5 People Who Need to Hire a Tax Attorney

If you think that being in debt to the IRS is stressful in and of itself, try coming face to face with an IRS auditor or getting correspondence from the IRS listing your back taxes plus the penalties and interest that are quickly accumulating. In other words, if you find yourself in an IRS-related predicament, you need to deal with it immediately and you need to enlist the assistance of a professional. So if you find yourself in any sort of uncomfortable position with the IRS, the wisest move you can make is to hire a tax attorney. What might those positions be? Here are five:

1. You pay taxes. Yes, tax attorneys can help anyone, whether a business owner, owner of a large estate, or just a regular citizen. And it's never a bad move to consult with one regularly in order to avoid future tax problems. Tax attorneys can help you organize your paperwork and keep your records straight, which can reduce a lot of personal stress.

2. You owe back taxes. If you or your business owe back taxes and find yourself unable to pay them in full, you need a tax attorney. There are many reasons why an individual or business might not file back taxes. Some simply don't think the IRS will notice. Others choose not to pay taxes because they can't afford to at the time. The truth is that there are employees of the IRS whose sole responsibility it is just to look for individuals or businesses that don't file taxes. It's a serious issue to the IRS and they will treat it as such. That's why you need a tax attorney on your side.

3. You're negotiating anything with the IRS. You may be negotiating back taxes or addressing an audit. Regardless of what it is you're discussing with the IRS, you need a tax attorney working for you. Tax attorneys know the lingo. They know the loopholes. They know where the grey areas are in the tax law and how to make those loopholes work in your best interest. They can not only speak the language, but they can make sure you only pay the minimum amount required to the IRS.

4. You're considering bankruptcy. There seems to be an overriding attitude in this country that filing bankruptcy can solve all of an individual's financial problems. In reality, bankruptcy laws are very strict and often involve much more trouble than most people realize. A tax attorney can not only help you decided if you should file for bankruptcy but can also make sure you do it by the book.

5. You own your own business. Any small business owner should use the services of a tax attorney. It is quite difficult to keep paperwork in order, which can be a problem if you find yourself subjected to an audit. A tax attorney can help you organize all pertinent information so that it can be easily produced in the event of an audit. Organized paperwork not only makes you look more professional in the eyes of the IRS, but it also shows that you take the process seriously. A tax attorney can also help you determine your options regarding tax returns so that you can save the maximum amount of money and reinvest it in your business. They can also point out which deductions you're not taking advantage of and can help you get the biggest refund you can.

Many people approach consulting a tax attorney with much trepidation, fearing that the cost will be prohibitive, but the fact is that the services provided by a tax attorney can actually save an amazing amount of money for you or your business in the long run.

Seomul Evans is a Dallas Internet Marketing consultant for leading Fort Worth IRS Lawyers and contributor of Law articles .