The American taxation process can be extremely complicated and confusing. As of the 2013 tax season, the U.S. federal tax code numbered a total of 73,954 pages. Therefore, professional tax knowledge is key in keeping and defending your assets. In particular, a tax attorney is a lawyer who specializes in the complex and technical field of tax law and is best for handling complex, technical and legal issues. Here are just a few important reasons you should find a tax attorney:
• If you owe back taxes to the IRS and need to determine the best legal means to lower your tax debt.
• To represent you before the IRS in an audit.
• To defend against or remove an IRS levy where the IRS takes money directly from your pay check (wage levy) or your bank account (bank levy).
• To protect an “innocent spouse” where the actions of a former or current spouse have created a legal or financial tax issue for the innocent spouse.
• To assist you in legally removing IRS penalties and fines (called penalty abatement).
• If you have a taxable estate and need to make complex estate planning strategies or need to file an estate tax return.
• You are starting a company and need legal counsel about the structure and tax treatment of your business.
• You are engaging in international enterprise and need help with contracts, tax treatment, and other legal matters.
Finding a good tax attorney is a must if you are in any sort of legal trouble with the IRS. You should consult a tax attorney if you plan to bring a suit against the IRS or seek independent review of your case before the US Tax Court. Most importantly, if you are under any sort of criminal investigation by the IRS or have committed any form of tax fraud, you should find a diligent tax attorney as soon as possible.
Another reason why finding a tax attorney is beneficial is that they are the only types of professionals that have attorney-client privilege, meaning they are legally exempt from being forced to testify against you in court.
The IRS is the largest collection agency in the world and they have a great amount of power. A tax attorney’s job is to restore that balance of power and help you pay the lowest amount of tax that the law provides.