TaxAudit.com

Review: failure to represent me in a timely and competent manor at the irs in an audit case,

I filed my taxes for 2011 and 2012 with turbo tax and filed for audit insurance. - I received a letter from the irs, auditing the years 2011 and 2012. - I contacted taxaudit.com and followed all there requests and requirements in a timely manor. there representative [redacted], did miss the deadline to deliver my paperwork twice, - when asked why I am receiving letters from the irs rejecting all of my business expenses, he placated me. after receiving a second letter by the irs rejecting my well documented expenses, I went to a accredited accountant, to represent me. after talking with the irs auditor it turned out that mr [redacted] and taxaudit.com had done nothing but send my paperwork to the irs, in close to 5 month they had not even arranged for a meeting with the irs auditor - leaving me and my business greatly exposed and in danger to be left in existential danger. Desired Settlement: I ask that taxaudit.com or the company they belong to, will pay my current accountant who is doing the job there contract did obligate them - and agree to pay for any future representation in this case, including a possible tax laywer of my choice to represent me at tax court at possible appeals.

Business

Response:

Initial Business Response

This audit was reported to us on 7-9-13 by Mr. [redacted]. He also told us at that time that he had not yet filed his taxes for 2012, but had filed for an extension. He also advised us that he had everything needed for the auditor. The case was reviewed by one of our inside audit representatives and discussed with the taxpayer on 7-10-13. We also called the auditor and left a message to confirm that this could be handled via correspondence. The auditor called the next day to confirm and requested the power of attorney as soon as possible. On 7-16-13 we received a letter from the auditor setting the phone conference for 8-7-13. We immediately called the taxpayer to alert him to the deadline so that the proper documents could be gathered, organized, and compiled by us, and then forwarded to the auditor prior to the phone conference so the auditor would have time to review the documents prior to the call. On 8-1-13, we called the taxpayer; he told us that he would send everything the next day on a thumb drive. That same day we sent an email to him for our proper mailing address. On 8-3-13 we received an email stating that he would send the thumb drive with copies of documents on this day. On 8-5-13 we received the flash drive and some of the documents. We also received additional documents uploaded to our secure portal on 8-5-13, at 4:12pm, Pacific time, which is after hours for this particular office, thus the representative didn't get them until the next day at 7:18am. On 8-7-13, the file was then organized, compiled and put together for forwarding to the auditor with the appropriate cover letter. On 8-8-13 the package was sent to Quality Control for review before sending it to the auditor. The package was sent to the auditor on Monday, 8-12-13, a system email was sent to the taxpayer to let him know the package had been sent. On 8-17-13 we received an email from the taxpayer stating that he had received a notice from the IRS disallowing his expenses because the phone conference was missed and he accused us of missing the deadline. We cannot make a deadline when we do not have the paperwork needed for it. We left two voice mails on 8-19-13, one voicemail on 8-20-13 and yet another on 8-22-13. We also received a phone call from the auditor on 8-22-13 telling us that she had received the documents and would review them as soon as time allows. On 9-2-13 we received an email from the taxpayer telling us that he had been in the hospital for a week and had only just seen our messages. He also would not be available by phone for a while and we should update him via email. On 9-17-13 the rep called the auditor and was told the case was on top of her pile, we then called the taxpayer and left that message as to status update. On 10-14-13 we returned the thumb drive and all of the original documents to the taxpayer as we already had additional copies of them in our system. On 10-24-13 we called the auditor for status update and she told us that we were second in her pile. On 10-28-13 the auditor called us to advise that she had some questions and was sending out a new Document Request. On 10-28-13 the taxpayer called us and we discussed the additional questions and problems that the auditor had with the information that had been submitted so far. On this date we also discussed the potential issue of a hobby loss being raised by the auditor as there had been losses from at least three years in a row. On 10-30-13 the taxpayer emailed a request for a copy of the correspondence that we had sent to the auditor. On this date we also received the Document Request and an interim exam report. On 10-31-13 the taxpayer emailed again requesting a copy of what had been submitted to the auditor. On 11-4-13 we left a voicemail for the taxpayer advising him that we had sent a copy of our cover letter to him but not the entire package as it was all his original documents which we had since returned to him. We also requested that he call back to discuss the exam report. On 11-5-13 we called the taxpayer again to discuss the exam report and he informed us that he had hired a CPA to prepare his 2012 tax returns and that he was using that person to finish his audit as well. We wished him well and told him that we would withdraw from the case.

As this was an interim exam report accompanied by an additional Document Request, this was far from a final report. We can only assist any taxpayer when they promptly comply with needed information. As this exam was originally scheduled to be conducted by correspondence there was never any need to meet with the auditor. We do thousands of these every year and if the taxpayer has good backup documentation for expenses allowed by law, we get great results.

This taxpayer's complaint is factually inaccurate. We will, as a courtesy, refund his membership fees. But, we have no obligation to pay for his accountant or attorney.

