Facing A Tax Audit - Do You Need Tax Attorney?

Facing A Tax Audit - Do You Need Tax Attorney?

Because there are so many different types of taxes, tax law is an extremely specialized area of expertise. This implies that not every lawyer has the same expertise in every kind of tax issue, and as a result you would be wise to prepare thoroughly, and spend more time researching good tax lawyers than you would normally do with problems that require any other kind of legal expertise.

The biggest fear of most Americans is a tax audit. If the IRS audits you, it is time to retain an experienced tax lawyer. Audits are undeniably scary things. That being said, not all audits are equal. The IRS, in fact, uses three different types of tax audits. The tax attorney is the person who can help you now.In most cases, a correspondence tax audit will be utilized. In such an audit, you are informed that there is a problem, and you will be asked for additional information or payments. If you are uncomfortable with giving the information asked for, you should refer to a tax lawyer. If the audit summons you to pay money, you should determine whether you are willing to pay or whether you want to fight this summon.If you are asked to come to an office with materials supporting your claims you are now being given an office audit, which is the next level beyond a correspondence audit. The agent might try to trick you into giving more information than you legally need to. The best way to handle an office audit is to bring an experienced tax lawyer.The most dreaded kind of IRS audit is the field audit, in which agents come to your home or office and start seizing papers. You absolutely must have a tax audit lawyer if a field audit is likely. The tax audit lawyer will sit down and talk with the agents, in an attempt to guide their efforts away from subjects that might be uncomfortable to you.When the IRS comes calling, it is extremely important to take the situation seriously. They aren't auditing you unless the agency believes you are playing games with your taxes. The agent's mindset will not be whether you have done something wrong. Instead, it will be how to find proof you've done it. This mindset often leads to further tax assessments and even jail time for tax evasion.An audit can give you years of stress. When you decide to keep a tax audit lawyer you must choose the right person.You would be well advised to choose a tax audit lawyer whose only thought is to go to bat for you. Insist on no less than seven years of experience in the field; more is better. Keep in mind that this person is defending you; you don't want someone who is still learning the ropes. Let someone else's case be the place of learning, while you retain a lawyer who has already been battle-hardened.

By: Ron Finkelstein