Defense Tax Partners is a specialized tax relief and representation firm that helps individuals and business owners navigate complex IRS disputes, back tax issues, and aggressive audit situations. But does their service justify the cost? Let’s break down what they offer, who they’re best for, and whether they’re the right fit for your tax problems.
Table of Contents
What Is Defense Tax Partners?
Defense Tax Partners operates in the tax resolution space, positioning itself as a firm that specializes in representing taxpayers who are facing serious IRS trouble. Unlike your typical tax preparation service, they focus on the messy situations: back taxes owed, audit defense, penalty abatement, and IRS collection actions.
The firm employs enrolled agents, CPAs, and tax attorneys (depending on location and service tier) to handle your case. Their model is built around the idea that when you’re in deep with the IRS, you need experienced representation, not just someone to file your return.
Services They Actually Offer
Here’s what Defense Tax Partners typically puts on the table:
Audit Representation: They’ll represent you in front of the IRS during audits. This means you don’t have to sit across the desk from an auditor alone—they handle the communication and negotiation. This is particularly valuable if your audit involves complex business deductions or multiple years of returns.
Back Tax Resolution: If you haven’t filed returns in several years or owe back taxes, they can help you get current with the IRS. They’ll often work with you to explore payment plans, offers in compromise, or currently not collectible status.
IRS Penalty Abatement: The IRS loves penalties—failure-to-file penalties, accuracy-related penalties, fraud penalties. Defense Tax Partners can petition for relief if you have reasonable cause. This alone can save thousands.
Collection Defense: If the IRS has levied your bank account, garnished your wages, or is threatening to seize assets, they can intervene. They understand the legal tools available to fight aggressive collection actions.
Offer in Compromise (OIC): Sometimes you genuinely can’t pay what you owe. An OIC lets you settle for less than the full amount—but the IRS approval rate is notoriously low. Defense Tax Partners has experience building compelling OIC cases.
For more strategic planning, check out our guide on tax planning strategies to avoid these situations in the first place.
How Much Does It Cost?
This is where things get real. Defense Tax Partners doesn’t advertise fixed pricing—they work on a case-by-case basis. Expect to pay anywhere from $1,500 to $15,000+ depending on complexity. Some firms in this space charge hourly (typically $150–$400/hour for enrolled agents and CPAs), while others use flat fees for specific services.
Common pricing models include:
- Flat Fee for Audit Defense: $2,000–$5,000 depending on complexity
- Back Tax Resolution: $3,000–$10,000 (often includes multiple years of returns and IRS communication)
- Offer in Compromise: $4,000–$8,000 (this is a high-value service because it can save tens of thousands)
- Hourly Representation: $200–$350/hour for enrolled agents; $300–$500/hour for tax attorneys
Want to understand the broader cost landscape? Our article on average cost of tax preparation by CPA provides context for what professional tax help typically costs.
Pros and Cons Breakdown
PROS:
- Expert Representation: You’re not handling the IRS alone. These professionals speak IRS fluently and understand negotiation leverage.
- Peace of Mind: The emotional weight of IRS problems is real. Having someone in your corner reduces stress significantly.
- Potential Savings: A successful penalty abatement or OIC can save far more than you pay for their services.
- Multi-Year Expertise: They handle complex situations involving multiple tax years and interconnected issues.
- Legal Protection: If they employ tax attorneys, you get attorney-client privilege on certain communications—something you don’t get with a regular CPA.
CONS:
- High Upfront Cost: You’re paying thousands before any results. If your case is simple, you might be overpaying.
- No Guarantees: The IRS doesn’t guarantee approvals for OICs or penalty relief. You’re paying for expertise, not outcomes.
- Slow Process: IRS cases move slowly. You might wait 6–18 months for resolution. That’s not Defense Tax Partners’ fault, but it’s a reality.
- Variable Quality: Like any firm, the quality of your assigned representative matters. A junior enrolled agent might handle your case differently than a senior CPA.
- Not for Simple Situations: If you just missed filing one year or owe a small amount, you might resolve this yourself or with a basic tax service for much less.
Who Really Needs Them
Defense Tax Partners makes sense if you’re in one of these situations:
You’re facing an audit with complex issues. If the IRS is questioning business deductions, home office claims, or investment losses, having professional representation is smart. You don’t want to accidentally say something that escalates the audit.
You owe multiple years of back taxes. Getting current with the IRS when you’re years behind is complicated. You need someone who can negotiate a realistic payment plan or settlement.
The IRS is actively collecting against you. Wage garnishment, bank levies, and asset seizure are serious. You need aggressive defense immediately.
You’re considering an Offer in Compromise. An OIC can wipe out 50–80% of your tax debt, but the application is complex. Professional help dramatically improves approval odds.
You’re self-employed or own a business. Business tax situations are inherently more complex. An audit or collection action involving business taxes warrants professional help. Learn more about tax forms for contractors to understand your filing obligations.
You don’t have time or emotional bandwidth to handle this yourself. This is valid. Some people would rather pay than stress. That’s okay.
