If filing your annual tax statements is generally a fairly straight forward and easy process, you might not think of turning to an accountant or tax specialist for professional advice on preparing your return. In other instances, however, seeking professional help from a tax attorney can be almost necessary. Tax lawyers and accountants are trained professionals that can help you understand the questions you have and give you solid suggestions for maximizing the amount of tax-free income (if any) that you have or reducing any tax liability you may have. While it’s true that everyone, at one time or another, has made a mistake, it’s also true that if you take the time to file your taxes properly, there will probably be very few problems with your return.

Some common mistakes include forgetting to report stock options and dividends received as income, under-reporting foreign profits, under reporting rental income, or even underestimating deductions that you could potentially get. A tax specialist can help you negotiate these issues with the IRS and can advise you on how to deal with the resulting penalties that may result. While many taxpayers do not face penalties for these kinds of errors, the amount of money that isn’t owed to the IRS can still become a financial burden. The best way to avoid having to pay back a penalty is to make sure that you file your return correctly, fully reporting all financial activity.
Many small businesses owners don’t realize until they go to the tax accountant what exactly their businesses stand to gain from filing an income tax return on their own. Often, it’s simply too much work to hire a tax accountant to prepare your returns, or they don’t have time to devote to such efforts. In addition to being an expensive endeavor, this also delays the release of your income tax refunds.
The tax attorney or tax professional that you hire may also be able to do much more than just prepare your returns. They may also be able to suggest reasonable deductions that you might qualify for, and to review your receipts for accuracy. When you’re self-employed, you may have some deductions that your accountant does not provide you with. For example, if you personally handle your business finances, rather than hiring a separate accountant, you can claim your personal deduction expenses related to running your business. If you’re married, your husband can also take advantage of this deduction, which can be very helpful if you have family members who are also directly involved in your business.
Another thing that the tax attorney can do for you comes in the form of a compromise. Taxpayers often feel that the IRS will agree to their terms if they simply send in a large amount of paperwork. The IRS may accept one portion of the compromise offer, but the taxpayer may need to pay an additional tax due at the end of the year. If the taxpayer doesn’t have the money available upfront to pay this tax, they may request a payment plan that will allow them to make payments over time. The tax attorney can help with these types of compromise agreements as well and will look into whether or not the taxpayer actually owes the extra money at the end of the year.
Tax attorneys can help you get through your tax consequences if you have a large business, or if you are self-employed. If you owe taxes, or you’re worried about what the IRS is going to do to your taxes, you may want to consider hiring a business attorney to negotiate your taxes for you. If you are confident in your ability to pay your taxes, but don’t want to deal with the stress of facing your tax consequences, a professional tax lawyer can help you get through it.
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