If you are ever summoned for a sales tax audit, you must either consult an accountant or a sales tax audits attorney. If you are working with an accountant while filing your taxes, he or she should be able to spot the tax audit flags, which may prevent a tax audit occurrence.
The IRS will let you know that they need either an comptroller or an lawyer to produce any certification that may serve as proof to your tax liability. However, if you are working with an attorney, you have a better chance of winning an argument if you withhold documentation and information due to attorney-client confidentiality articles.
Corresponding to the Supreme Court, if there are pre-existing documentation that the client maintains has attorney-client confidentiality agreements, the matter will be sustained if: 1) if the client is a member of the state bar or is studying to become one 2) if the client was actually told by his or her lawyer that the information in question was confidential 3) the conversation that took place was in a legal advice manner 4) if the documents had been privileged in the client’s hands.
There are many twists and turns that must be taken under consideration when responding to an audit. This is why it is important to consult an accountant while you are filing your taxes. You must make sure that everything is correct and legal. If you are audited, however, it is always better to seek an attorney who deals with IRS audits because they have special privileges over the accountant.
Select a tax audit attorney that has a long line of history when it comes to wins against the IRS. You may want somebody who is local, so they understand all the rules and ordinances in your state. Ask your attorney a lot of questions before you hire him or her and make sure that it is someone that you can see yourself working with in the immediate future.
This entry was posted on Tuesday, December 22nd, 2009 at 9:33 pm and is filed under finance. You can follow any responses to this entry through the RSS 2.0 feed. RSS 2.0. You can leave a response, or trackback from your own site.