How They Compare to Alternatives
vs. TurboTax Live or Jackson Hewitt: These are tax preparation services, not tax resolution firms. They’re great for filing your return, but they can’t represent you in an audit or negotiate with the IRS. Different animal entirely.
vs. A Local CPA: A local CPA is often cheaper ($150–$250/hour) and may know your situation better. But they might not have deep IRS representation experience. Good for prevention and preparation; less ideal for active disputes.
vs. Tax Relief Companies (like H&R Block Tax Services, 1st Global Inc.): These firms are similar to Defense Tax Partners but vary in quality and specialization. Some are more aggressive in marketing than in delivering results. Defense Tax Partners’ reputation suggests they’re more selective about cases.
vs. Hiring a Tax Attorney Independently: A tax attorney will cost $300–$600/hour but offers attorney-client privilege. If your case might involve criminal tax issues, this is better. For civil matters, Defense Tax Partners’ enrolled agents are often sufficient and cheaper.
vs. DIY Resolution: You can handle some of this yourself—filing back returns, requesting penalty relief, proposing payment plans. But the IRS is sophisticated. One wrong move can escalate your situation. The risk-reward often favors professional help.
Red Flags to Watch For
Before signing with any tax relief firm (including Defense Tax Partners), watch for these warning signs:
Guarantees of Specific Outcomes: If they promise to eliminate your debt entirely or guarantee an OIC approval, walk away. No legitimate firm can guarantee IRS outcomes.
Pressure to Pay Upfront in Full: Legitimate firms often allow payment plans or tie fees to milestones. Demanding full payment before starting is sketchy.
Vague About Credentials: Ask who will actually handle your case. Will it be an enrolled agent, CPA, or attorney? Get names and credentials. If they’re evasive, that’s a red flag.
No Discussion of Alternatives: A good firm will discuss whether you actually need them or if a simpler solution works. If they oversell their services, be skeptical.
Pressure to Act Immediately: The IRS moves slowly. There’s rarely a need to make a decision today. If a firm is pushing urgency, question why.
Real-World Scenarios
Scenario 1: Self-Employed Contractor Facing Audit
Marcus is a freelance consultant who deducted a home office, vehicle expenses, and meals. The IRS audited him. He’s panicked because he didn’t keep great records. Defense Tax Partners charges him $3,500 for audit representation. They review his records, prepare documentation, and represent him in the audit meeting. Result: The IRS allows most deductions but disallows meals (a common outcome). Marcus saves thousands in potential penalties and interest. Cost justified.
For context on contractor tax obligations, see our guide on tax forms for contractors.
Scenario 2: Business Owner With $80K Back Tax Debt
Jennifer’s business had a bad year five years ago. She didn’t file returns for two years. Now she owes roughly $80,000 in back taxes, penalties, and interest. The IRS is threatening a levy. Defense Tax Partners charges $6,000 to get her current (file all missing returns) and negotiate a payment plan. They also file for penalty abatement, reducing her debt by $15,000. Net savings: $9,000. Cost justified.
Scenario 3: W-2 Employee With Small Audit
Tom is a salaried employee audited over charitable donations. His situation is straightforward—he either has receipts or he doesn’t. Hiring Defense Tax Partners at $2,500 for a simple audit is probably overkill. Tom could handle this himself or use a basic CPA for $500–$800. In this case, Defense Tax Partners is overqualified and overpriced.
Frequently Asked Questions
Can Defense Tax Partners guarantee they’ll eliminate my tax debt?
No. No legitimate tax firm can guarantee specific IRS outcomes. They can increase the odds of favorable results through expertise, but the IRS makes final decisions. Be wary of any firm claiming guarantees.
How long does the process typically take?
Back tax resolution and OIC cases usually take 6–18 months. Audits can range from 3–12 months. The IRS doesn’t move fast. Plan accordingly and don’t expect quick fixes.
Will Defense Tax Partners file my missing tax returns?
Yes. Most tax resolution firms handle return preparation and filing as part of their service. This is often included in their flat fee for back tax resolution.
What’s the difference between an enrolled agent and a tax attorney?
Both can represent you before the IRS. Enrolled agents are certified by the IRS and cost less ($200–$350/hour). Tax attorneys have law degrees and offer attorney-client privilege, but cost more ($300–$600/hour). For most civil tax matters, enrolled agents are sufficient.
Can I deduct the cost of hiring Defense Tax Partners?
Yes. Tax preparation and representation fees are deductible as miscellaneous itemized deductions (if you itemize) or, in some cases, as business expenses if related to business income. Consult your tax advisor on the specific treatment.
What if I can’t afford their fees?
Ask about payment plans. Many firms offer this. Also consider whether a local CPA or tax attorney might be cheaper. For simple situations, you might resolve issues yourself or with minimal professional help.
Is Defense Tax Partners a scam?
No. They’re a legitimate tax resolution firm. However, like any service, do your due diligence: check reviews, verify credentials, and ensure you understand what you’re paying for before signing an engagement letter.
Final Verdict
Defense Tax Partners is worth your money if you’re facing serious IRS trouble and need expert representation. They’re not a budget option, but they’re not a scam either. The value depends entirely on your situation.
Hire them if: You’re audited with complex issues, you have back taxes and the IRS is actively collecting, you’re pursuing an OIC, or you’re self-employed facing significant tax disputes.
Skip them if: You have a simple tax situation, you’re just looking for basic return preparation, or your tax debt is small enough to resolve yourself.
The emotional relief of having expert representation shouldn’t be underestimated. Dealing with the IRS is intimidating, and nobody likes seeing their financial situation in jeopardy. If Defense Tax Partners’ fees buy you peace of mind and actually save you money through better negotiation, that’s a solid investment.
Before committing, get a detailed written proposal outlining what they’ll do, what it costs, and what timeline to expect. Compare it against alternatives. Ask for references. And remember: the cheapest option isn’t always the best option when the IRS is involved.
For broader tax strategy insights, explore our tax planning strategies to prevent these situations in the first place. And if you’re considering estimated tax payments, understand whether you can have estimated taxes autodrafted to stay ahead of your IRS obligations.
