Terms of engagement

Please note: not all of these terms are relevant to all engagements, please see your engagement letter for details.

Our engagements are performed in accordance with APEC 315 Compilation of Financial Information. APES 315 requires that, in undertaking this engagement, we comply with the relevant ethical requirements of APES 110 Code of Ethics for Professional Accountants.

Client Due Diligence

Accounting practices must comply with the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (AML/CFT Act). The AML/CFT Act imposes obligations on us when we conduct certain activities, including (without limitation) acting as a formation agent, acting as a nominee shareholder or trustee, managing client funds, or engaging in transactions for buying or selling land or a business or other legal entity/arrangement (Captured Activities). O terms of engagement do not extend to any Captured Activity that otherwise is or might be covered by them unless and until we have conducted and satisfied ourselves in our sole discretion with any customer due diligence that is required of us under the AML/CFT Act.

The information we may require to complete customer due diligence in accordance with the AML/CFT Act will differ depending on the nature of your entity (for example, individuals, companies, and trusts are subject to different requirements) and the level of assessed risk, which determines if standard, simplified, or enhanced due diligence is required. Information required may include (without limitation) passports, address verification by way of recent utility bill, bank statement, or government agency letter, Certificates of Incorporation or Registration, Trust Deed or Partnership Agreement, proof of authority of instructing person, and proof of source of funds.

Anti-money-laundering (AML) legislation

Gilligan Sheppard Limited is required to comply with the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 from 1 October 2018. For all clients we need to prepare due diligence even though we may have known you for some time. 

We want to make this as easy as possible and understand that you may have provided some of this information in the past. Please choose what will work best for you:

  1. You can come into the office so we can verify your documents, or
  2. We can come out to your premises to verify your documents, or
  3. You can have your documents certified by an approved person and send to us.

The information we require for Individuals:

Proof of identity for yourself, and any other natural person in your group we prepare work for, as follows:

  1. Drivers Licence or Passport (verified)
  2. Date of birth
  3. Bank statement or utility bill (verified) to confirm address dated within three months

The information we require for Companies:

You will need to provide the following for any company we are preparing work for:

  1. Bank statement or utility bill to confirm address of the company
  2. Nature and purpose of the company (in case this differs from that at the company’s office)
  3. Certificate of incorporation for overseas companies
  4. Shareholder individual documentation as above

The information we require for Trusts:

  1. Trust deed
  2. Trustee individual documentation as above
  3. A list of all beneficiaries (we only require names and dates of birth for all beneficiaries – no proof of identity is required)
  4. A detailed explanation of source and application of funds of the Trust

Privacy Act

With any engagement undertaken by Gilligan Sheppard Limited, you authorise us to communicate with any third party we consider necessary to contact for the purpose of completing our engagement, including but not limited to, your legal advisors and the Inland Revenue Department.

Accounting Services

Our compilation report on financial statements will be issued on the completion of the engagement and is currently expected to read as follows:


Based on information provided we compile, in accordance with APES 315 Compilation of Financial Information, financial statements. These are prepared in accordance with the financial reporting framework described above to the financial statements. We comply with the relevant ethical requirements of APES 110 Code of Ethics for Professional Accountants.


You are solely responsible for the information contained in the financial statements and have determined that the financial reporting framework used is appropriate to meet your needs and for the purpose that the financial statements were prepared. The financial statements were prepared exclusively for your benefit. We do not accept responsibility to any other person for the contents of the financial statements.

No audit or review engagement undertaken

Our procedures use accounting expertise to undertake the compilation of financial statements from information which you have provided to us. Our procedures do not include verification or validation procedures. No audit or review engagement has been performed and accordingly no assurance is expressed.

Disclaimer of Liability

As mentioned earlier, we have compiled financial information based on information provided to us which has not been subject to an audit or review engagement. Accordingly, neither we nor any of our employees accept any responsibility for the reliability, accuracy, or completeness of the compiled financial information. Nor do we accept any liability of any kind whatsoever, including liability by reason of negligence, to any person for losses incurred as a result of placing reliance on the compiled financial information.

