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Tax relief is a way to reduce the amount of money you owe to the IRS or state tax agencies. This can be really helpful if you're facing financial difficulties and can't pay your full tax bill. There are different methods of tax relief, but one of the most well-known options is called an "offer in compromise."
An offer in compromise is an agreement between you and the IRS that allows you to settle your tax debt for less than the full amount you owe. The IRS will look at your ability to pay, your income, your expenses, and your asset equity (things you own that have value, like a car or a house). If they think that the amount you're offering is the most they can reasonably expect to collect from you, they might accept your offer. This can be a huge relief if you're struggling to come up with the money to pay your taxes.
Wednesday, March 19th
Over 180,000 people have gotten relief from debts of all kinds (including taxes) by working with CuraDebt. Unlike many companies that charge high upfront fees, CuraDebt only has you pay when they deliver results. And, if you find a lower price for tax relief services somewhere else, CuraDebt will match or beat it. They've got just about every possible state and federal tax relief strategy in the "toolbox” here, and you'll be inspired by the client case studies you read on the Results page. Once again, CuraDebt earns our 5-star rating and highest recommendation for tax relief.
Community Tax has helped over 110,000 clients with state and federal tax liabilities since 2010. Your case will be handled by a team with plenty of expertise, and you don't have to meet a minimum tax debt of $10,000 to get started here. Community Tax gets rave reviews from clients who say that this service absolutely delivers tax relief. We continue to give Community Tax a very high rating.
Jackson Hewitt can not only file your taxes, but also help you get out of any tax-related problems you might be facing at both the state and federal level. You'll get a free initial consultation that includes a 35-point IRS checkup within one business day. If you choose to hire JH as your tax resolution specialist, you'll have a whole team of experts at your disposal, and your fees will depend on the plan they create for you. Jackson Hewitt has a solid reputation and over 40 years of experience in handling taxes, well deserving of our high rating and recommendation as a tax relief expert you can rely on.
If you like the idea of knowing the names and faces behind your tax relief strategy, Direct Tax Relief is a company you should consider. They offer personalized help for most federal and state tax issues, and they've achieved a 95% success rate since 2008. Most clients say that working with DTR got them back on track financially, and that the company treated them with the utmost respect. We'd still like to see a bit more feedback and some advance disclosure of their fee structure, but overall Direct Tax Relief is a good option we can confidently recommend.
ECG Tax Pros has a reputation for offering no-nonsense advice on tax relief to individuals and businesses - even if you don't choose to use their services. ECG Tax Pros focuses on IRS tax relief, using three strategies to make it happen and charging a flat-rate fee. The company is "A+” rated and accredited by the BBB, but not everyone is 100% happy with the fees they paid for the results they got (or didn't get). We've dropped the service a notch since our last review, but overall ECG Tax Pros are still well worth the call for the free consultation alone.
Illinois-based Tax Relief Inc. works with taxpayers nationwide to resolve a host of issues, providing solutions like offers in compromise and penalty abatement at state and federal levels. The company has been around since 1987 and has an "A+” rating from the BBB. However, there's not a ton of feedback from clients (beyond the curated testimonials on the website) and still no disclosure of fees until you reach out for a free consultation. This continued lack of reviews and fee disclosure earns Tax Relief Inc. a "just average” rating here.
97tax is pretty limited in the tax relief options it offers. You can use this service to complete paperwork requesting a payment plan with the IRS or a handful of US state tax authorities; your documents will be filled out and sent with a postage-paid envelope, so that all you have to do is sign and send. However, the $97 flat fee that was the basis of the company's name has gone up to $129, and you're not getting much for that (especially when you could do it yourself for free). 97tax lacks most of the biggest strategies for getting you some tax relief, and so this service earns a lower rating from us.
Optima Tax Relief used to be one of our preferred options for resolving tax debt. They've helped clients with over $3 billion in tax liabilities over the years, and they offer a generous 15-day money-back guarantee on their initial service. But, despite an "A” from the BBB, this company's reputation isn't so great after the first few weeks or months of service, and there are too many clients who feel like Optima dropped the ball after it got paid upfront. Until we see an upswing in client reviews, Optima Tax Relief maintains their lower rating.
Tax Defense Partners is based in California and offers tax relief services to individuals and businesses across all 50 states (as well as US territories). They've got a long list of services they can offer if you have at least $10,000 in tax liabilities that you're trying to resolve. However, TDP doesn't disclose anything about what their flat-fee rates might be for the various services they provide, there's really no recent feedback from clients, and their website and social media channels are years out of date. Despite the fact that yes, someone will still answer the phone if you call for a free consultation, there's nothing about Tax Defense Partners that gives us confidence that they're doing a terrific job these days. This service remains near the bottom of our list.
Fidelity Tax Relief is the last place you should turn for help. They've left their clients worse off than when they began, their website is out of date, and you'll have a hard time getting anyone on the phone. Is it any wonder that the Better Business Bureau has given the company an "F” rating? Don't bother looking at Fidelity Tax Relief when you've got trustworthy options higher up on our list.
Another option is setting up a payment plan, known as an installment agreement. If you can't pay all at once, the IRS might let you pay off your debt over time. You'll still need to pay interest and possibly penalties, but spreading the payments out can make it more manageable.
There's also something called penalty abatement. If you've been hit with penalties because you filed your taxes late or didn't pay on time, you might be able to get those penalties reduced or eliminated. The IRS could forgive penalties if you have a good reason for why you were late, like a serious illness or natural disaster.
State tax agencies often offer similar programs, so if you owe state taxes, it's worth checking to see what options are available. These agencies understand that life happens, and they may be willing to work with you to find a solution.
While it's possible to negotiate with the IRS or state tax agencies on your own, many people find it's better to hire a tax relief service or an attorney. Here's why. First, tax laws and IRS rules can be really complicated. A professional who knows these rules inside and out can guide you through the process and make sure you don't miss any important details.
Also, tax relief professionals are experienced in dealing with the IRS and state tax agencies. They know how to negotiate effectively and might be able to get you a better deal than you could on your own. And, of course, putting someone else between you and the IRS can not only keep the stress off your shoulders, but it also makes it less likely that you'll make a mistake that could delay your process or result in a denial of your paperwork.
Now that you're convinced that hiring a tax relief specialist is the way to go, which one should you pick? They're not all created equal, so here are some criteria you can use to make your choice:
Tax relief can be a lifeline if you're struggling with tax debt, so the experts at Top Consumer Reviews have done the research on today's top providers and ranked them from best to worst. Use this information to choose a service that fits your needs, and don't hesitate to reach out for an initial consultation. Good luck!
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