How tax relief services work
What to expect from a tax relief company
Most tax professionals work for tax relief companies. Therefore, hiring them is equivalent to hiring the services of the company; I guess that’s obvious. The benefits associated with these services far outweigh the cost. These companies offer a wide variety of tax resolution services, so the services you’ll use depend on your financial situation, your compliance with the IRS, and other factors specific to your case. So you will expect:
free tax consultation
Most tax resolution services offer free consultations, where you will consult with a tax relief representative. Consultations typically last around 30 minutes during which time the tax expert will do extensive research on your current financial situation and tax status to determine the option that is right for you.
After which you will be able to understand the services and benefits that you can get by requesting their representation in your case and the amount of money that you will have to pay for their services. Finally, they will give you the option to hire the company and can begin to get you fully compliant with IRS filings and begin the resolution process.
After Hiring a Tax Relief Company
After deciding on the firm that will help you on your case, you will be assigned a qualified tax professional/expert. Tax professionals are of three types: CPA, tax attorney, or enrolled agent. Depending on the severity of your case, you may be assigned several. Normally, after that, you will need to sign a power of attorney to consent to be represented in your case with the IRS. This will also allow them to request your records from the IRS. Everything else that follows now will be between the tax relief company and the IRS.
The beginning of the tax resolution and settlement process
During this process, your representatives will first ensure that you are in full compliance with all tax returns. It is crucial that tax returns are updated and filed correctly, to make a decision or settle taxes (almost impossible). Once you are in full compliance, the experts will look for the best practical method of resolution, which may be an offer in compromise, innocent spouse relief, installment agreement, or penalty reduction, that they think the IRS will accept, taking into account your current financial situation and without putting too much financial stress on it. This can take some time due to how slow the IRS moves. However, at the end of the day, they will come to a suitable solution.
The agreement is approved and you fully comply
Immediately the IRS approves your filings, the resolution is complete, and you can rest assured that the IRS will be completely clear of you. Your account will always be in good standing with the State or IRS if you consistently comply with them on your future refills and observe payment deadlines. In addition, the tax professional will advise you on methods to ensure that you avoid future tax problems.