The tax industry is evolving rapidly, and tax professionals who want to stay ahead must continuously expand their expertise. One of the most valuable services a tax professional can add to their practice is tax resolution—helping taxpayers deal with IRS problems like audits, collections, liens, levies, and wage garnishments.
If you’re a CPA, Enrolled Agent (EA), or Tax Attorney, learning tax resolution can open up new revenue streams, increase client loyalty, and set you apart from the competition. Let’s dive into why tax resolution is an essential skill to add to your practice.
First, What Exactly Is Tax Resolution?
Tax resolution is the process of helping individuals and businesses resolve their tax problems with the IRS or state tax authorities. This includes negotiating settlements, setting up payment plans, removing tax liens and levies, stopping wage garnishments, and addressing unfiled tax returns.
When taxpayers owe money to the IRS or are facing enforcement actions, they often feel overwhelmed, confused, and unsure of their options. Many don’t realize that the IRS is often willing to work with them—if they know the right steps to take. That’s where tax resolution professionals come in.
As a tax resolution specialist, you become your clients’ trusted advocate, guiding them through the complexities of IRS negotiations and ensuring they achieve the best possible outcome. Whether it’s reducing tax debt, securing a hardship status, or developing a manageable payment plan, tax resolution is about giving taxpayers peace of mind and financial relief.
For tax professionals, learning tax resolution opens the door to high-value services that are in constant demand. It’s not just about compliance—it’s about problem-solving, client advocacy, and building a rewarding career helping people through difficult financial situations.
1. Growing Demand for Tax Resolution Services
Millions of Americans struggle with IRS issues every year. The IRS has over $688 billion in unpaid tax debts, and enforcement actions are increasing as the agency ramps up efforts to collect. On top of that, many taxpayers don’t understand their rights or how to negotiate with the IRS, creating a significant need for skilled professionals who can guide them through the process.
As the IRS modernizes its systems and automates more collection efforts, taxpayers are likely to receive more notices and enforcement actions with little human support from the agency. This means more frustrated taxpayers looking for knowledgeable professionals to help them navigate the system.
2. Higher Fees & Year-Round Revenue
Unlike tax preparation, which is highly seasonal, tax resolution work is in demand year-round. Clients facing IRS issues need immediate help, which means consistent work and cash flow for your business—even outside of tax season.
Additionally, tax resolution services command higher fees than standard tax preparation. While preparing a tax return may earn you a few hundred dollars per client, a tax resolution case can generate thousands of dollars per engagement. This allows you to work with fewer clients while making more money.
3. Differentiation in a Competitive Market
With DIY tax software and free IRS filing options growing in popularity, tax professionals need to find ways to stand out from the crowd. Offering tax resolution services sets you apart from tax preparers who only file returns and allows you to position yourself as a problem solver rather than just a data entry service.
Clients are more likely to return to a professional who helped them resolve a stressful tax issue than one who simply filed their return. This builds long-term relationships and leads to referrals, repeat business, and higher client retention.
4. No Additional Licensing Required—But Certification Sets You Apart
One of the biggest advantages of tax resolution is that you don’t need a separate license to get started—if you’re already a CPA, Enrolled Agent (EA), or attorney, you’re already authorized to represent clients before the IRS. Unlike tax preparation, where unlicensed individuals can compete with you, tax resolution is a protected service that only credentialed professionals can offer.
However, while no special license is required, getting certified in tax resolution can give you a significant competitive edge. At ASTPS, we offer a Tax Resolution Certification designed to give you our stamp of approval, signaling to clients that you have the expertise and training needed to handle their toughest tax problems. Certification helps you build trust, set yourself apart from the competition, and establish credibility in this growing field.
With the right knowledge, training, and ASTPS certification, you can confidently add tax resolution to your practice and position yourself as a go-to expert in solving IRS problems.
5. Personal & Professional Fulfillment
Many tax professionals find tax resolution work more rewarding than tax preparation because they’re helping clients overcome serious financial stress. When you assist someone in stopping a wage garnishment, reducing their tax debt, or setting up an affordable payment plan, you’re changing their life for the better.
Clients are often deeply grateful for this assistance, which leads to stronger client relationships and a more fulfilling career. Instead of just filing returns, you become a trusted advisor who provides real solutions to serious problems.
6. Easy Integration Into Your Existing Practice
Tax resolution services fit seamlessly into an existing tax practice. If you already handle tax preparation, you likely already have clients who could benefit from tax resolution services. Common warning signs include:
- Clients with unfiled tax returns
- Those who have received IRS notices
- Clients with unpaid tax debt or penalties
- Business owners struggling with payroll tax issues
By offering tax resolution, you can serve these clients in-house instead of referring them elsewhere, keeping more revenue within your business.
If you’re interested in tax resolution but unsure about the best path forward, an ASTPS Discovery Call is the perfect next step. This free call is designed to help you clarify your goals, explore your options, and discover how ASTPS can support you in building a successful tax resolution practice.
During your call, we’ll discuss:
✔️ Your current tax practice and experience
✔️ Your goals for adding or expanding tax resolution services
✔️ The best ASTPS resources, training, and programs to fit your needs
✔️ How to take the next step toward mastering tax resolution
Whether you’re just getting started or ready to take your tax resolution business to the next level, this call will provide personalized guidance to help you move forward with confidence.
