2025 Individual Tax Return (Form 1040)

Thank you for the privilege of allowing GJM Advisory (“GJM”) to prepare your 2025 individual income tax returns. GJM is committed to offering a quality product with excellent service. This letter is written to confirm our understanding of the terms of our engagement and the nature and extent of the income tax services GJM will provide.

Thank you for the privilege of allowing GJM Advisory (“GJM”) to prepare your 2025 individual income tax returns. GJM is committed to offering a quality product with excellent service. This letter is written to confirm our understanding of the terms of our engagement and the nature and extent of the income tax services GJM will provide.

GJM will prepare both your 2025 federal and state individual income tax returns, and any additional state returns as requested by you. You are responsible for determining your state or local tax filing obligations with any state or local tax authorities. It is your responsibility to provide all the information necessary to complete your tax returns including information related to all domestic and foreign accounts. You agree that GJM has no responsibility to research these obligations or to inform you of them. You represent that the information you are supplying to GJM, whether verbal, written, or otherwise is accurate and complete, to the best of your knowledge, and that you have disclosed to GJM all relevant facts affecting the returns, including your current address and your marital status during the tax year. GJM will not verify the information you give to GJM; however, GJM may ask for additional clarification of some information. You have final responsibility for your income tax returns. Check them carefully for accuracy and completeness before you sign them. 

It is important for you to know that the law imposes a penalty if a taxpayer makes a substantial understatement of tax liability. You should also know that IRS audit procedures will almost always include questions on deductions that require strict documentation such as travel and entertainment expenses and expenses for business usage of autos. You are responsible for confirming that personal expenses, if any, are segregated from business expenses such as meals, travel, entertainment, vehicle use, gifts, utilities, and cellular telephones, and that said expenses are supported by necessary records required by the IRS and other taxing authorities. You have disclosed if you’ve received, sold, sent, exchanged, or otherwise acquired any financial interest in any virtual currency.  In preparing your returns, GJM will rely on your representations that you have complied with the documentation requirements for your expenses and deductions. You should retain all the documents, receipts, and canceled checks and other records to substantiate the items of income and deductible expenses that are claimed on your return. If a question arises regarding the interpretation of tax law, and a conflict exists between the taxing authority's interpretation of the law and other supportable positions, GJM will use our professional judgment in resolving these issues. Whenever possible GJM will resolve said questions in your favor. Since you have the final responsibility for the information on your income tax returns, please review the tax returns carefully before signing and filing them. 

In accordance with federal law, in no case will GJM disclose your tax return information to another tax return preparer outside of our firm, or to any other third party, without first receiving your consent.

Fees for our services will be at our standard rates. Additionally, GJM will be entitled to reimbursement for extra expenses that may include extra copies of returns and rerun fees. You may request that we perform additional services not contemplated by this engagement letter, including tax planning services. In such cases, additional fees may apply. Invoices are provided upon your receipt of the returns, and/or our completion or termination of work: Payment of all invoices is required at that time. We will use the payment method we have on file unless you provide an alternative payment method.

Auto-debit (ACH) is our preferred method of payment and we will use the information we have on file from your previous year’s tax return to process payment for tax preparation. There is a 3% processing fee if you prefer to pay via credit/debit card. If paying by credit/debit card, please provide that information separately.

In recognition of the relative risks and benefits of this agreement, you and GJM agree on the fair allocation of risk between us. As such, you agree, to the fullest extent permitted by law, to limit the liability of GJM to you for any and all claims, losses, costs and damages of any nature whatsoever, so that the total aggregate liability of GJM shall not exceed 50% of the total fees paid by you under this agreement. Both parties agree that this limitation applies to any and all liability or cause of action against GJM however alleged or arising, unless otherwise prohibited by law. Both parties agree that there is a three-year limitation period to bring a claim against GJM for errors or omissions. The three-year period will begin upon the date of filing of the returns covered under this agreement with the appropriate taxing authorities. You agree to indemnify and hold our firm and any of its partners, principles, officers, directors, members, employees, agents or assigns harmless with respect to any and all claims arising for the use of tax returns for any purpose other than filing with the IRS and state and local tax authorities regardless of the nature of the claim including negligence of any party.

Your returns are subject to review by the taxing authorities. Should an examination occur, GJM will be available to represent you at an additional fee. If any interest or penalties are assessed, they will be your responsibility. We reserve the right to withdraw from the engagement without completing services for any reason, including, but not limited to, if documents requested by our office are not provided to our firm in a timely manner.

All your original records will be returned to you when the returns are completed, or at the time of termination of services. You should keep the tax returns and original records in secure storage. As long as you are a client of the firm, GJM will retain copies of your tax returns, along with our work papers for your engagement, for a period of seven (7) years. After seven years, our work papers and engagement files will be destroyed. Otherwise, our retention period is three (3) years. If this letter correctly expresses your understanding of our engagement, please sign below. A copy of this letter has been provided with your copy of the tax return.

NOTE: If you checked any of the boxes above, please include the amount paid, a brief description, and the Qualified Manufacturer’s ID Numbers with your documents.