Questions to Ask a Tax Lawyer in Orlando
- 1. How long have you been practicing state and federal tax law in Orlando?
- 2. Do you only practice tax law or are you involved in other legal areas also?
- 3. Have you worked with the IRS on tax cases similar to mine before?
- 4. How would you handle my tax situation, and how bad is my problem?
- 5. How do you bill for your services and can you estimate your fee for my case?
To get a good glimpse of why an Orlando tax attorney is invaluable to any resident of Central Florida, consider the following situation at hand. It could be one of those nights where everything seemed to be just fine when all of a sudden you are interrupted by an unexpected phone call from the internal revenue service about unpaid taxes and penalties you might have to face if these are left unattended. You could be out on the beach when your cell phone suddenly rings and you are greeted by an IRS agent reminding you that certain tax penalties and payments are due and that you might be facing state complications if these aren’t paid. In these cases, a good financial lawyer is first person you would need to contact.
Dealing with the IRS in Orlando
5 Reasons to Call an IRS Lawyer in Orlando
- IRS Audits: Audits can be complecated and stressful. If you have never been through an IRS audit you would feel more comfortable with a lawyer representing you.
- Returns Not Filed: Anyone can forget to file taxes one year. However if you have several years of non-filed taxes you should talk to an attorney.
- CP Notice: If the IRS thinks you owe them more than you stated on your return, they can file a CP2000 notice. An attorney can help you understand what it means.
- Probate: Inheritance taxes are also collected by the IRS. If your inheritance is substantial, an IRS attorney should be involved
- The Internal Revenue Service or IRS is a federal agency held responsible for handling all of the laws under the wings of the Treasury Department and this covers collection and assessment of taxes. In Orlando the office is located at 850 Trafalgar Ct, Maitland, FL 32751. One must remember that everything the government does for the benefit of the people such as government grants, bridges, road maintenance and medical insurances all come from the accumulated wealth of gathered taxes. This is why it is highly important for people to be able to pay their taxes in order to contribute to the betterment of the nation and the IRS is responsible for making sure that this is enforced. When somebody does not file and pay their taxes, you can expect the IRS to give a call. It can be annoying, and it can be frustrating, and most of all it can be scary considering all the possible penalties that the IRS will shove into your face. To defend yourself, a tax attorney is your only shield against them.
Florida’s Tax Laws and Orlando City Taxes
One must first consider the tax laws of the state of the sunshine state. First of all the state of Florida does not impose state income taxes, except for corporations, and it’s current rate of sales taxes are at 6% and an out of state purchases tax. The out of state purchase tax is for items that were bought from other states or over the internet and then delivered into the state of Florida. If these items are taxable if they were bought in the state then they fall under the use tax law otherwise known as the out of state purchase tax law. A lot of people end up having to pay a lot taxes back to the IRS for the out of state taxes and, as usual, for property taxes as well as estate taxes. A Florida tax attorney is the one person that will be your shield when the IRS calls and states that you have pending taxes to pay.
Types of IRS Penalties
There are over a hundred different penalties that the IRS can file against a taxpayer and here are some of the common cases that you may find the need to hire a law firm for, especially international assets. The very first to consider is fraud complications. This is when the taxes you filed and paid are not up to date and are under the actual amount you owe. You could fall under fraud cases if you try to hide other assets. Take this for example: someone owns three real estate properties but only files for two. By hiding one property the person is assuming they’ll have much less to pay yet when the IRS discovers the discrepancy serious cases can be sued against the person for fraudulent taxes. Say you owe about $1,500 in taxes but indicate in your documents that you only owe half of that amount and that was the amount you paid, they will find out through their systems that you actually owe more to the system. The penalties for fraud tax payment are severe and you could be penalized with over 75% compounding rates.
Another common complication is concerned with accuracy in filing taxes. A lot of people try to cheat the system by placing an incomplete or wrong social security number or they try to make an intentional error in the spelling of their name or other vital information. This impedes the tax processes and the IRS will be calling and suing you relentlessly over accuracy cases. Sometimes though people just make mistakes and they can convince the IRS that it was an honest mistake and not an intentional action to avoid tax payments.
As you can see there are a lot of complications that can happen to a person when filing taxes. Whether they made the mistakes intentional or not, the IRS and the state of Florida are not going to go easy on you when they see any form of discrepancy. If you even try to avoid paying taxes, underpaying your taxes, filing fraudulent tax reports and others, you can expect frequent phone calls, emails and visits from their agents to force you to pay your due and face the penalties.
When to Hire an IRS Lawyer in Orlando FL
Do not turn to a lawyer at the very last moment either. When the time of the year comes for people to file their taxes it is suggested to go find a decent attorney to help you with the process. You can find one on Google. This will ensure that you are not making any mistake from the information included in the documents to the amount you’ll have to pay. A lot of people face complications for not putting down all of the properties they need to file taxes for but with an attorney you can make sure that everything is paid for. If you do happen to hit a snag after paying taxes and you are receiving the insistent phone calls from the IRS, your best bet to settle the costs of the penalties with the help of a law firm specializing in tax and IRS cases.
