Getting overwhelmed by tax debt isn’t your fault. If you owe thousands of dollars to the IRS, professional help is available. Make sure your tax debt doesn’t become a stressor and cause you to make bad decisions– get help right away.
Our research has revealed the top tax relief companies
When you owe thousands to the IRS, it can be highly stressful. However, tax professional assistance is available for those who need help. The proper service can help you resolve your tax debt.
In addition to payment options, many tax relief companies can negotiate with the IRS or state tax agencies. In times of financial hardship, they can help you set up a payment plan or pause the collection of your debt. It is important for tax relief services companies to have a tax lawyer with knowledge of tax law who can negotiate a reduced settlement rate on your behalf.
In order to help you choose a tax relief company that fits your needs, we reviewed the top tax relief companies of 2023. Selecting the right tax relief company can be challenging because there are so many companies out there. Here’s how to find the best tax relief company based on availability, cost, and consumer reviews.
Anthem Tax Services
Upon failure to reduce or eliminate your tax debt by Anthem Tax Services, you will receive your full refund. Among the best tax relief companies out there, Anthem Tax Services offers one of the best tax relief guarantees in the industry, ensuring that you are protected from any potential losses.
Pros
- There is no time limit on money-back guarantees
- It has been reported that some customers have had their cases resolved within a week
- Truck drivers can take advantage of dedicated tax relief services
Cons
- Pricing is not displayed on the website
Having IRS tax debt can be a challenging experience for anyone. To help you get back on track, the company offers several tax relief programs, such as an offer in compromises (OIC), innocent spouse tax relief, and “currently not collectible” status. You can avoid potential problems in the future as well as save money with their corporate tax preparation services. Additionally, they assist clients with wage garnishment and tax levy release.
Anthem Tax Services offer a money-back guarantee if you need help regaining control of your finances. They provide an initial investigation fee of $275, but if they don’t get a resolution from the IRS, such as reductions in payment amounts or forgiveness of tax debt, you’ll get a full refund.
A flat fee upfront for Anthem Tax Services begins at around $3,000, with free consultations for customers with tax debt under $7,500. Additional services may increase the fee.
Community Tax
The investigation fee for Community Tax is $295, making it one of the most affordable tax relief companies in the industry.
Pros
- Bilingual services at an affordable price
- By preventing future tax issues in advance, tax planning reduces future tax liabilities
- Tax relief company with one of the lowest fees
Cons
- Pricing is not provided upfront
- In the case of state tax debt, there are limited options for tax relief
It is Community Tax relief’s specialty to help people resolve their tax debts, whether it’s through an installment agreement or an offer in compromise. Even if Community Tax does not provide innocent spouse tax relief, you may still be able to get assistance with your taxes.
Are you searching for a tax relief company that will help you with your tax filing or tax debt relief needs? Community Tax is one of the few tax relief companies on our list that offer bilingual assistance. In addition to providing bookkeeping and business accounting services, Community Tax Relief has received an A+ rating from the Better Business Bureau and has a long list of satisfied clients. Aside from its quick response time to complaints, Community Tax Relief Company is highly regarded.
With Community Tax, customers with tax debts of up to $10,000 receive a 30-day money-back guarantee with a full refund if the problem is not resolved. Initial investigation fees are as low as $275.
Larson Tax Relief
As one of the best tax relief companies in 2023, Larson Tax Relief provides businesses and corporations with tax debt relief. In addition to payroll taxes and federal tax issues, they can help with conflicts with your revenue officer and worker classification issues. You can prevent any future problems by getting your finances back on track with their help.
Pros
- A money-back guarantee is available for new customers for 15 days
- Resolves business tax issues, including tax liens and accounts receivable levies
- You can receive a free consultation
Cons
- In serious tax debt cases, a 15-day guarantee may not be enough
- There are no bilingual services available
- A minimum of $20,000 in tax debt is required
Among the services, Larson Tax Relief Services offers are tax debt relief for individuals and corporations, as well as assistance with delaying or preventing bank levies.
