No one wants to deal with the IRS, but if you are facing a tax audit, negotiation, or charge, you have no choice in the matter. Hiring an attorney who specializes in complex tax issues is more likely to produce favorable results than attempting IRS negotiations yourself. Not only can a lawyer guide you through the process based on personal experience and knowledge, they can also be one of the main determining factors in your audit or negotiation’s outcome.
When You Should Hire a Tax Attorney
There are a number of tax-related situations where it is advisable to hire a tax lawyer to help with IRS problems.
If you are being audited, legal representation can help you in the negotiation process throughout the audit. Experienced tax attorneys know how to make the IRS a compromise offer that can result in your debt being settled for less than what you owe. Other strategies involve requesting a penalty abatement, or aiding in the establishment of a payment plan to ease the repayment process for you.
Negotiations with the IRS
The IRS bureaucracy is a tough one to navigate through, and without knowledge of the applied language in tax contexts, you will find it hard to keep up and know what to say, when to say it, and whom to say it to. Giving a tax attorney ‘power of attorney’ means that your lawyer can handle all direct communication with the IRS on your behalf, and their goal is securing the best possible financial outcome for you.
An IRS Notice or CP
If you have received an IRS notice, also known as a ‘CP’, the IRS is warning you of a tax issue to due with your return or returns. These reminders can be regarding an error made or debts that remain unpaid. A tax attorney will know exactly how to proceed and can spare you the confusion and stress of trying to navigate those waters by yourself.
From time to time, the IRS is obligated to enforce criminal charges. In these situations, you most definitely will need the assistance of a tax attorney. Most criminal IRS charges are the result of tax fraud or tax evasion; both carry heavy penalties with eight out of 10 IRS criminal investigations resulting in prison time for the defendant. Hiring an attorney can help you completely avoid prison time, get a reduced sentence, and lessen hefty fines.
How a Tax Attorney Can Help
A tax attorney advocates for your in their interactions with the IRS on your behalf. They speak for you, negotiate for you, and can guide the IRS’s line of questioning. Tax attorneys do this for a living, so they move forward and through IRS dealings with efficiency and expertise. Hiring a tax attorney can save you a lot of time and money in the long run, not to mention the stress and frustration of going up against the IRS bureaucracy unarmed. Thanks to attorney-client privilege, your attorney cannot disclose any of the information you give them, and they still have to act in your best interest, regardless of what they know.
If you’re facing an audit, negotiation, or charge by the IRS, you might be asking yourself, “How can a lawyer help with IRS trouble?” An experienced and knowledgeable tax attorney can advocate for you and negotiate on your behalf while knowing the language and meaning of tax laws.