Jackson Hewitt Tax Resolution Review 2022: Honest Opinion by a Tax AttorneyTax Relief
- Jackson Hewitt Tax Resolution
- Basics: Jackson Hewitt Tax Resolution helps clients with their federal and state tax debt issues.
- Pros: The company has a relatively low resolution fee and a clear-cut refund policy.
- Cons: Jackson Hewitt does not appear to prioritize its Tax Resolution Services business line. Additionally, the company has a policy that allows it to assign your case to one of its many franchises.
- MINIMUM DEBT:
- LOCATION AVAILABILITY:
All U.S. states except Idaho, Illinois, Maine, Minnesota, Missouri, Montana, New Hampshire, North Dakota, Ohio and Washington
- INITIAL FEE:
- YEAR FOUNDED:
In light of the industry’s reputation, I decided to check out Jackson Hewitt Tax Resolution. Below is what I found.
WATCH the video below to learn how to qualify for an offer in compromise to settle your IRS tax debt!
Jackson Hewitt Tax Resolution At a Glance
|Services||Tax resolution services, Tax preparation services|
|Fees||Average is $1,500, but fees can vary depending on tax situation|
|Minimum Debt Required||Not Available|
|Turn Around Time||Not Available|
|Refund Policy||Money-back guarantee if requested within 30 days after Discovery Phase|
|Dedicated Case Manager||Yes|
|Speed of Service||Not Available|
|Location Availability||All U.S. states except Idaho, Illinois, Maine, Minnesota, Missouri, Montana, New Hampshire, North Dakota, Ohio and Washington|
|Phone Number||(844) 349 - 6044|
As mentioned above, Jackson Hewitt does not specifically provide a menu of tax debt relief services on its website.
However, the company’s tax resolution services would presumably include the following:
- Offer in Compromise
- Currently Not Collectible
- Wage garnishment/levy services
- State tax debt resolution (in authorized states)
- Installment plan
- IRS Tax Liens
Of course, Jackson Hewitt also offers individual and business tax return preparation services, which is their most profitable service
- BBB Accredited: A+ Rating With 5/5 Rating
- Guarantee: 30-Day Moneyback Guarantee
- Reasonable Fees: Lower than Industry Averages
How Does Jackson Hewitt Tax Resolution Work?
Oddly, Jackson Hewitt lays out its process in the “Terms and Conditions” section of its website.
The process consists of a consultation, discovery, and resolution phase.
The first step for retaining Jackson Hewitt’s services is requesting a free consultation on its website.
The company claims that you will be speaking with a “TaxPro” during this phase, but based on the practices of other tax relief firms, this is likely more of an opportunity for Jackson Hewitt to sell you on its services.
If you decide to move forward with Jackson Hewitt, the next step will be the discovery phase.
Based on my research, you will be charged a $399 discovery fee during this stage.
In the discovery phase, Jackson Hewitt claims it will provide a tax evaluation of your case, including agent enforcement status, deadlines, and records analysis.
The company will also outline your options and the costs associated with each option.
In the resolution phase, Jackson Hewitt claims it will assign you a tax resolution team to represent you against the IRS (and/or state tax agency), which the company specifies can come from one of its many franchisees.
On its face, there is nothing wrong with this arrangement — but it does make me question whether a franchisee has enough resources and qualified staff to resolve more complex tax debt cases, especially given that most Jackson Hewitt franchises likely devote their attention to, and make most of their money through, tax preparation services.
I found only three client reviews on Jackson Hewitt’s tax resolution services.
In this limited pool of reviews, the former clients claimed that the company was noncommunicative during the whole process and/or did not have the expertise to handle tax debt issues — not an uncommon complaint for tax relief firms in general.
Beyond that, the company does not have a particularly robust tax resolution services section on its website.
Sure, Jackson Hewitt advertises “expert support” and “personalized solutions” to resolve your IRS issues and has a few articles on tax debt issues.
But the company does not provide the menu of tax debt relief offerings (e.g., Offer In Compromise, Currently Not Collectible status, etc.) like other firms in this space do.
In some ways, Jackson Hewitt’s understated approach is a welcome change from the more aggressive sales pitches on other firms’ websites.
However, this approach, combined with the lack of client reviews on their tax resolution services (I found only three reviews), suggest the company does not prioritize this business line, which may mean less qualified staff and resources to handle these issues.
This is further evidenced by the fact that Jackson Hewitt only outlines its process in the Terms and Conditions, and not anywhere else on its website.
Of course, I have never retained Jackson Hewitt for its tax resolution services, so this is mere speculation, based on my review of the website and the lack of customer reviews.
Jackson Hewitt Tax Resolution Requirements
As mentioned above, to sign up for Jackson Hewitt’s tax resolution services, you must first request a consultation through its website.
