A Successful Track Record in Taxpayer Representation
As an experienced tax law attorney, I have an extensive track record of successfully representing taxpayers before the various tax agencies. My specialties include representing corporations and individuals before the Internal Revenue Service, the California Franchise Tax Board, the California Employment Development Department, and the California State Board of Equalization. I understand the importance of providing sound advice and solid representation to my clients in matters before these governmental entities.
Strategy Behind Tax Audits
Tax audits are essentially investigations conducted by the government tax agencies such as the Internal Revenue Service and the California Franchise Tax Board into your personal and business records in an effort to find relevant evidence of whether or not you have paid the appropriate taxes. You can be sure that the auditor will conduct a thorough investigation until he or she is satisfied that you are either in compliance with the law, or that enough evidence exists to justify an unfavorable determination or tax bill. In a worse case scenario, the auditor may determine an indictment should be handed down. No matter what the auditor concludes, you should have an experienced, knowledgeable tax law attorney by your side throughout the entire process to speak on your behalf and act as a filter to ensure that the information provided to the government is presented in the most favorable light.
How the Appeals Process Works
Administrative tax appeals take place after an audit is complete and the auditor makes a final determination. If tax is owed, the auditor will send the taxpayer a bill, which usually includes penalties and interest. The taxpayer then has the option to pay the tax or appeal the bill. Tax appeals are a sophisticated process. You need a highly qualified tax attorney to help you understand the specific tax law that applies and the facts that the auditor used to make the determination. Only with that knowledge will you be in a position to legitimately appeal a tax bill. During the appeal you also run the risk of new issues arising that could lead to greater tax liability. I can consult with you and help weigh this serious risk before you file for an administrative appeal.
Deciding on Litigation
If a taxpayer has received a Notice of Deficiency from the IRS, and is not satisfied with the outcome of an administrative appeal, or chooses to bypass the appeals process for strategic reasons, the taxpayer may file a petition against the government. Filing a petition is the same as filing a lawsuit against the IRS to dispute the merit or amount of a tax bill. It is critical that the taxpayer include any legal claims in the petition. The Tax Court will not accept a petition that merely states a disagreement with the deficiency or the inability to pay it. Tax Court proceedings are elaborate and the rules of evidence are complicated. It is in your best interest to seek legal counsel with expertise in this type of litigation. Not only can I offer my clients this expertise, but I am also authorized to practice before the U.S. Tax Court.
Collection of Taxes
The IRS will begin the collection process once a final determination is made on the appropriate assessment. The collection process begins with a series of letters from the government informing the taxpayer of their intent to collect the unpaid tax, interest, and penalties. If the tax is not paid, the government can place liens on property, place levies on bank accounts, and even stand at the cash register in a taxpayer’s place of business to take the money owed. The taxpayer also has rights and several remedies to pursue to stop the collection process. Choosing which option is most appropriate for a particular taxpayer depends on many factors. Before approaching the government with any options for repayment, consult with a tax attorney who can strategically plead your case and ensure the best outcome possible.