Document background
The Bookkeeping Engagement Letter serves as a formal agreement between professional bookkeepers or accounting firms and their clients in Indonesia. This document is essential when establishing a new bookkeeping service relationship or updating existing service terms. It comprehensively outlines the scope of services, professional fees, reporting requirements, and mutual obligations while ensuring compliance with Indonesian accounting standards, tax regulations, and business laws. The letter typically references key Indonesian regulations including Law No. 40 of 2007 on Limited Liability Companies and the Indonesian Financial Accounting Standards (PSAK). It's designed to protect both parties' interests while establishing clear professional boundaries and service expectations in the Indonesian business context.
