An IRS audit can lead to jail time for taxpayers. That’s the reality for two percent of cases.
Just like in a game of basketball, you wouldn’t want to face strong opponents without a great team behind you. When you’re dealing with an IRS audit, it’s no different, and a tax attorney is the power player you want on your team.
Your lawyer can help you request an appeal and lower your penalties. It’s important to choose the right one. Here are nine tips for choosing a tax attorney for IRS audit.
1. Verify Qualifications
Make sure the tax lawyer you’re considering hiring has the right qualifications-like a degree in tax law or a certification as a tax attorney. Remember, hiring an attorney for your audit is a key decision that can greatly affect the outcome.
A skilled attorney can negotiate strategically with the IRS on your behalf, particularly in cases where the audit reveals discrepancies or potential tax liabilities. Hiring a knowledgeable attorney can be especially beneficial if the IRS charges you with tax fraud.
You want to be sure they’re qualified because a competent attorney can use the tax laws in your favor. They can help you interpret and respond to complex legal issues that may arise during an audit. Their expertise can prevent you from making costly mistakes and protect your rights.
2. Experience
It’s hard to beat the knowledge that comes from real-world experience. When you’re choosing an attorney, ask about their tax audit history. It could make a big difference in the success of your case.
All laws are complex, but tax law is especially so. An attorney familiar with the IRS audit process will be better suited to handle your case.
New attorneys may bring fresh perspectives and a greater willingness to adapt. But the downside is inadequate training in some aspects, like proper jury selection.
This can have a significant impact on the outcome of a trial. While new attorneys can be diligent, their lack of experience might lead to errors in judgment or strategy.
3. Assess Communication Skills
Your tax attorney should explain the IRS audit process and your options so you understand what’s going on. It’s your audit, after all, and you should be included every step of the way.
Look for their active listening skills. They should be patient, attentive, and responsive to every question and concern you present. If the attorney rushes through a conversation or interrupts often, it signals weaker communication skills.
Consistent and responsive communication can build trust in your relationship with your attorney. This trust is crucial, as you need to be able to rely upon the person representing your interests.
4. Referrals
Just like you’d ask your friends about a good book or movie, it’s important to request referrals. Reliable testimonials help you decide if this attorney is the right choice for your needs. Make sure to ask if these clients faced a tax audit or similar situation-hearing of their experiences can assist in making your decision.
5. Compare Pricing
Make sure you compare prices before you make your final decision, but keep in mind that you generally get what you pay for. Don’t sacrifice experience and qualifications for a bargain lawyer that might not protect your interests as well.
6. Check Your Attorney’s Standing
Check whether your attorney is in good standing with your local bar association. This is another way to make sure they’re capable of helping you navigate the IRS audit process.
An attorney’s standing with their local bar association can provide insight into their reputation, ethical behavior, and professional conduct. It verifies that they have not been suspended.
Bar associations often regulate the legal profession, and membership can sometimes be mandatory. So, if your attorney is in good standing, it usually means they’re adhering to all the expectations of the legal profession.
In many states, bar associations have online databases. This allows the public to look up attorneys and verify their current status.
7. Observe Confidence
When you’re hiring a tax lawyer, their confidence in handling your case will give you peace of mind. If they seem unsure or hesitant about your case, it might be a good idea to keep looking.
Confident individuals often maintain an open and upright posture with consistent eye contact. They generally speak with a steady tone and seldom hesitate in conversation. Facial expressions, such as a subtle smile and furrowed brow, show active engagement and thoughtful consideration.
Another sign of confidence is the ability to listen. It signals knowledge and assurance in their skills or ideas.
8. Technologically Savvy
We live in a digital world, and to keep up, your attorney needs to be up-to-date with the latest technology. This may include electronic filing, online payments, or digital communication. Seamless operations can mean a smoother audit process for you.
Electronic filing, for example, allows your attorney to submit documents promptly. This reduces the potential for errors or delays that are associated with paper-based systems. Your attorney can save time and concentrate on the finer details of your case.
9. Specialization
Specialization ensures they’re well-versed in the nuances of tax legislation and therefore more equipped to help you deal with your tax audit.
When an attorney specializes, they invest significant time and effort to stay updated on the ever-changing tax codes, rules, and regulations. They’re familiar with the overarching framework of tax law and its intricate details.
This includes understanding how different tax laws interact with and influence each other. Experienced lawyers know how small loopholes can have significant implications for a client’s tax situation. Your case will benefit from their in-depth research skills.
Why You Need a Tax Attorney for IRS Audit
Having a tax attorney for IRS audit can be crucial-these nine tips highlight their importance. Qualified and experienced legal helpers understand complex tax laws.
They should be good communicators, well-referred, fairly priced, and ethically sound. It’s also important that they’re confident, tech-savvy, and specialized.
Don’t underestimate the importance of finding appropriate help. Strong teams can be game-changers. Check out more tips in our business articles.
