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When Should You Hire a Tax Lawyer?


— December 7, 2022

Getting yourself a tax lawyer doesn’t mean you’ll have to go to court. Most debt issues can be solved out of court, via negotiation. 


Denver, CO – You know the saying about death and taxes. Unfortunately, there’s nothing anyone can do about death, but when it comes to problems with the IRS you can reach out to a Denver tax lawyer to sort out the financial mess you’re in. One of the most common questions people in this situation have is how does it make sense to hire an attorney when you already owe money. It makes sense because a skilled tax lawyer can help you negotiate a compromise with the IRS so you’ll owe them less in taxes, plus you can benefit from an extended repayment period, so you can avoid financial ruin. 

However, if you owe less than $10,000, hiring a lawyer won’t probably be necessary. It is not a great sum after all and you can very well negotiate yourself with the IRS. When it comes to large sums, in excess of $10,000 it’s preferable that you get legal advice from a professional who deals with such cases day in, day out. 

How can a tax lawyer help me with my IRS debt?

The first rule about dealing with the IRS is don’t ignore the problem. It won’t go away and the longer you put it off, the more money you’re going to owe them.

Handshake: image courtesy of geralt via Pixabay, www.pixabay.com
Handshake: image courtesy of geralt via Pixabay, www.pixabay.com

The first thing a Colorado tax lawyer will do is go over your papers to identify the problems and find a solution. They will take charge of all communications with the IRS. All you have to do is sign the IRS Form 2848 which allows your lawyer to represent you. Tax lawyers and IRS inspectors speak the same language, which is almost impossible to understand for the average taxpayer. 

The least painful solution to an IRS debt is for your lawyer to negotiate a repayment plan. No lawyer can make your debt problem go away. If anyone tells you that they’re not much of a lawyer. But, a seasoned attorney can negotiate reasonable installment payments, wage garnishment removal, tax lien or levy release and even a penalty abatement. 

Under the Fresh Start program launched by the IRS in 2011, taxpayers who owe up to $100,000 in unpaid taxes can be granted an extended repayment period of up to 84 months. If your lawyer negotiates such a plan for you, the IRS won’t place a tax lien on you, so you won’t have any problems with your credit score. Plus, the IRS won’t investigate your assets. You cannot qualify for this program if you file for bankruptcy or you’ve had another settlement agreement with the IRS within the past five years. 

Getting yourself a tax lawyer doesn’t mean you’ll have to go to court. Most debt issues can be solved out of court, via negotiation.

However, if your audit leads to criminal charges or you are charged with tax fraud, your lawyer will be ready to represent you in court and fight to protect your interests. 

If you live in Denver and are worried about your unpaid taxes contact an experienced lawyer at the Semler & Associates P.C. law firm and see how they can help you.

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