Thank you for allowing our firm, Taxteam Central, LLC (hereafter, “we” and “us”) assist you with your 2024 tax return. This letter confirms the terms, scope, and length of our services, along with outlining the nature, and extent of the services we will provide.

We will prepare your 2024 federal income tax return, and for additional fees, the 2024 state income tax return to the state(s) and local taxing authorities to whom you may have taxing responsibility, based on which resident state(s) you have declared yourself to belong to, so long as you notify us in writing of such responsibility. You are responsible for providing us with all the information necessary to prepare any of these additional applicable state and local income tax returns. If you have income tax filing requirements, in a given state, or local municipality, but do not file that return, there could be adverse ramifications, such as unlimited statute of limitations, penalties, etc.

We will prepare the return using the information that you will furnish to us. It is of the utmost importance, as well as your responsibility, to provide accurate, complete, and timely information for the preparation of your return. Our engagement includes the electronic filing of the requested tax return. All information will be shared via the client portal; if you do not know how to use the client portal, we will provide video-support on the use of the client portal. We will neither audit nor verify the documentation and/or data you provide. Accordingly, our engagement cannot be relied upon to disclose errors, fraud, or other illegal acts that may exist. Occasionally, we may request clarification of some information you provide, and we may inform you of any material errors and bring them to your attention. It is your responsibility to maintain accurate records and accounting systems for income, deduction or credits requested in your return. These records should be kept for at least 7 years; in the event the IRS assesses a fraudulent return, Publication 583; Revenue Procedure 97-22, guidelines state there are no statute of limitations.

This engagement pertains only to the 2024 tax year, and excludes any other prior tax return preparations, from any other year, or any other financial, accounting, or representation services, which would require an additional written agreement between you and us. Under no circumstances shall any work begin until you have signed this engagement letter and agreed to the terms herein. Our services will conclude the moment you are presented with your final, signed tax return for the year which it was requested. Most importantly, our services include the review of the return, in which we will explain the return that will be filed. Once signed consent is obtained on the form of electronic signature from all responsible parties involved in the return on form 8879, we will transmit the return to the Internal Revenue Service. We will not electronically file any returns or extensions until you have signed and authorized e-filing. In the event we decline to continue with any services, you will be made aware in writing of the termination of this agreement. We reserve the right to refuse services or withdraw services, at any time and for any reason. In the event you wish to stop and cancel our services, you may do so in writing, and any outstanding fees will be due immediately.

Timeliness and cooperation are essential to our ability to complete this engagement. We request that information be turned in to us no later than March 29, 2025 for personal returns, and no later than March 1st, 2025 for Partnerships. In the event that aforementioned date has passed, we will pursue an extension of your return, with your signed consent. A deposit of $75 will be required for all extensions requested. Additional penalties and interest may be imposed by the taxing authorities when taxpayers fail to meet their obligations and/or underestimate their current tax estimates; you acknowledge these are your responsibility and agree not to hold us liable for such penalties or interest. If you are in need of assistance in determining the correct amount of taxes owed for the current year and subsequent years, we will be pleased to assist you; however, ultimate responsibility befalls on you to fulfill your tax obligations. We may also reserve the right to suspend our services or withdraw from this engagement.

Foreign Accounts:

If you and/or your business have a financial interest in any foreign accounts, you are required to file the FinCEN Report 114 that is required by the U.S. Department of the Treasury.

You are responsible for providing us with all the information necessary to prepare FinCEN Report 114 required by the U.S. Department of the Treasury. If you do not provide us with required information regarding any interest you may have in a foreign account, we will not be able to prepare the required disclosure statements.

Substantive Determinations:

We may encounter instances where the tax law is unclear, or where there may be conflicts between the taxing authorities’ interpretations of the law and other supportable positions. In those instances, we will outline in a written communication each of the reasonable alternative courses of action, including the risks and consequences of each such alternative. In the end, we will adopt, on your behalf, the alternative that you select after having considered the information provided by us.

Pursuant to standards prescribed in IRS Circular 230 and IRC §6694, we are forbidden from signing a tax return unless we have reasonable belief that there is substantial authority for a tax position taken on the return and we disclose this tax position on a separate attachment to the tax return. Substantial authority is generally viewed by tax professionals as requiring at least a 40% probability that the tax position taken will be sustained on its merits. However, under no circumstances may we sign a tax return with a tax position that has no reasonable basis.

