FULL PACKET_2011-12-19 - Laserfiche WebLink

Home Browse Search

Mr. Francisco Gutierrez City of Santa Ana December 1, 2011 Page 7 imposition of substantial penalties. These transactions include: (1) certain "reportable transactions" including those identified by the Internal Revenue Service as "Listed Transactions" (or transactions considered to be substantially similar to a Listed Transaction); (2) certain "uncertain tax positions," for which a corporate taxpayer or related party has recorded a reserve in an audited financial statement; and (3) transactions lacking economic substance. (A transaction is treated as having economic substance where the transaction changes in a meaningful way [apart from federal income tax effects] the taxpayer's economic position, and the taxpayer has a substantial purpose [apart from federal income tax effects] for entering into such transaction.) Disclosure may also be required of transactions entered into in the course of your business that may be considered typical. In addition, certain state tax shelter rules require taxpayers to file reportable transactions disclosure statements with the appropriate state income and franchise tax returns, if applicable. In connection with the performance of tax services covered by this Agreement, you agree to assume responsibility for adequate disclosure of all reportable transactions, reportable uncertain tax positions, and/or transactions lacking economic substance which the Company has entered into. At your request, we will provide you with a Reportable Transaction Questionnaire to assist you in identifying reportable transactions which the Company may have entered into. We will advise you if we identify any reportable transactions based upon information that comes to our attention. We cannot, however, take responsibility for the identification of reportable transactions, reportable uncertain tax positions, or transactions lacking economic substance. Further, MGO will not be liable for any penalties that may be incurred with respect to any failure to adequately and timely disclose any reportable transactions or transactions lacking economic substance. 10. Filing Tax Returns. You agree to file the tax returns as prepared by MGO without any modifications. If modifications must be made to the tax returns prior to filing, you agree to obtain our written approval in advance. 11. E-mail Communication. In connection with the performance of our services we may communicate with you or others via email transmission. As emails can be intercepted and read, disclosed or otherwise used or communicated by an unintended third party, or may not be delivered to each of the parties to whom they are directed and only to such parties, we cannot guarantee or warrant that emails from us will be properly delivered and read only by the addressee. Therefore, we specifically disclaim and waive any liability or responsibility whatsoever for interception or unintentional disclosure or communication of email transmissions, or for the unauthorized use or failed delivery of emails transmitted by us in connection with the performance of this engagement. In that regard, you agree that we shall have no liability for any loss or damage to any person or entity resulting from the use of email transmissions, including any consequential, incidental, direct, indirect or special damages, such as loss of revenues or anticipated profits, or disclosure or communication of confidential or proprietary information. 25E-12