http:\/\/taxhelphq.com\/rewrites\/<\/a><\/p>\na proper consultation, conducted by a competent, licensed tax professional, will yield a complete picture of the taxpayer\u2019s situation and what they need. if you are quoting on a flat-fee basis, i highly suggest making sure your client is aware of the complete fee, up front. this is simply a better, more ethical way of doing business.<\/p>\n
final note: if you are charging hourly with a minimum retainer, these fee examples obviously don\u2019t really apply to you. you may well discover, however, that your total bill for a client, when charging hourly, will actually come pretty close to these flat fee examples, when averaged out across many clients, particularly if you\u2019re charging in the $150- to $250-per-hour ballpark.<\/p>\n
ok, really the final note: if billing hourly, make sure that your hourly fee for representation is higher than your hourly fee for bookkeeping, tax prep, etc. this is simply higher value work, and you shouldn\u2019t shortchange yourself on the fees you charge. when you set your minimum initial retainer, take this higher hourly fee into account, as well as being sure to take into account the fact that tax resolution work is inherently front-loaded during the first two weeks of the case in terms of your billable time.<\/p>\n
scenario #1<\/h3>\n
business taxpayer owes $38,000 in payroll taxes, penalties and interest. all returns have been filed, all modules assessed. books are complete and up to date. no revenue officer is assigned, but the case is in acs. final notices of intent to levy have been issued on all modules, but they were more than 30 days ago, so cdp appeal rights have passed. taxpayer is compliant with current quarter ftd requirements, and the business has sufficient positive cash flow to support an in-business trust fund installment agreement (ibtf ia), but because of debt amount, does not qualify for express ia.<\/p>\n
quotation considerations:<\/strong> this taxpayer is in about as ideal of a position as they can get. with no ro assigned, levy action is unlikely at this point, and the taxpayer is not pyramiding additional liability. ibtf ia not meeting express criteria requires full financial disclosure, requires a tfrp determination with 4180 interview, and the taxpayer must attempt to borrow against assets. however, it\u2019s a fairly straightforward case, and if the taxpayer is cooperative, it will be an easy case.<\/p>\nfee quotation breakdown:<\/strong><\/p>\nbasic investigation of liability (il): $500<\/p>\n
financial analysis (fa): $250<\/p>\n
ibtf representation: $1,250<\/p>\n
tfrp representation: $950<\/p>\n
total fee quotation: $2,950<\/p>\n
note: if you add the research phase, financial analysis and ibtf representation, you\u2019ll see that it adds up to $2,000. in reality, this is simply my minimum fee for taking on any<\/strong> client, no matter what. i do not actually break it down like this to clients, this is just for illustrative purposes for you. in a high-volume firm, the il and fa are done by an assistant, and tracked at their much lower hourly billable rate (even at flat fee, you should internally track billable time for management purposes).<\/p>\nscenario #2<\/h3>\n
same scenario as above, except taxpayer has not filed 941 returns for six quarters. all assessed modules are based on sfr (6020(b)) returns prepared by a revenue officer. the revenue officer levied the taxpayer\u2019s payroll bank account yesterday, thus prompting the taxpayer to seek assistance. all other parameters the same.<\/p>\n
quotation considerations:<\/strong> this is going to be far more time-consuming. thankfully, the books are all in order, so preparing the returns is straightforward. working with the ro to obtain levy release will require the returns to be filed, and there will be a tfrp discussion nearly immediately.<\/p>\nfee quotation breakdown:<\/strong><\/p>\nliability investigation: $500<\/p>\n
financial analysis: $450 (higher because it\u2019s a \u201crush\u201d job because of the levy)<\/p>\n
levy release negotiation: $750<\/p>\n
ia representation: $1,500 (a small \u201cinconvenience\u201d fee is added)<\/p>\n
tfrp representation: $950<\/p>\n
preparation of six 941 returns: $300 (plug-and-chug from quickbooks, so a break)<\/p>\n
total fee: $4,450 (see how quickly that escalated?)<\/p>\n
scenario #3<\/h3>\n
similar to #2, but now let\u2019s assume that the taxpayer\u2019s in-house bookkeeper quit unexpectedly two full fiscal years ago, and nothing has been updated since then. taxpayer has already been levied by ro twice before, and tfrp assessment has already been personally made. taxpayer is not current with ftd requirements, so is pyramiding the liability. taxpayer also isn\u2019t very friendly, and you get the feeling that it\u2019s going to be difficult to get him to cooperate through the process.<\/p>\n
fee quotation breakdown:<\/strong><\/p>\nliability investigation: $500<\/p>\n
bookkeeping for two years: $1,250<\/p>\n
two 1120s returns: $1,000<\/p>\n
negotiate stay of enforcement with ro to get the above done: $500<\/p>\n
financial analysis: $250<\/p>\n
business ia representation: $1,950 (because of the pyramiding, takes more work)<\/p>\n
personal tfrp representation to stay collections (cnc): $1,250<\/p>\n
preparation of six 941 returns: $300 (plug-and-chug from quickbooks, so a break)<\/p>\n
client attitude\/foot dragging surcharge: $750<\/p>\n
total fee: $7,750<\/p>\n
scenario #4<\/h3>\n
similar to above, but the business cannot afford an installment agreement, has no equity in assets and is literally only making a few hundred dollars per month in profit. business owner is working nights stocking shelves at wal-mart in order to put food on the table, pay insurance on his pinto and pay rent to his parents to live in their basement.<\/p>\n
fee quotation:<\/strong> same as #3, but this client is going to be with us for close to a year to negotiate what is now an offer in compromise, so we\u2019re tacking on another $1,250 for that. all the other work still has to be done. total fee: $9,000.<\/strong><\/p>\nyes, $9,000 from somebody who\u2019s working part-time at wal-mart. <\/strong>this was actually very, very close to a real client i worked with in 2012. he was on a tiny weekly payment plan to me well into 2013, and eventually i just let him off the hook for the last couple grand of the fee. we offered out on both the corporate liability and the personal assessment, saving him over $100,000 in tax, penalties and interest. he had a full eight years to go on the csed, so waiting it out wasn\u2019t a logical option.<\/p>\nlast i heard from him, in case you\u2019re curious, is that he had left wal-mart for a better job, and was getting his financial life back together. he intentionally has extra withholding taken from each paycheck now that he\u2019s clear of the year-after oic refund grab.<\/p>\n
scenario #5: a 1040 example<\/h3>\n
john doe, 32, finally graduated from college after 14 years in and out of school. in january 2014, he left the low-paying job he\u2019d held at the corner gas station since he was in high school, and obtained employment as a lab tech with the county coroner, making four times as much money as he used to.<\/p>\n
knowing nothing about taxes, and not understanding the impact on his taxes, john filled out the w-4 for his new employer the same way he always did, claiming the 42 exemptions he\u2019d been claiming since he was 16 as a \u201chitchhiker\u2019s guide to the galaxy\u201d joke. john has never paid income tax in his life, as he never made enough money after the standard deduction and personal exemption to actually owe anything.<\/p>\n
when 2015 rolls around, john drops his w-2 off at his sister\u2019s husband\u2019s uncle\u2019s cousin\u2019s house, just as he\u2019s done his entire life. a week later, he\u2019s called in to pick up his return. without even looking at it, he signs it and drops it in the mail.<\/p>\n
since he\u2019s rolling in dough, john moves out of his parents\u2019 house during tax season. he begins pimping out his new bachelor pad apartment in the west hills. his parents never bother to give john his mail when he visits for dinner each week.<\/p>\n
2015 is a great year for john. he gets two promotions, with substantial pay raises. he buys a brand new tesla roadster with his newfound wealth, and also finally starts dating the popular cheerleader from his high school days who never gave him the time of day back in school.<\/p>\n
with 2016 rolling in, john files his taxes, just like last year.<\/p>\n
but this time, john actually looks at his tax return, and is shocked to see that he owes $11,000 to the irs. he has a brief argument with his tax preparer, and then decides he should visit somebody else for a second opinion.<\/p>\n
at h&r block, his new, friendlier preparer advises him that his tax return was actually prepared incorrectly, but not in his favor. he actually owes the irs $12,000. their \u201csecond look\u201d service also examines his 2014 return, and discovers another error. john never even realized he owed $7,000 on 2014, let alone that it\u2019s now going to be $8,500. and then he learns that the irs charges penalties, and doesn\u2019t care that he never received his mail.<\/p>\n
like a bull charging out of the gate, john is dumbstruck by the thought that he now owes the u.s. government nearly $24,000 \u2013 which he doesn\u2019t have. fortunately, he decides to discuss this with his parents, and his truck driver father remembers seeing my ad in this month\u2019s issue of \u201coverdrive,\u201d the leading publication for owner-operators.<\/p>\n
quotation considerations:<\/strong> john\u2019s story is fairly typical for 1040 liabilities. because he\u2019s making decent money and has purchased some assets, we\u2019ll need to do a full financial evaluation, even though the liability is less than $50,000 and thus meets streamline installment agreement criteria. we\u2019ll also take a third look at the returns, because it\u2019s not uncommon to still find further errors even after they\u2019ve been \u201csecond looked.\u201d this is a fairly typical and straightforward 1040 case. cases like this are the bread and butter of 1040 tax resolution practices.<\/p>\nfee quotation breakdown:<\/strong><\/p>\nbasic investigation of liability (il): $500<\/p>\n
financial analysis (fa): $250<\/p>\n
streamline ia representation: $1,500:<\/p>\n
1040x prep for two years, plus pre-bill for next year return prep: $450<\/p>\n
slight discount because he can pay in full up front, no direct marketing cost, he let me take the tesla for a spin and he seems like the kind of client who will stick with me for years to come: $250<\/p>\n
total fee quotation: $2,450<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"5 scenarios with fee quotation breakdowns.<\/strong>
\nby jassen bowman<\/em>
\ntax resolution systems<\/a><\/em><\/p>\n","protected":false},"author":2176,"featured_media":51695,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","footnotes":""},"categories":[2274,3120,2740],"tags":[4278,3958,4281,620,721,4283],"class_list":["post-54136","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-pricing","category-pro-member-exclusive","category-tax-resolution-services","tag-billing-rate","tag-cpa-billing-rates","tag-fee-structure","tag-fees","tag-pricing","tag-pricing-rates"],"acf":[],"yoast_head":"\nquoting tax resolution fees - 卡塔尔世界杯常规比赛时间<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n