Consumer Alert: Beware Of Tax Resolution Scams

Sherrie Handrinos
P: 734-341-6859


Detroit, MI – Tax resolution scams are becoming a serious problem for consumers in our country. Many national tax resolution companies exact high fees from unassuming consumers, only to leave them further in debt, with no tax resolution whatsoever.

“Most people who fall behind on their taxes are absolutely terrified of the Internal Revenue Service,” said Venar Ayar, the principal and founding tax attorney for Ayar Law Group. “Consumers feel like they aren’t qualified to talk to the IRS on their own, and they don’t know what their options are, making them easy targets for a growing number of so-called tax resolution firms claiming to be able to resolve their Federal tax obligations for ‘pennies on the dollar’.”

Several big tax resolution companies over the years have been shut down for false and deceptive advertising practices, but not before taking millions of dollars from consumers. The Federal Trade Commission reported that American Tax Relief of Beverly Hills cheated their customers out of $60 million worth of unfulfilled tax relief services in 2011, and attorney generals have shut down numerous national companies like Tax Masters, JK Harris, and Roni Deutch; the “Tax Lady”, as well as countless smaller firms in recent years. Sadly, these companies make so much money in the short time they are allowed to operate, every time one gets shut down, two more take its place.

“It’s an epidemic for consumers right now,” said Ayar. “My office constantly gets calls from clients who have been ripped off by companies like these. The fallout from these scams on people’s lives is devastating, even leaving people homeless, but still working, because their wages were garnished, after paying thousands of dollars to a bogus tax resolution firm.”

According to Ayar, you can find the help you need to resolve your tax problems and avoid being scammed by tax resolution companies by following some simple guidelines:

  1. Make sure the person who’s asking you to sign up for their services is the same person who’s actually personally going to be representing you before the IRS. If not, chances are you are dealing with a commissioned salesperson.
  2. Deal with someone local, whenever possible. If something goes wrong, you know where to find them.
  3. Make sure to hire a qualified professional. There are only three types of people that can represent you before the IRS: Enrolled Agents, Certified Public Accountants, and Licensed Attorneys.
  4. Ask lots of questions. There are no dumb questions, except the ones that you don’t ask.
  5. If it sounds too good to be true, it probably is.

Venar Ayar, Esq.

Venar Ayar, Esq.

Attorney-at-Law, Master of Laws in Taxation
Principal and founder, Ayar Law

Venar is an award-winning tax attorney ranked as a Top Lawyer in the field of Tax Law. Mr. Ayar has a Master of Laws in Taxation – the highest degree available in tax, held by only a small number of the country’s attorneys.