Thank you for choosing (Your Company Name) to assist you with your tax preparation for the requested year. This letter confirms the terms of our engagement with you and outlines the nature and extent of the services we will provide.
Scope of Services
With this letter, you are engaging us to prepare your federal and state individual income tax returns for the tax year indicated. We will do so based on the information you provide to us.
Our services under this engagement include:
Preparation of your U.S. federal individual income tax return
Preparation of your resident state income tax return
Preparation of nonresident state returns, if applicable and requested
Preparation of other related individual forms and schedules as required to complete your return(s)
This engagement is limited to the professional services outlined above. We will not prepare any other tax returns or forms unless you specifically request them and we agree in writing to provide those additional services under a separate engagement.
Your Responsibilities
You are responsible for:
Providing complete and accurate information needed to prepare your tax returns
Responding to our questions and requests for clarification in a timely manner
Maintaining supporting documentation (such as W‑2s, 1099s, receipts, bank statements, mileage logs, etc.) to substantiate the information reported on your returns
Reviewing your completed returns carefully before they are filed
We will provide you with questionnaires, organizers, or other information requests to help you gather the necessary data. Failure to provide complete information, or delays in providing information, may affect our ability to complete your returns by the filing deadlines.
You acknowledge that all information provided to (Your Company Name) is true, correct, and complete to the best of your knowledge. You understand that it is your responsibility to maintain any supporting documentation to validate the information provided. You understand that knowingly providing false information on your tax return is illegal and may result in penalties, interest, and other consequences imposed by taxing authorities. You waive (Your Company Name) and the tax preparer of any liability for errors resulting from incorrect, incomplete, or omitted information provided by you.
Our Responsibilities
We will prepare your tax returns in accordance with applicable tax laws, regulations, and professional standards, based on the information you provide.
We may ask you to clarify or provide additional information, but we will not audit or independently verify the data you submit.
Our engagement should not be relied upon to detect errors, fraud, or illegal acts. However, if we become aware of any material errors or apparent illegal acts, we will inform you of our findings.
Our work is intended solely to assist you in meeting your tax filing obligations and is not intended to benefit or be relied upon by any third party (such as lenders, creditors, or other institutions).
You remain responsible for the final accuracy of your tax returns.
Penalties and Estimates
Tax law imposes various penalties and interest for underpayment of tax, late filing, or non‑filing. While we may discuss estimated payments or planning strategies with you upon request, you are ultimately responsible for:
Making timely tax payments
Providing us with information about any estimated payments you have already made
Understanding that changes in your situation (income, deductions, credits) may affect your tax due or refund
Records and Retention
Your original records will be returned to you at the end of this engagement, if provided to us in physical form. You are responsible for safely storing these records, along with all supporting documents, canceled checks, and other data that may be needed to substantiate the items reported on your return.
We may retain copies of your records and our workpapers for our files for a limited period, after which they may be destroyed in accordance with our document retention policies. Our copies are not a substitute for your own records.
Completion and Filing of Returns
Our engagement to prepare your tax returns will conclude upon the earlier of:
Delivery of your completed paper‑filed returns to you, or
Your review and signature of the e‑file authorization forms and our subsequent electronic submission of your returns to the appropriate tax authorities.
If you choose not to e‑file through our office, you will be solely responsible for:
Signing and mailing your returns
Ensuring they are filed with the appropriate tax authorities by the applicable deadlines
Retaining proof of timely filing
Please review all tax‑return documents carefully before signing them. By signing your returns and/or e‑file authorization forms, you confirm that you have reviewed the returns and that, to the best of your knowledge, all information is true, correct, and complete.
By signing this engagement letter, you authorize (Your Company Name) to prepare and file your tax returns as described above.
Communication
You agree that we may communicate with you regarding your tax returns and related matters via email, phone, and text message using the contact information you provide. You understand that while we use reasonable measures to protect your information, electronic communication carries inherent risks.
Acknowledgment and Agreement
To affirm that this letter accurately summarizes your understanding of the engagement, and to authorize (Your Company Name) to prepare and file your tax returns as described, please sign and date below.