Business Engagement Letter



All Tax Years
Business
1
DB Tax Solutions
593 Lake Royale,
Louisburg, NC 27549


ENGAGEMENT LETTER
PLEASE SIGN & RETURN
I have engaged your firm to prepare my:

_________    Federal Income Tax Return -Form 1040- Schedule C, 1065 or 1120 or 1120 S
________   Please file a ______ extension form for me. 
________   Estimated Tax calculation
________   Bookkeeping                   
________   Bank Reconciliations
________   Income and Expense Statement
________   Consultation or Other ________________________________________________________________

 I understand that it is my responsibility to provide you with all of the information required to complete my tax return. In that regard I state that, to the best of my knowledge and belief:

I have provided true, correct and complete information regarding my income as listed on the attached Forms W-2, 1099 and/or attached written summaries.

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 provided to you, especially business travel and entertainment deductions, business use % of autos, cell phones 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 or 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 IRS 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 within  90 days upon completion of tax return.

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 you will not file any federal, state or local tax extensions without my specific written or emailed 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.

CONFIDENTIAL
All information provided will remain confidential and will only be used for accounting purposes.
              
RECORD RETENTION

All of your original records will be returned to you. We will scan your documents and keep electronic copies in consistent with our paperless goal. It is agreed and understood that in connection with the performance of this engagement by DB Tax Solutions that the work papers prepared by us shall remain the property of DB Tax Solutions.
FEES
No tax return will be electronically filed until the tax preparation and bookkeeping bills are paid in full.
All fees are due when you pick up the tax return. If there is significant bookkeeping time for businesses or estates than monthly progress bills will be sent and must be paid immediately. I understand that your bill will be due and payable upon completion of these returns.

I understand that your bill will be based upon the predetermined amount given to me $______, or an hourly rate of $50.00 per hour.

We encourage you to contact us before making decisions to obtain tax information and provide an opportunity for tax planning.

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

Very truly yours,
DB Tax Solutions

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

Accepted By: _______________________________                    Date: _____________

For Business Owners only: Name of Business:_______________________________________________
I personally guarantee the payment of the tax preparation and bookkeeping fees for this entity. A separate engagement letter will be required for your personal tax return.


Signed by Business owners _________________________         Date ____________________