April 2, 2026
This Customer Agreement (“Agreement”) is between TaxScout.AI Inc. (“TaxScout,” “we,” “us,” or “our”), a Delaware corporation with offices at 1 Broadway, Cambridge, MA 02142, and you (“Client,” “you,” or “your”), the individual accessing the TaxScout platform through your CPA firm’s account.
By clicking “I Agree,” creating an account, uploading documents, or otherwise accessing the TaxScout platform, you acknowledge that you have read, understood, and agree to be bound by this Agreement, our Privacy Policy, and our Terms of Service.
This Agreement governs your use of the TaxScout.AI technology platform only. Your tax preparation services are provided by your CPA firm under a separate Engagement Letter between you and your CPA.
1. What TaxScout Is (and Is Not)
1.1 Platform Services
Subject to this Agreement, TaxScout grants you a limited, non-exclusive, non-transferable, revocable right to access and use the platform for your personal tax document management and communication with your CPA firm. Through the platform, your CPA firm can:
• Collect and organize your tax documents securely
• Extract data from your documents using artificial intelligence
• Communicate with you via secure portal, email, and SMS
• Deliver your completed tax returns for review and e-signature
• Process payments for tax preparation services
1.2 TaxScout Is Not Your Tax Preparer
IMPORTANT: TaxScout is a technology company, not a CPA firm, tax preparer, or tax advisor. We do not prepare, review, sign, or file tax returns. We do not provide tax advice. All tax preparation services are performed exclusively by your CPA firm. TaxScout provides the technology tools your CPA uses to serve you more efficiently.
Any tax-related information displayed on the platform (including price estimates, complexity scores, deduction suggestions, or savings analyses) is generated by AI for informational purposes only and does not constitute tax advice. Your CPA is solely responsible for reviewing, validating, and applying any such information to your tax return.
2. Your Documents and Data
2.1 Document Processing
When you upload documents to TaxScout, our AI technology will:
• Classify documents by type (W-2, 1099, K-1, etc.)
• Extract tax-relevant data fields using machine vision AI
• Organize extracted data for your CPA’s review
• Generate embeddings for document search functionality
2.2 AI Processing Disclosure
Your documents are processed using artificial intelligence models including Google Gemini and other AI services. During processing:
• Documents are transmitted to AI services via encrypted connections (TLS 1.3)
• Personally identifiable information (PII), including Social Security numbers, is masked or anonymized before transmission to AI models whenever technically feasible
• Your data is never used to train AI models
• AI-extracted data is stored in encrypted databases (AES-256-GCM) within our secure infrastructure
• Full Social Security numbers are stored separately in an encrypted vault, not in AI-accessible storage
2.3 Data Ownership
You retain full ownership of your documents and personal data. By uploading documents, you grant TaxScout a limited, non-exclusive license to process your data solely for the purpose of providing platform services to you and your CPA firm. This license terminates when you or your CPA firm requests deletion of your data.
2.4 Data Sharing
Your information is shared only with:
• Your assigned CPA firm and its authorized team members
• Technology sub-processors necessary to operate the platform, including cloud hosting (AWS), email delivery (Brevo), payment processing (Stripe), e-signature (Documenso), and content delivery (Cloudflare), as listed in our Privacy Policy
• Law enforcement if required by valid legal process
We will never sell your personal data to third parties. We will never share your individual data with other CPA firms. Anonymized, aggregated data (from which you cannot be identified) may be used to generate industry benchmarks and platform improvements.
We will provide reasonable advance notice (at least 30 days) before adding new categories of sub-processors that handle your personal data, via update to our Privacy Policy.
3. Privacy and Your Rights
3.1 Privacy Policy
Our collection, use, and disclosure of your personal information is governed by our Privacy Policy, which is incorporated into this Agreement by reference.
3.2 Your Privacy Rights
Depending on your state of residence, you may have additional privacy rights under applicable law, including but not limited to the California Consumer Privacy Act (CCPA), the Virginia Consumer Data Protection Act (VCDPA), and similar state privacy laws. These rights may include:
• The right to know what personal information we collect and how it is used
• The right to request deletion of your personal information
• The right to request a portable, machine-readable copy of your personal data
• The right to opt out of the sale or sharing of your personal information (note: we do not sell your data)
• The right to non-discrimination for exercising your privacy rights
3.3 Data Portability
You may request a machine-readable export of your personal data at any time by contacting [email protected]. We will fulfill verified portability requests within 30 days.
3.4 Biometric Data
TaxScout does not collect or process biometric identifiers or biometric information. Our platform uses document-based data extraction only and does not employ facial recognition, fingerprint scanning, voiceprint analysis, or any other biometric technology.
To exercise any privacy right, contact us at [email protected] or through your portal settings.
