For anyone researching tax resolution companies, this explains the Top Seven Complaints from national tax resolution companies. If you are researching tax resolution, you are already a target for scammers and hustlers. You are stressed out because of an IRS or state tax problem.
Plus, you now have to find a tax resolution firm that can handle your problem.
It does not help that a dozen tax resolution companies are screaming at you all day on the radio. You’ve heard the radio ads, and their promises. I mean, really, does everybody qualify for IRS Fresh Start, or for Offer-in-Compromise? Of course not. So, who can you trust? And why should you trust that company? It’s a lot to swallow. Here they are:
THE SEVEN TOP TAX RESOLUTION PROBLEMS TO AVOID:
RESOLUTION PROBLEM #7
“The tax resolution company never told me exactly how they would help me.”
We start with this problem, because this is where representation begins. Many of these high-pressure sales companies talk about pennies-on-the-dollar settlements.
But they won’t tell you exactly how they will help.
From a telephone consultation, no tax resolution salesman should EVER make a promise of some possible pennies-on-the-dollar settlement.
That’s just sales talk. Don’t fall for it.
Instead, you need to know what options the attorney will consider, once the case begins. Your tax case first requires development of your facts. This is okay, because finding your BEST resolution takes time. Don’t expect promises during the consultation. Listen: Most resolution cases will require some “Initial Fact-Finding and Analysis”, to determine your BEST resolution. That part makes sense. Analysis is required for resolution. But even analysis must be tied to a specific, intended resolution.
Tax Law Offices Tip #7:
Ignore empty promises. Make sure your tax attorney explains exactly which services you will receive, including any fact-finding, analysis, and optional services. Make sure all services are written on your contract.
RESOLUTION PROBLEM #6
“They charged a small payment to reel me in. But they never represented me.”
That statement was self-explanatory. No one wants to get on a road to nowhere. And you surely don’t want to pay for that ride.
Tax Law Offices Tip #6
Any resolution legal fees charged must be tied to a clearly stated resolution plan. Get it in writing
RESOLUTION PROBLEM #5
“After a small first fee, they charged a much bigger, additional fee. It seemed unfair.”
This is what happens. The consultation salesman describes a possible resolution that you may want. You discuss the services throughout the consultation. You even discuss a small fee. You understand that fee to cover those services. But the contract never specifies those services. Then later, the resolution company tells you that to actually resolve your problem will require many thousands of dollars more in fees.
MANY thousands in additional fees.
They also tell you that the problem will get worse … and more expensive, if you start over with someone else. This is not just shady. It’s shameful. How do you avoid this?
Tax Law Offices Tip #5
Request a flat-fee engagement, for the full resolution case. Again, we say get it in writing, before you make any payment.
RESOLUTION PROBLEM #4
“I thought they were fixing my problem. But they just paid my taxes with some high-interest loan. I can’t afford that.”
You really have to watch out for this. Some resolution companies will help you borrow, in order to pay off IRS taxes. Yes, a high-interest loan might help make the IRS problem go away. But these loans could be tied to your paycheck, your receivables, or your family’s bank accounts. And sometimes your home. If the loan become unaffordable, what happens if you default? What about your home? And what about the IRS? Here’s a fair point: Many resolution firms might use a lender to help you pay their fees. But you must be careful. If you use their financing, know why you’re borrowing.
Tax Law Offices Tip #4
Fully understand any high interest “Tax Resolution Loans” before you accept. Make sure to discuss the purpose of the loan, and how much it will really cost you. Your tax lawyer should be willing to explain. Okay, these first four tax resolution problems all focus on you understanding your contracted services and costs, so that you are not misled. Basically, these problems are about clear communication before representation begins. The final three tax resolution problems also focus on communication. But for these, the challenge is getting clear communication during representation. And we are going to show you how.
RESOLUTION PROBLEM #3
“The resolution company bounces my case around to different people. I never know who is handling my case.”
This top complaint is also self-explanatory. When you have spent thousands of dollars to hire tax representation, you want to have a dedicated contact. This is the single best way for you to keep tabs on your case. Unfortunately, not every company will provide you a dedicated person or team for your tax problem.
Tax Law Offices actually provides a dedicated team for each case. Either a dedicated Tax Attorney or CPA usually takes the lead responsibility for your case. Meanwhile, you also are assigned a dedicated Case Analyst to work your case’s numbers and collect your documents and information. Your Case Analyst is usually quickly accessible, either by phone or email. The Case Analyst communicates with the Attorney or CPA constantly, so that you may have real-time updates on your Tax Resolution Case.
Tax Law Office Tip #3
Hire a firm that has a strict policy of assigning each case to a specific, dedicated professional. Make certain that you know your team, from the very beginning of representation. Also, make certain that you are provided direct phone numbers and email addresses.
This is the way.
RESOLUTION PROBLEM #2
“They never answer the phone. And they never respond to my emails.”
Again, this problem is clear. Allowing tax clients the ability to communicate is not just fair. It’s decent. And professional.
Communication is expected.
Tax resolution cases are time-sensitive, and stressful. We understand how you feel. Your calls are critical.
Therefore, Tax Law Offices recommends that all communications are handled within two business hours.
Tax Law Office Tip #2
Hire a firm that has a written policy of responding to calls and email communications within two to four business hours. If there is no written policy, you will have no guarantee of returned communications.
This brings us to the last of the top tax resolution problems. And this is a hard one.
RESOLUTION PROBLEM #1
“They never even contacted the IRS. They made my situation worse!”
As more of a business specialty firm, Tax Law Offices is called on to take over cases from other firms. When we interview potential clients, in order to take over their cases, this is the most heartbreaking complaint we can hear.
Tax Law Office Tip #1
While you are researching lawyers for tax resolution, this is the best recommendation we can make:
Trust is everything.
- Your Tax Lawyer must clearly communicate.
- Your lawyer must be accountable to you for your case.
- Your lawyer must have enough experience to handle your problem.
The lawyer you hire must want to earn your trust. You can tell a lot by the attorney’s reputation. Check out the firm’s online reviews. Ask other trusted sources, like the BBB. And ask other lawyers and CPA’s. You will find that it’s not hard to figure out who wants to earn your trust, now that you know what to look for.
We hope this video helps your research. Follow these tips, and your IRS or state tax representation will be less stressful, and more beneficial in resolving your case.