What You Can Learn From Roni Deutch's $34 Million Fraud Lawsuit

I've encountered hundreds of victims of untrustworthy tax relief "experts", but justice is finally being served. Just yesterday, Roni Deutch has been sued by the California attorney general for $34 million!

So what are the charges against the infamous Tax Lady herself?

- escalating tax debts instead of reducing them
- not delivering on her promises
- not offering refunds & providing poor service
- shady or plain false advertising claims and tactics
- hundreds of complaints
- ads stating a tax reduction rate is 99%; it's really 10%
Oh, the list goes on and on.  This isn't the first time Roni Deutch has faced legal troubles. Back in 2006 she paid $300,000 to settle a lawsuit filed for her misleading commercials.
According to the AP Article, Attorney General Jerry Brown states that Deutch "Overstates her TV claims of winning tax battles...She advertises a success rate of up to 99 percent, yet successfully reduces the amount of money her clients owe in taxes in just 10 percent of cases."

Additionally, this case seeks a currently unspecified amount of civil penalties on top of $33.9 million in restitution for the hundreds of clients that filed fraud complaints against Roni Deutch's law firm.

According to the California Officer of the Attorney General "Tax Lady Roni Deutch" escalates tax debts instead of reducing them as she claims. The press release goes on to reveal:

"One woman from Pico Rivera who owed the IRS $13,000…paid Detuch a $1,900 retainer, but by the time the Deutch firm ended its representation she owed the IRS hundreds of dollars more in interest and penalties. ..Deutch refused to refund the woman's retainer."

The main focus of the lawsuit is on her false claims and advertising tactics. In one of her ads three clients claimed Roni Deutch's firm help them save $86,000 collectively, but all three of the people filmed still owed the IRS back taxes, penalties, and interest.

I highly recommend seeking professional help when you owe the IRS but choose the right kind, one that won't rip you off. 

Read more about Roni Deutch's $34,000,000 Lawsuit:

Brown Seeks $34 Million from TV's Tax Lady Roni Deutch: Official News Release

TV Tax Lady Roni Deutch Facing Legal Troubles on Time

Tax Lady Roni Deutch Sued for "Heartless Scam" by Moneywatch

Roni Deutch Sued by California AG on Taxgirl

'Tax Lady' Accused of Unladylike Behavior on the Tax Update Blog