If you are suffering from back tax debt, and have been searching online for the right company, don’t be left in the dark! These 5 questions to ask any tax resolution firm will help you find the right company for you. First off, you need to define what type of tax debt you owe, State, Federal or both. What has triggered your search for a tax attorney; innocent spouse relief, business payroll taxes, victim of tax fraud? Are you in compliance with your taxes for previous years, or do you need to have those taxes prepared for filing? Most tax resolution firms specialize in just the taxes that are owed. So you may need to find a local CPA to prepare and file your taxes to become compliant before you hire a tax attorney to resolve your back tax debt. The reason is that the tax attorney is hired to fight to reduce the tax debt that is owed, not file your taxes for you.
Of course some firms do have CPA’s on staff that can help you, if you are non-compliant, then you would just need to find out if that is a service offered by the firm. At this time Internal Tax Resolution does not prepare taxes.
Next, are you suffering from any tax liens, tax levies or wage garnishments, that the firm would need to know about right away. Have you recently received a letter with a deadline, this also would need to be identified during the initial call. Lastly, the amount owed to the IRS would be helpful during the initial call as well. This is where it becomes tricky, because we have heard of horror stories of the “Pennies on the Dollar” scam. That’s where these questions will become your secret weapon!
Q1.) Do you have experience in multi-jurisdictional issues?
A1.) Because the IRS is a federal agency, there are three people permitted to practice before the IRS. You have to be an active licensed member of the state bar. No matter where they live, they can still represent the taxpayer before the IRS in all 50 states.
Q2.) How long have your tax attorneys practiced tax resolution, not just knowing the tax law, but we’re talking real battle with the IRS for tax resolution?
A2.) If over ten years in practice, you should find out if they pursue continuing education courses to stay abreast with the ever changing laws. This is something that Internal Tax Resolution ensures regularly.
Q3.) Do you ever have any Offer in Compromises get rejected by the IRS? If so, what is your rejection rate?
A3.) This answer should be zero. This would mean they have a great track record. Also, means that they would not take on any cases that they do not feel would be accepted for an Offer in Compromise. Guiding the client with the correct paperwork and making sure areas are correctly filled out prior to submission will reduce the risk of being rejected.
Q4.) Do they have testimonials that appear genuine on their site. If so are they an accredited business with the Better Business Bureau?
A4.) If they have the great testimonials, but are suffering from a low score with the BBB, keep looking, those reviews could be falsified. Internal Tax Resolution boasts an A- rating with the BBB. The minus is only because we have not been in business for over 7 years.
Q5.) Do they charge based on the amount that you owe?
A5.) If they say no, but will not provide a rate until after you tipped your hand about the amount you owe, then yes they are charging you based on the amount that you owe. A good trustworthy company will have an average rate set for their clients. The payments may vary based on your income, but rate overall should be the same.
Now that you have some secret weapons to use the next time you need to scout out a tax attorney, you will be ready. By-the-way, we passed all these questions with flying colors.
Call us today for a Free Consultation, you’re ready!