HUMBLE, Texas – It was the first time the Pena family had someone else prepare their taxes. Typically, they do it on their own, but things were different when their income changed that year.
The Pena’s told KPRC 2′s Rilwan Balogun they tried filing their taxes but were alarmed to see they would owe the IRS $30,000. They sought a second opinion and were recommended Tax Doctors, LLC.
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Tax Doctors LLC offers several services, according to its website, including Tax Filing, Credit Repair, Cash Advances, Virtual Tax Services, and Business Consultations.
The Pena’s claim Tax Doctors, LLC’s assessment found the Humble couple owed the IRS $30,000. They say their tax preparer told them while using the company’s proprietary software they would receive up to $20,000 in refund but they must first pay the company $17,700 to file. The couple ultimately paid for it in more ways than one.
Heather Pena said the IRS accepted their 2022 taxes without issue. However, they were sent at least two letters from the IRS regarding their 2021 filings. The letter showed two lines on their forms were “incomplete or missing.”
The Pena’s shared documentation of them making efforts to reach Tax Doctors, LLC, and their owners to fix the problems.
The couple alleges the company didn’t complete the work. So, they hired a different CPA who shared with them that instead of owing $30,000 to the IRS, they owed $8,000. The CPA charged $300 to complete the filing, not $17,700.
Around this time, the Penas hired attorney Matthew Key who sent Tax Doctors, LLC a letter demanding the company stop “the normal retention and destruction policies for documents” and “preserve and retain” the following:
“(1) correspondence in any form between you and my clients;
“(2) correspondence in any form by, between, or among all officers, directors, owners, managers, and/or employees of Tax Doctors regarding my clients’ tax return; and
“(3) all files, folders, notes, memoranda, and any other writings, recordings, or other data regarding my client’s tax return and/or the Matter.”
The letter ends by demanding all be done by the end of 2023.
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Tax Doctors, LLC’s attorney Timberly Davis in a statement, said her clients, Tax Doctors, could only file paperwork they have.
“My client, Tax Doctors, LLC, has been in practice for over 10+ years. The Pena’s have used their services before. In this country, we have the justice system for those to litigate true claims, not the media. Tax preparers can only file information and documents that are given to them by the claimants. Once filed, tax liability is ultimately up to the IRS,” Davis said.
Tax Doctors, LLC’s other attorney, George Powell, said the documents the IRS wanted weren’t in their possession.
“The tax client, who had their taxes prepared, were in control of those documents. And so, my client didn’t have them to send them, or they would have sent them,” Powell said. “My understanding was that everything was done. So, I don’t think the question is whether the services were provided or lack thereof. I think they were provided; I think the Penas may have been unhappy with their return based on the fact that the documents were missing from the IRS.”
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Heather Pena admits Tax Doctors filed her 2022 taxes without issue.
“Okay, that’s two separate things,” Pena said. “Just because I did one thing good doesn’t excuse, I did the other thing bad. The other thing was straightforward, it was on time, it wasn’t a past year, it was a current year. It was very straightforward just entering the data. I should have done it.”
Powell said he’s willing to try and get all matters resolved between both parties.
“I can help facilitate finding out some things,” Powell said. “I would love to see them recover whatever is coming to them.”