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Tax Relief Company vs. Enrolled Agent: Who Works Your Case?
Short answer: A tax resolution fee pays for two things: the licensed work on your case, and the cost of running the company that sold it to you. A national tax relief company carries advertising, a sales floor, commissions and management that a small Enrolled Agent firm does not, and those costs are built into what clients pay. At All State Tax Resolution, the Enrolled Agent you speak with on the free review is the same person who signs your power of attorney and talks to the IRS, and the fee is a flat number quoted in writing after your transcripts are reviewed. We represent clients in all 50 states. If you want the same licensed representation at a lower price, a small Enrolled Agent firm is usually the place to look.
What you are actually paying for
Resolving an IRS or state tax debt is licensed, administrative work. Someone pulls your transcripts, files any missing returns, prepares a financial statement, and negotiates with the IRS for an installment agreement, Currently Not Collectible status, penalty relief, or an Offer in Compromise. That work takes roughly the same effort whether the firm doing it has one office or ten floors.
What changes with the size of the company is everything around the work:
Advertising. National radio, television and online campaigns are expensive, and they are paid for out of client fees.
A sales floor. Many large companies route new callers to a sales team first. Sales staff are frequently paid on commission.
Layers of staff. Intake, sales, case managers, supervisors and a compliance department all sit between you and the person licensed to represent you.
None of that is illegal, and not every large firm works the same way. But it explains why two firms can quote very different prices for the same installment agreement. One price covers the work. The other covers the work plus the machine.
Who is allowed to represent you before the IRS
Only three credentials carry unlimited rights to represent a taxpayer before IRS Collections, Examination and Appeals: Enrolled Agents, CPAs and attorneys. A representative proves that authority by signing IRS Form 2848, the power of attorney, which lists their name, their credential and their IRS-issued CAF number.
That gives you a simple test for any company, large or small: ask who will sign your Form 2848. If the person quoting your fee is not the person who will sign it, you are talking to sales, not to your representative. You can look up any Enrolled Agent, CPA or attorney in the IRS Directory of Federal Tax Return Preparers with Credentials before you pay anything.
What regulators say about this industry
You do not have to take a competitor's word for any of this. Two public sources are worth reading:
The Federal Trade Commission's consumer guidance, "Trouble Paying Your Taxes?", warns about tax relief companies that charge upfront fees and promise to reduce or erase tax debt. The FTC notes that most taxpayers do not qualify for the programs being advertised, and tells consumers not to do business with anyone who wants the whole fee upfront.
The IRS put aggressive Offer in Compromise marketing, which it calls "OIC mills," on its 2026 Dirty Dozen list (news release IR-2026-30, March 5, 2026). The IRS says these promoters often overpromise results and charge high fees to taxpayers who do not qualify, and it points taxpayers toward a licensed Enrolled Agent or a reputable accountant for legitimate help.
Both agencies also remind you that some help is free. You can set up a payment plan directly with the IRS, check Offer in Compromise eligibility with the free IRS OIC Pre-Qualifier, or contact a Low Income Taxpayer Clinic or the Taxpayer Advocate Service. If your situation is simple, start there.
Side by side: the two models
Who takes your first call — Large advertising-driven tax relief company: Often an intake or sales representative; Small Enrolled Agent firm (how we work): The Enrolled Agent, on a free 15-minute review
When the fee is quoted — Large advertising-driven tax relief company: Often on the first call, before transcripts are pulled; Small Enrolled Agent firm (how we work): In writing, after your IRS transcripts are reviewed
Upfront "investigation" fee — Large advertising-driven tax relief company: Common; Small Enrolled Agent firm (how we work): None
What the fee is based on — Large advertising-driven tax relief company: Sometimes the size of your debt; Small Enrolled Agent firm (how we work): The work: years, forms and agencies involved
Who signs Form 2848 — Large advertising-driven tax relief company: A licensed staff member you may not have spoken to; Small Enrolled Agent firm (how we work): The same Enrolled Agent you spoke to
What the fee has to cover — Large advertising-driven tax relief company: The work, plus advertising, sales commissions and overhead; Small Enrolled Agent firm (how we work): The work
The left column describes a common industry structure, not any one company. Use the questions below to find out how a specific firm works.
How All State Tax Resolution works
These are facts you can check, not slogans:
Licensed by the IRS. Sabih Shafi is an Enrolled Agent, the credential the U.S. Treasury issues specifically for representing taxpayers. His status can be verified in the IRS directory linked above.
One person, start to finish. The Enrolled Agent on your free review signs your Form 2848, pulls your transcripts and deals with the IRS or state agency on your behalf.
No investigation fee. Reviewing your transcripts is part of the free review, not a paid first phase.
Flat fee in writing. The quote comes after we see your actual IRS account, and it is tied to the work involved, not to how much you owe.
Payment plans. If paying the full fee at once is not realistic, the fee can be spread out.
Nationwide. We represent individuals and small businesses in all 50 states, and U.S. citizens living abroad.