Honoraries and Fees:

Our fees for this engagement are not contingent on the results of our services; rather, our fee schedule is built on the main forms we file for you and the work we perform for you, even if you decline to file your return with us. Other factors that affect our fees are; the complexity of the service, the time spent in conferences with you and on the return. In such cases, we will provide you with estimates for such prices; however, due to the nature of our work, there may be additional monetary amounts billed beyond the price of the estimates. In such cases, we will provide our reasoning for these costs upon request. You agree to pay all costs for which we bill you. In the event you wish to stop and cancel our services, you may do so in writing, and any outstanding fees will be due immediately. We may also request you to reimburse us for any out-of-pocket costs incurred in connection with the performance of our services; you agree to these reimbursement requests. All fees are due no later than upon delivery of the return and as such, payment will be made in the client portal. All documents will be locked until payment is made. In the event that any collection is required in order to collect unpaid balances due to us, you fully agree to reimburse the costs of collection including, but not limited to, attorney’s fees.

Fee schedule example:

- Single taxpayer, no dependents, no state filing requirements and a W2: $90

- Single taxpayer, no dependents, no state filing requirements and a W2: $90

- Each W2 state tax return: $60

- Schedule E, for each rental property: starting at $200

- Schedule C: starting at $160 each.

- Forms related to Credits such as child care, college expenses, solar energy, starting at $45. Based on the complexity of the situation.

- Forms on EIC (Earned Income Credit) credits starting at $85

- 1065 Partnership Declaration: starting at $750

- 1120 or 1120-S Corporate Declaration: starting at $750

This fee schedule example is not exhaustive.
If you have forms which are not on the fee schedule, we will provide a base fee for these forms, which will be subject to the same above-mentioned conditions.

In the event we are required to respond to a subpoena, court order, or other legal process for the production of documents and/or testimony relative to information we obtained and/or prepared during the course of this engagement, you agree to compensate us for the time we expend in connection with such response, and to reimburse us for all of our out-of-pocket costs incurred in that regard.

In the event that we become obligated to pay any judgment under court proceedings, an award under any mediation proceeding, or penalty assessed by any taxing authority in our capacity as a tax preparer, you agree to pay any settlement that results from such proceedings, regardless of amount, as well as any costs incurred as a result of any inaccurate or incomplete information that you provided to us during the course of this engagement. You agree to indemnify us, defend us, and hold us harmless against such obligations, agreements, and/or costs.

You agree that any dispute that may arise regarding the meaning, performance, or enforcement of this engagement will, prior to resorting to litigation, be submitted to mediation, and that you will engage in the mediation process in good faith once a written request to mediate has been given by either party to the engagement. Any mediation initiated as a result of this engagement shall be administered by a law firm specializing in the mediation process, not associated with either party, and selected by us, according to its mediation rules. Any ensuing litigation shall be conducted within Clark County, Nevada and according to Nevada state law. The results of any such mediation shall be binding only upon agreement of each party to be bound. The costs of any mediation proceeding shall be shared equally by the participating parties.

Any litigation arising out of this engagement, except actions by us to enforce payment of our professional invoices, must be filed within one year from the completion of the engagement, notwithstanding any statutory provision to the contrary. In the event of litigation brought against us, any judgment you obtain shall not exceed the amount of the fee charged by us, and paid by you, for the services set forth in this engagement letter.

This engagement letter is contractual in nature and includes all of the relevant terms and conditions that will govern the engagement for which it has been prepared. The terms and conditions of this letter supersede any prior oral or written representations or commitments by or between the parties. Any material changes or additions to the terms and conditions set forth in this letter will only become effective if evidenced by a written amendment to this letter, signed by all of the parties. If any provision of the letter is declared invalid, or unenforceable, the remaining provisions shall remain in effect.

Thank you for choosing TaxTeam Central, LLC to assist you with your 2024 taxes. This letter confirms the terms of our engagement with you and outlines the nature and extent of the services we will provide. If you have any questions concerning the terms of this engagement, we will be delighted to answer them for you. With your signature, you are acknowledging understanding of all terms and your questions have been answered.