Final Consumer Response

(The consumer indicated he/she DID NOT accept the response from the business.)

I did provide all paperwork and documentation as requested by tax recourses in a timely manner, - yet it was delivered late twice, when I contacted tax recourses about the late delivering of my paperwork I received a phone call from the representative, - when I received the second letter from the irs, - not accepting my business expenses, even though they where all documented, I was informed by phone that it papers the irs questions my status as a business disallowing my business expenses to be deducted - after 8 moth tax recourses had not arranged for a meeting with the irs auditor, nor had they any written communication, - they had not taken steps to support my claim to be a business, *(i am in business since 17 years). not making profits for 3 out of 5 years does not mean on is not a business, but that times are hard, and there are multiple other avenues to prove on operates a business, - non of which where suggested or pursued by tax recourses. realizing that further "representation" by tax recourses would put my business and my livelihood in great jeopardy I consulted with a licensed accountant, who then verified that all that the representative of tax resources had done was sending my material to the irs, and that not even a meeting was scheduled after 8 months.

Tax-resources has failed to represent my case in a timely manor, and has put my livelihood in jeopardy do to there negligence. even in there answer they actually confirm that all they did in 8 months was send my material to the irs, -(they fail to mention that this was done late) I face now considerable costs and possible additional late penalties. I hold taxrecources responsible for the costs, since it results from there negligent handling of my case.

Final Business Response

We discussed this case with you on 7-10-13 and explained exactly what documentation was needed for your audit. We called you again as soon as we received the letter from the auditor on 7-16-13 setting the phone conference for 8-7-13. You never provided any of the information needed until 8-5-13 and 8-6-13. You left us no time to review or organize the records before sending them to the auditor for that individual to review prior to the phone conference on 8-7-13. The package of documents was sent to the auditor on 8-12-13. On 8-17-13 you emailed us about the interim exam report from the auditor disallowing your deductions, which is standard when an appointment is rescheduled or missed. On 8-22-13 the auditor called to let us know the documents had been received and would be reviewed as time allowed. At that time the audit was nowhere near closing and the auditor had not yet had the time to review the documents. We called the auditor on 9-17-13 and again on 10-24-13, on both dates she reported that it was on her pile of things to do. On 10-28-13 the auditor called us to inform us that she had some additional questions and would be issuing a new document request for those items, which we discussed with you on that same date. On 11-5-13 we called you again to discuss the new interim exam report and we were informed that you had chosen to continue the audit with the CPA that you had hired to prepare your 2012 tax returns. All of our audit representatives are licensed enrolled agents, certified public accountants, or attorneys. If you were unhappy with the representative who had been assigned to your case we could have changed the representative, if appropriate. Instead, you chose to go elsewhere, which is also your choice, but we are not responsible for paying your CPA. We will, as a courtesy, refund your membership fees if you would like.

Review: WOULD LIKE TO RECIVE A REFUND FPOR THE FOLLOWING:AUDIT DEFENSE TURBOTAX TY2013 1040 FED & ST ONLINE $59.99 AUDIT DEFENSE TURBOTAX TY2012 1040 FED & ST ONLINE $39.99 REFUND REQUEST IS DUE TO LACK OF SERVICE PROVIDED AND POOR CUSTOMER SERVICE. MANAGER ERIC VANCRAIG WAS VERY RUDE AND DISRESPECTFUL.Desired Settlement: Refund and for information only to protect other cunsumers.

Business

Response:

We are a membership organization with over five million

members, and have been providing high quality Audit Representation for our

members since 1988. We handle over

24,000 audits each year. Every member

has a Membership Agreement which clearly outlines all the many member benefits,

as well as our responsibilities to the member.

Just as clearly listed are the items that member needs to do to help us

help him:

promptly contact us when the first notice is

received;

provide their signature on the Power of Attorney

and return it to us in a timely manner;

provide the information and documentation

necessary to substantiate the various items of income and expense in

question; and

comply with the audit procedure and strategy

actions recommended by us and their Audit Representative working on their

behalf.

It is unfortunate that this member intentionally, or

otherwise, has repeatedly failed to follow the entire list as stated above. Without the signed Power of Attorney no

personnel from the IRS can legally speak to us. On number 1 above, the membership states, the

member must contact us within 15 days of the date on the first notice to allow

us to defend their return, but Ms. [redacted]s waited one month. On number 2 above, she was contacted 17 times

by telephone or email messages to allow us to help her help us, but she gave

many reasons at the end why she failed to heed our requests for contact. She stated her phone did not work, she was

busy, her father was in and out of the hospital, etc. Her inability to assist in her defense cannot

fairly be placed on us. On number 3

above, she never provided one document to support any of the claimed deductions on her

tax return. She did state she had a

flood in her basement, but she could certainly have obtained copies of many of these

claimed expenses from banks, charities, employer, doctors, etc. And lastly, on number 4 above, she clearly

did not comply with any of our requests that would have allowed us to defend

her tax return.

