The Necessity of Engaging the Services of a Tax Attorney
Renowned for its waterfront attractions and hospitality, Long Beach has fast become a go-to destination for many. Long Beach has also attracted a variety of businesses, whether they are tech start-ups or long-established firms. Yet the excitement of living or working in one of Long Beach’s neighborhoods does not preclude all the tax issues that can arise for individual taxpayers and businesses.
Let’s look at some situations where you may need the advice of a tax lawyer in Long Beach. One possibility, of course, is needing help with the IRS. You may have to deal with business tax litigation, IRS audits, or even criminal tax fraud investigations.
Some residents might face tax problems that arise from a divorce. Divorce taxes can be especially complicated, and negotiating this settle with your future ex might be more complex than you think. Also, the consequences of divorce can expose you to tax-related penalties in the future. A tax lawyer can advise you regarding these penalties.
If you live in Long Beach, you may own more than one property. Owning multiple properties, or even having one residence that you put up for rent, can produce tax issues. In terms of passive activity losses and tax shelters , the laws can be tricky to comply with. Also, if you are a real estate investor, how should you structure your ownership? You might be eligible for the passive activity exception for real estate professional investors. The biggest concern with multiple properties is that you might be misreporting with the IRS and get audited. The IRS will know how many real estates you own and will expect you to report income from all of them. If you fail to do so, it can be difficult to explain yourself.
Also, some people have taken illegal steps to avoid taxes. It’s important to know if you are breaking the law. You might not realize it, but the IRS makes this determination. Working with a tax lawyer will help you understand whether you have complied with the law.
The above are only a few examples of why you may need a tax lawyer in Long Beach. An experienced attorney can help residents and businesses with a variety of issues. As already noted, a tax lawyer can provide assistance and representation when a matter ends in litigation. While representation is essential in the case of an IRS audit or a trial, it’s also advised during other types of negotiations.
The Range of Services Offered by Tax Attorneys
A Long Beach tax attorney could provide different services to their clients. Nonetheless, each of these services is of equal importance and they could be rendered before the long-term costs to the tax-payer rear their ugly head. Services offered by tax attorneys in Long Beach could include: Tax Planning: Tax planning services could be particularly beneficial for those who are looking for ways to reduce their taxes now and in the future. A Long Beach tax attorney could offer a range of tax planning services including tax minimization, estate planning, international tax planning, corporate income tax planning, tax deferral and even tax incentives. Negotiation with IRS: The negotiation services from a tax attorney can be vital in cases where an audit has revealed some discrepancies with the IRS. Negotiation services are also essential in instances of back taxes where the tax-payer needs some breathing room from the tax authorities. Tax Litigation: Tax litigation services are usually offered to tax-payers to resolve tax matters with the IRS. A Long Beach tax attorney can provide a range of advocacy services for persons facing litigation from the IRS. Audit Representation: The services of a tax attorney could also provide representation for tax-payers the IRS is auditing. The tax attorney could offer valuable insight into approaching the audit and what records should be submitted.
Criteria for Selecting a Long Beach Tax Attorney
Making a decision on finding the right tax attorney can be a challenging and sometimes overwhelming process. Picking an attorney who doesn’t have sufficient experience or isn’t a good "personality fit" can be a huge mistake. The good news is there are some key factors you can keep in mind when making your decision. Here are a few that I’ve found helpful as a tax attorney: When it comes to picking out your tax attorney, I’ve found that qualifications matter. Does the attorney have advanced legal training? Are they board-certified? All of these things should help you limit your choices down to really qualified attorneys. However, I think one of the most important factors in deciding on your tax attorney is experience. You want an attorney who has been working in the field for quite some time. The best way to figure this out is to ask your attorney how much experience they have handling cases similar to yours. The more experienced the attorney you hire is, the better chance you have at resolving your case successfully. It’s also important to choose a tax attorney with a good reputation. Attorneys that have been in the field for a long time should be pretty well-known. You can ask around or look online to see if your attorney has a good reputation. It’s also a good idea to go with a local tax attorney. Local tax attorneys know the legal landscape of their state and should be able to represent you properly. However, please be aware that if you have a tax matter involving federal tax law, you may need to work with an attorney that isn’t local to your area.
