Absolutely... Please don't fall for these so called "tax resolution" companies. You will be giving your financial information to telemarketers whose first concern in how much you have available to PAY THEM...
Whether it is Roni Deutch who says you'll be "respected" by the IRS but has some of her own "business problems" to wit:
The New York City Department of Consumer Affairs (DCA) has brought a lawsuit charging Roni Lynn Deutch with misleading advertisements that allegedly fail to include key eligibility requirements in order to resolve back taxes with the Internal Revenue Service (IRS) under its Offer in Compromise program. The Offer in Compromise program enables taxpayers to resolve debts by entering into an agreement with the IRS for reduced payments, in which a majority of people do not qualify – a fact allegedly not evident in Deutch's ad. In 2006, Roni Lynn Deutch agreed to pay $300,000 to settle the lawsuit for deceptive advertising practices. A total of $200,000 was apportioned to affected victims of Deutch's deceptive practices, and $100,000 in fines.
On August 23, 2010, the office of the Attorney General of California announced that the office was filing a $34 million lawsuit against Roni Deutch for allegedly "orchestrating a 'heartless scheme' that swindled thousands of people facing serious and expensive tax collection problems with the IRS.
Then, there's Fatrick Schlox, who is a master at baiting members of the public in tax trouble... his problems:
Daniel Cadis of the New York Times reports [May 14, 2010] that Taxmasters, Inc., a company that claims it can help taxpayers get “pennies on the dollar” settlements with the IRS, has been accused of misleading it’s clients:
A national company that claims it can help people in trouble with the Internal Revenue Service has been misleading its clients, charging them hefty fees and failing to deliver on its promises, the Texas attorney general charged Thursday. The attorney general, Greg Abbott, said he was filing a civil law suit against Taxmasters Inc., a company based in Houston that advertises on cable television, claiming deceptive trade practices.
The lawsuit says the company persuaded clients to pay thousands in fees through an Internet installment plan and told them that work would begin immediately on their cases. The clients later discovered that no action had been taken. A Taxmasters spokesman said the company would work with the state to resolve the complaints.
In the last decade we have had at least 300 taxpayers hire us to clean up the mess created by dubious tax help outfits like Taxmasters and J.K. Harris.
Their modus operandi is as follows:
■They promise you that only they can resolve your tax problem and keep you out of jail. Of course, they can only do this if you hire them NOW.
■They tell you that they have inside information about how the IRS works. This phony claim is designed to get you to hire them before you consult with a qualified CPA, attorney or IRS Enrolled Agent.
■Once you hire them and pay them a sizable fee, they will ship the information out to a processing unit where low level clerks are assigned to “handle” the case.
■Without asking you anything about the nature of your tax debt or your current financial condition, they promise you that they have special contacts at the IRS who will facilitate a settlement of your debt for mere “ pennies on the dollar.”
Taxpayers beware… and always work with a qualified TAX ATTORNEY, CPA or ENROLLED AGENT.
The IRS has two options "on the books" to provide tax relief, the Offer in Compromise and the Partial Payment Installment Agreement. To a non-attorney, accountant or enrolled agent they MAY look complex, but really, they are NOT.
Just like Mr. Graves, I have "rescued" clients scammed by these national firm hucksters. It's only too bad that the hucksters cleaned out their cash which could have made their tax resolution easier.
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