2008 Taxpayer Advocate’s Report–The Tax Masters Perspective
2008 Report from the National Taxpayer Advocate
The more we see from Nina E. Olson, the National Taxpayer Advocate, the more we like her. And unlike the rest of the IRS, she seems to get things done in a timely manner. In support of this, Olson released her annual report for 2008 on January 7 this year. Perhaps the most surprising thing is that the report contains timely updates, including issues related to the economic hardships that increased dramatically in late 2008. So before we say anything else, we want to give Nina Olson some credit for completing a substantial and relevant report in a timely manner.
Taxpayers and Tax Representation
As a leading tax representation and IRS tax relief firm, it is in our best interest to review the National Taxpayer Advocate’s Report for information relevant to taxpayers with IRS problems. One of the most striking statements we read in the report comes from page 457 in the Most Litigated Issues section and states that, “…overall, taxpayers have a higher chance of prevailing in litigation if they are represented.”
While this statement may seem to be a statement of the obvious, we are constantly surprised at the number of people who represent themselves in front of the IRS, even in tax court. This statement from the report pertains directly to litigated tax cases, but it provides a good vantage point for us to look at all tax issues. If more taxpayers are winning their case with representation in court, it certainly stands to reason that more taxpayers are achieving more favorable results along the way if they have a representative. This confirms what we’ve known all along at Tax Masters. If you’re going up against the IRS or trying to work out an affordable payment plan or other agreement with the IRS, you need a qualified tax representative in your corner.
Increased Enforcement Actions Don’t Work
Over the next weeks, I plan to blog about various topics related to the 2008 annual Taxpayer Advocate Report. I’ll start with a topic near and dear to our hearts at Tax Masters. The report states that increased enforcement actions are not producing a proportional increase in revenue collected. The example cited in the IRS press release announcing the report includes the following statement. “The number of levies issued by the IRS increased by 1,608 percent from FY 2000 to FY 2007 — from 220,000 levies to about 3.76 million levies — yet the increase in total collection yield during the period was slightly less than 45 percent.” This is just one example showing that aggressive IRS collections activity is not an effective method for collecting tax debt.
The same press release goes on to state that collection alternatives like the offer in compromise and partial-payment installment agreements may be more effective at collecting at least a portion of outstanding tax debts that taxpayers are having difficulties repaying.
Tax Masters is Here to Help
It just so happens that settling tax debt (offer in compromise) and making IRS payment arrangements (setting up monthly payment plans and the lesser used but more effective partial-payment installment agreements) are services that we offer at Tax Masters. And the fact that we employ former IRS agents and attorneys gives us great odds at achieving significant tax relief for our clients. If you have tax debt, now is a great time to try and negotiate it down or work out a payment agreement. And as the Taxpayer Advocate has stated, you have a better shot at success if you hire tax representation. Particularly now, when IRS agents have been given the authority to waive penalties and fees without any clear guidelines about how to apply that authority, you stand to benefit immensely by engaging Tax Masters as your tax representative when dealing with the IRS or seeking IRS tax relief.
If you can’t pay your taxes, call us today and let’s talk about your options. You can always reach one of our tax consultants at (866) 694-4018.
Until you need us,
Patrick Cox, Tax Masters
Where can I go to see all your commercials?
Shooting the commercials is always a lot of fun. I get picked on quite a bit from time to time, but that’s all part of it. The bottom line is that there are lots of people out there who are scared and who are in trouble with the IRS. Those are the people I make the commercials for. But if you just need to watch them again and again, go to the Tax Masters website and poke around. We are actually involved in a site redesign currently and will be putting more ads out over time.
I look at all your websites. I see some things people say about Tax Masters. My question is really very simple, is Tax Masters a scam? Is Tax Masters a fraud? Is Tax Masters a firm that cheats tax payers and the IRS?
I wanna believe you can help me with my problem, but i cant afford to make a mistake at this point in my life. I really need to play this right with the IRS, and i cant screw it up.
Armando,
I will answer your questions directly and then elaborate. Tax Masters is not a scam. Tax Masters is not a fraud. Tax Masters does not cheat people or the IRS.
I founded Tax Masters on the principle that people deserve a fair shake when going up against what is arguably the most feared domestic agency in the United States. The IRS is feared for good reasons. They have shown historically that they will do just about anything to collect revenue. Anecdotal evidence from IRS agents tells us that the IRS thinks that the majority of taxpayers cheat on their taxes. If that’s their perspective, then of course they are going to do whatever is in their power to collect what a taxpayer owes. That’s their job and we respect that. We believe that it is our duty as Americans to pay our fair share of taxes. We just don’t think you ought to have to pay more than what’s fair.
What we offer at Tax Masters are IRS tax relief services designed to reduce excessive IRS debt while negotiating a fair amount for the taxpayer to pay. Sometimes that fair amount is very little. At other times, that fair amount of tax is larger. Our promise at Tax Masters is to look at your specific situation, assess it based on facts, and counsel you to make the decisions that give you the best shot at a favorable outcome with the IRS.
I’d like to specifically address the complaints and accusations of fraud and scam at Tax Masters. We have been heaped in with other tax debt resolution firms that have less than stellar reputations. Like any other growing and active business, we have had some complaints along the way. I have personally put the staff in place over the last year to address each and every Better Business Bureau complaint and we have done so consistently for the last eight months. I don’t know what you know about the BBB process for resolving complaints–and this is not the place to go into it–but some of these may never go away no matter how hard we try to resolve them. For those alleging scam and fraud and threatening class action law suits, I encourage you to review our engagements again and to simply give us the chance to do the job we agreed to do.
One of the most damaging misunderstandings we have with clients involves the IRS directly. Even though we are handling a case perfectly and on time meeting all deadlines, an IRS agent can tell you we are not doing our job, that they have heard nothing from Tax Masters, that we are in fact not doing what you hired us to do. Please understand that this is a tactic to get you to pay more money than you have to. The IRS knows that we are successful at reducing tax debt. If they can play you against Tax Masters, it’s to their benefit. Let me be clear. It is incumbent on us to perform the services you agree to purchase and we will perform them faithfully. The fact that you paid us means that we must perform the agreed services, no matter what an IRS agent says to you and regardless of what you read on the Internet. If we do not perform those services, we go out of business. It’s that simple. I’m not interested in going out of business.
[...] taxes themselves. If you read my post on the odds of winning a tax case if you hire a qualified tax representative from a couple weeks back, you’ll see a pattern emerging in the National Taxpayer [...]
I just signed up with Tax Masters praying that they are honest and will help me with my tax issues…Only time will tell of course…I will keep the web posted on how things go…my fingers are crossed and I’m in their hands…I trust they will do the right thing,,,if they DO..I will let everyone know to clear their name…and if they DON”T..I will let everyone know…either way, for now…I’m trusting them with my tax needs!!!! Honest Communication is the key factor here…I will keep all informed…