Heritage Financial Group
INDEPENDENT CONTRACTOR AGREEMENT
This Independent Contractor Agreement ("Agreement") is made effective as of 
and between Heritage Financial Group ("Company") and Contractor ("Contractor"), ("Company") of Missouri City, Texas, Fort Bend County and ("Contractor") of *(City), * (State), (County).
In this agreement, the party who is contracting to receive the services shall be referred to as "Company", and the party who will be providing the services shall be referred to as "Contractor." WITNESSETH, that:
WHEREAS, Heritage Financial Group desires to hire Contractor, as a contractor for tax preparation services for the 2023-2024 tax season(s), upon the terms and conditions hereinafter set forth in this Agreement;
and
WHEREAS, Contractor agrees to accept role as an independent contractor with Heritage Financial Group upon the terms and conditions hereinafter set forth in this Agreement. NOW, THEREFORE, in consideration of the promises set forth herein above and the mutual promises herein contained, the parties agree as follows:
I. Engagement.
We shall engage you as an independent contractor with such duties and responsibilities as are set forth herein and as are from time to time prescribed by us, and you hereby accept and agree to such engagement, on the terms and conditions hereinafter set forth.
II. Purpose
The purpose of this agreement is for contractor to offer income tax preparation, income tax filing, and refund fulfillment services (the “Services”) to its existing customers with Heritage Financial Groups’ assistance using financial products and services offered through Heritage Financial Group. Notwithstanding the foregoing, it is expressly understood that the Contractor is offering the Services on behalf of Heritage Financial Group and utilizing its tax preparation software as a customer data entry site. As a contractor that holds a valid PTIN, Contractor is permitted to prepare or file tax returns on behalf of customers.
III. Authority and Relationship of the Parties.
The Parties to this Agreement recognize that this Agreement does not create any actual or apparent agency, partnership, franchise, or relationship of employer and employee between the parties. The relationship created by this Agreement is that of an independent contractor, and no fiduciary or other special relationship is created or intended. You are not authorized to enter into or commit Heritage Financial Group to any agreements, and you shall not represent yourself as the agent or legal representative of the Heritage Financial Group. You must indicate clearly the independent ownership of your business in all public records and in all your dealings with third parties. This Agreement is nonexclusive, which means you may face competition from other independent contractors or employees of Heritage Financial Group.
IV. Term.
The term of this Agreement shall commence on (the “Commencement Date”) and will expire on 2 years exact (the “Commencement Date”); provided however, that you are only authorized to offer the products and services during the months of December through October during the term. The Parties will have the mutual option to renew the Agreement for successive 1-year periods on the same terms and conditions set forth herein.
V. Duties
A. Heritage Financial Group. The company shall provide the necessary software, support, access to proprietary materials, and training required to successfully offer tax preparation services. In addition, we will provide an IRS Electronic Filer Identification Number (“EFIN”) for use by you. The EFIN will be in the name of the Heritage Financial Group.
B. Contractor. The contractor agrees to target new customers/clients for services, and shall provide necessary hardware (i.e. computer, printer, etc.) and utilities (i.e. electricity, telephone, internet connection, etc.) to properly run software to support services. The independent tax preparer will sign the tax returns as the paid tax preparer using their own Personal Tax Identification Number (“PTIN”) or social security number as identification. Independent contractor will be responsible for obtaining and renewing their PTIN from the IRS timely.
C. Code of Conduct. All tax preparers are required to govern themselves by the laws of the state and federal government in relation to tax preparation. Any willful or malicious activity regarding the falsifying of documents or information in a tax return will be transferred to the Internal Revenue Service and associating local police jurisdictions.
D. Liability. All tax preparers are held liable by the state in which he or she are operating and the Internal Revenue Service for all tax returns prepared under this agreement. Any errors or omissions either intentionally or inadvertently must be corrected by the tax preparer. Any and all liability associated with any errors will be that of the tax preparer and not Heritage Financial Group.
VI. Payment for Services/Compensation
The company will pay compensation to contractor for services at the point in which the IRS funds returns completed by the contractor. Payments to the contractor are to be made as follows:
A. Nature of Compensation. Compensation is commission-based only and is dependent solely on a fully executed and guaranteed released payment by the Internal Revenue Service.
B. Compensation Amount. The company will pay the independent contractor 70% of the assessed fee per executed tax return. If a refund is not released by the Internal Revenue Service, for any reason, neither the company nor the independent contractor will receive any compensation for that return.
