The role of tax relief companies serves to assist taxpayers who struggle to or cannot pay their taxes. Working with one of these companies can save clients substantial amounts of money and give them the knowledge and confidence to solve their tax problems.

Each firm will utilize varying strategies but in the end they aim to reduce the financial strain experienced by the taxpayer. They are able to assist with reducing the level of tax debt, terminating garnishing of wages, guiding you through an audit and concluding a tax relief agreement with the IRS.

It is important to be aware that every tax resolution firm is different and that there are some unethical firms out there which means that it is essential to be cautious, ask the right questions, and do your research to assist you with choosing the right firm to represent your interests with the IRS.

One way to determine the authenticity of the firm is to look for one that is in good standing with the Better Business Bureau. Also look into the track record of the agency and investigate how long they have been in practice. A solid, traceable track record points to an established community presence.

You may be required to pay a retainer upon agreement that you will work with the firm and this should prompt you to request a written fee schedule and payment policy. It is also wise to ask for a summary of the fees you will be expected to pay, all billing should be clearly outlined and allocated. Try to avoid companies that charge an unusually low flat rate, legitimate firms base their fees on the complexity of your case and will charge you according to the amount of work required. And if you case changes or becomes more complex, your fee may increase.

Do not be tempted to fall for a promise of a specific outcome on your case, tax resolution firms can not determine how the IRS will rule and the IRS has the final say on your case. Keep in mind that a legitimate firm will first assess your case in order to establish whether they are able to be of assistance, so keep clear of any firms that offer to take on your case without knowing the facts.

It is also important to make sure that you do your research thoroughly. Use the tools you have at your disposal to ensure that the firm, staff and owners are in good standing within the industry. LinkedIn and Google can prove to be valuable resources. A lawful firm will also have staff who are professional, accessible and will provide an honest assessment of your circumstances and will be clear in terms of your eligibility for an IRS-based tax debt relief program.

Finding a reputable tax resolution firm requires some effort and research however having a team of experts available to assist you with your tax solutions, manage your correspondence with the IRS and possibly negotiate down your interest and penalties on your behalf is well worth the effort.