Tax Representation Commercials

[Nashville]

Is it just me, or have they slowed down on the airing of tax representation commercials on TV? Seems like there aren't as many as there used to be.

The most ubiquitous hasn't been heard from in a LONG time. "Hey, I'm Roni Deutsch, and I'm here to tell you YES YOU CAN..." I knew that Jerry Brown slapped her with a well publicized lawsuit but then he became governor and I don't know how that turned out. JoanMc might bring us up to date on that in her town.

But the others have slowed down as well. J K Harris is still on TV but rarely. I see a little bit of Patrick Cox and TaxMasters, but not nearly as much as I used to.

Any student of economics knows that the advertising will continue as long as it works. When it fails to work, money no longer gets spent. Or maybe it could be the overexposure theorem, that flooding with information reaches a point of diminishing return.

Put aside the fact that we have bashed these people quite a bit, is there anything prolific that has happened in the tax representation industry to cause them to slow down their advertising?

[MilTaxEA]

Yes, many of the big name tax representation firms have been getting in trouble recently (e.g., http://www.chron.com/disp/story.mpl/...s/7508623.html). I've seen a number for stories like this over the past year.

[Koss]

Tax Representation Firms

One tax lawyer I know told me that many of these firms operate as a sort of a "mill," where all they really do is try to work out installment agreements or offers in compromise.

Installment agreements are usually pretty easy, but they can get complicated, and sometimes get denied, if the tax liability is extremely high, if it's not getting paid off within a certain period of time, or if the taxpayer has assets that can easily be seized.

Offers in compromise, as most on this board know, can be extremely complicated and very difficult to get approved.

What the lawyer told me is that many of these firms charge a large up front fee, and have the client sign a representation agreement that places a rather onerous burden on the client, e.g., the client has to produce information or documents within just five to ten business days of receiving a request from the firm, or they are in default on the representation agreement.

So their pattern seems to be that they collect a big fee, make unreasonable demands on the client, and then declare that the client isn't cooperating, or is not complying with the terms of their representation agreement. Then they terminate the case and just keep the money, without doing any substantive work...

BMK

[geekgirldany]

Burton I've heard this about one company in particular. Won't name it but you can find complaints all over Rip off Report.

There are less commercials from them. Since I have been working late at night I see them a good bit then. Like after 12am. I suppose they think that those in trouble are up worrying about the mess they are in.

[Burke]

I don't see the commercials either, but the yellow pages of the phone book is full of them.

[Koss]

Ummm...

What's a "phone book"?



BMK

[Koss]

Phone Book

Is that something that is used by folks who don't have internet access, like the Amish?



BMK

[Burke]

What's a "phone book"?



BMK

Something you would only know about if you were over 35.

[jeff501]

"Fone" company, true story

It's been years but the local telephone book had the following listings:

Telephone Company
Phone Company
Fone Company

Wish I had kept the page as no one around here believes me when I tell them the story.

[Gary2]

Oh, good grief. You download whitepages.com onto your Kindle or iPad. That's a phone book.

[Burke]

Ha, ha, ha, ha............ Right. Now, where did I put them? And the charger, last time I saw it -- who knows? Gee, the book is right there by the phone. Which is connected to the wall in my office.

[thomtax]

Oh, good grief. You download whitepages.com onto your Kindle or iPad. That's a phone book.

I use whitepages.com sometimes, but usually find it glaringly inadequate.

LT

[thomtax]

Is it just me, or have they slowed down on the airing of tax representation commercials on TV? Seems like there aren't as many as there used to be.

I have directv and the only one that seems to be missing is Roni. On the financial channels and NYC stations, it seems as if Patrick Cox is on at least every half hour, if not more.

LT

[joanmcq]

Roni put out a press release announcing her company's foray into BK law the day after Jerry Brown slapped the lawsuit on her.

JK Harris just settled in TX. Good thing to put these scam artists out of biz.

[kpangelinan]

I'm not so sure they're done with their barrage of commercials just yet. I've seen studies that marketing for resolution during tax time is the absolute worse time to market in that industry, contrary to what everyone thinks initially. Over the last 10 years or so, my most effective marketing is in May and June and never during tax season.

I've also seen these guys spend more money on internet marketing lately also.