AGREED-UPON PROCEDURES

In this service we are engaged by a client to perform specific procedures and
report findings to conform your needs. Our firm will provide a report based on
factual findings regarding financial information – no assurance is expressed. The
report is not distributed publicly – it is restricted to those parties that have agreed
to the procedures. The client engages my firm to assist specified parties in
evaluating subject matter because of a need or needs of specified parties.
Because those needs of the specified parties may vary widely in nature, the timing
and the extent of the agreed-upon procedures may vary as well; consequently,
the specified parties assume responsibility for the sufficiency of the procedures
since they understand their own needs. Our report on agreed-upon procedures
should be in the form of procedures and findings.
Our firm has been working with agreed-upon procedures with the Education
Department of PR and subcontractors.
Also, the Secretary of the Treasury in Puerto Rico (“Secretario de Hacienda”)
issued “Carta Circular 19-14” in which establishes a report for agreed-upon
procedures and Compliance Attestation. This report should be prepared by an
independent certified public accountant with a license in force in PR. In the case
of self-employed individuals, the certified public accountant will inspect and
confirm the expenses incurred to obtain related revenues. This is a requirement
for those expenses to be deductible for the alternate basic tax in the same
manner to determine net income to regular tax. In the case of corporations must
submit the Certified Public Accountant Agreed-upon Procedures Report to claim
the same deductions submitted for the alternative minimum tax and regular tax.