by Jay Freeborne , Enrolled Agent
April 6, 2013

Nobody knows more about tax lien mailings than our company. Why? Mailing to tax liens was our primary form of marketing from 1989 to 2011. In fact: we were one of the original companies to start the practice of sending letters to people and businesses with tax liens. In the '90's, it made Washington Tax Services one of the largest tax representation/resolution companies in the U.S.. If you are someone who is upset about the mailings you are getting for a tax lien: you can blame us. We're sorry. We started a bad trend.

Why did we quit sending them? Pure and simply: market saturation. And well -- it's kind of tacky. We prefer our potential customers to do some research here on the blog and our other websites. The result? Less phone calls. But higher quality and more informed customers who frankly are more apt to hire us.

Well if you have a tax lien now -- you will probably get pounded with mailings. Here's a recent list of companies that send out mailers:

1. William McConnaughy CPA, Sacramento, Dec 1991
3. Guidance Tax Relief, Los Angeles area, Dec. 2009
4. Taxation Solutions, Austin, TX, March 2010
5. National Tax Debt, Los Angeles area, March 2010
7. US Tax Shield, Los Angeles area, July 2010
8. Advocate Tax Solutions, Chicago area, October 2010
9. Tax Law Advocates, Orange county area, December 2010
10. Front Street Tax Resolution, Grand Rapids, MI, April 2011
11. First Class Tax Relief, Houston, TX, May 2011
12. Apex Tax Resolutions, Orange county area, June 2011
13. Global Tax Services, Houston, TX, October 2011
14. USA Tax Resolution, Orange county area, 2011

This is by no means the definitive list. But you get the idea of how many players there are in the tax lien mailing game. From reading the list, you might reach some conclusions:

1. Largely Southern Cal based - Wow - that's a lot of companies in Southern Cal. Yes that's right. And considering that there is only one surviving national "tax resolution" company in Southern Cal that was created before 2006 -- according to my numbers -- that geographic fact is some cause for concern. It would not be a surprise and in some cases it is verifiable that some of the owners of those dead companies are the creators of these new companies. Let's hope that they don't do the same disappearing act as they did before.

2. Largely new companies - You might note that with few exceptions most of the tax lien mailing based companies are NEW. Does that mean that the tax lien mailing is NOT a good long-term practice? Maybe. Does running a new tax resolution company automatically make you bad? Absolutely not -- but you have to wonder whether there is institutional knowledge, an efficient system for helping clients and experience behind these new outfits.

3. Misleading language in the tax lien mailings -- "Wage garnishment pending" -- at least three different companies use this exact language in their mailing. Geez - get original guys :) Another company claims that they are the "Tax Lien Division" and "Tax Processing Unit." Another company gives the impression that they are the IRS: sending out mailings with the fictitious "form 009-S - Tax Lien Reduction Notification." You have to ask yourself: if these guys are this deceptive and misleading in their mailings -- why would they be "above-board" and honest to you during the painstaking and difficult process of tax representation?

4. Who are the licensed tax professionals listed? -- With few exceptions - you won't find any licensed tax professionals willing to put their name on the above mailings. Who are they? Where are they? With many of these companies -- finding the name of the licensed tax professional in the company is a game of "Where's Waldo?" Without a licensed tax professional willing to stick their neck out for their company - who can you make responsible if the company closes?

For 30 years, WATAX has been solving every kind of tax problem. Call us at 1-888-282-4697 or email us a description of your tax issue and we'll contact you.

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