She was selected for audit by the IRS because as the IRS

notice stated, “…your gross expenses exceeds your income.”

These repeated actions on her part made it impossible for us

to provide a quality service that this person needed. We had to withdraw from the case as she

repeatedly violated the membership agreement so we could not legally represent

her. We had five different professionals

work with her from the end of March 2014 when she reported the case late

through June 2014 when we had to close the case as we still did not have one

document supporting her claims on the tax return.

In closing, her claimed amounts paid are also

incorrect. She purchased Audit Defense

for 2012 on March 7, 2013 for $39.99, and for 2013 on February 4, 2014, for

$39.99. We certainly have sympathy for

Ms. [redacted]s’s situation, but we spent hours reviewing her return and reaching

out to assist her, but never receive any cooperation.

However, as a continued show of our great Customer Service,

we will be happy to refund her two memberships that she only paid $79.98 for. The refunds will be processed separately as they are for different years. Please allow 4-6 weeks for them to be processed.

Below is the timeline of events for this case:

Review of case due to Revdex.com complaint

03-24-14 case reported with a notice dated Feb 27,

2014 meaning over one month old with a meeting set for April 2

03-25-14 Member(Mbr) sent email asking for “a process to

excuse someone from the audit” as she claimed to have lost “years of important

paperwork”

03-25-14 Audit Coordinator(AC) Left Voice Mail(LVM) for Mbr to call back

03-26-14 AC called Mbr and LVM (#2) and explained what

would happen next and that she needed to be more responsive when called or we

would have to close her case

03-26-14 AC sent MAP(our secure portal system) message (#3)

03-27-14 Representative(Rep) called

(#4) but mail box full

03-27-14 Review Rep sent MAP message (#5) as her voice

mail box is full

03-28-14 a review was done by Audit Rep and found many

errors\questionable entries on return.

Mbr stated she only has some records as most lost.

03-28-14 Mbr finally called the AC and stated “broke

her phone” and she “is really busy with personal problems”

03-31-14 a proforma was done on the tax return to show what the balance due would be with no documents

03-31-14 Aud Rep called (#6) but mail box was full

03-31-14 Aud Rep sent MAP message (#7) with deadline

of April 1

04-02-14 Mbr LVM about cell phone is not working as

she is “unable to dial out”

04-02-14 Aud Rep called (#8) but voice mailbox full

04-02-14 Aud Rep sent MAP message (#9) with a listing

of all the docs needed with a deadline

of April 3 to call and April 7 to send in docs

04-03-14 a recusal sent after 9 contact attempts and 3

deadlines

04-10-14 Mbr LVM about wanting clarification of

recusal

05-12-14 Mbr sent in exam report dated April 2, 2014,

again over a month old

05-12-14 AC called Mbr who stated she did not contact

us since her “father was in and out of the hospital” and she “was very busy”

05-12-14 case opened again

05-19-14 Audit rep reviewed notice

05-19-14 Rep LVM (#1) for a call back

05-27-14 Rep LVM (#2) for a call back

05-29-14 Mbr LVM

05-29-14 Rep LVM (#3) for a call back

05-29-14 Mbr called back and stated all docs were

destroyed. Told Mbr we need something

06-06-14 VM sent (#4) needing docs or she should sign

the report and gave deadline of 6-9-14

07-17-14 Mbr wants a refund

07-18-14 Lead LVM (#5) for a call back

07-18-14 Lead LVM (#6) that she would send her case to

management

07-21-14 Audit Manager LVM (#7) for a call back

I had the unfortunate occasion to have to contact Tax Audit after using Turbotax for previous years taxes. They were very helpful in signing me up and collecting my tax information. I explained that there was a tax court deadline that was coming up soon and the initial person that I spoke with said that it wouldn't be an issue and that they would be able to change the court date, not to worry. Admittedly there was a delay because I contacted Turbotax initially regarding the issue, they in turn gave me an EA to speak with (beware-useless probably detrimental to my case) and she advised me to file a 1040x using a different form and told me specifics that I did wrong. The IRS failed to respond to my 1040x claiming they were too busy and to wait until a few days prior to court date to file an extension. Here is where Tax Audit comes in... They said all was fine they just need the documents they can access my taxes filed blah,blah, blah. Once the IRS responded to the 1040x and said essentially "we don't care, we will see you in court" I now have the "professionals" at Tax Audit telling me, "I am sorry but we can not represent you because you did not contact us when you received the original notice, we just don't have time. We can't file an extension, would like to talk to customer service.?" In a word this company is a JOKE or should I say fraud? They have no problem taking your money upfront but apparently pick and choose the work they wish to represent or follow up on. Thanks for wasting the little or no time I have left to contact a real Professional Tax Corporation with real Attorneys and Real accountants to do the job that is requested of them and that they agree to complete. Thanks for nothing TaxAudit... Please tell everyone save your money go to real professionals if this situation ever occurs. They will waste your money and more importantly, the most precious commodity, your time.