C. Timeliness of Compensation. Payment for funded returns will be made from the company to the independent contractor within twenty-four (24) hours of receipt from the IRS. through a 3rd party bank.
D. Income Reporting. The company will issue the contractor a 1099 for annual income reporting no later than January 31, 2024 for the 2023 tax filing season.
E. Due Diligence Requirements for Payment. On Friday of each week, the independent contractor must have copies of completed client files for the week. The contractor must provide either paper filing or cloud based filing system to retain files.
1) All Client folders should consist of the filing:
a) Valid (unexpired) Photo ID
b) Client Intake Questionnaire
c) Signed Tax Return (signature obtained through tax software)
d) Signed Bank Product Documents (signature obtained through tax
software)
e) Supporting documents used to prepare tax return
(i) Income-related documents (i.e. W-2, 1099-G, 1099-MISC, etc.)
(ii) Childcare Expense Documents
(iii) Proof of Head of Household Status (i.e. Lease agreements, utility
bills, etc.)
(iv) Healthcare Coverage Documents (1095-A)
(v) Business Income and Expense Documents
(vi) Proof of Dependent Documents (i.e. social security card, birth
certificate, proof of guardianship)
(vii) Proof of Education Expenses Documents (i.e. 1098-T, fee bills,
education expenses receipts)
VII. Contractor Restrictions.
A. Laws, IRS Rules and Regulations. The contractor is not permitted to prepare or file tax returns on behalf of customers prior to authorization from the company. Notwithstanding the foregoing, you must adhere to all Internal Revenue Service (IRS) Code, Rules and Regulations, including, without limitation, the requirements described in IRS Publication 1345 (Handbook for Authorized IRS e-file providers).
B. Federal, State, and Local Laws. The contractor must comply with all applicable federal, state, and local laws, regulations, and ordinances. This includes all federal, state, and local laws and regulations governing the provision of tax preparation services and/or refund advances. The independent contractor is also required to comply with all federal, state, and local laws and regulations which apply generally to all businesses, which include, without limitation, zoning laws, consumer protection laws, false advertising and deceptive trade practice laws, state wage and hour laws, the Americans with Disabilities Act, employment laws, the Patriot Act, Gramm- Leach-Bliley Act, and the Occupational Safety and Health Act.
C. Customer Data. The contractor acknowledges and agrees to comply with all applicable use and disclosure laws regarding the protection of customer information, including Internal Revenue Service (IRS) Regulation 7216, which regulates the use and disclosure of a tax customer’s information for non-related financial products. The contractor hereby agrees to have all customers sign all necessary documentation, as the company may set forth in written or electronic communications from time to time in order to comply with all applicable use and disclosure laws. The contractor will be required to safeguard all pertinent customer documentation for up to five (5) years as required by the IRS, unless the company arranges for pickup or delivery of such documentation at the company’s expense. If the contractor shuts down or intends to abandon their tax service, the independent contractor is required to provide at least thirty (30) days written notice to the company so that the company can arrange for pickup or delivery of such documentation at the company’s expense.
VIII. Confidential Information.
A. Possession. The company possesses (and will continue to develop and acquire) certain confidential information, some of which constitutes trade secrets under applicable law (the “Confidential Information”), relating to tax preparation, tax filing, and refund fulfillment services, including (without limitation):
1) Training and operations materials and manuals
2) Methods, formats, specifications, standards, systems, procedures, sales and
marketing techniques, knowledge, and experience used in the operating a
business which offers tax preparation, tax filing, and refund fulfillment services
3) Methods of operations for providing products and services and for preparing and
processing income tax returns
4) Marketing and advertising programs
5) Knowledge of specifications for, and suppliers of, refund fulfillment products,
such as refund anticipation loans, and other products and supplies
6) Any computer software or similar technology which is proprietary to the
company, including, without limitation, digital passwords and identifications and any source code of, and data, reports, and other printed materials generated by, the software or similar technology
7) Customer lists and other data and information regarding our customers
8) Graphic designs and related intellectual property.
*If we include any matter in confidential information, anyone who claims that it is not Confidential Information shall have the burden to prove otherwise.
