Engagement Letter . . .


PLEASE SIGN & RETURN

I have engaged your firm to prepare my:

            Federal Income Tax Return

            State Income Tax Return(s)

            City Income Tax Return(s), (if necessary)

For the year ended December 31, 2008. I understand that it is my responsibility to provide you with all of the information required to complete my tax returns. In that regard, I state that to the best of my knowledge and belief: 

  • I understand that it is my responsibility to provide all the information necessary to complete the returns. I will retain for 4 years all the documents, receipts, cancelled checks and other records required to substantiate the items of income and expense claimed on my return.

  • I have provided true, correct and complete information regarding amounts I have provided to you to claim as tax deductions, and have maintained written documentation supporting all amounts, including logbooks and receipts. I understand that if a question arises regarding the interpretation of tax law, and a conflict exists between the tax authorities’ interpretation of the law, and other supportable positions, that you will use your professional judgment in resolving the issues.

  • I understand that taxing authorities may examine the returns, that documentation should be retained to support the information provide to you, especially business travel and entertainment deductions, business use % of autos and other assets, and barter activities, and that penalties may be imposed on returns that are late, underpaid or incorrect.

  • I understand that you will not audit or otherwise verify any information, that you may require clarification or additional information, that you are not responsible for disallowed deductions, or the inclusion of additional unreported income or any resulting taxes, penalties or interest.

  • I understand that I will be charged an additional fee if you are asked to assist or represent me in a tax examination OR INQUIRY. I understand that, in the event of preparer error, I am responsible for additional tax that may be due, but that the extent of your responsibility is to pay for any penalty that the IRS or the above state revenue department may assess up to the total fee charged for that return up to the total charge for preparation of the returns.

  • I will contact you immediately if I discover additional information that will lead to a change in my return, or if I receive any letters from the IRS or state taxing authorities.

  • I understand that your policy is to put all tax advice in writing, and that I will not rely upon any unwritten advice because it may be tentative, incomplete, or not fully reviewed.

  • I understand that your bill will be due and payable upon completion of these returns, and that additional services will not be performed until the bill for these services is paid in full. I understand that your bill will be based upon the predetermined amount given to me or by the standard billing rates presented to me. I will agree to pay a finance charge of 1½% per month if the bill is over 30 days outstanding.

  • I understand that you will not file any federal, state or local tax extensions without my specific written request to do so.

  • If there are other services or tax returns that I expect you to prepare, such as estate, gift, sales, fiduciary, property or other states or cities, I will note them at the bottom of this letter.

 

RECORD RETENTION 

In accordance with our firm’s current document retention policy, we will retain our work papers and your tax returns for your engagement for four years. We will provide you a copy of the depreciation schedules and tax returns and other pertinent work papers that should be a part of your books and records. If you should need replacements, we will provide additional copies at our standard copying fees. All of your original records will be returned to you. After four years, our work papers and files will no longer be available. Physical deterioration or catastrophic events may shorten the term during which our records will be available. The working papers and files of our firm are not a substitute for the original records of your company. It is agreed and understood that in connection with the performance of this engagement by MAS Advisory Services, Inc. that the work papers prepared by us shall remain the property of MAS Advisory Services, Inc.

We appreciate the opportunity to serve you, and look forward to a continuing, mutually satisfying relationship. 

Very truly yours,

 

MAS Advisory Services, Inc.

Steven A. Marshall, CPC

The terms described in this letter are acceptable and are hereby agreed to and shall remain in effect until terminated by either party in writing.

 

Accepted by:                                                                                        Date:                           

 

Company: ______________________________________