Thank you for choosing Tax and Accounting Services Company (“TASC”) to assist you. This agreement confirms the terms of our engagement with you and outlines the nature and extent of the services we will provide. Our services depend on you to provide the information we need to complete an accurate assessment, complete compliance tasks, and provide recommendations.

 

You have chosen to have our FULL-SERVICE PLAN which include the following services:

 

Access to Client Portal – All data is collected electronically, and we do not accept paper documents. E-mail is not considered a safe way to transmit financial documents. Experts have stated that this is a common cause for identity theft. We have a secure client portal that all documents MUST be sent through. Our system retains all records sent to us for 7 years and you may access these documents at any time. The storage of documents on our portal is free to you.

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Year-Round Tax Advice – Having timely answers can help you make decisions that can affect your tax liability and business bottom line. Your subscription includes up to 1.5 hours of Public Accountant and Master of Taxation Time each month. Prior to making any financial decisions consult with us.

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Monthly Review and Accounting Adjustments - Making sure your accounting information is the most current it can be (usually less than 30 days following the month end) is important to make sound financial decisions. Each month once we receive all your statements (form bank accounts, credit card, loan, etc.) we will reconcile your QuickBooks transactions to the statement transactions and balances.  We will then perform a review of transaction for reasonable reporting under your comprehensive basis of accounting and make adjustments as needed. Your Subscription includes up to 3 hours of senior staff preparation time and 1 hours of Public Accountant review time.

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Monthly Financial Statements – We will send you each month financial statements prepared in QuickBooks. If you require a financial statement signed by an accountant stating the procedures that were taken (i.e., Compilation Services) please contact us. Your financial statements will be provided via the portal each month.

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Quarterly Tax Estimates – Quarterly tax estimates and financial statements require your general ledger to be recorded under acceptable comprehensive basis of accounting. Each quarter we will estimate your quarterly taxes – If you have a flow through entity (partnership, LLC, or S-corporation) this will require estimating your individual taxes. All others can include individual taxes if time permits without incurring additional time charges. Your Subscription includes up to 2 hours of senior staff preparation time and .5 hours of Public Accountant review time.

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Business Tax Preparation – Accurate and complete tax compliance is a must. At the beginning of the year, we will prepare your annual Business tax returns. Your subscription includes up to 5 hours of senior staff preparation time and up to 2 hours review by Master of Taxation.

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QuickBooks Online and QuickBooks Online Payroll Discounts - Intuit ProAdvisor’s are allotted discounts up to 50% on all QuickBooks Online products for as long as clients maintain their subscriptions. Provided you meet the requirements set forth by Intuit you will receive the full discount allowance for the life of your subscription. This offer is subject to change without notice based on Intuit policies.

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    By signing this engagement letter, YOU are attesting to the following:

 

1.  All information provided in client questionnaires and organizers is (will be) truthful and correct to the best of my knowledge.

2.  We (I) have (will) provided all documentation required to provide the engaged services – delays in providing information needed      can delay your services past 30 days.

3. We (I) acknowledge that receipt of all income (including cash and other property) has been (will be) provided.

4. We (I) understand that both taxpayer and spouse are jointly and severally liable for and tax due on joint returns.

5. We (I) understand that Taxpayers are held responsible for all items reported or not reported on tax returns, regardless of who prepares them.  Preparers, accountants, and bookkeepers can be held responsible if they acted fraudulently or otherwise committed unlawful acts. 

6. We (I) understand that falsifying records, intentional omissions, or otherwise misrepresenting financial data in financial statements, tax returns, accounting data or other financial records or reports is fraud and illegal. 

7. We (I) are responsible for paying taxes to the IRS state or local agencies by the due date of the taxes.  Many due dates are prior to the filing of tax returns.  For example: Individual federal taxes are due each quarter during the year (and not April 15th.)  If you are unsure of the due dates, please contact us for assistance.

