Should You Hire a Tax Attorney?
It’s the kind of mail nobody wants to receive—a letter from the IRS. It’s pretty much given that any mail you get from the agency is most likely not going to contain good news. If you receive a letter from the IRS you have an important decision to make. Should you try to represent yourself in IRS matters or does it make more sense to consult and hire a tax attorney?
Here are some general guidelines. Please remember, this should not be considered professional legal advice as all situations are different.
Consult Immediately with a Qualified Tax Attorney:
- Accused of anything with possible criminal consequences. That includes anything that involves court proceedings and that could lead to a possible jail sentence, asset forfeiture, or general criminal conviction.
- Independent Contractor Issues: Questions about your 1099 status working for a client or as a business that employs 1099 contractors. The wrong answers on either side of this issue can lead to substantial fines and penalties.
- Foreign Tax Matters: Taxpayers earn more than 90-billion dollars overseas yearly and problems continually come up regarding reporting requirements. A qualified tax attorney can sort through confusing tax reporting rules to help you reduce or eliminate fees and penalties.
- Offshore Accounts: In the last five years the IRS has aggressively pursued taxpayers with money in offshore accounts. FBAR reporting requirements can be tricky and a lot of IRS enforcement actions depend on if you’ve fulfilled your reporting requirements and/or paid the required taxes.
- Corporate and Business Taxes: If you have issues regarding your corporate or business taxes , it’s always more cost-effective to work with a legal tax specialist who is well-versed in corporate and business tax issues. In general, businesses have greater exposure and more rules and regulations to follow than individuals. A qualified attorney can help minimize financial consequences.
- Individual or Corporate Audits: Even though many times audits can be nothing more than questions about one particular part of a return, a wrong-step in the process can open you up to other IRS actions and cost you thousands in penalties and interest.
Consultation Not Necessary:
A lot of the time IRS correspondence can be nothing more than a request for missing or supporting documentation. For instance, the agency could request a mileage log to verify your usage of your personal auto for business. In cases like this you can provide the requested information without worry.
Still Not Sure?
RJS LAW will gladly provide you with a free consultation with our tax law experts. We’ll sit down with you, confidentially review your current situation, and provide you with options. A lot of the time that first, free meeting is all you need to come up with a plan of action.
Contact or call the Tax Law Experts at RJS LAW today at (619)-595-1655. We’re here to help. Our team of highly qualified tax attorneys are happy to help you whether you need a tax attorney in Irvine or San Diego.