With the recent 2008 recession, large Federal deficit, and multiple states on the brink of bankruptcy, many tax authorities have increased their efforts to collect unpaid taxes. Not surprisingly, there has been an increase of tax settlement companies that have flourished. Unfortunately, many of these companies (eg.TaxMasters, JK Harris, and American Tax Relief) have also been closed down by the state authorities or FTC due to their deceptive advertising claims and practices.
To avoid being misled, make sure you initially consult a qualified tax attorney, certified public accountant, or enrolled agent and NOT a "salesperson", "tax analyst", or "case manager". Many companies will promise to reduce your tax liability and lead you to believe that they are "negotiating" with the IRS and state authorities. However, the IRS should not be perceived as a street vendor who can be negotiated with. The Taxperts' goal is to provide our clients with an affordable payment plan to help settle and/or reduce their tax debt by using applicable tax laws and legal actions.