Tax Collections Agreement

TAX COLLECTIONS AGREEMENT

Document Analysis

Type of document: A contractual Tax Collections Agreement establishing the authority of a designated Collection Agent to collect, process and account for tax liabilities, refunds, or related tax credits on behalf of the Taxpayer and to interact with tax authorities as authorized below.

Typical sections: Parties identification and contact information; recitals; scope of authority and limits; collection procedures; fee and payment terms; recordkeeping and reporting; confidentiality; representations and warranties; indemnification; term and termination; notice provisions; governing law; and a taxpayer certification/perjury clause. The form must include taxpayer identification fields (full name, business name, entity type checkboxes, SSN or EIN), a numbered certification, and a single taxpayer signature block.

Parties and signatories: Although the agreement memorializes the relationship between the Taxpayer and the Collection Agent, the Taxpayer is the executing (signing) party for tax authorization and certification purposes. The Collection Agent is identified and accepts responsibilities within the body of the agreement but does not sign this taxpayer certification block.

Parties

Taxpayer Name:

Collection Agent / Firm Name:

Taxpayer Identification

Residence / Business Address:

Social Security Number (SSN):

Employer Identification Number (EIN):

Recitals & Scope

WHEREAS, Taxpayer desires to engage the Collection Agent to collect certain tax refunds, credits, or amounts due and to administer the collection process on the terms set forth in this agreement; and WHEREAS, Collection Agent accepts appointment and shall act as Taxpayer's agent as limited by this agreement.

Authority and Duties of Collection Agent

Collection Agent is authorized, at Taxpayer's direction and within the limits set forth herein, to: prepare, file or submit collections-related instruments or claims; receive and negotiate checks or electronic payments; endorse or deposit payments on behalf of Taxpayer; communicate with tax authorities and third parties regarding collection matters; and provide periodic accounting to Taxpayer.

Fees, Payment and Accounting

Compensation: Taxpayer agrees to pay Collection Agent the following fee structure for services rendered. Fees will be earned upon receipt of funds by the Collection Agent unless otherwise stated.

Records; Reporting; Audit Rights

Collection Agent shall maintain accurate records of all collections and disbursements and shall provide Taxpayer with written accountings at least quarterly or upon request. Taxpayer may inspect or audit records related to the collections upon reasonable notice and during normal business hours.

Representations, Warranties and Covenants

Taxpayer represents and warrants that all information provided to Collection Agent is true and complete, that Taxpayer is authorized to enter into this agreement, and that no other unrevoked agreement prevents Taxpayer from granting the authorities herein. Collection Agent represents that it is duly authorized and qualified to perform the services described and will comply with applicable law.

Confidentiality

Collection Agent shall keep confidential all non-public taxpayer information obtained in connection with this agreement, except as required by applicable law or necessary disclosures to advisors, banks, or tax authorities in furtherance of collection activities. Agent shall use at least commercially reasonable safeguards to protect confidential information.

Indemnification and Limitation of Liability

Taxpayer agrees to indemnify and hold harmless Collection Agent for liabilities, costs and expenses arising from Taxpayer's breach of this agreement or negligent misrepresentations. Collection Agent's liability for direct damages arising from gross negligence or willful misconduct shall not be limited; in all other cases, Agent's liability shall be limited to amounts actually collected by Agent on behalf of Taxpayer.

Term and Termination

This Agreement commences on the Effective Date and shall continue until terminated by either party upon thirty (30) days' written notice. Termination shall not affect Agent's right to retain fees earned prior to termination or to complete necessary acts to collect and disburse funds in process at time of termination.

Notices

Governing Law; Severability

This agreement shall be governed by and construed in accordance with the laws of the state selected by Taxpayer below, without regard to conflict-of-law principles. If any provision is held invalid, the remaining provisions shall remain in full force.

Taxpayer Certification and Authorization

By signing below, Taxpayer certifies and warrants the following under penalty of perjury where applicable:

1. Taxpayer is the individual or entity identified in this agreement and the taxpayer identification number provided is correct and complete.
2. Taxpayer authorizes the Collection Agent to act on Taxpayer's behalf to collect, endorse, deposit and negotiate payments, communicate with tax authorities and third parties, and to receive information about Taxpayer's tax matters necessary to effectuate collections under this agreement.
3. Taxpayer authorizes the Collection Agent to execute, if necessary, administrative or collection-related documents on Taxpayer's behalf solely to the extent necessary to effectuate the collection and disbursement activities described herein.
4. Taxpayer understands that Collection Agent may charge the agreed fees and that such fees will be deducted from amounts collected prior to disbursement to Taxpayer unless a different arrangement is separately agreed in writing.
5. Taxpayer affirms that there are no undisclosed assignments or liens or competing agreements that prevent Taxpayer from granting the authorizations set forth in this agreement. Taxpayer will promptly notify Agent of any such encumbrances.

Sign Now