I could not find any minimum required tax debt for Jackson Hewitt to work with you or any other requirement to qualify for Jackson Hewitt’s tax resolution services.
Of course, the company outlines requirements in its Terms and Conditions once you retain the company’s services, including providing accurate information and paying the required fee.
Jackson Hewitt Tax Resolution Cost
Jackson Hewitt does not disclose its fees, but other sites show the following:
|Resolution Fee||Based on third-party sites, $1,500|
As mentioned above, Jackson Hewitt charges an upfront $399 discovery fee to evaluate your tax case and outline your options for resolving your debts.
The company advertises this as the Discovery Phase.
There was limited information on the typical resolution fees charged by Jackson Hewitt.
Based on one third-party site, the average fee was $1,500, which was consistent with the few client reviews on the company’s tax resolution services.
Based on the practices of other tax relief companies, I would presume that Jackson Hewitt’s resolution fees would vary, depending on the complexity of the tax debt case.
How Much Could You Save with Jackson Hewitt Tax Resolution?
The amount of money you can save depends on your specific tax situation.
On its website, the company vaguely highlighted some instances where it was able to satisfactorily resolve their clients’ tax debt cases.
In other cases, the company was only able to secure a payment plan for the client.
For example, in one of the reviews, one client claimed that the company told him that a payment plan was the only available option, based on an erroneous review of the information he provided.
The client then claimed he reached out to the IRS and was able to resolve the situation himself.
This review, if true, shows that the company failed to perform the necessary due diligence to determine whether options other than the payment plan were available to the client.
Related: How Far Back Can the IRS Go?
Jackson Hewitt Tax Resolution Pros and Cons
- Low Resolution Fee: Based on the limited client reviews, the company’s average resolution fee is $1,500, which is relatively lower than the resolution fees for other firms.
- Clear Money-Back Guarantee: The company clearly lays out that you can get a refund if you formally request your money back within 30 days of the Discovery Phase.
- Not Available in All 50 U.S. States: The company’s tax resolution services are not available for people residing in Idaho, Illinois, Maine, Minnesota, Missouri, Montana, New Hampshire, North Dakota, Ohio and Washington.
- Potential Case Assignment to Franchisees: The company specifies that it can assign your case to tax specialists to one of its franchises, which may not have the resources or qualified staff to handle your tax case.
- Non-Prioritization of Tax Resolution Services: The company’s lack of a robust tax resolution services section on its website and client reviews of these services, suggest that the company does not prioritize this business line. This may mean less resources and dedicated staff to handle these types of issues.
Is Jackson Hewitt Tax Resolution Legit?
After scouring through reputable customer sites such as the BBB and Consumer Affairs, I found only three client reviews specifically reviewing the company’s tax resolution services.
The reviews were all mostly negative, and touched on the company’s poor customer service and lack of expertise in tax debt relief matters.
Jackson Hewitt Tax Resolution Complaints and Customer Reviews
The following table provides more detail on the three client reviews I came across in my research:
|Reviewer||Issue||My Take (Assuming Reviewer’s Claims Are True)|
|Mike 06/01/2020 ConsumerAffairs||Mike claimed that he could never get a straight answer on the best option to resolve his tax debts with the IRS or the costs associated with Jackson Hewitt’s representation. |
According to Mike, not only were the representatives handling his case rude, condescending, and unprofessional, but they also seemed to lack any tax background or tax audit experience.
|Although vague, Mike’s comments, if true, are particularly concerning for a few reasons. |
First, Mike’s inability to get a straight answer on the best option to resolve his case suggests that the company representatives either (1) failed to adequately review his specific case to determine his options, or (2) lacked the expertise to handle his tax issue. The last point is further bolstered by Mike’s claims that they “seemed to lack any tax background or tax audit experience.”
Second, having a tax debt with the IRS is a stressful ordeal. The company’s representatives should keep this in mind in every communication with Mike instead of being rude and condescending.
|James C. 11/08/2021 BBB||James claimed that he paid the $399 discovery fee to Jackson Hewitt to investigate his tax issue with the IRS. According to James, the representative assigned to his case provided only “vague details” of his tax debt issue and indicated that the local franchise office would contact him. |
James claimed that no one ever followed up with him on his tax issue. He believes “they got my money and then ghosted me.”
|If James’ claims are true, the representative’s handling of his case is troubling. Jackson Hewitt claims that a dedicated tax resolution team will evaluate your case and provide options for resolving your tax debts with the IRS (and/or state tax agency) during the Discovery Phase. In this case, however, the representative could not provide anything to James beyond “vague details,” a far departure from the robust review the company advertises in the Discovery Phase. |
What is equally troubling is that no one ever followed up with James on his tax case, despite promises that the local office would contact him. This illustrates the potential issues that can come from the company assignment of your case to a local franchise - tthey may not have the resources, expertise, or bandwidth to help clients with their tax debt problems.
|Anonymous BBB complaint 10/09/2020||The former client claimed that s/he retained Jackson Hewitt’s services in October 2019 and paid a $1,400 fee to the company. According to the client, the company told her that a payment plan was the only available resolution, despite previous assurances that she could qualify for other relief options. |
The client attempted to seek a refund, but was not able to reach any representative assigned to her case.