You can count on Larson for business tax relief services that are top-rated. In addition to payroll taxes and corporate income taxes, they can handle the paperwork for small businesses as well. Due to this, they are an extremely useful resource, particularly for companies with smaller accounting departments.
Despite offering free consultations, Larson requires you to have a minimum of $20,000 in tax debt before they take on your case. A tax return starts at $200, research and discovery start at $250, and representation or power of attorney services start at $1750.
If you are dissatisfied with your purchase, you can return it for a full refund within 15 days. However, Larson’s return policy is shorter than other tax relief companies, which offer 30 days. As a result, if it takes weeks for your case to be resolved, you may not be able to benefit from this guarantee.
Perfect Tax Relief
Pros
- Initial consultations are free of charge
- A CPA, tax attorney, or enrolled agent can help
- Taxes can be reduced in a variety of ways
Cons
- There is only one physical location in Los Angeles
You can assess your situation and determine if Perfect Tax Relief can help you with a free and confidential consultation. The team of tax experts will work with you throughout the process and devise a customized strategy for you. You will usually put your case on hold to prevent the IRS from pursuing further action. Your transcripts will then be pulled and a full discovery will be conducted. In addition to ensuring you get the best settlement, the tax professional will also work to ensure you get the best settlement. The ideal situation is that you’ll only owe a fraction of what you actually owe to Perfect Tax Relief after the settlement so you can remain compliant in the future.
A full-service tax firm such as Perfect Tax Relief can help you with a variety of tax issues, including unfiled tax returns and back taxes. Perfect Tax Relief may be able to assist you in dealing with your IRS garnishment of paychecks and tax refunds. We have enrolled agents, CPAs, and tax attorneys who will analyze your case. Find out what it will cost you by requesting a free consultation.
Tax Resolvers
Pros
- Free consultations are available
- Consumers are delighted with the customer service they receive
Cons
- The cost can be high
The Tax Resolvers offers financial and tax advice as well as IRS and state taxes. The Tax Resolvers also answer your questions and can help you arrange a payment plan with the IRS or state tax agency. Having an A+ BBB rating, The Tax Resolvers can assist you with back taxes and penalties. Customers have given The Tax Resolvers great reviews.
Tax Defense Network
Pros
- Various tax preparation and debt relief services are available
- Tax education resources
- Service in two languages
Cons
- Guaranteed money back for three days
With representatives available both online and by phone to assist you with your tax questions, Tax Defense Network stands out from the competition by providing outstanding customer service in Spanish and English. Their debt acceptance ranges from $5,000 to $10,000 in some cases, making them more accessible than many of their competitors.
To businesses that must permanently close their doors (close corporate filing services, for example), Tax Defense Network provides a comprehensive range of IRS and state tax debt relief services (payment plans, offers in compromise, innocent spouse tax relief, etc.). Tax Defense Network offers specialized business tax services as well. Tax relief companies do not offer tax withholding calculators or offers-in-compromise like this site does.
A 3-day money-back guarantee by this tax relief company is shorter than most of its competitors’ 15-day guarantees, but it offers free consultations. The number of positive reviews received by current and former customers can be attributed to the extensive certifications and memberships in national tax professional organizations.
Precision Tax
Pros
- The money-back-guarantee lasts for 30 days
- All clients have access to no-interest payment plans
- You can receive a free consultation
Cons
- Tax audit representation is not available
Precision’s tax debt relief services are available to a variety of companies as well as individuals. You can benefit from wage garnishment and levy releases, resulting in significant financial tax relief. Additionally, they offer tax preparation services to prevent tax debts from occurring.
With a generous 30-day money-back guarantee, it offers clear payment plans that are always interest-free.
In free consultations, the fee and rate are always disclosed upfront.
