3. I understand that for Earned Income Credit (EIC) dependents must be my (or my spouse's) child,
grandchild, brother, sister, niece, nephew and/or eligible foster child. Cousins are not allowed.
Foster children placed by the state, had to live with me for at least 6 months last year. The
parents of any niece or nephew on my tax return are not filing a tax return of their own. I also
understand that the IRS does not consider a girlfriend/boyfriend's child who lived with me to be an
eligible family member.
4. The name, year of birth and social security number of every dependent I provide must match
exactly to social security records. If not, IRS will reject my return and you may charge an
additional $10 each time you have to resend the return.
5. There is a minimum fee of $20 per year for entering my information into your system. Upon
request, estimates are available from the tax preparer before actual tax preparation has started.
6. If I plan on having my fees for tax preparation taken from my refund, I understand that there are
additional costs from Xat Income Tax and the bank that is used to process my refund and collect
the fees. I also understand that the money may not be available for 21 days. I understand there is
no guarantee that my refund will be released without a delay and I will not hold Xat Income Tax
responsible for IRS delays. Any delays caused by Xat Income Tax will result in a reduction of my
fees of $10, upon my written request.
7. Upon completion of my tax return I will be given a copy for my records. Any additional copies that
I may request from Xat Income Tax will be $10 per set.
8. I have provided true, correct and complete information regarding my income as listed on the
attached forms W-2, 1099 and/or attached written summaries. I understand that it is my
responsibility to provide all the information necessary to complete the returns. I will retain, for four
years, all the documents, receipts, cancelled checks and other records required to substantiate
the items of income and expense claimed on my return.
9. I have provided true, correct and complete information regarding amounts I have presented to
you to claim as tax deductions, and I have maintained written documentation supporting all
amounts, including logbooks and receipts. I understand that if a question arises regarding the
interpretation of tax law, and a conflict exists between the tax authorities' interpretation of the law,
and other supportable positions, that you will use your professional judgment in resolving the
issues.
10. I understand that because taxing authorities may examine (audit) the returns, that documentation
should be retained to support the information provided to you, especially business travel and
entertainment deductions, business use percentage of autos and other business assets and
barter activities, and that penalties may be imposed on returns that are late, underpaid, or
incorrect.
11. I understand that you will not audit or otherwise verify any information, that you may require
clarification or additional information, that you are not responsible for disallowed deductions, or
the inclusion of additional unreported income or any resulting taxes, penalties or interest
12. I understand that I will be charged an additional fee if you are asked to assist or represent
me in a tax audit, examination, or inquiry. I understand that, in the event of preparer error, I
am responsible for additional tax that may be due, and that the extent of your responsibility is to
pay for any penalty that the IRS or the above revenue department(s) may assess.
13. I will contact you IMMEDIATELY if I discover additional information that will lead to a change in my
return, or if I receive any letters from the IRS or other taxing authorities.
14. I understand that your policy is to put all tax advice in writing, and that I will not rely upon any
unwritten advice because it may be tentative, incomplete, or not fully reviewed.
15. I understand that your bill will be due and payable upon completion of these returns, and that
additional services will not be performed until the bill for these services is paid in full. I understand
that your bill will be based upon a schedule of tax forms prepared.
16. I understand that you will not file any federal, state or city tax extensions without my specific
written request to do so.
17. If there are other services or tax returns that I expect you to prepare, such as estate, gift, sales,
fiduciary, property, or other states or cities, I will note them at the bottom of this letter.
Privacy Policy
It has always been the policy of Xat Income Tax to keep all information that we collect from you, confidential from all sources. We restrict access to all nonpublic personal information about you to
members of our firm who need to know that information to provide services to you. We do collect nonpublic personal information about you from the following sources:
- Information we receive from you on tax preparation organizers, worksheets, Federal and State tax reporting forms, and from other documents we use in tax preparation.
- Information about your transactions with us.
- Information we may receive from outside agencies such as banks and brokerage houses.
We do not disclose any nonpublic personal information about our clients or former clients, except as permitted, required, or approved by you in writing as listed below:
- Requirements to comply with federal, state or local law.
- Requirements to comply with national, state or local licensing rules.
- Requirements to disclose information in response to legal subpoenas.
- Items you permit or request us to disclose, as authorized by you IN WRITING.
- Information that you authorize us to disclose by signing this engagement letter to electronically
file your tax return, when applicable.
- Information that you authorize us to disclose by signing this engagement letter, which discloses
that you are our client, without disclosure of financial or other personal information.
I have read, understand, and accept the conditions of the engagement letter and the privacy policies
discussed above.
