Instant Tax Solutions is a Coeur d'Alene, Idaho-based tax debt relief company that offers a number of solutions for businesses and individuals experiencing problems with the IRS. While taxes would be an easy thing to handle in a perfect world, tax codes at the local, state and federal levels often create confusing situations for individuals and business owners alike. Mistakes happen, and if they happen to your business, you may owe back taxes to the IRS.
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If you receive a letter from the government claiming you owe taxes, especially if you owe a large sum, it's a perfectly reasonable reaction to panic. The IRS has many ways of getting its money, including wage garnishments and tax liens on your property. If things progress to that point, it could mean major problems for both your business and your personal life.
Instant Tax Solutions and other companies in the tax debt relief industry negotiate with federal and state tax agencies to make settling tax debt as manageable as possible. Settlement options may include offer-in-compromise agreements or payment plans with the IRS, depending on the nature of the debt.
A good tax debt relief company will have tax attorneys, certified public accountants (CPAs) and enrolled agents on its payroll, since they are the only professionals allowed to represent you or your business before the IRS according to U.S. law. Instant Tax Solutions has all three types of tax professionals on hand, making it one of the most versatile choices among its competitors.
Despite what most tax debt relief advertisements claim, legitimate tax debt relief firms cannot promise any significant relief with the IRS. Many options have strict eligibility requirements. While you may want to enter into an offer-in-compromise agreement, which will allow you to settle for a debt of a lesser amount, you may not be eligible if you can pay the full amount based on your financial situation. What tax debt relief companies can do in that instance, however, is negotiate on your behalf for the establishment of an installment agreement with the federal government.
Like other companies in its industry, Instant Tax Solutions has a range of options available to help fix clients' tax problems. A representative told us that the minimum debt you must have before it takes on your case is $5,000.
The worst thing you can do if facing tax debt at the state or federal level is ignore the problem. Companies like Instant Tax Solutions can make getting back out from under your tax debt more reasonable than if the IRS were to take matters into its own hands.
Here are some of the solutions Instant Tax Solutions can offer:
- IRS Fresh Start program
- IRS payment plans
- Innocent spouse relief
- Currently not collectible (CNC)
- Penalty abatement
- IRS audit representation
If there are levies or liens on your credit, bank accounts, or property, Instant Tax Solutions will work to have those measures lifted from your personal finances, making it easier to start paying your debt off sooner.
Instant Tax Solutions charges a flat fee, based on the case. Some resolution methods or tax debt situations require more effort from tax professionals. The more work or time that goes into a client's needs, the higher the price tag. In our test situation, the flat fee ranged from $2,100 to $2,500. It requires an upfront payment to begin working on your case, but the fee can be split into monthly payments. Unlike some of the other companies we reviewed, Instant Tax Solutions charges a retainer fee, which you pay upfront.
In our interactions with Instant Tax Solutions' representatives, we found the initial consultation to be easy, and it did not require us to enter an agreement beforehand.
While the individual we spoke with during testing was helpful, there were times when he wasn't as attentive as the individuals we spoke with at other companies. In one instance, he was dismissive of the issue based on how much we said we owed. During another call, he barely asked for any additional information before offering solutions, which was not what we had come to expect from our interactions with Instant Tax Solutions' competitors.
The company offers a 30-day money-back guarantee on its services. This is a helpful offer in case the service is not a good fit for your situation.
If you have existing tax debt issues, it's important to remember that hiring a tax debt company will also cost you money. If your debt with the IRS or state agency isn't too large, you may be able to handle it yourself rather than hire professionals. Remember to conduct a cost-benefit analysis before entering into any agreements.
As mentioned above, Instant Tax Solutions' customer service left a little to be desired in our interactions with the company. While the service was generally helpful, there were times when we felt either we weren't being taken seriously because the supposed debt was too low or we weren't asked to give them a clearer picture of the situation. Tax debt relief is based on very specific scenarios, so companies not asking for more information on our situation seemed to be out of the norm.
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