April is the month where you may find that you are needing to discuss an IRS tax resolution. If you do need to discuss the law office of James D. Wade is a great number to have in your contacts. The firm’s founder, attorney James Wade, has over a decade of experience as a practicing CPA and tax lawyer with a reputation for efficient and exceptional representation in southern Maine. Our firm can help you find a workable solution to your tax problems and debt. We specialize in these areas of practice:
- Tax Debt Relief
- Tax Questions
- IRS Tax Audits
- IRS Tax Resolution
The Law Office of James D. Wade are people who sincerely want to help individuals and small business understand their situation if the IRS comes calling. Less than 1% of all individual tax returns are audited. Don’t let that number fool you, remember your statistics class in college? 1% is fairly significant in many cases and when it comes to getting more money from small businesses the IRS is hungry for that 1% it sees as money sitting on the table. A smart person or entrepreneur will never ignore the risk of an IRS audit. Sophisticated software designed by the IRS identifies and flags tax returns with potential audit adjustments, every potential counts according to the tax man even if it is unfruitful. Every return is run through the software and if the return trips certain triggers then it may be selected for audit. If you claim the earned income tax credit or operate a sole proprietorship then your risk of being audited is much higher than if you are merely an employee. So if you receive an audit letter from the IRS that means the IRS believes your return contains potential errors and you can’t argue it well by yourself. Right off the bat, you are playing defense with the IRS, even if your return is 100% correct! Having an experienced tax lawyer in your network is a strong defensive tool.
Of course you’re still going to ask yourself, “Do I really need to spend MORE money on a lawyer to help me with this?” Maybe. Two reasons you want to hire a tax attorney: if the tax issues are complicated or if the IRS thinks you may be hiding income or exaggerating to deductions. If either shoe fits then you may need a tax attorney in your corner! For example, if the IRS is auditing a deduction totaling several thousand dollars then the cost to hire an attorney doesn’t make sense. In that case, I can assist you indirectly by providing advice on what you should do or to explain the process through a one-time consultation. From there you can handle the audit yourself. If, however, the IRS audit may result in significant additional taxes due then a tax attorney or other professional may be necessary to avoid any negative tax consequences to you. The cost of a tax attorney is a big consideration when facing an audit. You should really ask yourself and your business people if the advice is worth the cost.