tax preparation services that do not charge unless you save?

I got the idea from law firms that take your lawsuit, but don't charge fees unless you win. I was thinking it would be cool if there were any tax preparation services out there that do not charge you money unless they save you more money. For example, you fill out your tax form with turbotax or whatever, then hand it over to the company. The company would probably also interview you as well to uncover any additional areas. If they can save you more taxes, then you have to pay them a certain percentage of the additional savings? Are there any out there? I would think it would be pretty lucrative, the companies could charge 50%-75% of the additional savings. Most clients who would never have used a tax preparer otherwise would be willing to do it because there's nothing to lose.

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Reply to
Bucky
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I hope not. If it's not illegal, which I think it is and definitely should be, it's certainly unethical. We should be coming up on the annual announcement of indictments of sleazy preparers, many of whom operate under such a scheme.

-- Phil Marti Clarksburg, MD

Reply to
Phil Marti

I've seen ads for what appears to be a fairly large firm, that advertises that they'll review prior years returns for nothing, and will do the returns if they can save you money. It's not exactly the same, but it's close. Stu

Reply to
Stuart A. Bronstein

Not really. Circular 230 allows professionals to charge contingent fees on amended returns.

-- David M. Woods, EA, ChFC, CLU Woods Financial Services Norwood, MA 02062

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Reply to
David Woods, EA, ChFC, CLU

This may be equivalent to basing the fee on the amount of the expected refund, which is illegal under the IRC.

Reply to
D. Stussy

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