If you pore thru the Tax Problem Resolution Blog back to 2008, our big theme and warnings was - don't get scammed! Companies like Taxmasters, JK Harris and American Tax Relief set this terrible standard for customer service and abuse. And paying them to resolve your tax problem was a risky bet to say the least. Thanks to the FTC and various Attorney Generals around the country - these companies are gone as well as other bad eggs (with a just a handful left: Not recommended list.)
In today's marketplace - your focus should be not only be on quality but fees with clarity about how and when those fees are paid.
Here's a couple of fee issues to chew on:
1. Research fee first - other fees later if necessary. Some of us including watax.com are going to do our research first - $250 or thereabouts and then prescribe a representation fee or a tax preparation fee later if really necessary. We at watax.com don't do this unless we are really unsure about a case. For example: The client hasn't filed in a long time and there is nothing pressing from the IRS just yet). Others might do this research and analysis first for up to $1000 then charge $3000 or more (!) later after the research is done. We prefer to get the fees cleared up in the beginning. We don't want to charge an excessive fee - that might not be warranted after the research is done. But if we know what needs to be done we're going to charge a flat fee and not do a research fee - pay more later structure.
2. Flat fee covers everything. WATAX's fees are transparent as you can see here. Fees for Representation.
3. Justifying high fees over $2000 : Back in 2011 - we wrote : What you should get for $4000 in tax resolution fees. Check it out. Red Carpet Treatment is deserved and should be expected for high tax resolution fees.
