IRS Audits: Should I Hire a Tax Attorney?
Regarding IRS audits, you do not need to hire a tax attorney. However, it is necessary to hire a tax attorney if you are being charged with a crime related to the IRS. In that case, you will need to make sure you hire a tax lawyer Georgia affiliated with the Law Office of Max Benkel to represent you. Sometimes it is even necessary to hire a tax attorney if you are being audited for larger mistakes related to your taxes. It is possible that the IRS may charge you with fraud. However, an Atlanta tax attorney can help you with your case.
IRS audits may seem frightening, especially if you did nothing wrong. However, individuals are not randomly chosen by the IRS when they begin auditing tax returns. It also doesn’t necessarily mean that a person has made a mistake on their taxes just because they are being audited by the IRS. Additionally, there are times when hiring a tax attorney Georgia is necessary, and there are also times when you can handle the issue yourself.
The beginning of the audit process involves the IRS sending you a notice via the mail inquiring about particular items on your taxes. For example, the IRS may question your charitable giving or even your home office deductions that you have listed on your taxes. The letter will explain in detail the steps that you need to take in your response as well as a deadline to respond back to them. The IRS will also request documentation to prove your claims.
This is the point at which you have the ability to solve the audit on your own. It is necessary for you to make copies of all documents and records. For example, if the IRS is inquiring about donations made to your church, you can make a copy of the annual total on the paperwork that you receive from your church.
On another note, if they inquire about your home office, you should take pictures that prove your home office is specifically used for work purposes only. These documents and pictures should then be sent to the IRS along with a letter explaining what each one is. Most audits will then be resolved following this information.
How can an attorney help?
If you receive another notice from the IRS after sending in your previous records, it is time to begin considering hiring a tax attorney Atlanta. This second notice that you receive may ignore your first notice, or even challenge it.
The only time it is extremely necessary to hire a tax lawyer Atlanta is when the IRS is charging you with a crime. Two crimes that the IRS can charge you with are tax fraud and tax evasion.
You may be charged with tax fraud if you have been audited by the IRS for mistakes that were considered large. This second notice will explain if they are charging you with tax fraud. At this point, it is necessary to seek an Atlanta tax lawyer.
If the IRS has accused you of hiding funds, they would be charging you with tax evasion. However, the majority of audits can be taken care of without an attorney. The second your freedom is on the line; an attorney is absolutely needed.
An attorney is beneficial in hiring because he or she will frame your case in your favor and put pressure on the IRS to settle without you going to prison. This is worth the fees that you will pay to hire an attorney.
By hiring a tax settlement attorney, negotiation techniques can be used to reduce the tax liability held against you. You should not wait until after the auditor has made the decision to begin defending your position. When you hire a tax attorney to represent you, this shows the auditor that you are serious about protecting your rights.
When it comes to problems you may face following a tax audit, tax liability is just the tip of the ice burg. If the auditor makes the decision that they have enough evidence against you, it is in your best interest to hire an attorney.