Income tax preparation may prove to be a difficult task. There are several forms to fill out while trying to understand the tax laws which keep changing every year. Income tax preparation may seem to be so complex for an average citizen such that professional assistance is needed.
Taxes are among the mandatory obligations of Americans. Whether we like it or not, we have to pay taxes. Income tax preparation may prove to be a difficult task. There are several forms to fill out while trying to understand the tax laws which keep changing every year. Income tax preparation may seem to be so complex for an average citizen such that professional assistance is needed. At times you may find yourself embroiled in tax disputes with the authorities. In such circumstances a tax resolution lawyer may be needed to arbitrate for you. Failure to comply with tax requirements may be considered an IRS tax crime.
Employees from IRS may be sent to investigate your business or company. If it is felt that you may have defaulted on tax payments, then you will be notified of possible IRS tax crimes. Accounting knowledge can come in handy during income tax preparation. That is why you need to hire a tax resolution lawyer to assist you in handling all taxation disputes. Every year, it is mandatory for you to fill annual returns showing how much you earned and the taxes paid thereupon. Failure to submit an annual tax return constitutes an IRS tax crime.
IRS tax crimes are punishable through hefty fines or even a jail term. IRS takes these matters seriously and no defaulter is let off the hook. If you find yourself on the wrong side of the law accused of IRS tax crimes, the best thing to do is engage the services of a tax resolution lawyer. To avoid aggravating the problem further, you should take advantage of the grace period granted to defaulters as advised by your tax resolution lawyer. The IRS has up to 5 years before they can initiate criminal proceedings against you. The tax resolution lawyer will ensure that income tax preparation covering the period defaulted, takes place at the earliest.
Before you are accused of IRS tax crimes, the IRS will do their own income tax preparation estimate. You are supposed to hand over these estimates to your tax resolution lawyer for further analysis. You can also have taxation accountants reconcile your income tax preparation against what the authorities have indicated. The accountants will have to bring your records up to date with respect to each financial year. They will then apply the tax statutes that were in place during the period in question.
After the accounts have been updated, the tax resolution lawyer will be briefed on the status. The reconciled income tax preparation report may result in an underpayment or overpayment. The attorneys can now negotiate with the taxation authority on whether proceedings are really necessary for the alleged IRS tax crimes. Normally, this should not be a problem since there is a figure to work with. It is easy to chart the way forward when you have something you can hold on to. An agreement with the internal revenue authority on how the taxes will be settled can lead to you being exonerated from IRS tax crimes.