Preparing Income Taxes - Do I Need Tax Representation?

Bad things happen to everyone. When financialrange from the simplest of late fees to IRS
problems grow beyond control, there are typicallyseizures, amendments, un-filed tax returns, wage
significant tax consequences. The best strategy isgarnishments, payroll tax problems, and especially
to hire a tax attorney, certified public accountantIRS audits. Tax representation to satisfactorily
(CPA), or authorized tax advisor called enrolledresolve liens and levies is also important. Even
agents (EA), to represent you in resolving taxthough hiring a tax professional may seem
issues you might have with the Internal Revenueexcessive, you might actually save far more
Service (IRS) or other tax authorities. Detailsthrough representation by a specialist. Talking to
regarding standards and practices are available inthe IRS yourself is not a good idea. Any tax
IRS Circular 230. It is especially important to haveauthority is dedicated to collecting revenue that
a practiced tax professional handle tax disputes.they believe you owe them; they will assume an
Instead of causing more problems for yourself, letadversarial role in all negotiations. A tax
a third party present your side of a disputedprofessional alternatively will focus on reaching a
issue. Select a tax representative that hasfair agreement that includes the best solution for
experience dealing with your specific issues. A taxyou,
professional provides assistance by "removing"If you are in a complicated legal situation, consider
you from the stress of the immediate situationretaining an attorney. A tax attorney who is also
and presenting your "case" for you directly to thea practicing Certified Public Accountant is, of
IRS. Choose a tax professionals that hascourse, an ideal combination but obviously more
practiced dealing directly with the IRS. They knowexpensive. A CPA or EA is equally qualified to
all the legal and tax technicalities that could savehandle disputes including those that must be
you money. Regardless of how you feel or howresolved in tax court. Since lawyers are typically
serious the matter is, both you and the IRS wantmore expensive, a first step is to compare costs
to resolve the dispute by finding a mutuallyof attorney, CPA, and EA for their counsel.
agreeable solution. If you have received an inquiryAttorneys charge hundreds dollars per hour and
regarding how you filed a return, an audit notice,may not be immediately available to handle your
or owe taxes to any tax authority, you need taxcase. A CPA or EA will typically charge less even
representation as soon as possible. Under manyif they represent you in court. If you need legal
circumstances, it is better to NOT contact thecounsel, contact the American Bar Association or
tax authority on your own.consult the Martindale-Hubble Law Directory. If
A tax professional is a representative who willyou need referrals for CPAs or EAs, use a search
focuses on successfully bringing about a fairengine to find the state-specific professional
solution to your tax issue. You don't have to be asocieties for CPAs or EAs. Alternatively, contact
large corporation to need tax representation. Inthe American Institute of Certified Public
fact, now more the ever, individual taxpayers areAccountants or National Association of Enrolled
best advised to hire tax professionals provide aAgents.
resolution to their tax problems. Disputes can