Find the Best Tax Relief in Baltimore, MD

What is tax relief?

Tax relief refers to any program or incentive that reduces your tax bill and potentially provides IRS payment plan options. Tax debt relief in Baltimore can be broken down based on the aid provided into:

• Tax deductions. Tax deductions lower your taxable income.
• Tax credits. Rather than reducing your taxable income, tax credits are discounts applied to the amount of taxes owed.
• Tax exclusions. Different than deductions, exclusions indicate income that doesn’t contribute to your gross income.
• Repayment plans. Repayment plans allow you to pay off your tax bill over time.
• Offer in Compromise. An offer in compromise is a settlement with the IRS for less than what you owed.
• Penalty or interest abatement. Penalty relief and interest abatement programs waive fees and interest on late payments.

Not all taxpayers qualify for these services, but quality tax relief companies know the ins and outs of each category and utilize complex solutions to reduce your tax debt and reach an agreement with the IRS. However, they don’t do it for free.

How much does tax help cost in Baltimore?

Tax debt relief companies often require clients to have at least $10,000 in tax debt and sometimes charge upfront fees of $1,000-$2,000 for specified services, with additional fees down the line. Other fee structures include paying by the percentage of debt; by the hour; and by the service provided.

If you need to mete out your debt over monthly installments, but you don’t want to deal with the IRS paperwork for repayment plans, you’re going to pay around $1,000 for a tax resolution company to do it for you. However, most people seeking tax resolution require more complex help finding deductions and credits, eliminating penalty fees or reducing back taxes. That service will likely set you back $3,000-$5,000.

Debt is enough of a hardship as it is; if you’re forking over thousands of dollars to reduce what you owe, it better be worth it. Unfortunately, some services are not. These services will reduce your tax bill, but by less than you paid them to do it.

Some others are total scams. Wherever there are desperate people, scammers follow, and there are plenty of scam tax relief programs in Baltimore. Knowing how to spot legitimate, high-quality tax resolution help is key.

Finding honest tax relief in Baltimore

There are legitimate companies offering tax relief in Baltimore; you just have to know how to identify them. Reputable tax debt relief companies in Baltimore employ tax attorneys, Certified Public Accountants, enrolled agents or a combination of these.

Transparency is always a good indicator as well. The highest-rated tax resolution services are associated with companies that provide a detailed explanation of services, possibilities and limitations and have verifiable information, such as the names of the tax attorneys on staff.

Even if names aren’t on a website, good tax debt relief companies are willing to provide you with the names of the tax attorneys and enrolled agents they employ. You can verify tax attorneys credentials online and verify enrolled agents by emailing the IRS with the name and enrollment number of the agent in questions.

While it’s best to avoid companies that guarantee specific results, companies that guarantee a refund if you’re not satisfied with their services are a good option.

Finally, look for companies with reviews and credentials that back their claims. All tax debt relief companies in Baltimore will have some bad reviews, but legitimate ones will have plenty of good reviews to counter the naysayers. Opt for companies with membership in professional organizations or accreditations from industry leaders. Good examples include:

• Being accredited to provide IRS continuing education services
• NATP membership
• NAEA membership
• AAA-CPA membership
• NSTP membership
• ATP credentials

Whomever you choose, make sure you receive a written contract upfront that details the services, refund policy, timeline and cost estimate.

Finally, remember that tax relief in Baltimore doesn’t happen overnight. Every situation is unique, but the process usually takes two to six months. A reputable company will review all your information and provide an honest timeline estimate.