Back taxes are State or Federal taxes that are outstanding from previous tax periods. These taxes usually result in some sort of penalties or interest because they are overdue, and will continue to accumulate until they are paid. In the interest of avoiding liens or forced collection actions taken against you by tax agencies, it is highly recommended that back taxes are dealt with as quickly as possible.
Offer in Compromise (OIC)
One option for Florida taxpayers with back taxes is an Offer in Compromise. An Offer in Compromise (OIC) is an agreement between the I.R.S. and a liable taxpayer that settles the debt for less than the full amount owed. Conscientious citizens in every state that obey the law under every other circumstance may be remiss in filing their tax returns. Why? There are a variety of reasons. Studies have shown that taxpayers neglect to file returns in years when there are changes in circumstances. Reasons can also be emotional or financial, if they are unable to pay their tax returns. Sometimes it’s just the result of procrastination.
Neglecting to file and pay payroll taxes is a surefire way to incur serious penalties and debt, and employers may run the risk of federal charges, not to mention the loss of their business. The penalties on late payroll tax filing or payment can increase exponentially in a very short time, and the I.R.S. are especially aggressive in their efforts to collect past due payroll taxes, since they assign higher priority to them than individual income taxes. Payroll tax problems affect more than just the employer; it can mean the breakdown of your entire income, and the livelihood of every other employee in your business.
When the I.R.S. means business, they will seize your assets to settle back taxes, otherwise known as a “bank levy”. The term “bank levy” refers to a freeze on a bank account or the seizure of some or all funds in a bank account, usually due to unpaid taxes or unpaid debt. Bank levies are the result of a creditor or agency attempting to collect an unpaid debt after an extended period of time. In the case of the I.R.S., they will initiate bank levies after repeated attempts to contact and settle with taxpayers, which the taxpayers either ignore, refuse to pay or establish a settlement agreement. The danger of a bank levy is that you risk losing all of the money in your checking and savings accounts, investments, IRAs, accounts receivables, inheritances, social security, pension, insurance policies and anything else you have with equity.
Of all the means the I.R.S. use to collect back taxes, one of the most common forms is Wage Garnishment or a Wage Levy. With this type of forced collection, the I.R.S. instructs the negligent taxpayer’s employer to withhold a certain amount of each paycheck to be put toward the tax debt. No matter how good a relationship you may have with your Orlando tax attorney or employer, chances are that they will obey the I.R.S.’s instructions; if they don’t, they will be held personally accountable for the amount that should have gone to the I.R.S. Wage Garnishment will continue until the tax amount has been collected, plus interest in penalties, or if you settle the entire tax amount in an alternate fashion.
If you have underpaid on your taxes, failed to file returns or pay taxes in a timely manner, you are a prime target for I.R.S. penalties and interest. There are a variety of reasons that taxpayers, who are otherwise conscientious citizens, fall short of the mark when it comes to paying taxes. Studies have shown that taxpayers neglect to file returns in years when there are changes in circumstances. Reasons can also be emotional or financial, if they are unable to pay their tax returns. Sometimes it’s just the result of procrastination.
Getting hit with an I.R.S. audit is stressful, and it’s even more so when the I.R.S. makes an audit recommendation with which you don’t agree. But taxpayers in distress need not panic; these recommendations are not irreversible, and you have a legal right to an I.R.S. appeal. I.R.S. appeals, however, are very involved and are difficult to orchestrate yourself. It is highly recommended that to put a successful I.R.S. appeal into effect, you enlist the help of a qualified tax professional or appeals officer. Their expertise can make all the difference between a favorable appeal and a serious financial setback for you.
An I.R.S. Audit is when the I.R.S. investigates the details of your tax return to determine if it is accurate. The odds that the I.R.S. will select your tax return for audit is relatively low; usually, no more than 2% of individual income taxes are audited, about 1 in every 75. However, about 80% of all people will be audited at least once throughout their tenure as an employee. Most Americans do not have means to attract I.R.S. attention, and the I.R.S lacks enough staff to audit every citizen’s tax return. Depending on income levels and profession, you may or may not be a target for an I.R.S. audit.
We employ only professionals who specialize in negotiating with the IRS on your behalf. We work very diligently to earn our Better Business Bureau rating, and focus on customer satisfaction. Several different scenarios can occur to bring about IRS issues causing tax liabilities, and or money owed. Whether you happen to be dealing with a back tax issue, you’re facing an IRS audit or the IRS is aiming to increase your tax liability by assessing more interest and IRS tax penalties, an Orlando Tax Attorney can provide taxpayers with the tax advice that we know can help you. Working on thousands of cases with successful outcomes, we have learned how to quickly and efficiently create the best possible plan, of course, customized for yo
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