So, it’s happened again. I received another client with tax debt who has used two different “tax debt relief” companies from other states to help her. She paid them thousands only to have them do nothing for her, except to demand that she pay them more before they could assist her. The first company discovered there was a tax lien filed against this individual and they demanded another huge down payment before they would continue because, according to them, the tax lien made the case extremely more complicated. Based on the conversation I had with the caller, this is a completely untrue statement. This company lied to her simply as an attempt to increase their fee.
Let’s speak bluntly. Not all tax debt relief companies are created and managed the same, so I cannot say that none of them are good. Some of them may very well be. But I can say I have seen many clients complaining about them and, to my recollection, none of my clients have been happy with them. There are so many companies offering promises to choose from that deciding which to use, or if you even need one, can be impossible.
Tax debt relief companies are companies, not law firms. They do not have the same level of mandated ethical adherence to maintaining client relationships. They do not stand to be disbarred if they behave unethically. Keep that in mind whenever you decide to consult with any company promising to resolve your legal issues.
When contacting these companies, be wary of anyone who offers you a guaranteed specific result or settlement. Any possible resolution of tax debt is based on the specific circumstances of a case. There is no magic settlement number or percentage of reduction for which you automatically qualify.
Finally, keep in mind that an important part of any client relationship is face to face interaction and correspondence. Is it required that you sit down and meet with the professional handling your case? No, it is not required. Would you prefer to know the professional on a first name and personal basis? If I were paying someone to handle my case, I know I would.
You may get great representation from one of those firms that promise the world, but always be cautious and think critically before paying anyone, especially anyone who makes promises that sound too good to be true.