B. Acknowledgement. The contractor acknowledges and agrees to not acquire any interest in confidential information, other than the right to use it as the company specifies during this agreement’s term, and that confidential information is proprietary and is disclosed to the contractor only on the condition that you agree, and you in fact do agree, that you:
1) will not use confidential information in any other business or capacity
2) will keep each item deemed to be part of confidential information
absolutely confidential, both during this agreement’s term and then
thereafter for as long as the item is not generally known in the tax preparation industry
3) will not make unauthorized copies of any confidential information disclosed via
electronic medium or in written or other tangible form
IX. Covenants Not to Compete.
A. The contractor acknowledges that the company has engaged in their role as contractor in consideration of and reliance upon your agreement to deal exclusively with the company. The contractor further acknowledges that it would not be possible for to protect the goodwill, unique qualities, trade secrets and confidential information against unauthorized use or disclosure if the contractor holds an interest in a competitive business. The term “competitive business” means any company, other than the company originating from this agreement, offering income tax preparation, income tax filing, and refund fulfillment services.
B. The contractor therefore agrees that, during this agreement’s term and for a period of 30 days after the termination or expiration of this Agreement, they will not:
1.) be, or perform services as, a director, officer, manager, employee, consultant, representative, or agent for a competitive business within the United States wherever located or operating
a.) own, maintain, operate, engage in, franchise or license, or have any direct or indirect controlling or noncontrolling interest as an owner (whether of record, beneficially, or otherwise) in a competitive business within the United States wherever located or operating
b.)divert or attempt to divert any business, business opportunity, or customer to a competitive business
2.)These restrictions also apply after transfers and assignments, as provided in Section 11. The contractors and owners expressly acknowledge that you possess skills and abilities of a general nature and have other opportunities for exploiting these skills. Consequently, our enforcing the covenants made in this Section 11 will not deprive you of your personal goodwill or ability to earn a living.
X. Successors and Assigns.
The rights, benefits, duties and obligations under this agreement shall inure to and be binding upon us, our successors and assigns and upon you and your legal representatives and heirs. It is specifically understood that this Agreement constitutes a personal service contract which may not be transferred or assigned by you. The company may assign any of our rights and obligations hereunder to any subsidiary or affiliate of the company or to a successor or surviving company resulting from a merger, consolidation, sale of assets or stock, or other corporate reorganization, on condition that the assignee shall assume all of our obligations hereunder; and it is agreed that such successor or surviving company shall continue to be obligated to perform the provisions of this agreement. Furthermore, the company may assign any of our rights and obligations hereunder on the condition that the assignee shall assume all our obligations hereunder; and it is agreed that such assignee shall continue to be obligated to perform the provisions of this agreement.
XI. Obligations Upon Termination or Expiration
Upon the termination or expiration of this agreement for any reason, all of your rights under this agreement will terminate and you will (i) continue to comply with the non-competition and confidentiality provisions of Sections 10 and 11 of this agreement and all other provisions of this agreement that by their nature survive the term of this Agreement and (ii) cease to hold yourself out in any way as a contractor for the company. You will complete all these modifications within seven (7) days after the termination or expiration of this agreement.
XII. Notices
All notices or other communications required or permitted to be given hereunder shall be in writing and shall be deemed to have been duly given if delivered by hand delivery, overnight delivery service, charges prepaid, or by certified mail, return receipt requested (mailed notices shall be deemed to have been given one (1) day after the date addressed as follows: Heritage Financial Group, 3708 McHard Rd Ste B Missouri City, TX 77489, Attn: Kirsten Thomas, Founder. Notices emailed to: therealtorkirsten@gmail.com within 24-hour frame.
XIII. Cancellation/Termination Terms:
All termination/cancellation request are to be sent written via email or delivered by hand delivery, overnight delivery service, charges prepaid, or by certified mail, return receipt requested addressed to: Heritage Financial Group, 3708 McHard Rd Ste B Missouri City, TX 77489, Attn: Kirsten Thomas, Founder. Termination/Cancellation can be emailed to: therealtorkirsten@gmail.com.
A.Termination/Cancellation Fees to follow:
1.) $500.00 per year remaining in the original term of your signed, executed contract (i.e.4-year term original agreement with 2 remaining years would be $1,000.00 termination/cancellation fee due all in once unless written approval for payment plan)
2.) If months left over are over 6 months or more you will be charged for a FULL Year cancellation/termination fee.
XIV. Fee Schedule:
1.) Software Fees $899.00 for (Tax Affiliates (“Contractor”)).
2.) $150.00 Software/Training Deposit due immediately upon signature of application and contract If partial payment paid for deposit an invoice will be sent for balance within 30-45 days. The deposit will be deducted from the $899.00 total fee and the remainder ($749.00) will be deducted out of your first IRS Payout until the remainder balance is to $0.00.
INTENDING TO BE LEGALLY BOUND, the parties have. executed this Agreement as of the. date first written above.