Engagement Letter. 27 May Taxation Secretarial Accounting Statutory Services. P O Box Kyalami Midrand South Africa

Transcription

1 Engagement Letter 27 May 2014

2 ENGAGEMENT LETTER FOR SERVICES Individuals Company Close Corporation Trust Partnership Other Date: Dear Sirs/Madams, We are pleased to confirm the arrangements for Technical Financial Services () to provide services to: (List Main Legal Entity, if individual tax is included, list the individual first) (Hereinafter referred to as client, you or taxpayer ) as set out in this engagement letter. We are pleased to confirm the arrangements for the firm to provide services to the following other legal entities listed: (whereby each company individually shall be referred to hereinafter and for purposes of this engagement letter as client, you or taxpayer, in its individual capacity, so that the terms and conditions of this engagement letter shall apply to each company in its individual capacity), and thereafter delete reference to (hereinafter referred to as client, you or taxpayer in the engagement letter.

3 Services You have requested us to assist you in the preparation and submission to the n Revenue Service (SARS) of your income tax returns, to apply for extensions of time, to submit the returns, and to review related tax assessments. You have also requested us to assist you to respond to queries from SARS and to correct errors on assessments identified by our or your review of the assessments, and to lodge objections where considered necessary. The work to be performed will be based on our interpretation of the tax laws at the relevant time. These tax laws are subject to change occasioned by future legislative amendments and court decisions. You are cautioned to keep abreast of such developments and are welcome to engage our services again for this purpose. We confirm that it is your responsibility to provide us with complete, reliable and accurate information in respect of your tax affairs, in order for us to provide the required services. Please note that the responsibility for signing all tax return(s) rests with the Public Officer/tax payer. We specifically confirm that our services with regards to tax compliance will commence with the tax year. You agree that Technical Financial Service () postal address will be used for all communications with SARS in respect of our services to you. If SARS has not recorded our address as your official postal address, we cannot be held responsible for any penalties or interest on the late submission of returns or late payments of any taxes if the returns, assessment, and other relevant documents were not timeously presented to us for action. Preparation of value-added tax (VAT) returns We will prepare VAT returns form the accounting records of the company for your approval. In view of the penalties for late submission of VAT returns, we will expect timeous receipt of the necessary information from you in order for us to prepare and submit the VAT returns within the prescribed period. You will continue to be responsible for ensuring the completeness and accuracy of information in the VAT returns and fro the timeous submission of the returns. services Close Corporations: Our accounting officer is required to perform certain duties imposed on them in terms of section 62 of the Close Corporations Act, No 69 of The accounting officer will not perform an audit of the financial statements. All our accounting, tax, company secretarial and consulting work is done by Technical Financial Services, whilst our accounting officer and certificates are certified by S M Stols Professional Accountant (SA)

4 Companies/Trusts and other (if applicable): All our accounting, tax, company secretarial and consulting work is done by Technical Financial Services (), whilst our audits and certificates are certified by the audit firm A F Gatonby & Co. You have requested us, from time to time, to perform the services listed below, which will be provided on the basis of information supplied by you. You will be responsible for the completeness, reliability and accuracy of such information. Assistance with the writing up of the books and records of the business Preparation of annual financial statements for approval by you Preparations of monthly management accounts Assistance with the processing of the company s payroll Other: (Delete where necessary) assistance It is your responsibility to provide us with complete, reliable and accurate information timeously, so that we can perform the required secretarial services. Other Services We do have a range of services not specified above (statutory work). Should you wish to engage us for other services, we shall be pleased to discuss these with you, as separate letter(s) of engagement will be issued for these services. Responsibility of Management (SARS efiling Mandate) We confirm that it is your responsibility to provide us with complete, reliable, accurate and timeous information in respect of your taxation affairs in order for us to provide the required services. SARS has now forced us to make use of their efiling Services and we require your mandate for Technical Financial Services () to register you as an efiler on your behalf. Technical Financial Services () will act as a duly authorised agent on your behalf. Management will be liable to SARS for the due and timeous fulfilment of all your obligations towards SARS. Any information submitted by Technical Financial Services () to SARS by means of the efiling service will be based on the information received from you and you are responsible for ensuring that such information is true and correct. Technical Financial Services () has disclosed the minimum conditions for the mandate to you and include changes made by SARS from time to time.

