Terms of Engagement for Taxation & Compilation Engagement Services

An engagement letter may be issued from our office as part of our engagement for our services with you. The following terms are to be included as part of any correspondence or matter undertaken by us regardless of whether an engagement letter is issued.

1. Purpose
This Terms of Engagement for Taxation & Compilation Engagement Services (TE) confirms our understanding of the engagement and the nature and limitations of services provided.

2. Term
2.1 This TE will commence at the time you indicate acceptance, in any form, and will continue until the end of the matter.

3. Objectives and Scope of work
3.1 We will provide you with taxation services & compilation engagement services in compliance with APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code), APES 220 Taxation Services and the Code of Professional Conduct pursuant to Tax Agent Services Act 2009, APES 315 Compilation of Financial Information, and APES 205 Conformity with Accounting Standards.

You will have received as part of your engagement pack our scope of services. This scope is to be read in conjunction with these terms and the engagement letter provided with the scope of services.

3.2 These will be prepared in accordance with the financial reporting framework/basis of accounting described in Note 1 to the financial statements.

3.3 The purpose for which the financial statements will be used is to provide financial information showing the client’s financial position at the financial reporting date stated within their engagement letter or as agreed, typically being 30 June of each financial year, and financial performance for the year then ended. The financial statements will be solely for your use and will not be distributed to other parties.

3.4 As part of our engagement, we will issue our report attached to the financial statements compiled by us, which will describe the financial statements, and the work we performed for the compilation engagement. The report will also note that the use of the financial statements is restricted to the purpose set out in this engagement letter and that use and distribution of our report is restricted to you, as the management of your family group.

3.5 Based on the above scope of work, you have given us the authority to use the tax agent portal and other tax portal related activities for the purpose of managing and meeting your taxation and superannuation lodgement obligations.

3.6 We will provide the scope of works and applicable outputs within the specified timeframe or within a reasonable period considering the context of the services.

3.7 We acknowledge that you may authorise an Accredited Data Recipient under the Consumer Data Right (‘CDR’) to provide CDR data to us via a Trusted Adviser Insight.  We confirm that for this purpose you may nominate someone as your Trusted Adviser and provided that person complies with the definition of a Trusted Adviser under the Competition and Consumer (Consumer Data Right) Amendments Rules (No. 1) 2021.

3.8 Unless otherwise specified in this TE or letter of engagement, audit and assurance or review are not included in this engagement.

4. Our Promise 

4.1 We will perform procedures (guided by the APES suite of standards) required that are directly related to the engagement consistent with our Fundamental Principles of integrity, objectivity, professional competence and due care, confidentiality, professional behavior, and identifying, avoiding and dealing with conflicts of interests.

4.2 We will seek to understand your requirements and provide you services confidentially and professionally.  Any information pertaining to your affairs, whether it be provided by you, or through a Trusted Adviser Insight via the CDR, will be utilised and stored in an appropriate manner to maintain our professional standards and obligations.  Further information on privacy is noted at section 10 of this letter.

4.3 We will document sufficient and appropriate records of the procedures performed for the TE, which may be subject to CPA Australia Best Practice Program assessment under APES 320 Quality Control for Firms.

5. Our obligations

5.1 We are obliged to consider whether our clients create any threats to compliance with our Fundamental Principles and where we cannot reduce the risk to an acceptable level we are obliged to cease the TE under the Code (section 320) to decline or cease the client engagement.

5.2 We have a duty to act in your best interests, unless this duty is inconsistent with our duty to act in the public interest.

5.3 We will apply our expertise in accounting and financial reporting to assist you in the preparation and presentation of financial information.

5.4 We will inform you:

• of your (or your employer’s) rights and obligations available under taxation law, including any rights that might be available to seek a private ruling and the lodging of objections and appeals against adverse positions adopted by revenue authorities
• of any possible penalties and other legal tax consequences to enable you to make an informed decision.

