Have you received a dreaded notification that you’re being audited? Or worse, a notice that you owe back taxes or penalties due to incorrect filing? 

If you have tax problems, or you worry about issues related to an audit, consider enlisting professional help. Tax professionals can help you evaluate your options related to tax issues, and they can advocate on your behalf. 

Community Tax is one full-service tax firm. It provides everything from bookkeeping, to tax prep to tax resolution and advocacy. Here’s what you need to know about the firm this year.

Community Tax is a full-service tax company that operates under the names Community Tax Relief and Community Tax Service. The Tax Relief designation is most important here. Navigating the IRS’s world of repayment options can be a nightmare for individuals who don’t have expert knowledge in tax repayment programs. Additionally, figuring out how to fight a tax lien and create a case against the amount owed is not something most people want to do on their own.

Unfortunately, even people who thought they did their taxes per the law, could face audits and underpayment penalties. Community Tax helps people in those situations. It also offers proactive bookkeeping, tax prep, and tax monitoring services for its clients. 

The company was founded in 2010 and is based in Chicago. They maintain a staff of certified public accountants (CPAs), enrolled agents (EAs), and accountants specializing in tax issues.

It is not a “tax software” or even a “tax software alternative” like so many of the other products we review this time of the year. Instead, it is a full-service accounting firm that offers subscription services to everyday people.

Community Tax - Is It Ever Free?

Filers facing a difficult tax situation (or tax debt) can begin a partnership with Community Tax through a free consultation. The Community Tax representative will recommend the services a person needs and pricing estimates for those services. The initial consultation is free, but the subsequent services require payment.

Community Tax used to have a free tax monitoring service. This digital product sent out reminders about quarterly tax estimates. However, mentions of this service are no longer advertised.

At this point, people who want to engage with Community Tax must sign up for the Tax Assurance Program (which involves a monthly membership fee) or they must pay for one-time or annual tax help.

What's New In 2022?

No major changes have been made to Community Tax's services this year. It continues to offer tax prep, tax debt resolution, audit assistance, and tax planning. 

The company uses a digital platform to connect to customers across the nation. It also offers bookkeeping and accounting services for self-employed people and business owners.

Since Community Tax is a service business, it continues to stay on top of changes to tax law to provide service to its clientele.

Does Community Tax Make Tax Filing Easy In 2022?

Tax filing isn’t Community Tax’s main priority. The company focuses on tax-related services for people facing issues with the IRS or state tax authorities.

People in these situations often struggle to keep up with taxes and tax filing obligations. But Community Tax specializes in making tax filing much easier for people in these difficult situations.

While the company helps taxpayers create repayment plans that will prevent liens or wage garnishments, it also offers “Tax Assurance Programs” that help tax filers stay out of tax trouble for the current tax year.

Community Tax Notable Features

Community Tax has received many accolades as a tax resolution firm. These are a few of its best features. 

Individual Attention

Community Tax matches individuals with CPAs or other tax experts to help the individual find tax resolution. But this happens only after a thorough review of the person’s tax situation.

Potential clients submit financial information and discuss their situation with a representative. The representative and tax experts review the situation and bring an individualized recommendation for services.

At that time, clients receive a price estimate for the services that Community Tax will perform. After accepting the agreement, a Community Tax expert will help each client work through the tax resolution process. 

Tax Resolution Services

Community Tax specializes in tax resolution for people with unpaid taxes or tax debt. Some of the solutions may include the following:

• Offers in Compromise: A process that works to reduce the amount of taxes owed, usually due to financial hardship.
• Installment Agreement: If you can't pay your taxes in full, an installment agreement can be set up to enable you to make payments over as long as 72 months.
• Stair Step Agreement: Allows the taxpayer to pay off an unrelated obligation, such as child support or a car loan while making smaller payments to the IRS until the other obligation has been paid.
• Partial Pay Installment Agreement: The IRS agrees to accept lower payments, based on financial hardship. Whatever balance of the taxes due that’s still outstanding after 10 years is forgiven.
• Penalty Abatement: Community Tax can work with the IRS to have any penalties associated with your tax situation removed. This won't eliminate your tax liability or accumulated interest, but it will at least remove the penalty portion, which can be substantial.

Tax Assurance Programs

Community Tax’s unique Tax Assurance Programs are monthly subscriptions that help people stay out of tax trouble. The programs include ongoing access to tax professionals, reminders and help with quarterly tax estimates, and annual tax return preparation. This unique program may be especially useful for people who aren’t used to self-employment taxes.