It is understood and agreed that:

  1. You are responsible for the reliability, accuracy and completeness of the accounting records, particulars and information provided and disclosure of all material and relevant information.
  2. You are required to arrange for reasonable access by us to relevant individuals and documents and shall be responsible for both the completeness and accuracy of the information supplied to us.
  3. Any advice given to you is only an opinion based on our knowledge of your circumstances.
  4. You and your staff are responsible for maintaining and regularly balancing all books and accounts and the maintenance of an adequate accounting and internal control systems.
  5. You have obligations under New Zealand legislation to keep full and proper records to facilitate the preparation of accurate returns, it is your responsibility to keep those records for seven (7) years.
  6. You will provide a timely response to our queries.
  7. Gilligan Sheppard Limited will not undertake an audit or review engagement and accordingly no assurances will be expressed by us.
  8. Independence is not a requirement for a compilation engagement. However, if we are aware that we are not independent, this fact will be stated in the financial report.
  9. Material that you provide to us remains yours and will be returned to you when the engagement is completed. Any working papers that we prepare will remain the property of this firm. We will store tax records we hold on your behalf for a period of seven years after the applicable balance date. At the end of this period the records will be destroyed using a secure document destruction service.
  10. You authorise us to communicate with any organisation, including banks, solicitors, finance companies, the Inland Revenue Department and any other person, persons, and organisations, for the purpose of obtaining information necessary to complete the financial statements and tax returns. You acknowledge this information would not otherwise be available due to the Privacy Act restrictions; however, you give your full authority for this statement to be used as written confirmation of your agreement to allow Gilligan Sheppard Limited staff and other persons contracted to Gilligan Sheppard Limited access to your information from any organisation for the above-mentioned purposes.
  11. You authorise that your records and information held by us, may be made available to CPA Australia as part of their quality assurance procedures.
  12. You authorise Gilligan Sheppard Ltd to represent you as your tax agent. Our services include the following:
    1. The use of our firm’s address for the IRD to serve notices.
    2. A tax advice letter informing you of the amounts and dates of tax due.
    3. Checking your assessment notices and advising you of any legitimate amendments.
    4. Assisting you to prepare any objections and advising you of the outcome.
    5. Providing payment notices advising tax amounts payable and the due date.

Penalty Tax Regime

The tax legislation imposes penalties as well as interest charges for tax short paid because of incorrect returns and late payments of tax. This legislation applies to all forms of tax – income tax, GST, FBT, PAYE etc.

Generally, the rules require a taxpayer to either have taken reasonable care or to have an acceptable interpretation if the penalties are not to apply. By using Gilligan Sheppard Limited to prepare your returns, it could be said you have taken a firm step towards that level of care, but it must be emphasised your obligations will not be fully discharged unless you provide all relevant information to us. We will provide guidance and assistance so please do not hesitate to discuss any concerns you have on this matter.

Annual Imputation Return

We will prepare and file the Annual Imputation Return in conjunction with the company’s income tax return.

Disclaimer of Liability

We will not be responsible or liable if information we need to accurately carry out our tasks is withheld or incorrectly represented to us. You undertake to provide us on a timely basis with all the information and documents we reasonably require to provide our services.

We rely on the fact that information provided by you will be accurate and complete, and we will rely on that information without further independent verification. In other words, the responsibility for the accuracy and completeness of the particulars and information provided you, rests with you at all times. If you subsequently become aware that such information has become untrue, unfair, misleading or is incomplete, then you must notify us immediately.

The advice we will provide to you, is only an opinion based on our knowledge of your particular circumstances.

The reports, letters, information and advice we provide during our engagement will be provided to you solely for the purposes of your engagement and should not be used or relied upon for any other purposes or by any other persons.

We remind you of your obligations as a taxpayer under the New Zealand self-assessment regime, to keep full and proper records at all times, in order to facilitate the preparation of accurate returns.

