What Do Tax Lawyers Do?

Blog, Tax Lawyers

Posted in on January 29, 2016

Taxes and lawyers might not be the most popular topics in America. But Tax Lawyers provide essential service to people and businesses, helping their clients pay as little taxes as possible. To do this, Tax Lawyers use their extensive knowledge of the tax code, as well as decisions in tax-related Court cases.

Experts of the U.S. Internal Revenue code and administrative rules, tax lawyers can prepare tax returns, but can also go far beyond the ability of an accountant in estate and financial planning issues with potential tax consequences. Like other lawyers, tax lawyers have law degrees and have been accepted to practice by a state bar association. In addition, many tax lawyers also have an additional degree or degrees in accounting, business, finance, economics, or an advanced degree in legal taxation, called a LLM.

Tax Attorneys have two major roles. The first is to help prevent tax problems for their clients. Businesses, especially, hire tax attorneys to help structure their organization in a way that legally minimizes their tax obligations. Tax considerations are also a critical element in structuring the purchase or sale of a business or business assets. Individuals with large estates may consult with tax attorneys when creating trusts, wills or taking other steps that will affect the way their assets are taxed during their lifetime and upon their death.

The second, equally important, role of the tax attorney is to represent clients in disputes over taxes. While any person can help another prepare his tax return as an unenrolled agent, only an attorney, a certified public accountant or some other enrolled professional can argue a taxpayer’s case to the IRS in a tax dispute. Enrolling as an agent involves taking an examination. Tax attorneys who have gone through this process can represent a client in all matters with relation to the IRS

An area of tax law not often considered is criminal tax law. If someone is charged with tax evasion or some other tax-related crime it certainly helps to have a lawyer that is a tax expert to be able to make a convincing case. Because a federal criminal tax case involves issues of intent as well as action, a criminal tax attorney has to combine the skills of traditional criminal defense with the specific knowledge of the tax code necessary to exonerate a client (or at least show a lack of criminal intent).

As with other lawyers, tax attorneys have several options about where and how they want to practice. A lawyer with a strong accounting and tax background can work as an in-house legal counsel for a corporation, or as part of a major law firm handling mostly corporate clients. On the other hand, because the services of a tax attorney are so universally in demand, it’s relatively easy for a tax attorney to go into private practice and serve individuals. A tax attorney may open an office with an accountant or other tax specialist to provide a full range of tax and estate planning services to clients.

The tax attorneys in Quincy at Baker, Braverman & Barbadoro, P.C. are available to assist clients in all areas of taxation, with particular expertise in transactional tax, estate tax planning, no-profit charitable organizations and tax-exempt business reorganizations.