No foreign property
We confirm that the corporation did not hold foreign property at any time in the tax year ending December 31, 2019 with a cost greater than $100,000 CAD. If you do hold foreign property with a cost greater than
$100,000 CAD, please notify my office immediately, for failure to disclose this information could result in a penalty.
Why We are Confirming, it should be “You Confirm…”
Am I correct or it should be as Tax Cycle’s standard format?
We edited the paragraph to read as what you suggested – YOU confirm…
Atul
No, Taxcycle’s wording is correct English for a letter FROM YOUR ACCOUNTING FIRM.
Similar to the T1 engagement, your firm should be taking care of any important client representations in the CLIENT’S representation letter, which the CLIENT signs.
My attempt to satisfy everyone, and reflect what the reality is likely to be, in the absence of independent verification by the preparer: “I/We confirm that you informed me/us that the corporation did not hold foreign property at any time in the tax year ending December 31, 2019 with a cost greater than $100,000 CAD. If you later determine that the corporation did hold foreign property with a cost greater than $100,000 CAD, please notify my/our office immediately, for failure to disclose this information could result in a penalty.”
Who is signing that form?
The person referred to as “I/we” in any standard English document/letter/statement is the person the statement is coming FROM. If you change it to “You” then the statement refers to the person or organization the statement is sent TO, which is generally not the person who SIGNS it.
(pardon my dangling prepositions…LOL)