Tax representation isn’t only necessary if the IRS is trying to knock down your door. There are many instances when an attorney can greatly benefit you and help you through a difficult or complex situation. From audits to international business to complex deductions, finding quality tax representation can help save you money and in some cases, even keep you out of jail. Here are five instances when you need to have a professional represent you.
That word can strike fear into anyone and can cause incredible amounts of stress, anxiety, and pressure for all of those involved. If you find yourself facing an audit, start gathering all of your receipts and paperwork immediately and consider getting some tax representation. You can go it alone, but it often isn’t worth the risk or the headache. Having an attorney at your side can help speed up and smooth out the process so you can focus on leading your day-to-day life. Remember that you got yourself into this situation in the first place, so do you really trust yourself to dig out on your own?
If this is your first complex tax return, or you have greatly increased the amount of deductions you have, tax representation may be the best route to go to ensure you get your full entitlement. Many people have fairly straightforward tax returns with few deductions, exemptions, and other complexities. However, as you move up in your career or even open your own business, you may notice these are becoming increasingly complicated. Making a mistake can also cost you a substantial portion of a refund, or worse-an audit.
Have money in foreign banks or work overseas extensively? Maybe you own multiple properties or assets in different countries? When you start dealing with foreign issues you need qualified tax representation professionals on your side. Your income and assets may be taxable in several different areas and you could get slammed for paying quite a bit if you aren’t cautious. Choose an attorney who has international experience and understands other country’s laws and regulations from the inside out.
Fraud or Investigation
Okay, nobody is perfect, and sometimes people get caught for cheating on their taxes. Even worse than an audit, if you are under investigation or accused of tax fraud you will need a tax representation attorney to help you through the process. Choose someone with many years of experience and who understands your position. Remember that even if you admit guilt, an attorney can help you reduce sentencing and fines. Investigations are serious business and shouldn’t be taken lightly.
If you are starting a new business or restructuring an old one, tax representation can help you get your finances and paperwork in order. Deductions, employee tax, income, expenses-these are all things that you have to juggle, organize, and understand when building a business. Rules are also constantly changing, which is where tax representation can come in handy.