At the commencement of a client engagement you will be provided a letter or email communication (engagement letter) outlining the terms of our engagement and the nature and limitations of the services that will be provided. These Standard Terms and Conditions of Engagement are to be read in conjunction with the engagement letter.

We will provide accounting and taxation services to each client in accordance with the relevant professional and ethical standards issued by the Accounting Professional & Ethical Standards Board Limited (APESB).

We understand that an audit of the Financial Accounts is not required, and therefore we will not be expressing an opinion as to the truth and fairness of those statements. However, we will inform you of any such matters that come to our attention.

The services are provided only for the benefit of the client identified in the engagement letter. We are not liable to any other person in respect of the services.

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 us as your Trusted Adviser and that our Accountants comply with the definition of a Trusted Adviser under the Competition and Consumer (Consumer Data Right) Amendments Rules (No. 1) 2021.

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 in the Privacy section of these terms. 

Any additional fee for an additional service not covered in the scope of this engagement will be the subject of a separate engagement letter under separate fee arrangements.

Our fees, which may be billed as work progresses, are based on the time required by the individuals assigned to the engagement plus direct out-of-pocket expenses.

Payment of any account is required to be made within 14 days, unless special alternative arrangements are made with us prior to the due date.

It is our requirement that the owners/directors of the business personally guarantee the payment of all accounts for professional fees, including out-of-pocket expenses rendered by us from time to time.

You or your staff will be responsible for maintaining and regularly balancing all books of accounts, and the maintenance of an adequate accounting and internal control system. You also acknowledge that reliability, accuracy and completeness of the accounting records are your responsibility and that you have disclosed to us all material and relevant information.

Our involvement in this type of engagement will not disclose fraud, defalcations or other irregularities which may occur. However, any material weaknesses in the accounting or internal control systems which come to our notice will be drawn to your attention.

Please be aware that:

1. You are responsible for the accuracy and completeness of the particulars and information provided in relation to taxation services, and this responsibility rests with you;
2. Any advice given to you is only an opinion based on our knowledge of your particular circumstances;
3. A taxpayer has obligations under self- assessment to keep full and proper records in order to facilitate the preparation of accurate returns. It is the taxpayer’s responsibility to keep those records for five (5) years.

A Taxpayer is responsible under self-assessment to keep full and proper records in order to facilitate the preparation of a correct return. Whilst the Commissioner of Taxation will accept claims made by the Taxpayer in an Income Tax Return and issue a notice of assessment, usually without adjustment, the return may be subject to later review. Under the taxation law such a review may take place within a period of up to four (4) years after the tax becomes due and payable under the assessment. Furthermore, where there is fraud or evasion there is no time limit on amending the assessment. Accordingly, you should check the return before it is signed to ensure that the information is accurate.

Where the application of a taxation law to your particular circumstances is uncertain you also have the right to request a private ruling which will set out the Commissioner’s opinion about the way a taxation law applies, or would apply, to you in those circumstances. You must provide a description of all the facts (with supporting documentation) that are relevant to your scheme or circumstances to your private ruling application. If there is any material difference between the facts set out in the ruling and what you actually do the private ruling is ineffective.

If you rely on a private ruling you have received, the Commissioner must administer the law in the way set out in the ruling, unless it is found to be incorrect and applying the law correctly would lead to a better outcome for you. Where you disagree with the decision in the private ruling, or the Commissioner fails to issue such a ruling, you can lodge and objection against the ruling if it relates to income tax, fuel tax credit or fringe benefits tax. Your time limits in lodging an objection will depend on whether you are issued an assessment for the matter (or period) covered by the private ruling.

We will not deal with earlier periods other than mentioned in the engagement unless you specifically ask us to do so and we agree.

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 terms of engagement under the Code (section 320) to decline or cease the client engagement. We have a duty to act in your best interests, unless this duty is inconsistent with our duty to act in the public interest. We are responsible for maintaining records for a period of five years, unless otherwise required by legislation. 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 your entities' ability to continue its business or to avoid material penalty, we may:

• Discuss the matter with the appropriate level of management, those charged with governance or the internal auditor, as appropriate
• Communicate the non-compliance or suspected non-compliance with your external auditor, unless prohibited by law or regulation
• Disclose the matter to an appropriate authority even when there is no legal or regulatory requirement to do so;
• And/or withdraw from the engagement and the professional relationship where permitted by law or regulation

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.

We have an ethical duty of confidentiality, which means we must not share or disclose your details - or the details of your terms of engagement - to anyone, except as otherwise specified otherwise specified below, without your consent unless required to by law.

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.

