When Is the Right Time to Call Your IRS Tax Attorney?

An IRS tax attorney is very crucial for any individual or business owner in need of tax services. Contact Collins Legal, PLLC for more information today.

Hiring the services of an IRS tax attorney may have never crossed your mind, and while you may think of these attorneys as more of a luxury than a necessity, you may sooner or later need their help.

Who Is an IRS Tax Attorney?

While most business owners have accountants to crunch the numbers, only a handful have tax attorneys to do their biddings in a court of law. A tax attorney is a law practitioner with a specialty in the complex and convoluted field of tax law.

Most reputable companies and even small businesses have tax attorneys to help them with legal aspects of taxes. These lawyers also help them avoid problems with the law regarding taxes, if consulted early enough.

When Is the Right Time to Call an IRS Tax Attorney?

This question has no definite answer, so it’s better to have your tax attorney on speed dial every time. The Internal Revenue Service is always on the lookout for any tax breaches or evasions, and they might catch you on the wrong side of the law without you even knowing it. Here are a couple of situations that may warrant an IRS tax attorney, so you’re never caught with your pants down.

1. When You Are Starting a Business

It makes complete sense to hire a tax attorney before getting your business off the ground, but most folks don’t want to spend their money on something that isn’t compulsory and they end up regretting it. Take, for instance, a CNBC small business survey in 2016 that concluded that 22% of business owners had no idea of their effective tax rate.

Remember, tax law is a very abstruse subject, and a tax attorney will help you navigate this confusing subject. The attorney will help you decide whether you should be the sole proprietor or any tax ramifications your business may incur if you opt for a particular business model.

2. When You Are Buying or Selling a Business

The process of buying and selling a business minus the tax legality issues is in itself a tricky matter. Add tax law into the mix, and you’re looking at a very complex transaction. Going it solo when buying or selling a business is something you should never attempt no matter how extensive your knowledge of commerce is. It’s always better to have a tax attorney give you some tax help and advise you on allocation matters, among other things.

3. When You Want to Leave Inheritance to Your Heirs

Leaving money or property to your heirs has its regulations that your tax attorney will guide you through. It’s even better when you have both a tax attorney and estate planning attorney to work together for the best outcome. While your tax attorney will help you through the tax ramifications of any gifting process, your estate planning lawyer will advise you on how to distribute your properties and under what terms for maximum gain for your next of kin.

4. If You Have a Tax Problem

For most people, being audited sends dreadful shivers down their spine. If you’re under audit, you don’t need to spend hours on end fretting over it. An audit doesn’t necessarily mean you’re in any trouble but is just a way of the IRS saying they want to review your tax records. If things get a bit sticky and the IRS asks you to go to court, then you might want to call your tax lawyer as soon as possible. You can also have IRS tax lawyers appeal and audit the decision if it doesn’t sit well with you.

5. When You’re Feeling Jittery

If you have this gut feeling that everything isn’t right with your taxes, then don’t hesitate to call your tax attorney. They look over all the documentation and conclude whether you’re in line with the law or whether you need to make amends.

An IRS tax attorney is very crucial for any individual or business owner in need of tax services. So next time you have any issues with your taxes, don’t hesitate to call Collins Legal, PLLC.