Hiring a Tax Attorney: The Benefits to You

Anyone can fire up the latest version of DIY software and do their yearly filings, but there are plenty of things a tax attorney can help you with that a piece of software cannot. If you want to make sure you get all of the benefits you can from your IRS filing, you need someone on your side who knows the system inside and out. You can't discuss possibilities and problems with a piece of software. You can always hire an accountant, but even then you're missing out on the full breadth of knowledge that comes along with hiring someone steeped in the law. Here are some of the benefits you get when you hire a lawyer in this field. Shared Accountability When you make a mistake on your forms using software or your own calculator, the IRS is going to hold you personally responsible. While mistakes aren't taken as seriously by the government as intentional obfuscation, there is sometimes no way to prove which is which. Depending on the circumstances, you could be facing substantial fees and even jail time for that "mistake". While hiring a tax attorney isn't going to make you invulnerable to penalties, it does provide a certain amount of shelter. Knowledge and Experience Obviously, if you pick a tax attorney, you need to make sure you hire someone with plenty of both. If possible, speak to some of their clients and get some referrals and recommendations. Once you've done this, you'll know you're in good hands, which is essential. A good lawyer is going to have an encyclopedic knowledge of the law, rivaling anyone who actually works for the IRS. This is going to be invaluable, especially if you have a complicated filing situation. He will be able to reduce what you thought was monstrously complicated into something relatively simple, hopefully doing many things that you will find beneficial. Creative Filing No, you don't want a tax attorney who is going to bend the rules to the point of breaking the law. While those people exist, you want to put as much distance between you and them as possible. Getting in trouble with the IRS is a big problem that you want nothing to do with. At the same time, however, you have every right to expose as many loopholes and credits as you can find that fit your situation. You don't want to claim your dog as a dependent, but there are plenty of things the IRS lets you do that the average person knows nothing about. If you're good about keeping receipts, you'll have even more options when it comes to getting creative.