Victory Tax Lawyers
Pros
- Flat-rate pricing
- You can get a free consultation
Cons
- There is no money-back guarantee
- The tax debt must be at least $20,000
With Victory Tax, individuals and businesses can stay on top of their tax obligations. From tax preparation to audit representation and levy defense, they have you covered.
Having foreign bank accounts can be difficult, but they can help you file a Report of Foreign Bank and Financial Accounts (FBAR) if you have them.
Additionally, the company only accepts cases with tax debts of at least $20,000, which is considerably more than the average for other tax relief companies.
Optima Tax Relief
This tax relief company has the best mobile app in the industry, making it one of the top tax relief companies. In addition to letting users know what to do when they receive an IRS notice, Optima Tax Relief grants them free tax extensions.
Pros
- With Optima Tax Relief’s proprietary app, collection notices can be assessed for free
- Consultations are free
- You will have realistic expectations about the outcome of your tax resolution case if you have a clearly outlined tax resolution process
Cons
- The minimum tax debt is $10,000
- Competitors offer a longer money-back guarantee of 30 days.
With Optima Tax Relief, you can choose from a wide range of IRS and state tax debt relief options. Optima Tax Relief employs enrolled agents, tax attorneys, and certified public accountants.
Optima Tax Relief allows you to extend your tax filing deadline if you get an IRS collection notice. That way, you can avoid penalties and get your taxes filed earlier.
Aside from providing free consultations, Optima Tax Relief is also able to help you understand what they can offer and what they can do to help you file your taxes correctly and on time. Their two-step approach involves setting up a protection plan to pause any immediate IRS action against you and providing you with a case summary.
An investigation fee of approximately $295 is charged by Optima Tax Relief for those who qualify. You must owe a minimum of $10,000 in tax debt to qualify.
Tax Relief: Everything You Need to Know
The tax relief landscape can be confusing, which is why this guide provides a basic overview of tax relief concepts. When you are knowledgeable about the options available for tax relief programs, you will be able to make an informed decision about which program is best for you.
Tax debt relief: how does it work?
Individuals can reduce their tax obligations or pay their taxes through tax debt relief strategies.
The federal and state governments offer tax relief programs to help taxpayers who are unable to pay their taxes, including payment plans, settlements, and wage garnishments. These programs may prove useful to taxpayers who are struggling to meet their obligations.
Taxes can be paid through several methods. Depending on where you live, you may have different choices.
In some cases, hiring a tax professional may be a good idea if you want to negotiate tax payment options directly with the IRS.
If you are having trouble paying your taxes, a tax relief company may be able to help you. Even though the process can be complex, working with a tax relief company may help you get the outcome you need. They specialize in resolving tax problems on your behalf and often negotiate with the IRS on your behalf.
Depending on the complexity of your case, tax relief companies may employ attorneys to assist you in negotiations with the IRS.
How do tax relief companies work?
Tax relief companies can offer a variety of services aimed at reducing the amount of taxes owed. Nevertheless, many of these services can also be obtained directly from the IRS, so a few key characteristics of a good tax relief company should be noted. Furthermore, they employ tax professionals with extensive experience in tax law. Due to this, they can handle cases with higher tax debt amounts more efficiently. Getting in touch with the IRS on your own is probably the best thing to do if you’re behind on your taxes. Tax relief companies have a lot of knowledge of tax law. However, they can’t do much for you that you can’t do on your own.
When you have a complex tax situation, there are companies that can review your paperwork and identify the best options available to you. In some cases, they may be able to negotiate a lower tax bill with the IRS.
If you have tax debt that is less than $10,000, you may be better off going it alone. There is no hard and fast rule in the IRS regarding tax debt negotiation. Typically, tax relief companies only work with customers who meet a minimum debt threshold. Many companies, however, have a minimum tax debt requirement of $10,000 or more, so you may be better off going it alone. Those with tax debts below that amount can also avoid adding to their overall debt load by paying for tax relief services. Additionally, the best tax relief companies help their clients negotiate with the IRS on their behalf in order to reduce or even eliminate their tax debts.
