Monthly Archives: April 2014

Forbes Contributor Stephen Dunn – Unifier or Great Divider?

It seems that every year, just like the spring equinox, you can count on Stephen Dunn, a tax litigation attorney and Forbes Magazine contributor, to write a negative article on the tax resolution industry and post it on Forbes.com.

The article “Tax Resolution’ Firms — Who Are These People?” he wrote a few days ago is his most disturbing to date. I do agree with some of his commentary such as consumers should be warned about the unscrupulous and disreputable tax resolution providers out there. But he goes much further this time and attempts to discredit CPA’s and Enrolled Agents by saying CPA’s are not trained in tax practice and procedure but should stick to auditing financial statements and preparing tax returns. Really? Is that what he really thinks? The last time I checked, IRS revenue officers use the Internal Revenue Manual (IRM), which is not codified law, to administer IRS collections procedure.

I hate it when people with so-called credibility take advantage of a reputable publications readership and misinform the public to enhance ones’ own stature.

As a CPA, I’ve been representing taxpayers for 16 years and have personally represented thousands of “good” people during this time. Over 90% of IRS representation work is considered administrative and does not require the practice of law or “knowing how to litigate”. What it does require, which Mr. Dunn conveniently leaves out of his article, is specialized knowledge and training in interpreting  financial data, business acumen, in-depth knowledge of what goes into the preparation of a  1040, 1120, etc. and most importantly excellent advocacy, negotiation and communication skills. What Mr. Dunn doesn’t admit to or realize are that lawyers do not have a monopoly on this. As a matter of fact, two of the most recognized tax problem resolution education organizations and or associations (ASTPS and the NTPI) in the country are mostly comprised of CPAs and Enrolled Agents, not attorneys.

Over the years I have hired and managed dozens of lawyers, CPAs and EAs. It has been my experience that lawyers are not any better than their CPA and EA counterparts when it comes to providing client care and expert professional representation.

I cannot begin to tell you how many clients came to me who came from and were injured at the hands of an attorney to the point where it would be considered mal-practice by their insurance carriers. Case in point, most attorneys don’t realize that income taxes, if certain requirements are met, are dischargeable in bankruptcy. If they were only knowledgeable and trained to not only obtain the clients IRS transcripts and records of account, before filing a petition, but to also know how to PROPERLY analyze these documents their clients would not have to seek out the help and pay additional fees to a non-attorney practitioner to resolve the tax liability portion had the attorney knew what they were doing in the first place.

I have had the unique pleasure of training numerous attorneys on IRS collections and examination procedure. I get calls on a regular basis from attorneys all over the country asking me to teach them how to represent people with IRS problems. I give Mr. Dunn an “A plus” in self-aggrandizing and an “F minus” in consensus building among his brethren CPAs and EAs.

What do you think? I’d love to hear what your thoughts on the subject are. You can leave your comments in the comments section of my blog.

The Average Tax Resolution Client Profile

The last two videos in my three part series about tax problem resolution dealt with the niche of tax problem resolution and why I got into it in the first place. The third video interview asks about the average profile of a IRS tax problem client. I have a lot of experience with this through processing thousands of client cases and after 16 years, an average tax problem client profile did emerge.

*(Below the video are some general characteristics of the tax resolution clients that I worked with and how important it is for practitioners to know who their ideal client is so they can laser target their marketing to them).

In my experience, the average IRS tax problem client generally followed a similar pattern:

  • They are usually male, not always but mostly.
  • They are between the ages of 37 and 58 years old.
  • They are divorced or are currently going through a divorce.
  • They have two kids.
  • They have had a history of prior substance abuse or alcoholism.
  • They have three to four years of unfiled returns and are self-employed. Note: it’s very important to know they are self-employed.
  • They fear the IRS but they also want to fix their tax issues.

Most of my clients are good people who had bad things happen to them, needed help and didn’t know where to go. Determining your average tax resolution client will help you with lead generation direct response marketing that allows you to target that profile and convert these prospects into paying clients.

You can find all the videos in the tax problem resolution series on my Tax & Business Solutions Academy™ YouTube Channel.

For additional information on other business practice tips, tax resolution, marketing, and sales, join my email list or subscribe to my blog at http://rozstrategies.com/.

Creating the Tax and Business Solutions Academy

In a previous blog post titled: “How the Tax Resolution Niche Can Help People,” I outlined how helping tax resolution clients has been the most rewarding experience for me.

In the second video interview of the three part series about tax problem resolution, I was asked why I started Michael Rozbruch’s Tax & Business Solutions Academy™ business after founding one of the most reputable tax resolution firms in the country.

(*Below the video, I highlight the main reasons why I started the Tax & Business Solutions Academy as a way to help CPAs, attorneys and Enrolled Agents can learn the benefits of IRS problem clients).

Here are the four main reasons why I created Michael Rozbruch’s Tax & Business Solutions Academy™:

1. I love teaching. After sixteen years’ experience resolving tax problems for one of the biggest firms in the country, I wanted to teach CPAs, attorneys and Enrolled Agents the “correct” way to practice tax resolution that provides exceptional value to their clients. I also wanted to show them the most effective ways to market and add tax debt resolution clients into their practice.

Unfortunately, there are unethical operators out there, so it was important for me to focus on teaching the “right way” other professionals can realize success.

2. The tax resolution market is big. Many Americans have IRS tax problems. One in six or 17% percent (25 million people) filing income tax returns have an IRS problem. Of those 25 million people, many have multiple years of unfiled returns and don’t know who to turn to.

3. People need an advocate to help them deal with the IRS. The IRS has big problems of its own. Here are some staggering statistics about the IRS’ poor customer service:

  • Taxpayers calling the IRS’ 1-800 number are only likely to get through one in six times.
  • Last year, 20 million people or 40% percent of everyone who called the IRS didn’t get through – the ones who did waited an average of 19 minutes (or longer as I have experienced).
  • 1/3 of the information given out by the IRS representative is incorrect.

4. Helping professionals learn tax resolution the right way

Who better to teach other professionals how to correctly advocate for their clients than me! I bring to the table sixteen years in the trenches building a business from the ground up, to managing one of the most reputable tax resolution firms in the country. It’s important to me that people learn to do this right.

Visit my Tax & Business Solutions Academy YouTube Channel for other informative videos.

For more information about tax resolution, sales, marketing, and business practice tips, join my email list or subscribe to my blog at http://rozstrategies.com/.