There are few things more stressful than dealing with tax issues. This is especially true when the IRS has sent you a notice regarding an audit, United States Tax Court litigation, or notice of assignment to an IRS revenue officer to collect taxes that are due or to file missing returns. When under these circumstances, having the support of a Baltimore tax lawyer could make all the difference in your case, as well as help you sleep better at night.
A dedicated tax attorney could do more than resolve disputes or guide you on tax law questions. They can also provide you with the peace of mind that comes with knowing you are in good hands.
contact us todayWhile collection actions from the IRS can be intimidating, it is helpful to remember that most people are ultimately able to reach a conclusion on these matters through an amicable agreement. In some cases, this might mean working out a plan to pay the debt in full. Other options are also available, depending on the circumstances. When faced with these circumstances a taxpayer can:
A. File an offer in compromise to pay less than the total amount of taxes due while also explaining the specific facts and circumstances of your situation.
B. File a request for full pay installment agreement. Generally, the IRS has ten years to collect any taxes that are due. We can help spread out those payments over the lifetime of the tax debt and prevent you from economic hardships.
C. Set up a partial pay installment agreement. Based on the facts and circumstances of your case, you might be eligible for a partial pay installment agreement whereas the entire balance due to the IRS might not have to be paid in full.
D. Currently not collectible status. After a review of your financial status, you may ask the IRS to place you in currently not collectible status. During that timeframe, you do not make payments to the IRS and the statute of limitations on collection is still running.
The key to resolving these issues is the support of a skilled Baltimore tax attorney. An agreement may be possible, but securing one without the help of seasoned legal counsel can be a challenge.
Schedule a Strategy Session Today
In more serious cases, the IRS opens an investigation into possible criminal activity. From there, the IRS and/or Department of Justice (DOJ) will send local law enforcement or IRS special agents to your house or place of business in an attempt to obtain an interview. It is imperative that you hire a tax attorney as soon as possible to help mitigate and clarify this situation, as well as understand your rights and responsibilities.
Criminal charges are generally reserved for specific acts that often include fraud, creating falsified documents, or intentionally unreported income. Please also note, payroll taxes that are outstanding and due, fraudulent paycheck protection program (PPP) loans, fraudulent employee retention credit (ERC) requests, and wealthy non-filers are some of the Service’s points of emphasis during this calendar year.
A criminal investigation is a serious matter, and several factors could trigger one. One of the most common reasons is when the IRS finds evidence of intentional underreporting of income. The federal government also investigates excessive use of deductions or unreported overseas financial accounts through statistical analysis and reconciliation of IRS data.
The good news is that there are often ways to stop these investigations before charges are ever filed. A lawyer in Baltimore could work to resolve these tax issues and ensure no charges are filed; however, obtaining representation as soon as you are put on notice that you are under investigation is incredibly important.
Not all proceedings initiated by the IRS are criminal in nature. More often than not, taxpayers will instead face civil litigation in an effort by the federal government to recover the tax debt that is owed or when a proposed assessment of taxes is challenged by an individual or business.
Numerous activities could result in financial penalties from the IRS. Many of these cases are the result of a failure to file a tax return or pay the debts. These penalties come in the form of percentages, with taxpayers being penalized more as time goes on and obligations remain unpaid.
There are also a number of penalties in the tax code related to inaccurate filings. While fraudulent tax returns may result in criminal prosecution, honest mistakes are more likely to lead to civil penalties. This could include taking deductions that were not available or underreporting income. This can also include the failure to file information returns such as Forms W2 (Wage and Tax Statement), 1099 (Miscellaneous Income), 1094-C (Transmittal of Employer Provided Health Insurance Offer and Coverage Information Returns), and 1095-A (Health Insurance Marketplace Statement).
While fraud can lead to criminal consequences, it is possible to also face civil penalties for this behavior. A tax attorney in Baltimore could assist with developing a defense strategy on both fronts.
If you are dealing with tax issues, facing the IRS on your own is never a good idea. Even a minor error can have lasting, costly consequences that take years to resolve. Instead, put your trust in a Baltimore tax lawyer. Call today to learn how the right legal team could deal with the IRS on your behalf.
Call Now
