Companies offering this type of service generally solicit potential clients by mail, or via the Internet and collect a large deposit or advance payment prior to performing services. The next step usually involves a phone call to the client to obtain information relating to their tax status and answers to financial questions listed on their questionaire. Upon receipt of this information, these types of companies will claim they can perform an Offer and Compromise, levy, abatement, or other services after collecting payment and receiving a signed Power of Attorney prior to verification of the financial information.
Our complaint experience with companies performing similar services allege failure to fulfill contracts, leaving the customers to negotiate with the IRS themselves to solve their tax problem, or difficulty obtaining refunds. Other complaints generally allege dissatisfaction with the length of time the negotiation process takes to be completed. Companies typically claim services cannot be completed because the consumers do not submit completed paperwork, or requested documentation to the IRS before the deadline. Remember, there are no guarantees that your tax debts will be solved, or accepted by the IRS.