IRS Issues Warning to Taxpayers Over Scammers [Video]

The Internal Revenue Service has issued a warning to taxpayers about unnecessary services that charge “excessive fees.”

Unscrupulous “mills” are charging excessive fees to resolve tax debts through the IRS Offer in Compromise program. These mills will often use “aggressive” marketing techniques to make incorrect claims of guaranteed settlements when, in reality, no such service is needed, and high fees can be charged.

While an Offer in Compromise is a legitimate program offered by the government agency that helps qualifying taxpayers settle tax debts for less than the full amount owed, these agreements are made directly between the taxpayer and the IRS, with no third-party involvement required.

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“Taxpayers should be cautious of aggressive marketing that can mislead them,” IRS commissioner Danny Werfel said in a news release issued Thursday. “Many OIC mills charge steep fees, give false assurances and can take advantage of taxpayers with empty promises that their tax …