4. Communications Consent
4.1 Platform Communications
By using TaxScout, you consent to receive communications from your CPA firm through the platform, including:
• Email notifications about your tax return status, document requests, and engagement letters
• Portal notifications and alerts within the TaxScout client portal
• SMS/text messages, if you have opted in, for time-sensitive updates such as document reminders and return status changes
4.2 SMS Consent (TCPA Compliance)
SMS messaging is optional and requires your separate opt-in. If you opt in:
• Message frequency varies based on your tax return activity (typically 2–10 messages per month during tax season)
• Message and data rates may apply
• You may opt out at any time by replying STOP to any message or updating your preferences in the portal
• Reply HELP to any message for assistance
Your phone number will not be shared with third parties for marketing purposes.
4.3 How to Opt Out
You can manage your communication preferences at any time through your portal settings. To stop all non-essential communications, contact your CPA firm or email [email protected].
5. Confidentiality and Security
5.1 Our Security Commitments
We protect your data with:
• AES-256-GCM encryption for data at rest
• TLS 1.3 encryption for data in transit
• Dedicated SSN vault with separate encryption keys
• Role-based access controls limiting who can view your data
• Complete audit trail of all data access
• AWS infrastructure hosted in the United States
5.2 Data Retention
Your data is retained for the period required by applicable tax law (generally 7 years from the filing date, consistent with IRS record-keeping requirements). After this period, data is securely deleted unless you or your CPA firm requests earlier deletion.
5.3 Your Right to Deletion
You may request deletion of your data at any time by contacting your CPA firm or emailing [email protected]. Upon verified request, we will delete your personal data within 30 days, except where retention is required by law or for legitimate legal defense. Note that deletion may affect your CPA firm’s ability to provide services or respond to IRS inquiries on your behalf.
5.4 Security Incident Notification
In the event of a data breach that affects your personal information, we will notify you and your CPA firm within 72 hours of confirming the breach, consistent with applicable law. Notification will include the nature of the breach, the categories of data affected, and the steps we are taking to mitigate harm.
6. Electronic Signatures
6.1 Consent to Electronic Signatures
By using the TaxScout platform, you consent to sign documents electronically, including but not limited to engagement letters, IRS Form 8879 (e-file authorization), Form 4868 (extension requests), and other tax-related documents presented through the platform.
6.2 Legal Effect
You acknowledge that your electronic signature has the same legal effect as a handwritten signature under the Electronic Signatures in Global and National Commerce Act (E-SIGN Act) and applicable state law. You agree not to challenge the validity or enforceability of any document solely because it was signed electronically through the TaxScout platform.
6.3 Verification and Audit Trail
Each electronic signature is recorded with a timestamp, your identity, and an audit trail. You may request a copy of any document you have signed electronically by contacting your CPA firm.
7. Your Responsibilities
As a platform user, you agree to:
• Provide accurate and complete information and documents
• Not upload fraudulent, falsified, or illegally obtained documents
• Keep your portal access credentials confidential and not share them with others
• Notify your CPA firm immediately if you suspect unauthorized access to your account
• Use the platform only for its intended purpose of tax document management and communication with your CPA firm
You understand that AI-extracted data should be reviewed by your CPA before use in any tax filing, and that extraction accuracy depends on document quality. You are responsible for the accuracy of information you provide.
8. Indemnification
You agree to indemnify, defend, and hold harmless TaxScout, its officers, directors, employees, and agents from and against any claims, liabilities, damages, losses, or expenses (including reasonable attorneys’ fees) arising out of or related to:
• Your provision of false, fraudulent, or misleading documents or information
• Your violation of this Agreement
• Your violation of any applicable law or regulation
• Any dispute between you and your CPA firm regarding tax preparation services
This indemnification obligation survives termination of this Agreement.
9. Limitation of Liability
9.1 Platform Liability
TO THE MAXIMUM EXTENT PERMITTED BY LAW, TAXSCOUT’S TOTAL LIABILITY FOR ANY CLAIMS ARISING FROM OR RELATED TO THIS AGREEMENT SHALL NOT EXCEED THE TOTAL FEES PAID BY YOUR CPA FIRM TO TAXSCOUT FOR PROCESSING YOUR TAX RETURN, OR ONE HUNDRED DOLLARS ($100), WHICHEVER IS GREATER.
9.2 AI Accuracy Disclaimer
AI-POWERED FEATURES INCLUDING DOCUMENT CLASSIFICATION, DATA EXTRACTION, COMPLEXITY SCORING, PRICING ESTIMATES, AND TAX SAVINGS ANALYSES ARE PROVIDED ON AN “AS-IS” AND “AS-AVAILABLE” BASIS WITHOUT WARRANTIES OF ANY KIND, WHETHER EXPRESS OR IMPLIED. WHILE WE STRIVE FOR ACCURACY, AI SYSTEMS CAN AND DO MAKE ERRORS. TAXSCOUT DOES NOT GUARANTEE THE ACCURACY, COMPLETENESS, OR RELIABILITY OF ANY AI-GENERATED OUTPUTS. YOUR CPA FIRM IS RESPONSIBLE FOR INDEPENDENTLY REVIEWING AND VALIDATING ALL AI-EXTRACTED DATA BEFORE USE IN TAX FILINGS. YOU AGREE NOT TO RELY ON AI-GENERATED OUTPUTS AS A SUBSTITUTE FOR PROFESSIONAL TAX ADVICE FROM YOUR CPA.
