With the IRS receiving a massive financial boost, it is expected to increase its auditing and collections efforts. This means more taxpayers will require assistance in resolving their tax issues. By offering tax resolution services, tax professionals can position themselves to help clients navigate these complex situations and negotiate with the IRS on their behalf.

As the IRS intensifies its enforcement activities, the demand for tax resolution services is likely to rise significantly. Tax professionals who proactively add these services to their repertoire will be poised to capture a sizable share of this burgeoning market, providing a valuable competitive edge.

Incorporating tax resolution services into a practice can offer a diversified and stable revenue stream. These services can help offset the seasonality of traditional tax preparation work, ensuring a more consistent flow of income throughout the year. You will also leave yourself less exposed in a world where AI is poised to disrupt nearly every industry, tax preparation included.

Adding tax resolution services to your practice can be a catalyst for professional growth. Learning the intricacies of tax resolution will expand your skill set and enable you to tackle a wider range of tax-related problems. This enhanced knowledge can also lead to more referrals and a stronger reputation in the industry.

Tax resolution services often command higher fees than standard tax preparation, due to the complex nature of the work involved. By offering these services, tax professionals can tap into a lucrative revenue source, ultimately boosting their bottom line during a traditionally slow part of the year.

You’ve probably heard this Wayne Gretzky quote at one time or another. Right now we’re sitting at a pivotal time in history as the dawn of Artificial Intelligence in upon us. Right now, as you read this, there are several companies (and likely many to follow) taking aim at the tax preparation business. If your business primarily relies on tax prep – you should be quite concerned.

Simultaneously the IRS has received a historic amount of funding after a decade of neglect. Long story short, IRS enforcement is poised to explode in 2023.

Practitioners need to take a hard look at the current landscape and position themselves for continued future success in business. Whether you decide to enter the IRS representation business, or a different area, practitioners MUST diversify their skillsets to survive.

The IRS is hiring intensely right now, but it takes time to get agents up to speed. There is still time for you to develop the skills, but if you want to be the market leader in your area you can’t afford to wait. There will be likely be a “gold rush” style entry into this field in the coming years. Practitioners that enter now will have a clear advantage by getting ahead of the learning curve.