Get help and put an end to your tax debt if you’re worried. Tax relief firms offer you a free consultation to get started. Don’t let your tax debt overwhelm you – get help and put an end to it.
Which are the most common tax problems?
You may face some problems if you fail to file your tax return or make a mistake. Here are a few examples:
Back tax refunds
Back taxes are owed when you fail to file your taxes or make mistakes when you do. If you do not stay on top of the latest penalties and interest rates, your debts can get bigger and bigger until you cannot pay them off.
You can avoid paying back taxes by using tax preparation software. Our article on the best tax software will help you make the right choice.
Wage garnishments
When the IRS cannot collect your taxes, they will take steps to manage them, including wage garnishment, which involves the agency contacting your employer and withholding a portion of your paycheck.
Your employer should have received IRS publication 1494, which outlines how much of your wages can be garnished based on your marital status and the number of dependents. Until the debt is settled, wage garnishment will continue, but tax relief companies may offer other repayment options.
Tax liens
The IRS sends financial institutions and other relevant parties public notices before the proceeds of the sale of personal property are distributed.
Tax levies
In a levy, the IRS seizes your property as payment for your debt, which is a more extreme version of a tax lien.
Tax audits
If you have irregularities in your taxes, the IRS may audit you. However, wealthy individuals, especially those who earn more than $10 million annually, most often face audits.
What are the costs of tax relief?
Depending on your tax debt and the complexity of your case, you will pay a different price for tax relief services. There are two pricing models you can choose from: a percentage of the debt owed or a flat hourly rate. The most cost-effective option will depend on your specific circumstances.
It’s common for people to pay between $1,000 and $1500 on their tax debts, depending on how much they owe. Many companies offer payment plans that are based on percentages.
In order to find affordable tax relief services, you need to work with a company that offers flat hourly rates. You may find it more affordable to hire a company with a flat hourly rate if you owe a lot of money but your case is relatively straightforward. Nevertheless, a complex case may require a higher rate.
If you decide to resolve your tax debt through an offer in compromise (OIC), you may pay a flat fee of $300 to settle your tax debt at a lower rate than expected.
Getting as much information as possible before you contract with a tax relief company is the best way to make sure you get what you expect and that there are no hidden fees. In order to avoid surprises at the end of the project, get quotes in writing and learn about your payment options in advance.
Options for tax relief
You have a few options when you are having difficulty paying your taxes. If you need further information, visit the IRS website, or give a call to a representative. State agencies may also offer similar programs for local taxes. You can also contact a tax relief company, but make sure you do your research before deciding on one.
Companies that offer tax resolution services are only able to offer recommendations based on the information they have. They cannot provide any information that you cannot obtain on your own.
With multiple sources of income and a complex stock portfolio, you may be better off speaking directly with the IRS.
Offers in compromise
When you owe money to the IRS but cannot pay it all, you may be able to make an offer in compromise.
When determining whether you qualify for an offer in compromise, the IRS considers your ability to pay, your income, your expenses, and your assets. In case the IRS believes that it can collect all that it can from you “within a reasonable amount of time,” it may accept a lower amount.
It is rare for people to qualify for offers in compromise, so the majority do not qualify.
Innocent spouse tax relief
Those eligible for innocent spouse tax relief may be exempt from any penalties incurred as a result of a mistake on their taxes. In this case, the IRS must decide that the omission was unknown to you and that it would cause undue hardship to you.
Agreement for installments
Installment plans allow you to make smaller payments over time if you cannot pay your taxes in full right away.
The two types of installment plans are short-term and long-term. Short-term plans are for people who are able to pay off their debt within 180 days, while long-term plans are for people who need more time to pay off their debt.