5 Management is responsible for the proper recording of transactions in the books of account, for safeguarding of assets, and for the substantial accuracy of the financial records. It is your responsibility to provide us with complete, reliable, accurate and timeous information. Management also has final responsibility for the income tax return(s), and therefore you or your Public Officer should review the return(s) carefully for any omissions, misstatements or inaccuracies when the assessment is checked. Our work with the connection with the preparation of the tax return(s) does not include any processors designed to discover defalcations, omissions or other irregularities, if any, in the accounting information and/or the factual disclosures. Fees Our fees, which may be billed as the work progresses, are based on the degree of responsibility and skill involved and the time necessary to conduct the work, plus reimbursement of our expenses. You shall pay our fees, without any right of set-off, on presentation of our invoice. We will be entitled to charge interest (at the prevailing prime overdraft rate), on a monthly basis, on all amounts outstanding on our fees, for whatsoever reason, older than thirty days from the date reflected on our invoice. We shall render invoices in respect of the services comprising fees, disbursements and VAT thereon (where appropriate), together with any other foreign taxes (if applicable) that might be payable thereon ( fees ). Without prejudice to any other rights that we may have in law, we reserve the right to suspend or terminate the performance of the services or any part thereof to you immediately, at any time, with or without notice, should payment of any of our fees be overdue. Payments are to be rendered to the account stipulated on your monthly statement. Other The terms of this letter and it appendices will apply to all work carried out by us in connections with this engagement, including any work done prior to the date of counter signature of this letter. This engagement letter does not include any service not specifically mentioned in this letter. Terms of business The general conditions, as set out in the stand terms of business attached hereto, apply to all work undertaken by Technical Financial Services () for you pursuant to this engagement letter. All references in or to this letter include the terms of business and any other appendices hereto, together with any other documents or other terms applicable to the services to which specific contractual reference is made in this engagement letter, all of which together form and are referred to as the agreement or the engagement letter. Once the terms of the engagement set out in this letter have been agreed, they will

6 remain effective until this letter is replaced and/or renewed by amendment or otherwise, in which case we will obtain your agreement thereon. If any of the services covered in the engagement letter are consider to be annual (recurring) services and not long-life, then engagement letters covering these services should be issued on an annual basis. If the services covered in the engagement letter are considered to be long-life, then the engagement letter covering these services should be issued no less frequently than every year. Agreement of Terms The terms of this agreement will be governed by n law. This letter sets out the entire agreement and understanding between you and our firm and, once it has been agreed, this letter will remain effective until it is terminated, amended or superseded. We shall be grateful if you will confirm this agreement and understanding of the terms of this letter by signing and returning the enclosed copy. If any additional services are to be rendered, or if the terms of our engagement are not in accordance with your understanding, please contact our offices immediately. We will then arrange an additional meeting to discuss the terms of our engagement in order to avoid misunderstandings tor to discuss additional services that we render for you. We look forward to full co-operation with your staff members, and we trust that they will make available to us whatever records, documentation, and other information which may be requested in connection with out engagement. We look forward to full co-operation with your staff members, and we trust that they will make available to us whatever records, documentation, and other information are requested in connections with our engagement. Yours faithfully,

7 If the foregoing accurately reflects your understanding of our engagement, please indicate so by signing below. Agreed and accepted by: Name and Surname: ID Number: Designation: Signature: Date: If you could kindly return this form by or fax: Fax: 086 At your earliest convenience but no later than th June 2014

8 DETAILS Surname/Name of Company: First Name: DETAILS UPDATE Spouse Info: Initials: ID Number: Initials Title Date of Birth: Contact Number: GENERAL DETAILS ID/Reg Number: Tax Number: VAT Number: PAYE Number: Country: CONTACT DETAILS Postal Address: Physical Address: Phone: Cell:

9 Fax: Contact Person Name: Phone (W): Phone (H): Title: Cell: