One Greenway Plaza
Houston, TX 77046
ph: 832-341-4599
fax: 713-561-3692
FAQ & Policies for Tax Clients |
1. It is necessary to provide requested data to the government on a timely basis. We must make commitments to taxing agencies to win their cooperation. A major reason we are able to achieve positive results with IRS and state tax agents is the credibility we have built with them by keeping those commitments. We will not jeopardize this hard-earned relationship as it benefits a majority of our clients. As the IRS has recently become less reasonable regarding deadlines, we in turn must be increasingly strict about prompt production of records to protect you.
2. Time is of the essence. Many tax notices must be responded to quickly to avoid added problems such as property liens or levies against wages or other forms of income. Notices should never be ignored or put off.
3. Elapsed time on tax problem cases is often longer than clients expect. Cases may run over several months or even years, as the responses from taxing agencies are often slow and beyond our control.
4. Powers of Attorney are required to allow taxing agency personnel to discuss your confidential tax matters with us. The Powers of Attorney we have you sign do not allow us to perform any non-tax matters.
5. Freedom of Information Act (FOIA) Information requests are made in most cases as we wish to assure our clients that we have complete information with which to act on their behalf.
6. We will handle conversations with IRS / State Tax Authorities. You will not be required to talk to or deal with Agents unless you desire to do so or are required to testify - in which case, it is our job to prepare you for your testimony.
7. Signatures on all agreements with IRS / State Tax Authorities as a matter of policy will be done by you. Although a Power of Attorney permits us to enter into an agreement on your behalf, we will meet with you, provide our recommendation, and allow you to sign directly for any obligations you will need to meet. This policy does not mean you have to meet with Agents.
8. Broken appointments will be billed for ½ hour at standard rates for tax problem resolution work, unless the appointment is cancelled or rescheduled at least 24 hours in advance. We regret the need to enforce this policy, but we are unable to schedule another client during that time without adequate notice.
9. Calls from our office. You may receive a call requesting additional documents, or updating you on our progress. In the interest of efficiency, staff members assisting in preparation of your case may make the calls.
Our fees are always competitive, based on current industry surveys and the terms are set forth in written engagement letters signed by clients.
The advice of a competent specialist is always a bargain compared to that of a generalist or novice charging a lower rate.
Credit cards are accepted through PayPal and we typically charge the 3% credit card fee to clients so that our rates remain competitive.
Billing for our services is typically done on an "evergreen" retainer basis. We will estimate a fee for the services to be rendered at the time of our engagement or as soon as is practicable based on availability of information needed. We will require anywhere from thirty percent (30%) to one hundred percent (100%) of the estimated amount be paid prior to commencement of services. If less than 100%, the retainer will be applied to the final bill and clients will be billed periodically.
The estimate of our fee is not binding as some cases become more complicated and time consuming than anticipated when the estimate was made. Fees are based on the value of the services rendered considering the expertise required in addition to expended time and our not accepting other work in order to concentrate our attention on the cases that we do accept.
Retainers are sometimes designated as non-refundable because of significant immediate urgent efforts and the need to occasionally decline new matters to focus on our existing cases; therefore we strongly recommend clients support our efforts to help them in a businesslike fashion. Failure to do so may result in our withdrawal from a matter. Should we find this action necessary any retainers will be deemed fully earned and non-refundable.
Traditionally contingent fee arrangements (no fee unless clients recover) are based on the possibility of recovering a sum of money for the client from another party. If the government is seeking to recover money from a taxpayer, there is no recovery of money on which to base a fee. Nevertheless, contingent fee arrangements are permitted in some situations, basically when the government starts the fight or the fight is over interest and penalties. Naturally, no savvy practioner will accept a contingent fee arrangemetn unless there is a secure prospect of the fee being paid, e.g., partial assignment of refund, secured interest in collateral or deposit in escrow. Depending on the facts, we may require clients to pay for court costs and expenses - our engagnemet letter will specify those arrangements.
A contingent fee may be charged in connection with services
rendered in the following circumstances:
a. IRS audit of original return. A contingent fee may be
charged in connection with an audit of an original return (Id. at §
10.27(b)(2)(i));
b. Amended return or claim for refund. A contingent fee is
also permitted in connection with preparation of an amended
return or claim for refund or credit filed within 120 days of the
taxpayer receiving a written notice of examination or written
challenge to the original tax return (Id. at § 10.27(b)(2)(ii));
c. Claim for refund or credit in connection with interest or
penalties. A contingent fee is permitted for an interest or
penalty review or preparation of a claim for credit or refund
for interest or penalties assessed by the IRS (Id. at §
10.27(b)(2)(iii));
d. Judicial proceeding. A practitioner also may charge a
contingent fee for services in connection with any judicial
proceeding (Id. at § 10.27(b)(2)(iv)).
4. Definitions. The operative definitions under the "fee" section of
Circular 230 are broad.
a. Contingent fee. This includes any fee based, in whole or in
part, on
(1) Whether or not a position or return or other filing
avoids IRS challenge or is sustained if challenged or
is based on a percentage of the refund, or taxes
saved, or result obtained; or
(2) Is reimbursable if a position, return or other filing is
challenged or is not sustained. Id. at § 10.27(c)(1).
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b. Matter before the IRS. This includes
(1) Tax planning and advice;
(2) Preparation or assistance in preparation or filing
returns or claims;
(3) Presentation or communication of any matter to IRS.
Id. at § 10.27(c)(2).
How can I minimize fees and help you win my case?
Get us all the records ASAP. Some clients procrastinate and
"dribble" the documents in to us over months or years and this increases the cost dramatically and risks waiving defenses. If clients have not exhausted their search for potentially relevant documents within 30-60 days of our retention, we have to periodically review the file and draft detailed reminder letters. We are ethically required to zealously represent clients' interests and this includes nagging them for the proof when necessary. We know it can be psychologically daunting and we can help coach you on how to get started, how to focus on the most valuable "low hanging fruit" and how to legitimately reconstruct missing documentation based on other records and third party sources.
One Greenway Plaza
Houston, TX 77046
ph: 832-341-4599
fax: 713-561-3692