Access To Enrolled Agents And CPAs

Community Tax gives all customers access to tax professionals (enrolled agents and CPAs). This access allows filers to ask questions and prevent future tax trouble.

Community Tax Notable Drawbacks

Community Tax is an established and well-rated tax resolution firm, but it has a few drawbacks. Here are some of the company's downsides that you'll want to be aware of before you work with them.

Pricing On An Individual Basis

Figuring out Community Tax's prices is a real challenge. Filers can't even get a ballpark estimate until they complete the consultation and review process.

No DIY Options

Community Tax is a tax prep and tax resolution firm. Clients who want to DIY their taxes can’t engage Community Tax for a review or other services.

Community Tax Pricing

Pricing for Community Tax’s service is done on an individual level. On the plus side, filers with messy tax situations can feel confident that the Community Tax team can help them. However, filers can struggle to get a clear picture of Community Tax’s costs. It seems that resolution fees tend to start at around $1,500 and can go up from there.

Filers who aren’t currently in trouble with the IRS can sign up for Community Tax’s Tax Assurance Program (TAP). The Plan includes an Executive Access Plan which costs $39 per month. The primary objective of TAP is to keep filers out of tax trouble. Members gain year-round access to tax practitioners to help with tax planning. The membership also includes a free annual tax return for all people including self-employed individuals. 

How Does Community Tax Compare?

Compared to most firms reviewed on this site, Community Tax offers a wider range of services. However, its pricing is competitive relative to other firms that offer personal tax prep services.

For example, a self-employed person can get tax prep services through the Executive Access level of its Tax Assurance program. This costs $39 per month or $468 per year. That's a few dollars less than Picnic Tax. 

Community Tax’s program includes more than just tax prep though. It also comes with an Audit Defense Guarantee and reminders about quarterly tax estimates.

Is It Safe And Secure?

Community Tax uses encryption and secured servers to keep customer information safe. Because representatives work directly with clients, it encourages clients to use the company’s secure document transmission services to keep information safe and away from hackers.

The company specifically mentions that unencrypted emails are a potential vulnerability that clients should not use when transferring personal information. Overall, Community Tax seems to have all industry-standard practices in place to keep user information safe.

How Do I Contact Community Tax?

You can contact someone from the Community Tax team by calling 800-444-0622. Hours of operation for new customers are Monday – Thursday, 8:00 AM–8:00 PM, Friday, 8:00 AM–6:00 PM, and Saturday, 9:00 AM–5:00 PM.

The company has a Better Business Bureau rating of A+ (on a scale of A+ to F) and has been BBB accredited since 2015. This is a particularly impressive rating because most people who work with Community Tax are in tax trouble.

Is It Worth It?

Most people don’t need accounting services or a tax resolution specialist. However, not everyone should self-prepare their returns. If you’ve had difficulty filing your taxes on time, or you have a complicated situation, you’re better off working with tax professionals. This is especially true if you’re likely to face an audit.

If you’ve had a problem with the IRS in the past or have an open tax obligation – or the possibility of one pending – Community Tax could be the solution to your problem. Community Tax is a dedicated, full-service tax organization that will handle everything from the preparation of your return to audit defense to problem resolution.

If your tax situation doesn't fit neatly within the service levels provided by tax preparation software, check out Community Tax. We’re especially fans of the Tax Assurance Programs that can help you stay out of trouble once you’re in good standing with the IRS.

Community Tax FAQs

Let's answer a few of the questions that people ask most often about Community Tax:

Can Community Tax help me file my crypto investments?

Community Tax specializes in tax resolution help, but it offers limited guidance on crypto trading. Tax filers facing specific issues with crypto investments may find better help with TokenTax which provides crypto-specific help.

Can I request my stimulus check through Community Tax?

Tax filers who didn’t receive a stimulus check in 2021 may be able to receive some of this money through the Rebate Recovery Credit. However, filers who owe money to the IRS may not receive the money as it may be retained for back taxes. A tax expert can explain the specifics of each person’s situation.

I didn’t receive the full amount for Advanced Child Tax Credit Payments. Can Community Tax help me get the rest?

Community Tax works with many people who owe the IRS money. The child tax credit may be used to reduce unpaid taxes or unpaid child support among other debts.

Can Community Tax help me with state filing in multiple states?

Community Tax helps tax filers across the nation and even those who live abroad.

Does Community Tax offer refund advance loans?

No, Community Tax doesn’t offer refund advance loans.

Community Tax Features