Tax Audit Engagement Letter

TAX AUDIT ENGAGEMENT LETTER

This Tax Audit Engagement Letter (the Agreement) is made effective as of between Firm Name: (Firm) and Client Name: (Taxpayer).

Taxpayer Identification

Individual/Sole Proprietor C Corp S Corp Partnership Trust/Estate LLC Other:

Scope of Engagement

The Firm will represent the Taxpayer in connection with the examination, audit, administrative review, or other inquiry by taxing authorities for the tax period(s) or year(s) specified below. Services include preparation of responses to information requests, attendance at meetings and conferences with tax authorities, negotiation of adjustments, preparation of administrative appeals, and consultation regarding tax positions related to the audit.

Client Responsibilities

The Taxpayer agrees to provide, at the Taxpayer's expense, complete and accurate books, records, documentation, and explanations necessary for the Firm to perform the representation. The Taxpayer warrants that all information provided to the Firm is true, complete, and prepared in good faith. The Taxpayer will cooperate fully with the Firm and timely execute any documents required by taxing authorities or necessary for appeals.

Fees, Billing and Expenses

Fees for representation will be based on hourly rates, fixed fees, or a combination as agreed below. The Taxpayer is responsible for all fees, administrative charges, and out-of-pocket expenses including but not limited to filing fees, courier costs, photocopying, travel, and fees of specialized consultants or counsel when engaged with the Taxpayer's informed consent.

Confidentiality; Authorization

The Firm will maintain the confidentiality of information provided by the Taxpayer to the extent permitted by law. The Taxpayer expressly authorizes the Firm to inspect and obtain copies of tax returns, taxpayer transcripts, and other records from taxing authorities and third parties as necessary for representation. The Taxpayer also authorizes the Firm to communicate and negotiate with taxing authorities on the Taxpayer's behalf, including the execution of consents, waivers, and closing agreements when authorized in writing by the Taxpayer.

The Taxpayer acknowledges that communications with the Firm are not privileged against disclosure to taxing authorities unless otherwise recognized by law; the Taxpayer may request involvement of legal counsel to create an attorney-client privilege where appropriate.

Limitation of Liability and Indemnification

The Firm's liability to the Taxpayer for claims arising out of this engagement shall be limited to direct damages and capped at the total fees actually paid to the Firm for the specific matter giving rise to the claim, except where prohibited by applicable law. The Taxpayer agrees to indemnify and hold the Firm harmless from claims, liabilities, and expenses arising from inaccurate or incomplete information provided by the Taxpayer or the Taxpayer's failure to cooperate.

Termination

This engagement may be terminated by either party upon written notice. Termination does not relieve the Taxpayer of the obligation to pay fees for services rendered and costs incurred prior to termination. Upon termination the Firm may retain copies of the Taxpayer's files as permitted by law and professional standards and will return original documents as requested.

Certification and Acknowledgment

By signing below, the Taxpayer certifies and acknowledges the following under penalties of perjury:

1. All information provided in this Engagement Letter and in any documents supplied to the Firm is true, correct, and complete to the best of the Taxpayer's knowledge.
2. The Taxpayer authorizes the Firm to represent the Taxpayer before taxing authorities for the specified periods and to receive confidential tax information necessary for that representation.
3. The Taxpayer understands the scope, fee arrangement, and limitations described in this Engagement Letter and agrees to be bound by them.

I certify under penalties of perjury that the statements above are true and that I authorize the Firm to act as my representative as set forth herein.

Additional Authorizations

The Taxpayer may designate additional individuals authorized to discuss this matter with the Firm. List names and relation below.

This Agreement constitutes the entire understanding between the parties with respect to the subject matter and supersedes any prior proposals or agreements, whether written or oral. No amendment or modification shall be effective unless in writing and signed by the Taxpayer.

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