1. If you have a pending a tax dispute with IRS
Most disputes with IRS stem from audits of your recent or past returns. It is, therefore, important that you hire a tax relief attorney as soon as the agency notifies you of an impending audit. The attorney comes in handy in handling communications between you and the IRS, represent you and negotiate for settlements during the audit, devise strategies of reducing the tax burden and even help avert potential criminal charges against you.
2. When charged with tax fraud
If you failed to file returns, pay taxes due, or reveal all sources of your income and the IRS opened up investigations about it, it is time to lawyer up. San Bernardino tax attorney advice against self-representation as most of your statements may be self-incriminating. You need a lawyer to help frame your communication in the most favorable way and avoid heavy fines and incarceration.
3. To help your family reduce the tax burden on the estate after
If you die and leave behind an estate, your beneficiaries are required to pay up to 40 percent of the value of the estate if it exceeds the $5.49 million exception threshold as of 2017. By hiring a tax relief attorney, they can help devise estate planning strategies that keep your estate below the taxation threshold.
4. When registering a business
Professionals at San Bernardino tax attorney office believe that planning for your taxes should start during business registration. They emphasize the fact that the business setup you settle on has its unique tax ramifications. Bringing on board tax experts when deciding on the nature of the business to register, therefore, goes a long way in helping you avoid future tax tussles with the IRS.
You can still represent yourself or have an accountant testify and represent your case with the IRS. But this exposes you to self-incrimination and the accountant can also be compelled to testify against you in future cases. A tax relief attorney on the other hand, not only helps you shape communications to your favor, but also operates under the client-attorney privilege implying that they have no legal obligation to spill the beans about your tax escapades to the IRS now or in the future.