However, tax representation isn't always cheap. Tax lawyers generally charge a fee (hourly rather than fixed rates), in addition to setting charges depending on the type of tax representation. For example, obtaining representation for penalty reduction is traditionally much cheaper than obtaining assistance for a compromise offer (OIC). You may be perfectly comfortable representing yourself when managing an installment agreement or a simpler type of audit.
However, in more complex cases, you may not have many options except seeking legal representation, especially if your case goes to the U.S. UU. The IRS installment agreement is a proposed settlement that you will submit to the IRS and that allows taxpayers to pay off their debts through a monthly payment plan. Sometimes, just having a tax lawyer with you makes it easier for you to handle the stress of an audit.
Often, winning a case against the IRS can only be achieved by hiring an experienced, knowledgeable, and accessible tax lawyer. This can be about managing a complicated IRS audit, resolving back taxes, communicating with the IRS, or representing the IRS. Working with an attorney can take your stress out and ensure that you meet all of the IRS requirements. If the IRS requires an office audit, a field audit, or a Taxpayer Compliance Measurement Program (TCMP) audit, it's a good idea to hire a tax lawyer.
If the IRS files criminal charges against you for tax fraud or tax evasion, you need the services of a tax lawyer. The basic purpose of hiring a tax lawyer is to resolve any issues you have with the IRS in the best possible way. If the IRS adjusts your return after reviewing your ETC request, a tax lawyer can help you challenge the changes. If the IRS doesn't accept your compromise offer, a tax lawyer can help you negotiate an alternative agreement.
A qualified tax lawyer can facilitate communication between you and the IRS and can even handle complex tax litigation if necessary. The cost of your tax lawyer will be based on why you need a tax lawyer (type of case), the level of experience your lawyer has, and more. Fortunately, there are tax lawyers and other professionals who will be happy to represent your case against the IRS. If you receive a notice from the IRS that you don't understand, a tax lawyer can explain the meaning and intent of the notice.
