You may need services of a tax attorney at one time or the other. Here are 4 signs you need a competent tax lawyer.
Preparing and filing taxes can be a complicated process. However, you can manage to file the taxes on your own. But that doesn’t mean that at one time or the other, you may require legal help to resolve some complex tax issues that come your way. Do you know when you will require a competent tax attorney on your side? Here are 4 signs that show you need a tax lawyer.
When facing a tax audit
The IRS can decide to audit your business after noting some irregularities when filing your taxes. The agency may notice that you have over-reported business expenses, under-reported your income, among other things that can raise a red flag. For the audit, you need a tax lawyer to prepare the paperwork for the tax audit. The lawyer will also help negotiate on your behalf for a settlement to avoid going to court in case the audit finds serious issues with your taxes. Also, when the audit ends up in court, the legal expert will represent you well in the legal process.
Charged with a tax crime
When the IRS finds purposeful irregularities on your tax returns, you are likely y to be charged with tax crimes. These tax crimes can include tax evasion, no reported sale taxes, among others. When you are charged in court, you will need a competent attorney to help you get a favorable outcome. When you hire the right attorney, you will be guaranteed of a favorable outcome to ensure you don’t go to jail or pay heavy fines.
When you have a huge tax debt
When you have a huge tax debt, you are likely to face collection actions from the tax authority. Enforcement action include tax liens, wage garnishments, asset seizure, among other actions. A competent attorney will help negotiate for a payment plan and even apply for offer in compromise just to help you settle your debt. A good lawyer will also explore other tax relief options that can help you resolve the issue of tax debt and get IRS off your back.
When buying or selling a business
When buying or selling a business, huge sums of money will exchange hands. You need tax attorney who can assess if the business you are buying is tax compliant. This will prevent you from buying a business with a huge tax debt. Also, the attorney can help you in the documentation.
Why would you need a tax attorney?
Tax lawyers specialize in technical as well as complex tax laws. When you find yourself in a tax situation that you may not resolve easily, you will need a tax lawyer. The Lawyer will guide you and represent you in the whole legal process until the tax issue is resolved. Also, consulting a tax lawyer in advance can prevent tax problems,
Can a tax attorney negotiate with IRS?
Yes, a tax attorney can negotiate with the IRS on your behalf. You just need to sign a document authorizing the lawyer to represent you. That way, the attorney will negotiate for the most ideal installment agreement plan based on your financial situation.
At one time or the other, you will need a competent tax attorney by your side. The attorney will help you in negotiating for a tax debt repayment plan, offer in compromise and even help you prepare and file documents when selling or buying a business. Therefore, a tax lawyer is an important person, and you should have one by your side to guide you always.