Tax Relief Industry

San Diego, Colorado, Los Angeles: How Tax Resolution Companies Sprout in Certain Regions

About 15 years ago, Washington Tax Services, our company, decided to set up a satellite office in Los Angeles to expand our market presence on the West Coast. The company we started there called California Tax Advisors closed in the late 90's (and the clients folded back into the parent company Washington Tax). The people we entrusted to lead that office did NOT act in good faith. In fact, they took our ideas and resources and formed their own company: Capitol Tax Relief. That now deceased company (2004) has had a legacy which extends into the very present. Ex employees of that company went on to start some of the companies that give tax resolution the bad name that our industry has today: American Tax Relief (shut down by the FTC) in 2010, Traveller's Tax Group (closed in 2005) and many others on my deceased list - List of Dead Tax Companies and a few companies on the Not Recommended List.

I am illustrating this example to show that tax resolution companies sprout regionally from the seeds of larger companies. Ex-employees see dollar signs and start up their own businesses to sell tax resolution services. Unfortunately, as our example above shows, these companies are often fly-by-night in nature and out for a quick buck -- NOT dedicated to long term customer service. Check them out carefully before hiring them.

Here's a brief description of some regions and companies that were seeded from the original companies:

San Diego/Calabasas:

Original company: Strategic Tax Resolution or Tax Relief (deceased in 2008).

Sprouts: Titan Tax Relief, Progressive Tax Relief, Tax Group Center, Innovative Tax Relief (closed in 2009?) now Progressive Tax,


Original company: Omni Financial -- still in business

Sprouts: 20/20 Financial, Berkshire Capital, Summit Tax Resolution (closed in 2010), Colonial Tax Consultants, Larson Financial, Union Tax Consulting/New Century, for example.

Los Angeles:

Original company: California Tax Advisors -- closed in 1999 (?)

Sprouts: American Tax Relief (shutdown in 2010 by FTC), Capitol Tax Relief (closed in 2004) , Preferred Tax Relief (closed in 2011), Nationwide Tax Relief (closed in 2011), Advantage Tax Resolution (closed in 2011), Traveller's Tax (closed in 2005), Associated Tax Relief, 411 Tax Relief , Power Tax Relief, Tax Incorporated, Blue Tax, for example.

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