I owe back taxes for years dating back to ‘97′ thru ‘02′. Should I deal with the IRS or an outside Lawyer.
Monday, March 30th, 2009 at
3:05 pm
Shelley R asked:
I don’t know if trying to do my own taxes with all the different tax forms and laws that pertained back then, its pretty confussing. I don’t know if the IRS people would be willing or able to reduce my penalitys as maybe someone like H & R Block or some other tax people. Buy Generic Levitra Thru the years I have made payments off and on working with the IRS but that was about 3-4 or 5 yrs ago. I have been intouch with the IRS recently but like I said its pretty confussing and I just want to get this over with. What do you think…And thanks in advance for any advice you have…Shelley
I don’t know if trying to do my own taxes with all the different tax forms and laws that pertained back then, its pretty confussing. I don’t know if the IRS people would be willing or able to reduce my penalitys as maybe someone like H & R Block or some other tax people. Buy Generic Levitra Thru the years I have made payments off and on working with the IRS but that was about 3-4 or 5 yrs ago. I have been intouch with the IRS recently but like I said its pretty confussing and I just want to get this over with. What do you think…And thanks in advance for any advice you have…Shelley
Tagged with: Back Taxes • Confussing • Irs • Thanks In Advance
Filed under: Attorney FAQ
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The tax law IS confusing. If you don’t know what you’re doing, or you’re not rich enough to write a check for whatever amount the IRS names, then get a lawyer who specializes in tax law. Otherwise you’ll either spend a ton more than you may have to, or you’ll never get everything cleared up.
You should absolutely seek the advice of a qualified tax attorney. In most cases you can “negotiate” with the IRS and pay much less than you think you owe. If it is a matter of bankruptcy then you have even more leverage with the IRS. But you must get an attorney to help navigate these waters.
Of course, it depends on how much you owe the IRS. If it is a substantial sum ($100k+) then an attorney is cost effective. It is considerably less, then using a CPA to help is probably best.
I would deal with the IRS directly. If you use a lawyer, you’ll owe him a bunch of money, on top of the IRS payment. I think the IRS will cut you a deal.
Get an attorney if taxes are 7 years are older they go away only deal with years that are 7 or less years however if you have contacted them to discuss taxes older than 7 years it opens the door for another 7 years so be careful also they figure things out based on your ability to pay if you can pay everything you owe at 1 time they will give you a discount if you need 24mos to pay it will be a little more
You can deal with the IRS directly. I too owed taxes and called them. They were very helpful and understanding. I did a payment plan and it worked for me. Good Luck
It may sound like a good idea to get a lawyer and have him/her deal with the IRS but it pobably isn’t a good idea. Let’s look at the facts: One, you will still owe the IRS and also owe the lawyer. Two, you may **** off the IRS and they make an example of you. Three, you will still owe the IRS, and may go to jail.
Try this: call the IRS and explain your situation. Ask for a payment plan and ask if they can accept an offer in compromise. This is a legal tactic that the IRS often considers. Tell them that you want to pay your taxes and need their assistance to do so. Get them on your side. They are people just like you and me. They will help you. They are not the devil, they are not evil, but they do feel they are doing something important that keeps our country strong. It doesn’t matter whether or not we agree with that statement. They do feel that way.
Now, if that fails, then and only then is it time to get a lawyer (often called blood-sucking lawyer and the basis of many jokes such as, what do you call a 1,000 lawyers chained together at the bottom of the sea. … a good start). Where do you think those lawyer jokes come from. BTW, lawyers will postpone your case just long enough to increase your fine and interest while you end up paying a pissed off IRS the same amount you would of paid them in the first place.
Get the IRS on your side. Schedule an appointment and treat them with the same respect you want yourself. Then you can check out alternate avenues. If you do check out alternates then ask to have your case reviewed by the TAX ADVOCATE. His web link is here:
Good luck. I have been there myself. Oh, btw, your credit record will be affected if you don’t settle with them quickly and it stays on your credit record for about 7 years after you pay them off.
In addition to lawyers and accountants, an enrolled agent can be a good choice. These are often former IRS employees who know the ins and outs, and they may charge less than an attorney or CPA.
Don’t go to H&R Block for something like this. They’re OK for doing returns that aren’t real complex, but this is a bit out of their range.
Whether to hire a lawyer or deal with it yourself depends on how much you owe. If you have a business, it can get pretty complicated, especially if you have employees. If you’re an employee, should be pretty straightforward.
I’d talk to the IRS and tell them what parts you don’t understand – but don’t sign anything. If you’re still confused after talking to them, talk to a tax lawyer, CPA or enrolled agent – not H&R Block.
Good luck.