Last week American Tax Relief was finally shut down by the federal government for taking nearly $100 million in fees without delivering promises.
American Tax Relief promises taxpayers they could settle their taxes, but the reality is that very few tax settlements are approved by the IRS. The IRS wants their money repaid in FULL, they are not letting go of one red cent unless the circumstances are extreme!
I'm glad to see another lying company exposed. Here's the rub on the FTC bust on American Tax Relief and their Nation-wide scam:
- Hahn was convicted of mail fraud back in 2006, sentenced to 5 years probation, and paid nearly $1.3 million in restitution, proceeds paid in part from income made from American Tax Relief
- Company owners were living big, with muli-million dollar homes and seven luxury cars in the garage. This raises some red flags...
- A federal judge in Chicago ordered the company to stop making deceptive claims and the company's assets and the assets of it's owners, Alex Hahn, and his wife Joo Hyun Park, were frozen.
- An estimated 20,000 taxpayers paid outlandish upfront fees for services that were not delivered.
-The company charged credit cards with authorization and gave few refunds
A new FTC law will prevent companies that sell tax debt settlement services from collecting or charging fees before they reduce the amount taxpayers owe, making it a safer landscape to hire a professional for tax help. David Vladeck, director of the Federal Trade Commission's Bureau of Consumer Protection says it best, "Their scam is over, closed down."