A tax attorney is a lawyer that deals specifically with tax law. But how do you know that you need one? Is it possible to do the work yourself?
Advantages to Hiring a Tax Attorney
Disadvantages to Hiring a Tax Attorney
- You can be sure that a professional is handling your taxes. Your attorney probably has a better knowledge of tax law than you, and they’ve dealt with the IRS before.
- You’ll have someone to translate all the legal jargon for you. Instead of struggling with terms that you’ve only heard in a tax context, you will have hired someone who can patiently explain to you what’s going on.
- Tax law can change from year to year. It’s your attorney’s job to stay on top of those changes. You’re a busy person, and your life doesn’t revolve around taxes. As a result, you could be paying too much or you could get in trouble with the IRS.
- They can be there to help you through an audit. Many people find dealing with the IRS directly to be an intimidating experience.
- They can be pretty expensive. An experienced tax attorney may charge as much as $1,000 per hour. You’ll also have to pay any fees or fines that you may owe the IRS.
- You may find someone who doesn’t know what they’re doing. If you don’t do your homework, you could end up with someone who’s inexperienced and just trying to make some money.
- There are some problems you can resolve yourself. You don’t need a tax attorney to just pay your taxes. You can do your taxes with software such as TurboTax, or seek out a certified public accountant.
- You can deal with an audit yourself. It might be a little scary, but if you do your research and know your rights, it is possible for you to survive your encounter with the IRS.
- You can represent yourself in tax court. If you do have a good understanding of tax law and you feel that the IRS has wronged you, you don’t have to pay someone else to argue your case.
The Internet can be a great resource, whether you’re trying to figure out how to file your taxes, or if the IRS is already on your back about a mistake that you’ve made. Many former lawyers and accountants want to help people who have had trouble with the IRS. You can also learn from others who have been through similar troubles.