Timetable for Completion

We will provide you with an efficient and timely service and a completion date can be discussed if required.


We undertake to complete your requirements as efficiently as possible. If at any time you are not happy with our approach or the quality of work, we guarantee to review the work undertaken for you. A partner not directly involved in the matter will undertake this review. The result of this review will be discussed openly and frankly with you. The review will be at no cost to you.


We have structured our client service team to maximise client service, quality of delivery and continuity of service to you. We base our fees upon the degree of responsibility, experience, the skill involved, and the time necessarily occupied on the work.

If there is extra work required associated with your engagement which will increase our fees, we will discuss and agree this with you, prior to any additional work being commenced.

Our fees are payable by the 20th of the month following the month of issue of our invoice unless prior arrangements with respect to an alternative payment basis have been made.

Accounting Fixed Fees

Payment is required by instalments to be paid by automatic payment on the 20th of the month. We will consider cancelling this engagement where required information is not supplied by you within agreed timeframes or payments are not made by the agreed date. Should we decide to cancel this engagement we will advise you in writing. The arrangements outlined in your letter will be reviewed in April each year and any alteration to these terms will be confirmed in writing.

Time Based

Invoices prepared by our firm are based on the value of the time spent on each assignment. Payment is required on or by the 20th of the month following invoice.


Some of our work is estimate based. Should the extent of our work be greater than anticipated we will advise this when it becomes evident, and we will ask for your approval to commence the additional work.


The Directors of Gilligan Sheppard Limited reserve the right to charge interest of 1.5% monthly on late payments.


It is appreciated that from time to time you may desire a change in the scope for the work to be undertaken by us, in which case your timely advisement would be appreciated.

Online Payment Terms

The Online Payment Terms constitute a contract between you and Gilligan Sheppard Limited. Please read them carefully. You may either accept or decline the Terms as indicated at the bottom of a purchase page / shopping cart, but to make payment using the Services you must accept the Terms by clicking “I Accept”. All payments of Gilligan Sheppard invoices using the online credit card facilities are subject to the following conditions.

Gilligan Sheppard accepts MasterCard and Visa only.

You warrant that:

When you complete the online payment form, funds will be deducted from your credit card in New Zealand currency. All payments are debited to Gilligan Sheppard Limited. Due to the way transactions are processed by the external banking sites, there may be delays of 1-3 days in updating your payment in Gilligan Sheppard Limited’s records.

Credit card payments are secure:


By using Gilligan Sheppard Limited’s online credit card facilities, you accept and consent to your personal data being provided to the Service Provider for sole purpose of offering and administering the online payment. We respect the privacy of every individual who visits our site. The Gilligan Sheppard websites have security measures in place to protect the loss, misuse, and alteration of the information under our control. Gilligan Sheppard Limited’s Terms and Conditions for online credit card payments are subject to change at any time. Each transaction shall be subject to the specific Terms and Conditions that were in place at the time of the transaction.

Fees and Fines:

We may charge additional Fees for cross-border transactions or foreign exchange services. In addition to the Fees, you are also responsible for any penalties or fines imposed on you by Stripe, any bank, money services business, payment network, financial institution, or other financial intermediary (each a “Financial Services Provider”) resulting from your use of Payment Services in a manner not permitted.

You are also obligated to pay all taxes, fees, and other charges (“Taxes”) imposed by any governmental authority, including without limitation any value added tax, goods and services tax, provincial sales tax and/or harmonised sales tax on the Services provided under this Agreement. If you are tax-exempt, you will provide us with an appropriate certificate or other evidence of tax exemption that is satisfactory to us.

Click here to view Stripe’s Service Agreement – this is the payment gateway we utilise on our website for credit card payments. https://stripe.com/nz/ssa

If you have any questions or concerns, please contact support by email at admin@gilligansheppard.co.nz or telephone at +64 9 309 5191.

Important security note: Never transmit credit card information by email.