TRA California

Since we last wrote about the TRA of California problem we have had spoken to dozens of ex-TRA of California clients, or should we say victims. The situation is not very good for most of them, they paid in advance and believed they were going to get the help they needed, and obviously they didn’t get the help. Most are understandably angry, scared, and distrustful - who wouldn’t be. Many ex-clients of TRA of California had Offer-In-Compromises (OIC) filed, but it was rejected because they (the client) didn’t even qualify for the basic criteria of an OIC. Many other OIC’s were rejected because of sloppy work, incorrect information, and lack of follow through. Other ex-client returns were never completed or were done incorrectly, levies were not released and Installment Agreements were never set-up.

The most painful calls were from potential clients that spoke to us prior to signing up with TRA of California. Now they are back looking for help again after discovering what the “guarantee” and great BBB rating really means. The BBB now rates the company with an F and states the company is shut down.

Here is what to avoid if you a seeking help:

• Never hire a firm that demands full payment in advance or even half now and the balance in 30 days. You will most likely never see your money again.
• Never hire a firm that guarantees the outcome of an Offer-In-Compromise. The IRS takes a dim view on these guarantees or implied outcome promises and the IRS has even published warnings regarding this practice. Go to this link to read the IRS warning.
  http://www.irstaxreliefassociates.com/news20041025.php
• Never hire a firm that tells every potential client that they qualify for an Offer-In-Compromise. Our firm finds that about only 3 out 10 people who call should consider filing an Offer-In-Compromise.
• Never hire a firm that doesn’t stand by their Offer-In-Compromise submissions by supporting the client with appeals as part of the fee agreement.
• Never hire a firm that lumps all tax solutions into one fee structure. These firms like to call the service “Tax Resolution” or some other official sounding heading and list all services under that heading. Why should you pay the same for a service that takes less than 30-days to perform as you would for one that takes eight months or more?
• Watch out for the Penalty and Interest Abatement sales tactic. The outcome of this service cannot guarantee either and there are some basic circumstances that a client should have to even file for one. These “everything can be done by the “Great and Wonderful OZ” firms” are selling you a bill of goods.
• Watch out for traveling salesperson firms. These firms claim to have offices located throughout the United States. What they have is traveling salespeople who are paid commission to sell you on their services. They meet clients in temporary offices. They sell you and send your personal records to a central office. Most likely you will never ever talk to the “trusted” smooth talking salesperson again.
• Avoid firms that state what they charge is based upon the amount of taxes you owe. The amount of tax debt is only one factor in determining the complexity of the case. It is a way for these “gouging” firms to over charge potential clients.

Find a firm that doesn’t succumb to any of the above. Clearly we would like to have you for a client, but we also recognize we are not a fit for all clients. There are number of reliable firms that can help. Ask good questions and you will find the help you deserve.

We would welcome your comments on this blog.