5.5 We are responsible for maintaining records for a period of 5 years unless otherwise required by legislation.

5.6 Since a compilation engagement is not an assurance engagement, we are not required to verify the reliability, accuracy or completeness of the information you provide to us for the compilation engagement, or otherwise to gather evidence to express an audit opinion or a review conclusion. Accordingly, we will not express an audit opinion or a review conclusion on whether the financial statements are prepared in accordance with the basis of accounting you have specified, as described above.

5.7 During the course of our engagement, if we identify or suspect that Non-Compliance with Laws or Regulations (NOCLAR) has occurred or may occur, which may have a direct effect on material amounts or disclosures in the financial statements or compliance and may be fundamental to you or your family group’s ability to continue its business or to avoid material penalty, we may:

5.5.1 discuss the matter with the appropriate level of management, those charged with governance or the internal auditor, as appropriate

5.5.2 communicate the non-compliance or suspected non-compliance with you and your family group’s external auditor, unless prohibited by law or regulation

5.5.3 disclose the matter to an appropriate authority even when there is no legal or regulatory requirement to do so; and/or

5.5.4 withdraw from the engagement and the professional relationship where permitted by law or regulation

5.6 Where appropriate we will inform you of our intention to disclose the matter to an appropriate authority before disclosing the matter. However, if we have reason to believe that the actual or intended conduct would constitute an imminent breach of a law or regulation that would cause substantial harm to the general public, we may immediately disclose the matter to an appropriate authority in order to prevent or mitigate the consequences of such imminent breach of law or regulation.

6. Your obligations

We note the following in respect to your obligations when we provide services both in the preparation of tax returns, in accordance with APES 220, and for the preparation of financial statements, in accordance with APES 315:

6.1 You are responsible for full disclosure of all relevant information provided to us.

6.2 You are responsible for your own record keeping relating to your affairs.

6.3 You provide us with all requested information and records relating to your affairs.

6.4 You are responsible for the reliability, accuracy and completeness of the particulars and information provided to us, and, if the TE includes financial reporting, the accounting records and disclosures of all material and relevant information provided to us.  Accordingly, any advice given to you is only an opinion based on our knowledge or your particular circumstances.

6.5 You are responsible for retaining paperwork for as long as legally required.

6.6 You have obligations under self-assessment to keep full and proper records in order to facilitate the preparation of accurate returns.

6.7 You must retain paperwork for a period of five years after the assessment as you may be subject to an Australian Taxation Office review.

6.8 You are responsible for checking the assessment before submission to ensure accuracy.

6.9 You acknowledge and understand that our role is to assist you in the preparation and presentation of the financial statements in accordance with the financial reporting framework you have adopted for the financial statements.

6.10 You are responsible for the form and content of the financial information in accordance with an applicable financial reporting framework that is acceptable in view of the intended use of the financial statements and the intended users including the notes disclosure of all relevant information in the financial report.

6.11 You are responsible for the reliability, accuracy and completeness of the particulars and information provided to us, and the accounting records and disclosures of all material and relevant information provided to us for the purpose of compiling the financial statements.

6.12 You are responsible for the judgements needed in the preparation and presentation of the financial statements, including those for which we may provide assistance in the course of the compilation engagement.

6.13 You are responsible for retaining paperwork for as long as legally required.

6.14 You are responsible for your own record keeping relating to your affairs.

7. Third Party Involvement

7.1 We may from time to time engage third party specialist professionals and other public practitioners, where warranted to obtain the advice you need or to assist us to provide our service to you. These may include cloud service providers and outsourced service providers.

7.2 We will seek your consent if third party involvement is likely to exceed the fixed price (if applicable).

7.3 We have outsourcing arrangements with various consultants located within Australia whom we engage from time to time to assist us depending on the nature of the engagement.

7.4 Acceptance of our services in conjunction with this engagement document indicates your acceptance of the use of outsourced services as described above.

8. Fees, Billing & Trust Monies

8.1 If the engagement involves the use of trust monies, we will manage those funds in accordance with APES 310 Client Monies and as authorised by you in the Trust Account Authority Letter or as otherwise instructed by you.

