How to Choose a Competent Tax Professional. Avoid Becoming a Victim of a Tax Resolution Scam

Helpful Hints When Choosing a Tax Professional:

1.  Before Hiring one, find out the credentials of the individual(s) you are working with.  Only Attorneys, CPAs and Enrolled Agents can represent taxpayers before the IRS in all matters, including matters regarding audits, collections and appeals. Other tax return preparers may only represent taxpayers for audits of returns they have actually prepared. 
   




2. This can be a dirty and cut throat industry.  Be on the lookout, and avoid the "Tax Resolution Scam".  You need to be very careful with whom you select to represent you. There are many tax resolution companies out there that are nothing short of complete scams.  This is especially true, for some of the larger firms you see with mass media advertising. Many of these firms will take your money and never lift a finger when it comes to actually working your case.  Fall prey to this scam and you will end up paying a lot of money to a company, who does nothing for you, and actually leaves you worse off  than you were when you came to them.  






3. Beware the Eager and Unknowledgeable Salesperson.  No one should be selling you on any kind of resolution plan without first analyzing your compliance status, the amount and validity of the debt and your ability to pay the tax debt.  If the person you are speaking with seems more interested in obtaining your credit card or bank account information, rather than answering your questions and outlining a real solution for your case, your probably better off refraining from hiring their company.  An actual honest and knowledgeable agent must examine, analyze, and evaluate the facts of your case, then come up with a viable solution that will really solve your problem. The agent must also frankly advise you if your case is without merit and prevent any other unnecessary costs and expense on your part.  






4. Make sure that you speak only with a professional that specializes in tax representation and collection issues.  This is a highly specialized area of taxation.  A simple salesperson is not going to be able to provide you with the solution you need.  They will either end up selling you a service that does not work for your case at all, or will promise you the moon but will not be able to deliver the desired results.   






5. Beware the "Pennies on The Dollar" Offer in Compromise Ads.  There are ninety-nine cents before you hit one dollar! Marketing and sales departments would have you believe that many more taxpayer's will qualify for an Offer in Compromise than those that actually do.  You will quickly realize from simply making a few phone calls, that there are many companies who will only have you talk to a salesperson upfront (ie....the costly free consultation). This salesperson, will try to sell anybody a so called "pennies on the dollar" Offer in Compromise or a penalty abatement for which you may not even qualify. Don't fall for it! Speak with someone who is qualified and experienced before deciding to hire a specific representation company. 






6. Remember, contracts are legally binding documents. Do not sign any agreement or spend any of your hard earned money until you have spoken with a real professional, who is experienced in tax representation and can answer TOUGH questions.  Remember, a contract is binding and you may be held liable for payment for services not rendered or for services that do not provide a solution to your problem. 






7. Look for a warm and sincere guiding hand, who is not afraid to protect your rights and interest.  You will be working on personal and stressful financial matters. It is very important that you feel comfortable with whomever it is you decide to hire.

Christopher R. Jacquez is the President of eTaxrelief and can be contacted via the company website at: www.eTaxrelief.com