US Tax Resources
“we, us, our” refers to US Tax Resources, Inc., a Canadian Federal Corporation.
Types of Non-public Personal Information We Collect
We collect non-public personal information about you that is provided to us from you or obtained by us with your authorization.
Parties to Whom We Disclose Information
We will disclose information with partnering accounting firms only with your express permission.
Protecting the Confidentiality and Security of Current and Former Clients' Information
We retain records relating to professional services that we provide so that we are better able to assist you with your needs and to comply with US, Canadian, and other jurisdictional laws regarding retaining tax returns. To guard your non-public personal information, we maintain electronic safeguards to protect the data we collect.
Without your consent, we cannot disclose your identity, income, net worth, tax liabilities, or other protected information to the Internal Revenue Service, Canada Revenue Agency, Her Majesties Revenue and Customs, state/provincial tax authorities, unmarried partners, friends, relatives, real estate agents, mortgage brokers, banks, or any other person or company without your explicit authorization or by court order.
We retain client information as well as internal work papers for a period of seven years.
How to Authorize Disclosure
You may authorize us to disclose certain tax return information to third parties of your choice.
Your permission should be obtained before your tax return is signed. Please talk to us about your desires for sharing your tax information with third parties and we will advise you of the proper procedure.
What to Do in the Case of Unauthorized Disclosure
If you suspect that we, or any other party have disclosed your tax return information without your explicit authorization, you may contact the IRS Criminal Investigation Division at 1 (800) 829-0433.
You may also wish to seek legal counsel.
US Tax Resources Inc. Audit Defence Agreement
CLARIFICATION OF TERMS
In this agreement, “you” and “your” refer to the person(s) and year(s) for whom tax returns were prepared by US Tax Resources, Inc. “We,” “us”, “our”, and “US Tax Resources” refer to US Tax Resources, Inc, the company providing audit defense services. “IRS” refers to the Internal Revenue Service and “State” refers to any state income tax authority.
Audit: Audit means any communication, including telephone calls, initiated by the IRS or State income tax agency that wishes to audit, examine, review, investigate or verify any item or items on the IRS income tax forms and State equivalent.
Audit Defense: Audit Defense means that we will represent you through the completion of any income tax audit for the tax return year.
Audit Defense is subject to the limitations and exclusions listed in the engagement letter and this agreement.
Audit Defense also includes:
1. Handling all communications, including letters and/or telephone calls with the IRS or State regarding the audit.
2. Assigning the Audit Representative(s) to manage your case.
3. Developing a strategy with you and then meeting or corresponding with the IRS or State on your behalf.
4. Negotiating with the IRS or State through Appeals and pre-litigation Appeals review prior to trial in Tax Court.
5. No settlement will be reached with the IRS or State without your final approval and consent.
6. Two hours of collection assistance is available on request if your covered audit results in additional tax due.
Statute of Limitations: Statute of Limitations is the time the IRS or State has to audit your tax return. The Statute of Limitations for the IRS is typically three years from the date of filing or the due date, whichever is later, and is typically four years for States.
Period of Coverage: Period of Coverage is the period commencing with the date the tax return is filed, and ending with the expiration of the typical Statute of Limitations period for the applicable tax return.
Audit Representative(s): Audit Representative(s) means your US Tax Resources audit representative(s) who will be assigned to your audit case.
Audit Defense – US Tax Resources will professionally defend a covered federal or state income tax audit or notice from the time of the first notice to its completion, subject to the Audit Defense Limitations and Exclusions described below. All scheduling of appointments, telephone calls and correspondence will be handled by the assigned Audit Representative. We will meet or correspond with the auditor on your behalf and will defend you through the highest level of appeals, subject to the terms herein.
Our Responsibility: We are responsible to provide you with professional Audit Defense service.
Your Responsibility: Upon receipt of any communication from the IRS or State, you are responsible to perform or provide the following:
Promptly email ! Do not contact the IRS or State. To ensure effective service regarding your Audit, you must use your assigned Audit Representative(s) as your only contact with the IRS or State. If you do not contact US Tax Resources within 15 days of the date of the first notice, charges may apply. If you wait too long, you will eliminate our ability to defend your case.
