The Importance of a Tax Attorney
When you are seeking to resolve a tax problem in Temecula, California, hiring a skilled tax attorney may be absolutely critical. Taxpayers can be confronted with a vast array of legal issues, including audits, enforcement actions, litigation, and lack of compliance. Common tax problems among individuals and businesses in Temecula can include audits, failures to pay, collection notices, enforcement actions, tax liens, and foreclosures. Many taxpayers simply defer dealing with such problems until it is too late. Unfortunately , deferring the inevitable often results in further penalties and interest and in some cases, criminal tax matters with significant consequences. Tax attorneys who have experience with IRS and state tax disputes can assist clients in resolving virtually any legal matter that may arise, and can help taxpayers know what their options are well in advance of any deadlines that may be imposed by revenue authorities. A qualified Temecula tax attorney can also counsel clients on the best options to avoid any pitfalls of the tax resolution process and move forward in a positive direction.
Characteristics of a Great Tax Attorney
Finding a Temecula tax attorney with the right experience and expertise can make a significant difference in the outcome of your case. As you evaluate prospective candidates, keep the following attributes in mind.
Expertise
A top tax attorney will provide an informative consultation. During this meeting, he or she will explain the process and what to expect. The same attorney will also demonstrate knowledge and experience related to the specific tax issue you face. An attorney who knows how to deal with your unique tax situation is a definite plus because some issues require specific tax knowledge, such as offers in compromise in IRS tax disputes.
Experience
Ideally, the attorney will have considerable experience negotiating offers in compromise and working with the IRS, for example. In addition, he or she should be familiar with the entire tax process, including filing back taxes, dealing with audits, establishing an installment agreement, and stopping garnishment. The best tax attorney has experience with a broad range of tax issues, so he or she has the capacity to help other clients who may have different problems than yours.
Client Testimonials
Nothing helps you evaluate an attorney better than recommendations from other clients. Be wary, though, of relying on testimonials given online. Instead, contact people who actually used the services of the attorney you’re considering. If possible, ask individuals to refer someone who may know the person’s reputation. These steps will help ensure that the client recommendations you use to evaluate the attorney are more accurate and reliable.
Tax Attorney Services
A wide range of tax services are offered by most Temecula tax attorneys. They typically provide effective tax planning services within their respective state and federal tax jurisdictions. Tax attorneys offer protection against potential IRS tax audits and, when necessary, IRS tax audits representation. When adverse tax consequences do occur, IRS tax litigation and appeals services are provided directly by licensed tax attorneys or their private attorney associates.
Effective tax planning minimizes tax liabilities and strategically considers other benefits with tax implications such as estate planning, retirement planning, business succession planning, and wealth transfer planning. Tax attorneys are specially trained to identify tax incentives and lost tax opportunities involving state tax laws, federal income tax laws, gift tax laws, estate tax laws, sales tax laws, employment tax laws, and various other local, state, and federal laws. Most Temecula tax attorneys provide customized tax planning services specific to each client’s individual needs.
In order to minimize the number of audited returns, the IRS conducts special tax audits on a limited number of individual and business income tax returns that have been randomly selected for audit. Typically, taxpayers who file a paper Form 1040 or Form 1120 with a handwritten signature are selected for additional review.
Tax attorneys are licensed to represent taxpayers before the IRS at all stages of the audit process. This includes representing taxpayers in IRS office and field audits. A tax attorney can request appeals to the Audit Division for proposed adjustments that are reached during the audit process.
Taxpayers have the right to seek a 30-day extension of time to appeal an adverse IRS determination. Adverse IRS tax determinations include assessment actions involving direct income tax and non-direct Income tax liabilities (such as estate tax liabilities). Tax attorneys perform legal research and partly support action that would disallow the proposed adverse tax determination.
Tax attorneys can help you review and request IRS innocent spouse relief when your tax return was prepared by another party, such as your spouse. Tax attorneys are also able to request tax relief when reported income was inaccurate, such as when an unqualified 1099 form has been issued by your bank or other third parties.
Clients who have received unfavorable determinations from the IRS have the right to appeal the IRS decision to the United States Tax Court.