8. We (I) understand that if requested by the IRS, state, or local tax agencies, we (I) will produce receipts and documentation to substantiate income and deductions.  I further understand that I should keep records for a minimum of seven (7) years. In certain circumstances, such as with real estate, records are often necessary when the property is sold many years later these records should be kept indefinitely. If you are unsure, please ask.  

9. We (I) understand that the fees for the services outlined in this engagement letter are based on time to prepare the services and are NOT based on receipt of completed tax returns, completed financial statements, completed forms, or achieved results or actions of any kind.

10. We (I) understand that engagement, including billing and collection, will be governed, and construed in accordance with the laws of the State of Colorado, without giving effect to the conflicts of law principles of the state. Both parties irrevocably consent to the exclusive jurisdiction of courts in Boulder County in the state of Colorado.

 

We may ask you to clarify some items, but we will not audit or otherwise verify the data you submit. Our work does not include procedures to find misappropriated funds or other irregularities. Accordingly, our engagement should not be relied upon to disclose errors, fraud, or other illegal acts.  We will, of course, inform you of any material errors, fraud, or other illegal acts we do discover.

 

We advise you to meet with us prior to signing and e-filing of tax returns or using any financial reports we produce to be sure you understand what they contain. We do not charge for the time to meet and review your completed tax returns or other financial reports. We are happy to explain anything you do not understand or have prior knowledge of.  We are here to advise and help you.  Please do not ever hesitate to ask questions. 

 

 

Fees and Invoicing

 

The FULL-SERVICE PLAN is billed monthly using recurring credit authorization. Each month on the agreed date your debit or credit card will be charged for a $599 recurring charge for all Business Core services. Additionally Discounted QuickBooks and QuickBooks payroll subscriptions will be billed by TASC at your predetermined Intuit Rate. Intuit has conditions to receive discount – must be new customer and there is a time limit to how long it has been since you purchased. Intuit’s terms change from time to time, and we are not responsible for changes in their pricing plans.

 

Services not covered by the FULL-SERVICE PLAN will be invoiced monthly. All fees including, FULL-SERVICE PLAN discounted flat fees are based on time spent and not on completion of work. You are responsible for payment of invoices in a timely manner.  Invoices are due and payable by the stated due date. To the extent permitted by state law, an interest charge may be added to all accounts not paid within thirty (30) days.  As of 2017, we no longer accept paper checks.  All invoices must be paid with a credit card, debit card or e-check through the invoicing system.  

 

Flat fees Our fee will be based on the time required at the standard hourly billing rates plus any out-of-pocket expenses. Out-of-pocket expenses include but are not limited to tax and other software fees, mileage, and postage. Standard hourly fees are subject to change from time to time to keep up with inflation and other conditions that arise. Standard billing rates are charged at $90 (NINETY DOLLARS) per hour for staff work performed, $120 (ONE HUNDRED AND TWENTY DOLLARS) per hour for senior staff work performed. Public Accountant (“PA”) and Master of Taxation (“MT”) work is charged at $295(TWO HUNDRED AND NINETY-FIVE DOLLARS) per hour as it relates to financial accounting and tax preparation. Last minute or work requested less than 2 weeks prior to due dates is subject to a 25% increase in fees.  Fees for work performed are based on time spent and are due regardless of you receiving any completed report, tax return, financial statement, achieved results or actions of any kind.  

 

Our engagement will terminate if at any time as we conclude we are unable to complete the engagement. We will make determination of inability to complete the engagement for the following reasons including but not limited to a) lack of information provided by you, b) disagreement as to amounts that are required to be reported under current law that we cannot resolve, c) non receipt of invoice payments without an approved payment arrangement with our offices or d) inability to continue for ethical, moral, or legal reasons. TASC may terminate this agreement with or without cause.

 

We are happy to have you as a client and look forward to a beneficial working relationship.

 

Sincerely yours,

 

Tax and Accounting Services Company. Inc.  

 

 

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