Provide your signature(s) on the required IRS or State Power of Attorney and return to the Audit Representative(s) in a timely manner. This will enable your Audit Representative(s) to communicate with the IRS or State on your behalf. This document may not be altered in any way.
Provide in a timely manner the information and documentation necessary to substantiate the various items of income and expense in question so that your Audit Representative(s) can prepare your defense.
We ask that you comply with the Audit procedure and strategy actions recommended by US TAX Resources and any of the Audit Representative(s) working on your behalf. If you are unable to maintain this commitment, US Tax Resources cannot be responsible for the outcome of your Audit and reserves the right to cease providing service where reasonably warranted.
AUDIT DEFENSE LIMITATIONS
US Tax Resources is dedicated to legitimately protecting the rights and assets of our clients in the event of an Audit. The following defines our service limitations:
· US Tax Resources does not provide legal assistance, nor represent our clients in Federal or State Court, including Tax Court.
· US Tax Resources does not provide legal assistance in defending issues of civil or criminal fraud, whether actual or alleged.
· US Tax Resources will not reconcile cheques, organize records or do record keeping or bookkeeping for our clients.
· US Tax Resources does not provide assistance for collection notices when we did not defend the audit. If you have a collection notice from the IRS or State relating to a tax year not prepared by us, it is not covered by US Tax Resources.
· US Tax Resources is not responsible for the extra work and costs involved if you report your Audit or notice late or you do not cooperate by providing the documentation in a timely manner to your representative which results in the auditing agency issuing a Notice of Deficiency (NOD) or the state equivalent. If this occurs, US Tax Resources will pass these costs onto the client in the form of a late fee.
AUDIT DEFENSE EXCLUSIONS
Certain Audits, tax returns, and issues of audit may be excluded from the Audit Defense for any of the following reasons:
Pre–existing conditions – If an audit begins, or is expanded to a year not prepared by US tax resources, Audit Defense services for that Audit are excluded.
Unfiled Tax Returns – Your Audit Defense is limited to providing Audit Defense services for tax returns that have been prepared and filed. If a tax return has not been prepared and filed, US Tax Resources will commence services on the Audit after the tax return has been prepared and filed.
Large Businesses – Business entities with gross receipts exceeding $5 million and/or 10 partners/stockholders/beneficiaries/clients are not eligible.
Ownership interest in other tax entities – If you have an ownership interest in a Corporation, A flow-through entity (including, but not limited to: Partnership, LLC, LLP, LP), Trust, Estate, or Tax Shelter that has been contacted for an Audit and is not covered by US Tax Resources, Audit Defense services for that tax entity are excluded.
Tax protestors – US Tax Resources will exclude anyone protesting the taxing of income on economic, religious, legal or constitutional grounds, or other frivolous claims.
Criminal Investigation (CI) – If you are currently under investigation by CI, you are excluded from Audit Defense services. For any Audit that US Tax Resources is defending in which CI enters the audit, US Tax Resources will cease working that Audit and will exclude the client from further Audit Defense services until completion of the CI investigation. When the CI investigation is completed, US Tax Resources will resume working on the Audit, if possible.
Other taxes – Your Audit Defense is limited to United States Federal, and State Individual income tax only. Payroll tax, sales tax, property tax, gross receipts tax, city and local tax, estate and gift tax and compliance audits of pension and profit sharing plans are excluded from the Audit Defense.
TERMINATIONS OF AGREEMENT
US Tax Resources reserves the right to terminate this Audit Defense upon the breach of any material provision of this agreement by you, in the event that an Audit meets the criteria of any of the “AUDIT DEFENSE EXCLUSIONS” listed above, or in the event that a condition renders the completion of US Tax Resources responsibilities under this agreement unreasonably difficult to fulfill. Conditions that can render completion of US Tax Resources responsibilities unreasonably difficult include, but are not limited to, failure by you to reasonably fulfill any provision listed as “Your Responsibility” under “RESPONSIBILITIES” above, failure to cooperate during the course of the Audit process, or repeated use of abusive, inappropriate, or unprofessional language when communicating with any staff clients or representatives of US Tax Resources