It is not necessary to have a particular amount in an installment agreement in order to apply, but online applications can only be submitted for long-term installment agreements and short-term installment agreements up to $50,000.
Penalty Abatement
Alternatively, if you end up in a situation where you have incurred a penalty on your taxes, you may be eligible for some type of tax relief if you file and pay on time. If you are a first-time taxpayer, for instance, if you missed a filing deadline or did not pay on a single tax return for the first time, you may be eligible for a penalty abatement. To qualify for this type of tax relief, you must not have accrued any penalties over the past three years and have filed your taxes or requested an extension.
Currently not collectible
The IRS and you may agree that paying your taxes is an unduly heavy burden on your living expenses. You may qualify for what is known as “currently not collectible” or CNC status if you can’t pay them. In order to qualify for CNC status, you must prove that paying your taxes will interfere with your ability to pay for essentials like housing, utilities, food, or other necessities.
IRS will review your finances every year to see if your situation has changed while you are in CNC status. Tax refunds will go towards paying down your debt while you are in CNC status.
Fresh Start Program By The IRS
The IRS Fresh Start Program makes it easier to obtain tax debt relief. It lowers the eligibility requirements for different IRS tax relief programs.
A new method of calculating income has been adopted by the IRS to determine eligibility for offers-in-compromise. For offers paid within five months or less, four years’ future income was considered, while for offers paid within six to 24 months, five years’ future income was considered. For offers paid within five months or less, only one year of future income will be taken into account, while offers paid within six to 24 months will be considered for two years of future income.
In order to qualify for tax debt relief, you need to know a few things. The first is that all offers must be paid in full within 24 months of acceptance. In the second place, tax relief companies will evaluate your situation and check the Fresh Start guidelines to determine which options are available to you.
Tax relief companies offer other services
Audit Defense
A tax audit defense professional may be able to help you resolve any issues that arise if the IRS audits you. For an additional fee, they will work with you to determine the audit.
Using audit defense services is not correct or wrong. Just remember that only 0.45% of individual tax returns were audited in 2019. Income over $1 million increased the probability of being audited.
The alternatives to tax debt relief companies
Dealing directly with the IRS
Taxes owed under $10,000 may be negotiated directly with the IRS. Explore the different options the IRS offers for payment plans and debt reduction if you feel comfortable completing your own tax return. This may be less expensive than hiring a tax debt relief company.
Tax relief attorneys
The tax relief lawyers at the law firm can be beneficial if you’re facing criminal charges because they’re more experienced than CPAs and enrolled agents.
An alert regarding tax relief scams
Tax debt is not unusual for Americans. Over 60 percent of Americans don’t have the funds to pay their taxes on time. If you feel overwhelmed by your tax debt, it makes sense that you want to find a tax relief company that can help lower your debt. However, you should be aware that not all tax relief companies are in your best interest.
You should be wary of tax relief companies that promise to settle your tax debt within a certain timeframe because many of them are frauds and take your money. It has been reported that some tax relief companies charge unauthorized charges on customers’ credit cards even after the case has been closed.
When choosing a tax relief company, consider these red flags. Getting grandiose promises from the company’s representatives without knowing your case’s details is a red flag. You should also be wary if the company demands upfront payment for guaranteed results. Cold calls, unsolicited mail, and emails may indicate a delay tactic, so be careful. The company asking for the same documents repeatedly is another sign of stalling.
You can find a lot of tax relief companies out there, but how do you know which ones are trustworthy? It would be best if you looked for firms that are transparent about their processes and costs instead of companies that make specific promises. Be sure to take advantage of free consultations offered by many reputable tax relief firms before deciding. You should also find out if the tax relief company is accredited by a professional tax organization, such as the National Association of Tax Professionals (NATP), the National Association of Enrolled Agents (NAEA), or the American Institute of Certified Public Accountants (AICPA). You will feel more secure knowing you’re working with a reputable, reliable company.