We may collect Personal Information 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 the obligations that we each may have under the Privacy Act 1988 (Cth) (as amended) (Privacy Act). The obligations my include notifying the relevant person to whom the personal information relates who we are and how we propose to use their personal information. Where you have collected personal information, you confirm that you have collected the personal information in accordance with the Privacy Act, that you are entitled to provide this personal information to us and that we may use and disclose the personal information for the purpose/s we provide our services to you. We will handle personal information in accordance with the Privacy Act.

Our business utilises outsourcing providers to undertake client work.

All work is thoroughly reviewed in-house by a client's specified 'Client Manager' in the Esperance office to ensure all work complies with the relevant legislation and high quality that Smith Shearer upholds.  

We have taken all reasonable steps to determine our providers have the professional competence, skills, capacity, policies and procedures:

1. To undertake all client work to the high standard set by Smith Shearer
2. Safeguard the safety of client information
3. Manage risk associated with sharing of confidential information and prevent any unauthorised access 

As a member in Public Practice who utilises an Outsourced Service Provider we retain the primary responsibility to deliver the Professional Service in accordance with the Terms of Engagement with the Client and in compliance with the ethical requirements of the Code and applicable Professional Standards.

Details of our providers are as follows: 

We utilise the services of Backoffis Pty Ltd to support the following services: Bookkeeping, Financial Accounts Preparation and Tax Return Preparation. We provide Backoffis Pty Ltd with access to our client's information to the extent that this is required to perform the above-mentioned services. This does not require information being sent overseas in accordance with our privacy policy.

We utilise the services of Cyber SMSF Pty Ltd to support the SMSF Bookkeeping, Financial Accounts Preparation, Tax Return Preparation and Audit Preparation requirements of our clients.  We provide Cyber SMSF Pty Ltd with access to our client’s information to the extent that this is required to perform the above-mentioned services. This does not require information being sent overseas in accordance with our privacy policy.

We are satisfied the third parties meet all Australian Privacy Law obligations as set out under the Privacy Act 1988 (Cth) and the Australian Privacy Principles (AAP Standards).  At all times we retain primary responsibility for delivery of the services covered under the engagement.

We use the below cloud computing systems. These systems store files on remote servers operated by third parties, including the use of hosting providers in the United States of America, Singapore and other parts of the world and we rely on their security measures.

• Xero (a cloud accounting system)
• MYOB Essentials (a cloud accounting system)
• MYOB Portal (a cloud document management portal)
• Class (a cloud based super fund accounting and administration system)
• Office 365 (a cloud email and calendar system)
• One Drive, Sharepoint, Dropbox, ATO Mate (cloud document management systems)
• Fuse Docs and Fuse Sign (digital signing systems)
• Adobe Acrobat Pro
• BGL CAS360 (a cloud company record management system)

Where, as part of our engagement, the services of an external consultant or expert are required, an estimated cost, timeframe and involvement will be discussed with you prior to commencing.

The Privacy Act required that data be stored in Australia or in a country where laws are substantially similar to Australia’s privacy laws. For example, we do not recommend that a client’s data be stored in a country where that country’s privacy laws are very different to Australia’s.

By signing this letter and accepting these services you acknowledge and agree that your personal information may be stored overseas.

All original documents obtained from you arising from the engagement shall remain your property. However, we reserve the right to make a reasonable number of copies of the original documents for our records.

Our engagement will result in the production of income tax returns and financial statements in an electronic format or physical file. Ownership of these documents will vest in you. All other documents produced by us in respect of this engagement will remain the property of the firm, subject to any statutory obligations.

The firm has a policy of exploring a legal right of lien over any client documents in our possession in the event of a dispute. The firm also has established dispute resolution processes.

We hold professional indemnity insurance of at least the minimum amount prescribed in the CPA Australia Ltd By- Laws or as required by law.

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 course of action.

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.

Our liability is limited by a scheme approved under Professional Standards Legislation. Further information on the scheme is available from the Professional Standards Council’s website: www.professionalstandardscouncil.gov.au

We have a complaints process in place and will endeavour to resolve a complaint or dispute to the mutual satisfaction of the parties involved to the best of our abilities. We may ask that our clients provide all complaints in writing to allow us to fully investigate the issues raised.

Either party to a dispute can request that the complaint or dispute is managed through external dispute resolution or mediation service. We and the client agree that external dispute resolution will be undertaken before any legal claim is formally commenced. This does not override the rights of either party to seek legal action to enforce contractual rights under the engagement agreement.

You acknowledge acceptance of the terms of engagement via digital or handwritten signature, or consent to the terms and conditions automatically by provision of information for work to commence.

Acceptance of our services in conjunction with these terms and conditions indicates your acceptance of the use of outsourced services as described above.