According to a response from the company, Jackson Hewitt agreed to refund the client a mutually agreed upon amount.
|This client’s experience, if true, highlights the disconnect between what the company promised him or her and what the company actually delivered. This is a common complaint of tax relief companies in general – they use a “bait-and-switch” approach where they give lofty promises to the client in order to collect the fee, and ultimately deliver a result far short of that promise. |
Additionally, while the client ultimately received some kind of refund from Jackson Hewitt, the fact that s/he had to follow up repeatedly (to no avail) and file a BBB complaint illustrates the potential difficult in getting your money back.
Jackson Hewitt provides a money-back guarantee if a request for a refund is made during the Discovery Phase or within 30 days of the company providing the Discovery Phase service.
Practically, this means that you can only get back your $399 Discovery Phase if you request it within the prescribed timelines.
There were not many reviews about the company’s guarantee policy.
In a BBB complaint, however, a client had to repeatedly follow up and file a complaint in order to get some kind of refund from the company.
It is unclear whether this client requested the refund within the prescribed timeline, but it does show potential difficulty in obtaining a refund even if such request is made during the prescribed timeline.
Alternatives to Jackson Hewitt Tax Resolution
Below is a comparison of Jackson Hewitt Tax Resolution and other established tax relief companies:
|Jackson Hewitt Tax Resolution Services||Anthem Tax Services||Optima Tax Relief||Community Tax|
|Minimum Debt Required|
|Turn Around Time|
|Dedicated Case Manager|
|Speed of Service|
|Tax Relief Phone Number|
Is Jackson Hewitt Tax Resolution Worth It?
I don’t believe Jackson Hewitt Tax Resolution is worth the money or the trouble.
Based on the tax resolution services section on the company website and the lack of client reviews, Jackson Hewitt does not appear to prioritize this business line, which may mean less resources and qualified staff to deal with your tax debt issues.
This is further highlighted by the fact that Jackson Hewitt can assign your case to one of its many franchisees.
Who Jackson Hewitt Tax Resolution Is Best For
Jackson Hewitt Tax Resolution is best for individuals who have simple back tax issues that can be easily resolved through actions such as amending a return.
Who Jackson Hewitt Tax Resolution Is Not For
Jackson Hewitt Tax Resolution is not for individuals who have complicated tax problems and are seeking to substantially reduce their debts with the IRS and/or state tax agency.
If the third-party sites are true, Jackson Hewitt’s fees are relatively lower than other tax relief companies.
That said, based on my research, I did not get the impression that Jackson Hewitt prioritizes its Tax Resolution business, which may potentially mean you will not get quality representation for your case.
Frequently Asked Questions
- How much does Jackson Hewitt charge for tax returns?
Given that most Jackson Hewitt offices are independently owned and operated, the fees can vary depending on the office, the complexity of the return, and any ancillary services the client chooses to purchase (e.g., audit protection).
Client reviews on BBB show a range between $200 and $700, although some clients have cited higher fees.
- Does Jackson Hewitt file back taxes?
The company does file back taxes as part of its Tax Resolution business.
- Are tax debt relief companies legitimate?
There are some legit tax relief companies that genuinely try to help clients with their tax debt issues.
The industry, however, is full of bad actors that mislead and overcharge clients.
You should do your due diligence if you are considering retaining a tax debt relief firm to help resolve your tax debts.
- What happens if Jackson Hewitt messed up my taxes?
Jackson Hewitt has a worry-free guarantee plan that you can purchase.
Under this plan, if the company makes a mistake on your tax return, you can get reimbursed for any reduction in the refund or additional tax liability up to the amount outlined in your plan.
That said, several BBB client reviews indicated it was difficult to get any recourse or refund if Jackson Hewitt messed up your taxes.
- How much do tax resolution companies charge?
The fees that tax resolution companies charge will vary depending on the company and your specific case.
Complex cases such as an Offer in Compromise will be expensive, while a simple case such as removing a tax lien will be cheaper.
As a rule of thumb, companies typically charge $2,000 through $7,000, although fees can be higher in certain circumstances.
Steve Ching, J.D., covers tax topics for Money Done Right. He is a practicing tax attorney and also has several years of experience at national accounting firms. Steve is passionate about writing and helping people understand and resolve their tax issues.
Logan is a practicing CPA and founder of Choice Tax Relief and Money Done Right. After spending nearly a decade in the corporate world helping big businesses save money, he launched his blog with the goal of helping everyday Americans earn, save, and invest more money. Learn more about Logan.