An IRS bill, audit or investigation can create taxpayer stress. Individuals and business owners in this situation often feel overwhelmed and unsure about how to proceed.
Review these reasons to hire an experienced tax attorney when facing an IRS issue.
Negotiate an income tax settlement
An experienced attorney can help you create and submit an offer in compromise to the IRS if you owe taxes you cannot afford. If the IRS accepts your offer, you can settle your tax debt for less than the total amount. An attorney can also negotiate reduced fees and penalties for past-due taxes.
Understand complicated tax laws
Many taxpayers feel uncomfortable with the tax terms, laws and calculations used by the IRS. An attorney can answer your questions and explain unfamiliar concepts and jargon. He or she can also talk to the IRS on your behalf.
Have an experienced advocate
While you may already have a certified public accountant who handles your taxes, he or she cannot represent you in tax court or in official IRS proceedings. A tax attorney has the experience and approval necessary to practice in these settings. It is especially important to seek legal defense when facing charges of tax evasion or fraud.
Most IRS audits take place through the mail and do not require you to appear in court. However, an attorney can save you time and money in this case by corresponding with the IRS on your behalf.
While some audits occur for routine reasons, others can result in serious consequences. These are the key advantages of consulting with a tax attorney if IRS issues arise.
