TaxMasters: Over 16 Percent of Americans Will Contribute to the Tax Gap for the 2010 Tax Year

On Monday at 11:50 pm EDT, the U.S. tax filing deadline passed and estimates show that over 16 percent of Americans will fail to file their 2010 federal tax returns, report their full income or pay their full 2010 tax liability, costing the federal government upwards of $490 billion in revenue for the 2010 tax year.

“During a time of contentious fiscal debate in Washington, D.C. over the mounting deficit and needed funding for our country, it is not only the legal obligation of taxpayers but perhaps their most important patriotic duty to pay the IRS the money they legally owe,” said Patrick Cox, CEO of TaxMasters, the leading tax compliance and repayment services provider in the nation.

Cox adds, “Although tax filing can be a stressful and time consuming process, taxpayers need to remember that their returns support our soldiers fighting overseas, pay for police and fire programs in our communities, and provide us with the clean water and utilities we often take for granted. By choosing not to pay taxes and comply with IRS guidelines, these free riders are costing us all.”

TaxMasters advises those who have missed the April 18th deadline to contact a local CPA or tax representative to help prepare your returns and promptly file with the correct deductions and statements, in order to help avoid any further penalties or interest. If you have not filed in three or more years, or are being contacted directly by an IRS collection agency for significant amounts owed, it’s in your best interest to seek professional help from a tax representation firm.

“If you choose to take on the IRS independently, they will assume you know all of your options and hold you accountable for whatever you agree to. A tax representative can ask the questions and execute on options you might not be aware of,” says Cox. “The best strategy is to get your files in order months before the filing deadline and stay in compliance with the IRS, to help not only your own financial future, but the well being of the country.”

About TaxMasters, Inc.

TaxMasters, Inc. (OTCBB: TAXS) is the first publicly traded tax representation firm in the United States. Started by Patrick R. Cox in 2001, TaxMasters offers a full suite of compliance and repayment services to taxpayers across the country facing seemingly insurmountable tax problems and substantial federal tax debt. Tax services from TaxMasters include IRS consultations, tax return preparation, settlement analysis, and assistance with IRS automated collections, Revenue Officer involvement and collection due process.

Employing over 300 people, TaxMasters leverages the expertise of ex-IRS agents, enrolled agents, attorneys, CPAs, and seasoned consultants ready to counsel and assist the US taxpayer with their specific tax problems today. TaxMasters is not a law firm or a CPA firm.

For more information about TaxMasters, Inc. and its commitment to help taxpayers in the United States solve tax problems, please visit www.txmstr.com.

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Forward-Looking Statements

Any forward-looking statements, as defined in the Securities Exchange Act of 1934, in this release (often identified by such words as “believes,” “expects,” “beginning,” “intended,” “planned”) regarding future expectations, objectives, and plans for TaxMasters, Inc. are based on opinions and estimates of management at the time the statement was made. Various known and unknown factors may cause actual results to be materially different from the expected outcomes. TaxMasters, Inc. does not, as a matter of policy, update or revise forward-looking statements. Actual results may vary materially.