When Do you Need an Attorney?
When to Consider Hiring a Tax Attorney
There are a number of tax situations when you should consider hiring a tax attorney to represent you. Some of the reasons are:
Legal representation helps you negotiate with the IRS during and after an audit. An effective attorney can help settle the debt for less than you owe by making an offer in compromise, seeking a penalty abatement or requesting a payment plan.
Negotiating with the IRS
Often the language used in tax situations and the complexity of IRS bureaucracies can make it difficult to know what to say and to whom. Providing a tax attorney with a power of attorney allows your legal representative to speak with the IRS on your behalf.
Received an IRS Notice or CP
The IRS sends notices, also known as CPs in IRS jargon, to inform taxpayers about hundreds of different matters, from an error on a return to tax debt reminders. Knowing how to proceed after receiving such a notice can be confusing and require the assistance of a qualified tax attorney.
Occasionally, the IRS is mandated to pursue criminal charges. In such cases, you need to hire a tax attorney. Tax evasion and tax fraud are the most common causes of criminal IRS investigations. To avoid or reduce prison sentences and hefty fines, consider hiring an attorney.
How Does a Tax Attorney Help?
A tax attorney serves as your advocate in dealings with the IRS. In addition to speaking and negotiating with the IRS on your behalf, a tax attorney is often able to dissuade the IRS from pursuing inappropriate lines of questioning. A tax attorney also is expedient, understanding the complexities of your issue and the processes necessary for resolution. An attorney saves you considerable time in closing any open matters.
Tax attorneys specialize in tax law, having spent three years in law school and years of practice understanding the intricacies of the case law and legal precedents. A tax attorney is familiar with the approaches that work best for solving your dilemmas, have advanced negotiating skills and are unlikely to be intimidated by IRS officials.
A tax attorney provides you with attorney-client privilege, ensuring that discussions with you are confidential by law. Attorneys cannot be forced to share what they know about your case in depositions, hearings or trials. You can disclose any and all details related to your case, brainstorm solutions, and be confident that conversations will remain private.