Thank you for choosing KTA Consulting to assist you with filing your taxes. This letter confirms the terms of the engagement and outlines the nature and extent of the services we will provide.
We will prepare your federal and state* income tax returns (*if applicable). We will depend on you to provide the information needed to prepare complete and accurate returns. We may ask you to clarify some items but will not audit or otherwise verify the data you submit. The enclosed Questionnaire/Organizer is designed to help you collect the data required for your return and avoid overlooking important information. By using it, you will contribute to the efficient preparation of your returns and help minimize the cost of our services.
We will perform accounting services only as needed to prepare your tax returns. Our work does not include procedures to detect defalcations or other irregularities. Accordingly, our engagement should not be relied upon to disclose errors, fraud, or other illegal acts, though we may ask for clarification of submitted information. We will inform you of any material errors, fraud, or other illegal acts we discover.
The law imposes penalties when taxpayers underestimate their tax liability. Contact us if you have concerns about such penalties.
Should we encounter unclear areas of tax law or potential conflicts in interpretation, we will explain the reasonable options and their associated risks and consequences. We will adopt the alternative you select. Please note, we cannot be responsible for issues arising from any income, expenses, or other information not provided to us at the time of preparation or prior to filing.
Our service charges are based on a "per-form" basis, with reference to the time spent by our professional staff and related expenses (e.g., copying, long-distance calls, and computer processing). You will receive a detailed breakdown of Tax Preparation charges and Refund Advance Fees (if applied and approved) before your return is submitted.
PLEASE NOTE: If you decide not to proceed with filing after your return has been fully completed, a $75.00 preparation fee will be due immediately. If services are rendered and payment is not received, and legal action is required, you may be responsible for reimbursing KTA Consulting for all associated legal costs.
Additionally, a $150 fee may be applied to returns initiated after September 25th each year to cover increased labor and administrative costs near the filing deadline. This fee may be waived with prior written arrangements with KTA Consulting.
We also provide other tax-related services billed at standard hourly rates plus out-of-pocket expenses. Invoices are due upon receipt unless you have elected to have your fees deducted from your tax refund. If your refund does not fund due to audit, offset, or other reasons, and your fees remain unpaid 30 days after notification, interest charges may apply in accordance with state law.
Please note this engagement includes general and annual income tax services only. It does not include payroll, sales, excise, property taxes, or compliance with federal, state, or local business regulations unless agreed upon in writing.
Original records provided to us (not copies or digital versions) will be returned at the end of the engagement.
You should retain all supporting documents (e.g., receipts, statements, logs) used to prepare your returns. These documents may be needed to support your return if it is selected for examination. We recommend keeping all records for at least five years from the date of filing.
Once your return is complete and your fees are paid (or approved for deduction from your refund), we will provide a copy of your return, e-file signature authorizations, and any applicable payment vouchers. Review the returns carefully. If you find any discrepancies, notify us immediately so we can correct them. If you approve, sign and return the e-file authorizations. Tax authorities require signed consent before e-filing. If e-filing is not possible, we will provide paper copies for you to mail.
By signing this engagement letter, you agree to compensate KTA Consulting for all requested services. If you terminate the engagement before completion, we reserve the right to invoice you for time, out-of-pocket expenses, or any services rendered.
If you receive correspondence from a taxing authority related to a return we prepared, we will address it on your behalf. The tax preparation fee includes 30 minutes of correspondence support per tax year. If more time is required, additional hours will be billed at $150 per hour. A $50 handling fee applies to all correspondence services, unless the issue is determined to be our firm's error.
Please note that audit/examination representation is not included in the preparation fee and will require a separate engagement and fee structure. You may opt in for Audit Protection for an additional $89.
KTA Consulting takes your privacy seriously. We safeguard your personal data and never disclose it to outside parties. We may use limited contact information for internal or informal purposes (e.g., mailing cards or reminders). By signing this letter, you consent to this limited use.
To protect you from identity theft, we may request documentation to verify your identity and the identity of those listed on your return (e.g., government-issued ID, Social Security cards, birth certificates, or immigration documents). These documents will be securely handled and stored.
If you agree to the terms outlined in this engagement letter, please sign below. By signing and submitting your income tax information, you expressly accept these terms.
Thank you for trusting KTA Consulting. We look forward to a long and successful relationship.
