Steps of an IRS Audit

1. Audit Notification: The IRS will notify you by mail if you are selected for an audit. The letter will detail the items being audited and the documents you need to provide.

2. Preparing Documents: Gather all relevant documents such as tax returns, receipts, bank statements, and other financial records. Our team will help you organize and review these documents to ensure they are complete and accurate.

3. Audit Meeting: Depending on the type of audit, this meeting can take place at an IRS office, your home, your business location, or via correspondence. We will represent you in this meeting, ensuring that your interests are protected.

4. IRS Review: The IRS will review your documents and may request additional information. We will handle all communications with the IRS to ensure a smooth process.

5. Audit Findings: After reviewing your documents, the IRS will provide their findings. This can result in no change, a refund, or a tax liability.

6. Appeal Process: If you disagree with the audit findings, you have the right to appeal. Our experienced attorneys will guide you through the appeals process to achieve the best possible outcome.

How an Attorney Can Represent You and Help:

Navigating the tax court process can be complex and nuanced, but an experienced tax attorney can significantly ease the burden and improve your chances of achieving a favorable outcome. Here’s how a tax attorney can represent you and help you through the process:

1. Assessment and Strategic Planning

Case Evaluation: An attorney will first evaluate your case by reviewing the IRS notice of deficiency or other relevant documents. They’ll assess the strengths and weaknesses of your case, and identify the best strategy for challenging the IRS's position.

Strategy Development: Based on this evaluation, the attorney will develop a comprehensive legal strategy tailored to your specific situation. This includes deciding whether to negotiate a settlement, go to trial, or seek other remedies.

2. Preparing the Petition

Drafting the Petition: The attorney will draft the petition on your behalf, ensuring that it adheres to all legal requirements and includes all necessary information. This involves clearly stating the issues, outlining factual and legal arguments, and including any relevant documentation.

Accuracy and Completeness: They’ll ensure that the petition is accurate, complete, and formatted according to Tax Court rules, reducing the risk of procedural errors that could harm your case.

3. Filing and Serving the Petition

Filing: The attorney will file the petition with the Tax Court and handle all associated paperwork and filing fees. This includes managing deadlines to ensure timely submission.

Serving the IRS: They will also ensure that a copy of the petition is properly served on the IRS, following all required procedures.

4. Handling IRS Communications

IRS Correspondence: An attorney will manage all communications with the IRS, including responding to any questions or requests for information. This can be crucial in avoiding misunderstandings or additional disputes.

Negotiations: If appropriate, the attorney can negotiate directly with the IRS to reach a settlement or resolve the dispute without going to trial.

5. Preparing for Trial

Evidence Collection: The attorney will help gather and organize evidence, including documents, expert reports, and witness testimony. They know what types of evidence are most effective in court.

Pre-Trial Conferences: They will represent you in pre-trial conferences, where they can negotiate settlements or address procedural issues with the judge.

Trial Preparation: The attorney will prepare you for trial by explaining the process, helping you understand what to expect, and rehearsing your testimony. They will also prepare and submit pre-trial briefs or motions as needed.

6. Conducting the Trial

Presentation of Case: At trial, the attorney will present your case, including making legal arguments, examining witnesses, and introducing evidence. Their experience in court can significantly enhance your chances of a favorable outcome.

Cross-Examination: They will cross-examine IRS witnesses and counter any arguments or evidence presented by the IRS, aiming to weaken their case against you.

7. Post-Trial Actions

Understanding the Judgment: After the trial, the attorney will help you understand the Tax Court’s decision and its implications for you.

Appeals: If the judgment is unfavorable, the attorney can assist with filing an appeal to the U.S. Court of Appeals, preparing appellate briefs, and representing you in appellate proceedings.

8. Tax Planning and Compliance

Future Guidance: Beyond the immediate case, the attorney can provide advice on tax planning and compliance to help you avoid future disputes and manage your tax obligations more effectively.

what are the Benefits of Hiring a Tax Attorney?

Expert Knowledge: Tax attorneys are well-versed in tax laws, IRS procedures, and court rules, which can make a significant difference in the outcome of your case.

Advocacy: They act as your advocate, representing your interests and negotiating on your behalf.

Reduced Stress: Having a professional handle the complex legal and procedural aspects of the case can reduce stress and allow you to focus on other important matters.

An experienced tax attorney can guide you through each stage of the tax court process, from initial assessment to final resolution. They bring specialized knowledge and skills that can help you navigate the complexities of tax law, enhance your arguments, and achieve the best possible result in your case.