Tax Attorney Fees and Costs
The fees for legal representation by tax attorneys in Long Beach can vary according to the services provided. Sometimes, flat fees will be charged for transactional work such as creating wills and establishing trusts. When it comes to addressing issues with the IRS, however, most tax attorneys will charge by the hour and estimate how many hours it may take to complete a given task. This can be difficult to estimate even by experienced attorneys, and it is always a good idea to not only get an estimate but also a budget that clearly lays out the specifics of what you are hiring the lawyer for and how much you are willing to spend after which they are authorized to pursue other options and/or withdraw from your case.
There are some cases in which full upfront fees can be charged such as if the money is borrowed from the tax attorney’s office trust account . The attorneys of this type agree to handle the case for a given number of hours for a specific pre-paid amount and will subtract the billable time from the lump sum they were paid in advance.
Although reputable tax attorneys will never require that their clients prepay their fees, it is common for them to request that clients pay an initial retainer. This advances the costs for future work on the matter. There is typically a minimum retainer, the amount of which will depend on the issues being handled. This money remains in a special trust account that is only used to pay for expenses. Attorneys can only charge against the retainer for work that they have actually completed. In other words, the retainer is not the total fee for the case—it is a deposit against the attorney’s services.
Contact The Law Offices of Nick Nemeth today at (888) 602-6442 so that we can provide you with the legal help that you are seeking.
Illustrative Case Studies and Triumphs
One of the most common success stories we have seen is that of the small business owner small business owner who started encountering tax problems after he fell behind on quarterly estimates. Many times it will result in a snowball effect, where delaying tax payments will result in accumulating penalties and interest which can add up to 100% of the original balance over time, until the IRS and California are basically treating you like a cryptocurrency investor – except you don’t make a dime of profit in the end.
This small business owner was originally struggling, and just desperately trying to stay afloat, but soon found that he was in over his head and needed to stop the bleeding. After we evaluated his case and determined that he had no other option other than an installment agreement, we helped him get set up online with the IRS and then helped him with California. The CA FTB was harder, but we did find some wiggle room there to get the monthly payment amount as low as we could. He was able to live his life fairly normally after that, and while still in over his head, he at least had more predictability and could start saving to pay off all of the payments in one lump sum, several years later.
That was a huge relief for this person, and he discussed with us that he regretted ignoring the problem. If you’re in a similar situation, its better to get a tax attorney involved sooner rather than later.
Strategies for Collaborating with Your Tax Attorney
When your financial future is at stake, you want to be certain that you are doing everything you can to present the right argument in your favor. By communicating regularly and completely with your tax attorney, you increase the odds of reaching the best possible outcome for your case.
Tax issues can be complicated and potentially long-lasting, so it’s important to stay in regular touch with your tax attorney to make sure you’re both still on the same page when it comes to your case. A good rule of thumb is to make contact at least once every few weeks to ensure you are up to speed on any developments.
You should supply your tax attorney with all of the information he requests in a timely manner. If you don’t have this information readily available, let him know as soon as possible. The sooner you can provide him with the necessary information , the sooner he can work to resolve your issue.
Your tax attorney probably has other clients with similar issues to yours, so he will likely not be able to provide you with nonstop updates on the status of your case. But if you haven’t heard anything for a couple weeks, especially if you have done your part by providing documentation, do not hesitate to contact him for a status update.
A bad tax attorney can end up costing you an exorbitant amount in fees with no results to show for it. Prior to hiring a tax attorney, ask around to see what kind of knowledge and customer service can be expected from her.
Comprehensive documentation is essential for a tax attorney to establish your case. Provide all documents and information in a timely manner and keep your tax attorney in the loop on any new developments.
