After receiving an audit notice from the IRS many people aren’t sure what to do next. The IRS can threaten taxpayers with wage garnishments and excessive penalties following an unsuccessful audit, and most people know that. Many people cannot even believe their current predicament as they respond to the initial letters and phone calls from the IRS. A lot of these people really just do not know what course of action to take, so too often they do nothing, either ignoring the threatening letters or destroying them without opening them. After the government starts to garnish their wages they realize that they needed some type of tax audit representation. The amount that the IRS can take from your check is enormous (85%). There is no way that you will be able to keep your house and your car with your wages so drastically decreased. You need to select a reputable tax attorney to represent you and your case.

You need to find the best tax audit representation that is available before you lose your home and your car. You should make an appointment right away. Your lawyer can reassure you that there are steps that can be taken to stop the garnishment. You can either apply to pay the government in installments or ask them for an offer in compromise which would basically reduce the amount of money that you actually owed them and you will have the opportunity to pay off the debt in one lump sum. Once either of these proceedings are approved by the IRS the garnishments will stop.

The first thing that a tax attorney can do is to sit down and figure out what the exact amount of money is that you owe the IRS. A lot of people have no idea how the IRS even came up with the figure that they claim that you owe but many people just figure that there is nothing more that they can do about it. Your attorney will arrive at a more realistic figure after taking into account all of the information that you supply them with. They typically find that you owe a significantly lower amount than the IRS has claimed.

A word about your records. How does your tax audit representative avoid having you appear at the audit when someone on your behalf must explain your case to the IRS? After all, the IRS audit guidelines are very clear about this: someone–you or someone acting for you–must explain the books and records you turn over. So how do we keep you, the client, out of the line of fire? The quick answer: by educating your tax audit lawyer, he can talk for you. The IRS audit rules state that your accounting and record keeping system should be explained to the IRS auditor by the person most knowledgeable of your system. The IRS audit guidelines go on to say that the appropriate person may by the taxpayer, an employee of the taxpayer (the person who keeps your books), or the taxpayer’s representative. As your tax tax lawyer we “go to school” on your accounting system and “go to school” on how you do business, so we know as much or more about your financial affairs that even you do. Then we can legitimately appear on your behalf at the IRS tax audit and explain your financial affairs.

What will we be expected to explain on your behalf? Our explanation will include:

1. How your income (sales, 1099, W-2) and your expenditures are reported in your books and how they reconcile to your tax return.
2. We will show the IRS auditor how income, expense, and balance sheet items can be tracked through the accounting system (an accounting system includes all books of entry and all reconciliations).
3. If you have Cost of Goods Sold, we will demonstrate how to trace the flow of purchases and inventory through to Cost of Goods Sold.

Once we know your system we can speak on your behalf and so we educate ourselves about your case from front to back, top to bottom. You should expect no less from the tax audit lawyer you hire to defend your tax audit.  Finding experienced IRS tax representation is as easy as calling us. Don’t delay, call now.
Help is yours by calling John Ellsworth at 1-877-477-7658 or by filling out the blanks over on the left and clicking Submit. Either way, you will receive a free and confidential tax analysis that only a tax lawyer can provide.