8.2 Our professional fees will be calculated on an appropriate basis as specified in the letter of engagement.  If no method is specified, our fees will be calculated on a time-cost basis which is also outlined in your letter of engagement. If no engagement letter is issued invoices will be issued at an hourly rate depending on the level of staff assigned to your matter. 

8.3 Our invoices may also include disbursements paid by us. These may include photocopying charges, telephone and facsimile transmission charges, travel fares and expenses, stamp duty and fees paid to third parties such as couriers, registration fees or fees for other professionals. These may be in addition to the fixed price (if applicable).

8.4 Unless other payment terms are agreed, each invoice is payable within 14 days of receipt.

8.5 From time to time the primary individual nominated in the engagement letter will instruct us to provide services for other entities of which the primary individual or other individuals named in the schedule are directors or shareholders or have some other interest. All signatories to this schedule acknowledge and agree that these terms of engagement including the guarantee provided by clause 13 extend to such other entities.

8.6 In acting for any company, we will be accepting instructions from its directors and other authorized persons. Therefore, in retaining us to act for a company, you agree that it is on the basis that the directors of the company are personally responsible for payment of our accounts.

9. Ownership of materials

9.1 You own all original materials given to us.

9.2 We own all materials produced by us that resulted from our skill and attention to the extent that the materials produced by us incorporate any original materials you give to us.

9.3 We may exercise a lien of your documents in our possession in the event of a dispute, which will be handled in accordance with our firm’s dispute resolution process.

9.4 Subject to the payment of all outstanding professional fees and disbursements owing to us, we will provide you with materials produced by us for you in the event you engage the services of another practitioner and the materials are required by your new practitioner.

10. Privacy

Boss Private Clients is committed to providing quality services to you and this policy outlines our ongoing obligations to you in respect of how we manage your Personal Information.

We have adopted the Australian Privacy Principles (APPs) contained in the Privacy Act 1988 (Cth) (the Privacy Act). The APPs govern the way in which we collect, use, disclose, store, secure and dispose of your Personal Information.

A copy of the Australian Privacy Principles may be obtained from the website of The Office of the Australian Information Commissioner at https://www.oaic.gov.au/.

What is Personal Information and why do we collect it?

Personal Information is information or an opinion that identifies an individual. Examples of Personal Information we collect includes names, addresses, email addresses, phone numbers and tax file numbers.

This Personal Information is obtained in many ways including meetings, correspondence, by telephone and email and from third parties. We don’t guarantee website links or policy of authorised third parties.

We collect your Personal Information for the primary purpose of providing our services to you, providing information to our clients and marketing. We may also use your Personal Information for secondary purposes closely related to the primary purpose, in circumstances where you would reasonably expect such use or disclosure. You may unsubscribe from our mailing/marketing lists at any time by clicking unsubscribe on our client newsletter.

When we collect Personal Information we will, where appropriate and where possible, explain to you why we are collecting the information and how we plan to use it.

Sensitive Information

Sensitive information is defined in the Privacy Act to include information or opinion about such things as an individual’s racial or ethnic origin, political opinions, membership of a political association, religious or philosophical beliefs, membership of a trade union or other professional body, criminal record or health information.
Sensitive information will be used by us only:

• For the primary purpose for which it was obtained
• For a secondary purpose that is directly related to the primary purpose
• With your consent; or where required or authorised by law.

Third Parties

Where reasonable and practicable to do so, we will collect your Personal Information only from you. However, in some circumstances we may be provided with information by third parties. In such a case we will take reasonable steps to ensure that you are made aware of the information provided to us by the third party.

Disclosure of Personal Information

Your Personal Information may be disclosed in a number of circumstances including the following:

• Third parties where you consent to the use or disclosure; and
• Where required or authorised by law.

Security of Personal Information

Your Personal Information is stored in a manner that reasonably protects it from misuse and loss and from unauthorized access, modification or disclosure.