9.3 Exclusion of Damages
IN NO EVENT SHALL TAXSCOUT BE LIABLE FOR INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES, INCLUDING BUT NOT LIMITED TO LOSS OF PROFITS, TAX PENALTIES, INTEREST, OR IRS ENFORCEMENT ACTIONS, REGARDLESS OF THE CAUSE OF ACTION OR THEORY OF LIABILITY, EVEN IF TAXSCOUT HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.
9.4 CPA Firm Responsibility
Your CPA firm, not TaxScout, is responsible for the accuracy and completeness of your tax return. Any disputes regarding tax preparation quality, pricing, scope of work, or professional conduct should be directed to your CPA firm.
9.5 Force Majeure
TaxScout shall not be liable for any failure or delay in performing its obligations under this Agreement due to causes beyond its reasonable control, including but not limited to natural disasters, acts of government, internet or infrastructure outages, cyberattacks, pandemics, or disruptions to third-party AI services.
10. IRS Section 7216 Compliance
TaxScout operates as an auxiliary service provider under IRS Regulation Section 301.7216-2(d). This means:
• Your CPA firm may use TaxScout to process your tax return information without obtaining separate Section 7216 taxpayer consent, because TaxScout performs services that support (but do not replace) your CPA’s tax preparation work
• TaxScout personnel and systems access your tax return information only to provide technology services and are bound by the same confidentiality requirements as your CPA firm
• We do not disclose your tax return information to any person or entity except as described in this Agreement and our Privacy Policy
Your CPA firm remains responsible for complying with all IRS Section 7216 requirements related to your tax return. If your CPA firm determines that additional taxpayer consent is needed for any specific use of your data, they will obtain it from you directly.
11. Dispute Resolution
11.1 Informal Resolution
Before initiating formal dispute resolution, you agree to contact us at [email protected] and attempt to resolve the dispute informally for at least 30 days.
11.2 Binding Arbitration
Any dispute arising under this Agreement that is not resolved informally shall be resolved through binding arbitration administered by the American Arbitration Association under its Consumer Arbitration Rules. Arbitration shall take place in Boston, Massachusetts or remotely at your election.
11.3 Small Claims Exception
Notwithstanding Section 11.2, either party may bring an individual claim in small claims court if the claim falls within that court’s jurisdictional limits.
11.4 Class Action Waiver
You agree to bring claims only in your individual capacity and not as a plaintiff or class member in any class, consolidated, or representative proceeding. The arbitrator may not consolidate claims or preside over any form of class or representative proceeding.
11.5 Governing Law
This Agreement shall be governed by and construed in accordance with the laws of the Commonwealth of Massachusetts, without regard to its conflict of law provisions.
12. Accessibility
TaxScout is committed to making the platform accessible to all users, including individuals with disabilities. We endeavor to conform to Web Content Accessibility Guidelines (WCAG) 2.1 Level AA standards. If you experience accessibility barriers while using the platform, please contact us at [email protected] so we can assist you and work to improve your experience.
13. Eligibility
You must be at least 18 years of age to use the TaxScout platform. By accepting this Agreement, you represent that you are at least 18 years old and have the legal capacity to enter into this Agreement.
14. Changes to This Agreement
We may update this Agreement from time to time. Material changes will be communicated via email to your registered address at least 30 days before taking effect. Continued use of the platform after changes take effect constitutes your acceptance of the updated Agreement. If you do not agree with any changes, you may discontinue use and request deletion of your data.
15. Severability
If any provision of this Agreement is found to be invalid, illegal, or unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. The invalid provision shall be modified to the minimum extent necessary to make it valid and enforceable while preserving the parties’ original intent.
16. Entire Agreement
This Agreement, together with the Privacy Policy and Terms of Service, constitutes the entire agreement between you and TaxScout regarding your use of the platform and supersedes all prior or contemporaneous understandings, agreements, or representations, whether written or oral.
17. Term and Termination
This Agreement is effective when you accept it and remains in effect as long as you use the TaxScout platform or have data stored on it. You may terminate at any time by ceasing use of the platform and requesting data deletion.
We may suspend or terminate your access if you violate this Agreement, if your CPA firm’s subscription is terminated, or if required by law. Upon termination, you may request a copy of your data within 60 days (after which data will be securely deleted, subject to legal retention requirements and the 7-year retention period described in Section 5.2).
Sections 2.3 (Data Ownership), 3.3 (Data Portability), 8 (Indemnification), 9 (Limitation of Liability), 11 (Dispute Resolution), 15 (Severability), and 16 (Entire Agreement) survive termination of this Agreement.
18. Contact Information
TaxScout.AI Inc.
1 Broadway, Cambridge, MA 02142
• General support: [email protected]
• Privacy inquiries: [email protected]
• Website: www.taxscout.ai
Acceptance
By clicking “I Agree” or by accessing the TaxScout platform, you acknowledge that you have read, understood, and agree to this Customer Agreement, the TaxScout Privacy Policy, and the TaxScout Terms of Service.