LETTER OF ENGAGEMENT
Thank you for choosing KO Tax Specialists to assist you with your tax preparation for the requested tax year. This letter confirms the terms of our engagement with you and outlines the nature and extent of the services we will provide.
We will prepare your requested federal and state income tax returns. We will rely on you to provide the information needed to prepare complete and accurate returns. Please note that the law imposes penalties when taxpayers underestimate their tax liability. While we may ask you to clarify some items, we will not audit or otherwise verify the data you submit.
We will perform accounting services only as needed to prepare your tax returns.
Accordingly, our engagement should not be relied upon to disclose errors, fraud, or other illegal acts, though it may be necessary for you to clarify some of the information you submit. We will, of course, inform you of any material errors, fraud, or other illegal acts we discover.
CLIENT RESPONSIBILITIES
- Be honest and accurate with the information you provide. We’re not here to judge, just to help. But if anything is missing or incorrect, it could delay your return or affect your refund.
- Send all necessary documents—like W-2s, 1099s, business income/expenses, and anything else we ask for—on time.
- Keep your records. Even though we’re doing the prep, you’re responsible for having proof to back up your income, expenses, and any credits or deductions you're claiming. The IRS may ask for it later.
- Respond quickly if we reach out with questions. Delays in communication can hold up your return and may impact how soon you get your refund.
- Review your return before it’s filed. We’ll always let you take a look before we hit submit.
OUR RESPONSIBILITIES
- We’ll prepare your tax return accurately based on the documents and details you give us.
- We follow all IRS and state guidelines, and we meet all due diligence requirements to keep your return compliant and protected.
- We keep your personal info secure and confidential—always. Your trust means everything to us.
- We’ll communicate clearly and keep you in the loop throughout the process, especially if we need anything from you or if something looks off.
- If we spot any issues or feel like something might trigger an audit or hold-up, we’ll let you know and offer our professional advice on how to move forward.
FILING AUTHORIZATION
Before we file anything, you’ll always have the final say.
We’ll send you a copy of your completed return to review and approve. Once you’ve given us the green light (either with a signature or written approval), we’ll go ahead and e-file your return with the IRS and/or your state(s).
By signing this engagement letter, you’re confirming that:
- You understand it’s your return and you’ve reviewed everything to the best of your ability.
- You give us permission to file your return electronically after your approval.
- If you're getting a refund, you’ve chosen how you want to receive it (direct deposit, refund advance, etc.).
IMPORTANT NOTE ABOUT NON-FILING:
If you decide not to move forward with filing after we’ve completed the return, an abandonment fee of $150 will be due immediately. This fee will be automatically drafted (ACH) from the bank account listed on your intake form. By signing this engagement, you agree to this charge and authorize us to collect the fee if you abandon the filing.
We don’t file anything without your approval, but our time still matters. There will be a 24 hr grace period to provide signatures.
FEES & PAYMENTS TERMS
We believe in being upfront—no surprises when it comes to your money. Here’s how our pricing works:
- Your tax prep fees covers your federal return and state(s) return and it is calculated based upon any forms, schedules, or other multi-state filings that you may have.
- Bank products, refund advances, and any third-party services may also have separate fees, which will be disclosed to you before you choose those options.
- If you decide to pay your prep fee out of your refund, additional fees for that convenience will apply.
PAYMENT OPTIONS:
- You can pay upfront via card, Cash App, or other accepted methods, or
- Choose to have fees deducted from your refund (bank product clients only).
NO REFUNDS:
Once services are completed, no refunds will be issued—even if you choose not to file or if your refund is smaller than expected. You're paying for our time, experience, and the work already performed. We reserve the right to withhold e-filing or release of any documents until your balance is paid in full.
Let’s make sure it’s fair, fast, and worth every penny. We’ll always do our best to maximize your refund—or minimize what you owe—based on the info you give us. But let’s be real for a second:
- We can’t guarantee a specific refund amount, tax credit, or outcome.
- Your final refund or balance due depends on IRS and state calculations, and the details you provide.
- We’re not responsible for delays caused by the IRS, your bank, or third-party products (like refund advances or direct deposit timelines).
- Once we’ve prepared your return—even if you decide not to file—it’s considered a completed service. That means no refunds for prep fees, time spent, or add-on services.
RECORD RETENTION POLICY
We keep copies of your tax return and related documents we prepare for our own records—but you should always keep your originals.
Here's what you need to know:
- We’ll retain a copy of your final return and any documents we’re required to keep for three (3) years.
- It’s your responsibility to keep your original documents (like W-2s, 1099s, receipts, bank statements, and any proof of deductions or credits) in a safe place. The IRS may request them later.
- If you lose your return and need a copy after the season, we’ll gladly resend it—just submit a request, and a $25 document retrieval fee will be charged.
- Download your return from the portal IMMEDIATELY after IRS Acceptance. KO Tax Specialists is not responsible for lost access to customer portal and you will be charged accordingly.
TERMINATION OF AGREEMENT
You can choose to end this agreement at any time before your return is filed—just let us know in writing. If work has already started, fees for time spent and services completed will still be due.
We also reserve the right to end our working relationship if:
- You don’t respond or provide documents within a reasonable time
- You’re found to have submitted false or misleading information
- Communication becomes disrespectful or abusive
- We believe continuing the engagement could compromise our ethics or credentials
If this agreement is ended for any reason, you’ll still be responsible for any fees owed for completed work, and the abandonment fee may apply if the return was finished but not filed.
CLIENT ACKNOWLEDGMENT
I acknowledge that all information provided to KO Tax Specialists is true and accurate to the best of my knowledge. I understand that I must have supporting documentation to validate the information I provide. I further understand that knowingly providing false information on my tax return is a criminal offense punishable by law, which may include court appearances, restitution, and possible imprisonment. I waive KO Tax Specialists and the tax preparer of any liability due to errors resulting from incorrect information I provide.
I acknowledge that if I and/or my spouse owe any federal or government debts such as IRS balances, child support, student loans, or other obligations, I/we are still responsible for the tax preparation fees due to KO Tax Specialists at the time of service.
Additionally:
If the refund amount is mailed instead of directly deposited, I/we remain responsible for the tax preparation fees.
Failure to pay tax preparation fees will result in legal action to collect the unpaid balance.
I agree not to dispute tax preparation fees for services rendered due to IRS delays.
By signing below, I authorize KO Tax Specialists to file my tax return.