If filing your tax documents is usually a relatively simple and seamless process, perhaps you might not think of turning to an accountant or tax professional for assistance in preparing your return. But in some instances, seeking the services of a tax attorney can be necessary, especially if your personal financial circumstances have changed since the last time you prepared your tax returns. If you do not already know a tax lawyer, the chances are good that you have never met with one before. Tax attorneys are professionals who focus primarily on assisting their clients in achieving the best tax results possible. But what exactly is a tax attorney, and what does he/she do?
Generally speaking, a tax attorney is licensed to practice law. In many instances, they are also known as tax resolution specialists, or CRS, as well. As a member of this profession, a tax attorney can represent clients in situations where the IRS has demanded repayment or restitution for any wrongdoings on their tax returns. The IRS is very strict when it comes to making sure it obtains the full amount that is owed, or, at least, the amount that was potentially owed. When tax controversy arises, a tax attorney is often called upon to make sure that the IRS gets all of the money and property that is owed to it.
A CPA can provide tax law consultation as well as legal representation, but not necessarily at the same time. In fact, many CPAs choose to focus solely on tax planning, leaving the preparation of tax returns to attorneys. Some CPAs also choose to focus exclusively on the preparation of tax returns, while others work primarily in the area of estate planning. For most professionals, the separation is usually very simple: the attorney works on behalf of his/her client and prepares the tax returns themselves; the CPA works on their client’s behalf and prepares the documents in accordance with their client’s wishes.
Business attorneys are essentially attorneys who specialize in assisting businesses with the federal, state and local taxes that they must pay. This type of professional does not focus solely on tax preparation. Instead, a business attorney will often have experience working with payroll issues, employee rights, landlord issues and other issues affecting businesses. Many CPAs work closely with accountants, too, through their own firm or through independent tax services companies.
Professional tax attorneys in Loveland are very busy and juggling several clients can be very challenging. Therefore, the IRS may choose to contract out the services of a CPA to handle the responsibilities of several different clients, allowing the attorney more time to focus on preparing cases. However, even with a small firm of tax attorneys, it can be difficult to ensure your affairs run smoothly. There are laws governing how a tax attorney should act and the rules vary depending on which state the attorney practices in. While many CPAs follow the same guidelines, it is important to find one that has experience working with your specific tax code and state regulations.
Because tax attorneys deal with some of the most sensitive and personal information about your affairs, it is crucial that you consider this matter carefully when hiring a CPA. Not all CPAs are trustworthy and it can be difficult to determine this by simply talking to them. There are online directories where attorneys and CPA’s can be found and it is always a good idea to check these lists before retaining any tax attorney or CPA. If there are serious concerns, you can always look elsewhere.