When it comes to essential tax knowledge, most people know not much! If you belong to this group and you’re trying to operate a business, you’re probably courting disaster. Tax pros can help make your business run smoothly and keep potential legal issues at bay.
If you’re planning to hire a tax lawyer but could use a little more push, below are solid reasons to pursue the plan:
Professional Tax Knowledge
tax code at present runs above 2,000 pages. You likely won’t dream of reading it even if you needed to. Don’t take chances with your business to save a small amount. With an attorney, you can make sure that everything is done right. Needless to say, a lawyer is an expert of law and can guide you along current state and federal guidelines.
Assistance with Returns
Perhaps the most appreciated advantage of hiring a tax attorney is getting help with the filing of your returns. As well, your tax lawyer can assist you with with amended or late returns, and extensions to make sure that everything is being handled as efficiently as possible.
A tax lawyer can work as an intermediary for instances where your business is audited or must communicate with the IRS for whatever reason. You might find this scary on your own, but an attorney can tell what questions would be asked, and therefore what information must be on hand so as to fix the issue.
Protection for Your Assets and Payment
An attorney can ascertain that your income and assets are protected using various methods such as settling debts with a compromise offer or setting up an installment agreement.
When Should You Hire a Lawyer?
Ideally, before anything goes wrong, you’ll want to be ready with an attorney. But, in certain situations, you will actually need a legal professional working for you. The following are examples:
If you’re being audited by the IRS, a lawyer can guide you in the process and keep it as smooth and penalty-safe as possible. You’ll be happy you hired an expert, knowing how nerve-wracking this experience can be.
Hiring a tax lawyer is necessary when you face criminal charges from the IRS. Tax evasion and fraud penalties can include jail time.
Even without any violations, you may find it stressful to talk to anybody from the IRS. If, for any reason, you have been instructed to communicate with the IRS, the best way to do it is with an attorney acting as an intermediary.