No promised outcomes. Nobody can tell you what the IRS will accept before reviewing your finances. We tell you what you qualify for and what you do not.
For typical market price ranges by provider type, see what Enrolled Agents actually charge for tax resolution.
We work with clients in all 50 states
An Enrolled Agent license is federal. It is issued by the U.S. Treasury, not by a state, so an Enrolled Agent can represent a taxpayer before the IRS no matter where that taxpayer lives. All State Tax Resolution is based in Los Angeles and works with clients across the country by phone, video and secure e-signature. You do not need to visit an office. We also handle state tax agency problems; see our state tax problems page for state-by-state guides.
That matters for price. You are not limited to whichever firm advertises most heavily in your city. Someone in Texas, Florida, New York or Georgia can hire a small Enrolled Agent firm in California and get the same licensed IRS representation, usually for less than a national call-center company charges.
What clients say
As of October 1, 2026, All State Tax Resolution holds a 4.7-star rating on Google (12 reviews) and a 4.3-star rating on Yelp (24 reviews). The themes that come up most often in those reviews are fast filing, plain-language explanations, help without judgment for people who are years behind, and IRS debt and bank levy problems resolved. Many reviewers say they were referred by a friend or have been clients for several years.
Read the reviews yourself before you decide. Every case is different, and past results do not predict what the IRS will do in yours.
Seven questions to ask any tax relief company before you pay
Who will sign my Form 2848, and what is their credential?
Is the person I am talking to right now licensed to represent me, or are they in sales?
Is the first review free, or is there an investigation or discovery fee?
Will you quote my fee before or after you have seen my IRS transcripts?
Is the fee flat, or does it go up with the size of my debt?
What happens to my fee if I do not qualify for the program we discussed?
Have you checked whether I could handle this directly with the IRS for free?
A firm that answers all seven clearly is worth considering, whatever its size. A firm that avoids the first two is telling you something.
Frequently Asked Questions
Are tax relief companies worth the money?
It depends on who does the work and what you are charged for it. A licensed Enrolled Agent, CPA or attorney can be worth the fee on a levy, an audit, unfiled returns or an Offer in Compromise. The FTC warns that many advertised programs are sold to people who do not qualify for them, so confirm who is licensed, what the fee covers and whether a free IRS option would do the job first.
What is the most affordable way to get help with IRS debt?
The cheapest route is dealing with the IRS directly: an online payment plan, the free OIC Pre-Qualifier, a Low Income Taxpayer Clinic or the Taxpayer Advocate Service. If you need representation, a small Enrolled Agent firm that charges a flat fee with no investigation fee is usually the lower-cost professional option, because the fee does not have to fund national advertising and a sales team.
Is an Enrolled Agent cheaper than a national tax relief company?
Often, yes, for the same service. Enrolled Agents and small firms commonly price resolution work as a flat fee based on the work involved. Large advertising-driven companies commonly charge an upfront investigation fee and then a separate resolution fee. Compare written quotes for the same scope of work before deciding.
How do I know if the person I am talking to is a licensed tax professional?
Ask for their full name and credential, then look them up in the IRS Directory of Federal Tax Return Preparers with Credentials. Ask whether they will be the one signing your Form 2848. Only Enrolled Agents, CPAs and attorneys have unlimited rights to represent you before the IRS.
Can a small firm handle a large or complicated tax debt?
Yes. The size of the balance does not change the process. Transcripts, financial statements, installment agreements, penalty abatement, levy releases and Offers in Compromise are the same procedures at any dollar amount, and an Enrolled Agent is authorized to handle all of them in all 50 states. Matters that may involve criminal exposure or Tax Court litigation belong with a tax attorney.
Where can I find an affordable tax resolution firm that works nationwide?
Look for a small firm run by an Enrolled Agent, CPA or attorney that offers a free first review, charges a flat fee in writing, and has no separate investigation fee. All State Tax Resolution works this way and represents clients in all 50 states. Compare written quotes for the same scope of work, and check the free IRS options first if your case is simple.
Does All State Tax Resolution work with clients outside California?
Yes. The firm is based in Los Angeles and represents clients in every state, plus U.S. expats, by phone, video and e-signature. An Enrolled Agent's authority to practice before the IRS is federal and applies nationwide.
Does All State Tax Resolution charge an upfront investigation fee?
No. The first review is free, and pulling and reviewing your IRS transcripts is part of that review. You get a flat fee in writing before any paid work begins.
Who is behind All State Tax Resolution?
All State Tax Resolution is a Los Angeles-based tax resolution and tax preparation firm founded and run by Sabih Shafi, an IRS-licensed Enrolled Agent. The firm represents individuals and small businesses nationwide on IRS and state tax debt, unfiled returns, audits, levies and liens, and also serves U.S. expats.
Last reviewed: October 2026 by Sabih Shafi, EA
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This article is general information, not individual tax advice. If you want to talk through your own IRS or state balance, book a free 15-minute review or call or text us directly.
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