Basically, tax relief companies work by negotiating with the IRS on your behalf for a fee. That fee can run into the thousands of dollars, with no guarantee that they will be more successful than if you negotiated with the IRS on your own. Unfortunately, the industry is plagued by scams and bad business practices. Disreputable companies lure customers with false promises while charging steep fees.
Still, legitimate tax settlement firms exist. These companies are honest about whether you can benefit from their services and charge reasonable rates that are disclosed in advance. The answer to this question really depends on the company you use for your tax debt relief service. Yes, there are legitimate tax relief companies that can help you reduce your tax debt or sign up for an affordable repayment plan.
However, there are also a lot of fraudulent companies. Do some research before choosing a tax debt relief company that represents you. Tax relief is a general term for government programs or policies that help taxpayers reduce their tax burden. Some tax relief companies are legitimate, but consumer watchdogs warn that many tax relief services are a front for The vast majority of potential customers of the settlement agreement need to work out payment plans with the IRS that allow them to settle their tax balances over time and, at the same time, preserve their property and dignity.
But if you're among the millions who are indebted to the IRS, you may be able to get an additional benefit with the tax relief. An accredited tax relief company such as Optima Tax Relief can help you reach a tax relief agreement with the IRS. Those seeking help with their outstanding tax balances are generally in the best interest of having their tax or financial advisor refer them to a qualified tax lawyer with years of experience in this area. The tax relief experts at Optima Tax Relief are available to be your dedicated resource to saving you the most money and, at the same time, resolving your debt to the IRS in the shortest possible time.
If you pay them a down payment, which can be in the thousands of dollars, these companies claim that they can reduce or even eliminate their tax debts and stop the collection of back taxes by applying for legitimate IRS programs for difficult situations. However, these employees are often not licensed to represent you before the IRS and should not provide you with tax advice. During your consultation, a real tax professional examines your case and presents you with your options for tax debt relief; you won't talk to a seller. With the TaxAudit app, you can securely upload the documents your tax professional needs from your smartphone, send and receive messages with a tax professional, and stay informed of the status of your case.
When you work with a tax debt relief company, you'll share a lot of personal and financial information. Some tax relief companies attract customers by stating that they can reduce customer debts by filing a compromise offer (OIC) with the IRS. To qualify for CNC status, you must file any overdue tax return and provide the IRS with financial information, including details about your income and expenses. Most tax settlement firms promise to send their experts to the IRS to negotiate on behalf of the client, where they can presumably persuade the agency to accept a much smaller amount, often cents on the dollar.