesser of 10% or 1 k and then billing for the equipment we have to special order, minimally 4 business days after contract signing. ...Read More
Anonymous Contractor
1 answerAdd commentApr 25, 2022
CaliforniaConstruction Accounting
I have a client that are not willing to pay us unless we reciprocally exchange check for unconditional release on final payment. We are located in California and I know that a Unconditional release will leave us without any rights if the check doesn't clear the bank. Are we allowed to add under Exceptions a note that states that this release is only valid upon funds positive deposit or something along these lines? thank you. Monica msafarik@icsinc.tv...Read More
Monica Safarik
3 answersAdd commentApr 19, 2022
CaliforniaConstruction Accounting
Hi there! If a sub forgot to sign a waiver during the course of construction (partial unconditional) will a full unconditional waiver cover the missed amount? As long as that payment is included in the total amount on the final? Example: Missed June $100 Final Unconditional issued in July (including the missed $100 in June) for every dollar thesub was paid. ...Read More
Lindsay Earley
Waiting for answerAdd commentMar 31, 2022
MichiganConstruction Accounting
Should we consider opening new bank accounts for the PPP loan? This would help us keep these funds separate. The plan would be to deposit the loan funds into the new account, to get new checks for payroll/direct deposit payroll checks from the new account, etc. An alternative could be to move the money from the new account into our normal account each week for payroll. What is the best practice here, and what should we be concerned about?...Read More
Anonymous Property Owner
1 answerAdd commentMay 20, 2020
CaliforniaConstruction AccountingCoronavirusStimulus
I need help fixing booking and filing tax return for a family run business. Please call at 818-859-4646 as soon as possible. Thank you very much....Read More
Anonymous Contractor
Waiting for answerAdd commentFeb 26, 2022
CaliforniaConstruction Accounting
Hires me to come and do all finish work and once I got there to work I started finding his work was the worst I’ve seen in 10+years. I refused to roof it in its condition. I explained to home owner how it should be done and he had lied to them from day one. First but saying material coast was 25,000 on two rooms one 8/20 and other 12/20. Now home owner wants him to leave and I to tear it down and start over. But me and her is both in a contract with him he also adds to my contract after I sign it. ...Read More
Anonymous Contractor
Waiting for answerAdd commentFeb 24, 2022
GeorgiaConstruction AccountingConstruction ContractDefects
describe distinct measurement rules of taking off metal shelving in ironmongery...Read More
Anonymous Contractor
Waiting for answerAdd commentFeb 20, 2022
ArizonaConstruction Accounting
how you categorize what a remodeling company sells? it is goods and services? ...Read More
Anonymous Contractor
Waiting for answerAdd commentFeb 20, 2022
LouisianaConstruction Accounting
A California Company, manufactures custom windows/doors/ iron forge for high end residential. Some projects are new builds and some are complete remodels. The company provides onsite installation on 90% of projects. In regards to down payment law in California, can the company request higher than the 10% down- this phase includes design work for approval, procuring long lead foreign materials etc? If not, should the company request 2 separate orders from client- 1 for Fabrication (PO) and 2 for onsite install, o/h, etc (contract)? Will this then allow the fabrication to request a larger down payment for the design and procurement of long lead materials? My assumption is on the second order it would cap at the 10% or 1,000 which ever is less?...Read More
Anonymous Contractor
2 answersAdd commentFeb 9, 2022
CaliforniaConstruction AccountingConstruction Contract
I am a subcontractor with a client that is closing their doors soon. Most of my projects are smaller $500-1,000 and as I understand it, do not qualify to file a lien in Florida. They now are indicating they intend to pay two of the large($2,500+) projects because they are qualified to file a lien. Do they get to decide how the payment they send is applied? or can I put any payment they send against their oldest invoices and call the larger projects outstanding?...Read More
Anonymous Sub-Subcontractor
1 answerAdd commentJan 27, 2022
FloridaCollectionsConstruction AccountingLien DeadlinesMechanics LienNotice of CommencementRecovery Options