In the taxation and financial industry, many different types of professionals dedicate their careers to helping individuals navigate government taxation. For some, only the help of a tax professional or an accountant is needed to file their taxes. In fact, some individuals may even be able to do their taxes completely on their own.
Others, however, aren’t so lucky. Individuals with multiple properties, complex financial situations, or who owe a significant amount of money might need the help of someone with deeper knowledge of tax law. In these cases, hiring a tax attorney is often the best way to ensure nothing goes amiss during the filing process.
Determining which kind of tax help you need can be a tricky task. If any of the following situations sound like yours, it might be time to hire a tax attorney to help you navigate paperwork, tax law, and the expectations of the IRS:
Signs You Need the Help of A Tax Attorney:
1. You’re Facing an Audit
If you find out that the IRS wants to audit you or your business, consider hiring a tax attorney right away. The best tax attorneys can help you prepare paperwork and records for the audit so that you don’t get into hot legal waters over tax technicalities. Though not all audits end up going to tax court, an attorney can help you through the legal process if it becomes necessary.
2. You’ve Been Charged with A Crime
If you’ve been charged with a tax crime, you’ll definitely want to have a tax lawyer by your side. The best tax lawyers can defend you in court to ensure the best possible outcome, so that you don’t end up facing enormous fines.
3. You’re Selling (or Buying) A Business
Business tax code is almost always more complicated than individual tax code. Ensure that your major company transactions are handled properly to protect your livelihood and financial future, and seek the help of a tax attorney.
4. You’re Leaving Money to An Heir
Whenever a large amount of money changes hands, it’s a good idea to at least consult with a tax attorney. This step is a great way to be absolutely certain your money ends up where it should, so none of your family members end up with the IRS knocking at their doors.
5. You Owe Extensive Back Taxes
Finally, owing back taxes can get you or your business in serious legal trouble, even if the issue was a genuine mistake and not true tax evasion. If you find out that you owe a large sum in back taxes, seek the help of a tax attorney. A lawyer will be able to help you create a manageable repayment agreement with the IRS.
In 2018, the IRS was expected to process about 155 million individual taxpayer returns. While the majority of these returns were straightforward, some special cases require untangling by a legal expert. If any of the above scenarios sound like you, consider hiring a tax attorney. With a lawyer’s guidance, you’ll be able to protect your standing with the IRS and keep your financial boat afloat for more tax seasons to come.