Answering the #1 Question:
How Much Does Tax Resolution Cost?

When you owe back taxes to the IRS, the last thing you need is another bill. That’s why we’re sure that the first question you have is, “How much is this going to cost?” It’s smart to do your homework, and we want to help you know what to expect.

An independent company surveyed several dozen tax resolution firms, south, north, east, and west of the United States and arrived at a general pricing framework that isn’t dependent on geography.

This will help you create an initial budget for hiring a tax resolution firm to help you solve your tax problem.

All tax relief professionals charge fees for their services. The way they calculate and assess these fees may vary, but they can be generally categorized as Flat Fee, Hourly Rate or Flat Fee + Hourly Rate.

A flat fee covers the estimated time and out-of-pocket costs to resolve a tax problem from beginning to end, including tax preparation for an IRS or state issue. Some firms may have flat fees for specific resolutions that vary based on your debt level. This means a sliding scale of fees for a payment plan based on the total amount you owe.

Some licensed tax professionals, Attorneys, CPAs, and Enrolled Agents bill on an hourly basis, with fees that often range from $300-$650 per hour, or charge a combination of a flat fee and an hourly rate.

However, the survey found that most firms charge based on a service progression. The first phase consists of a transcript and compliance analysis. Then a compliance phase if the taxpayer has unfiled tax returns. And finally a resolution phase. This phase is where all the negotiating, offers and major work gets done.

Here’s a list of the typical fees tax resolution companies around the US typically charge:

Transcript Investigation – this initial phase is where we learn what the IRS knows about you