When your Personal Information is no longer needed for the purpose for which it was obtained, we will take reasonable steps to destroy or permanently de-identify your Personal Information. However, most of the Personal Information is or will be stored in client files which will be kept by us for a minimum of 5 years.
Access to your Personal Information

You may access the Personal Information we hold about you and to update and/or correct it, subject to certain exceptions. If you wish to access your Personal Information, please contact us in writing.

In order to protect your Personal Information we may require identification from you before releasing the requested information.

Maintaining the Quality of your Personal Information

It is important to us that your Personal Information is up to date. We will take reasonable steps to make sure that your Personal Information is accurate, complete and up-to-date. If you find that the information we have is not up to date or is inaccurate, please advise us as soon as practicable so we can update our records and ensure we can continue to provide quality services to you.

Policy Updates

This Policy may change from time to time.

Privacy Policy Complaints and Enquiries

If you have any queries or complaints about our Privacy Policy please email contact us at:

business@bossprivateclients.com.au

If your personal information is disclosed to CPA Australia for the purpose of conducting a CPA Australia Best Practice Program assessment on the services provided, your personal information will be handled as outlined in the CPA Australia Privacy Policy]

10.1 Our collection use and disclosure of your personal information (PI) may be subject to the Privacy Act 1988 (Cth) and accordingly we will only collect PI about you that relates to the TE. We may disclose PI about you for the primary purpose of this TE or to third parties by express consent or as required by law. This PI may be stored overseas as outlined in the table below. If you would like to access any PI we might hold about you contact us on (+613) 8602 6100.

10.2 We may collect PI about you, your representatives, your clients and others when we provide services to you. If we do, you agree to work with us to ensure that we both meet our respective obligations under the Privacy Act 1988 (Cth). Your obligations may include ensuring your privacy policy and contracts include a reference to your collection practices, how you will use the PI and that you may disclose the PI to an agent for public accounting services.

10.3 Where an outsourced service requires the disclosure of PI to an overseas recipient, we take care to ensure that other third parties outside Australia to whom we disclose PI are subject to contractual obligations relating to privacy and the handling of your personal information and can only use the information for the purposes stipulated by us.

10.4 In providing our services to you, we utilise programs such as APS, iManage, Xero and MYOB using cloud computing provided by The Access Group, ACP Solutions, MYOB and Xero and we rely on their security measures. Please refer to the table below on the location of data storage for these software providers:

Software	Location
Xero	United States
Myob	Australia
APS/ The Access Group	Australia
IManage	United States

We also store client information offline in a data server managed in Australia, which may subject to Australian privacy law.

11. Confidentiality

11.1 We have an ethical duty of confidentiality, which means we must not share or disclose your details of this TE to anyone, except as otherwise specified in this clause, without your consent unless required to by law.

11.2 We may disclose your personal and confidential information details, as part of our working papers of the services provided to you to CPA Australia Ltd, (if requested) for the purposes of conducting a CPA Australia Best Practice Program assessment aimed at maintaining high industry professional standards. Any such disclosure of confidential information does not change any of our commitments to safeguard your information, and the information remains subject to any existing confidentiality obligations. We advise you by signing this letter you acknowledge, our engagement files relating to this assessment will be made available under this program.

12. Professional Indemnity Insurance (PII)

We hold professional indemnity insurance of at least the minimum amount prescribed in the CPA Australia Ltd By-Laws or as required by law. Our PII cover at the time of this TE is Dual Insurance.

13. Professional Standards Scheme & Limitation of Liability

13. 1 We participate in the CPA Australia Ltd Professional Standards Scheme (Scheme), which facilitates the improvement of professional standards to protect consumers and may limit our liability to you in a cause of action.

13. 2 The Scheme applies to professional accounting services including accounting, bookkeeping, taxation, auditing and assurance, insolvency and corporate reconstruction, management accounting, management consulting, forensic accounting, valuation services.

14. Other

This letter will be effective for future years unless we advise you of its amendment or replacement, or the engagement is terminated.

By signing the engagement letter you have been provided, and by reading these terms and engaging with us you have read, understood and agree to the provisions of this Terms of Engagement.