The business tax relief - It 'a law firm, accounting firm, or something else?

The tax industry has undergone significant changes over the past year. As the economy worsens and more Americans facing financial pressures, many people and companies sought relief from the strain of not paying taxes. In response, a huge number of companies started springing tax to absorb the unprecedented demand for tax services. Guru tax on late night TV and radio advertising, will "pay the tax debt for pennies on the dollar." Although tax geeks ourselves, we were unable to make sense of which companies are good and bad tax.

Tax Relief companies - choosing the right one for you

Under the broad umbrella of "business tax relief," there are three types of professional firms: law firms, CPA, and hybrids. The first two are self-explanatory, and since there's really no industry standard name for the latter category, calling them a "hybrid" is probably acceptable. But which of the three categories is right for you?

Law Firms

As you know, a law firm consists of lawyers ONLY. A law firm may employ assistants, such as paralegals, but a tax advisor is always the person ultimately responsible for any tax work performed. All tax attorneys employed by a law firm are subject to the rules of ethics and disciplinary action of their status bar. A tax attorney general may represent any client in any state on any question of the U.S. federal income tax.

The pros to using a law firm is that you can feel comfortable that (i) an attorney is ultimately responsible for tax matters, (ii) to have a clear method to make representations (ie, with the bar SATE) if the lawyer screws up, and (iii) lawyers are subject to strict ethical rules so that should work according to the highest standards. The cons are that law firms are generally more expensive than the other two types of business tax. Furthermore, some law firms (or lawyers) do not focus exclusively (or mainly) on tax related work, so that may lack some of the skills and competencies needed to fight the IRS. Just ask your attorney what other types of work that he or she performs, and that will give you a sense of whether tax (and, in particular, tax relief) is his specialty.

CPA firms

To CPA firms, will obviously find the CPA (ie, accountants), but you can also find tax attorneys. As lawyers, it's nice to know that at CPA firms, there is a professional behind the scenes, which is ultimately responsible for the tax work performed on your behalf. The pros and cons of CPA firms are similar to those of law firms, except the method of reporting complaints with CPA is not as well defined (but still exists), as it is for lawyers. CPA firms are generally a bit 'less expensive law firms.

"The hybrid companies"

The companies include hybrid business tax cuts that are not law firms or CPA societies. Companies of tax relief in this category use a mix of tax professionals, including tax attorneys, CPAs and so-called "enrolled agents". Enrolled agents are tax professionals certified by the IRS. They are neither lawyers nor CPA, but are professional tax that the IRS has concluded (either by examination or experience) who have qualified to represent taxpayers before the IRS.

Many companies in the form of tax relief in the category of "hybrid". Many of the companies that advertise tax on the internet and radio are made up of tax attorneys, CPAs and enrolled agents and tax relief companies are hybrids. The pros are that these companies generally pay less for labor, tax breaks and are very good to perform tax services and working with the IRS as a tax controversy work is their specialty. The cons are that unlike law firms and CPA firms, these hybrid companies are largely unregulated, so there is no clear channel (such as, for example, the status bar for lawyers) to make representations. Since they are regulated, many companies are simply bad and whether hybrid rip a client off, there is little recourse, other than traditional routes to go to BBB or other quasi-regulatory bodies.

The business tax relief - It 'a law firm, a CPA firm, or a hybrid?

Here's how you can determine if a certain company tax relief is a law firm, a CPA firm, or a hybrid company. First, do not assume anything just because a lawyer or CPA works at the studio tax. As explained above, this does not make sense. Second (and most obvious), just ask! A company tax cuts should have little problem telling you how it is organized .......