Finding the Right Tax Attorney
When hiring a tax attorney, the process of assessment and selection is crucial to meeting your needs. First and foremost, polls and industry directories can be useful for qualifying the basic capability of a tax attorney. Get a list of their top results, and then research those individual names further. This means cross-referencing with other lists, specializing in law, local directories and of course, conducting as much of your own research as possible.
Reviews are a good first step, but do not consider these the last word in any selection process. They can be biased, planted by a competing firm, or entirely made up, and do not shed light on how competent or experienced the attorney will be for your specific needs. Seek out references, and dig deeper by researching their past cases. At the same time, realize that their experience level will be tied to the number of years they have been practicing law . Look for relevant specialties, such as taxation, bankruptcy, business or real estate.
Do they have a free consultation? Then it won’t hurt to narrow down the list of candidates further, by sort-listing for up to five for an in-person meeting. Here you can assess preparedness, attentiveness, and if they are fully informed about your case when you explain it. This appointment will also allow you to gauge how they communicate, and if you’re comfortable with their style.
A good Tailored service from a tax attorney in Temecula involves following all deadlines, and getting back to you when promised. They should be reachable by phone and email, and take the time to personally consult with you on your matters. If they are overly busy to field an initial call, that will likely continue indefinitely. If they only offer phone consultations, you may be dealing with a firm that is very large, or one that is very inexperienced. Either way, it does not bode well for the future.
The Advantages of Local Knowledge
When dealing with IRS tax problems, the last thing you want is to hire a tax lawyer who fails to understand your area or region. A tax attorney able to advise you on issues particular to Temecula, California may be the one you require. Tax situations are rarely straightforward and may escalate in a variety of ways, from back taxes to collections defenses. Often penalties or criminal charges could be levied. Your choice of attorney could end up determining how these situations play out, so choosing the right attorney is essential.
There are benefits when hiring an attorney with a local practice. Such a tax advisor will have knowledge and expertise that they can offer clients in all relevant tax matters, from filing and amending returns to negotiating settlements. Because a local tax attorney has experience dealing with tax issues specific to the area, they have the necessary expertise to understand the needs of clients and more importantly, address these needs accordingly.
An experienced tax attorney remains current with constantly changing tax laws and codes. They can use their knowledge of the local community to your benefit when it comes to handling incentive plans, structuring transactions, negotiating settlements, and representing you in audits, appeals, and collection processes with the IRS and Franchise Tax Board.
A local Temecula, California tax attorney can offer better advice and representation regarding local tax law enforcement agencies. Their knowledge of local courts and personnel is invaluable when faced with a tax hearing. An attorney with a specialized focus on tax resolution may be the best call for finding a solution to an issue before it gets even worse.
Common Questions
What are the costs of hiring a tax attorney? It’s important that you understand how much a tax lawyer will likely cost for their services. If you don’t ask these questions in advance, you will run the risk of playing the waiting game, or even worse—you may end up not pursuing the assistance of a tax lawyer at all. The most common type of fee arrangement is hourly, but a flat fee arrangement may work for your situation as well. Make sure to ask about any retainer that may apply, and seek clarification for any up-charges that may apply.
Who will be handling my case? Many law firms will actually hire an outside firm to deal with a particular client’s issues, which means your case will not be handled by the same lawyer you meet at the first consultation meeting. For this reason, it’s important to ask how your case will be handled so you know who you’re working with when you engage their services.
Will other internal or external firms be involved in my case? It’s naturally better to deal with one firm throughout the entire legal process. However, many larger firms work with outside firms to expedite the process and bill clients more hours . This is something you should be aware of ahead of time.
How will my case be handled? You should know how your case will be handled from start to finish once you’ve received a reasonable quote for payments. You should also be provided with a schedule for both work to be done and payments. Also, ask how other law firms will be involved and what will be transferred to them for processing your case.
How often will I be updated on progress? Find out how often the firm you’re hiring speaks with their clients over the phone, along with what is discussed during those conversations. You should also know how often you can expect to receive emails. It’s also advised that a specific contact be named for you so you know who to call in case anything goes wrong.
What is the process for contacting your firm? It’s important to find out how you will be able to get in touch with the firm if you have any questions or concerns during the legal process. Will you have access to anyone 24/7, or just during business hours? If you have a more urgent issue, will you be able to get ahold of someone on a weekend or at night? Make sure all your questions are answered so you know what to expect.