Why Should You Hire A Tax Attorney in California?
The government collects taxes from citizens through multiple methods. That is why there are different types of taxes like income taxes for working people, corporate income taxes for business organizations, and so on. Tax payments are the government’s primary sources of funding. Therefore, it is the reason why they also pay close attention to the person or organization’s activities related to it.
However, often dealing with taxes in California can be overwhelming for some. Understanding specific policies and regulations are sometimes quite cumbersome for laymen. That is the reason you need to hire a tax attorney.
In California, the statewide tax rate is somewhere around 7.25%. But, in most areas, local jurisdictions levy added district taxes that range from 0.10% to 1.00%. At 7.25%, California has the highest minimum statewide sales tax rate in the whole of the US. Adding up local taxes to it, the final figure can go up to 10.75%.
So, whether you are facing an IRS tax audit or setting up estate planning, hiring a tax attorney is wise. Read this article to know more about the reasons.
Tax Attorneys can Assist During a Tax Audit
With the help of tax audits, the IRS (Internal Revenue Service) ensures that the individual’s tax records are on track. The audits help understand if the individual is adhering to the local tax laws and policies. The IRS does an in-depth checking, reviewing, and inspecting of different financial assets, records, and transactions to ensure nothing gets unaccounted for.
Handling a tax audit alone can be a tiresome thing for many. Having a tax attorney to assist you can help in the overall process. The attorney will brief and guide you throughout the process. He or she will also prepare your paperwork and records that need to be submitted to the IRS for review.
Besides these, it is the attorney’s responsibility to protect your rights during the audit. The attorney will also act as a mediator between you and the IRS.
Guiding Clients in Dealing with Missed Tax Returns
Sometimes, you might forget to file your tax reports. Without a tax attorney to guide you, it can be troublesome in some cases. But, when you have a tax attorney by your side, you will know how to deal with unfiled tax returns.
The attorney will make sure that you communicate with the IRS to make a deal or reach a middle ground. The middle ground will be based on the benefits of both parties. Especially if you have years’ worth of unpaid taxes, it is essential to have an attorney guide you.
Helping Clients in Communicating with the IRS
Dealing with the IRS can be intimidating. Especially for those having little to no experience and knowledge about tax policies in California, the best is to hire a professional attorney for the same. Tax attorneys educate their clients with fast-changing tax laws. It helps people never miss a tax payment and be guilty in the eyes of the IRS.
Wrapping Up
Failing to pay taxes in California can lead a person to the county jail or the state prison. If not, the individual might need to pay $20,000 worth of fines. The best solution is to hire an attorney to avoid these unfortunate situations.
