Federal and State Tax Audits
If you have received an IRS audit letter, you need an IRS tax audit lawyer. Even when you believe you have made no mistakes in your tax returns the threat of an audit can still be a stressful situation. Freeman Tax Law is experienced in handling IRS and State audits for both individuals and businesses. We have a team of tax professionals including reconstructive accountants, former IRS agents, and tax attorneys who are equipped to reconstruct books and records. We will ensure that your rights are fervently protected.
- Parallel audits: When a client faces an IRS audit, our law firm will have a former IRS agent do a parallel audit. By doing an audit using IRS procedures, we can determine what is causing concern in your tax return and quickly document the deduction or income. We can also compare our audit with the IRS audit to find their misperceptions and mistakes.
- IRS investigation: Internal Revenue Service auditors are trained to ask questions that will elicit more information about deductions and unreported income. Even a slight misstatement on your part can mean additional difficulties. That is why our tax audit law firm recommends that taxpayers have experienced legal representation at all times during the audit process.
- Effective legal representation: Due to the fact that you have a right to legal representation during the audit process our law firm does not require clients to actively participate. Although IRS audits are civil in nature they can lead to possible criminal investigations in situations where there is fraud or false reporting of information. Due to the potential of possible criminal charges anything you say can potentially be used against you in a future government investigation or proceeding. It is therefore imperative to have an experienced and effective tax attorney represent you through this process. Your tax audit attorney can appear in your place and answer all questions.
- Disclosure of income: If your bank deposits exceeded your reported income, the IRS may question this discrepancy. They will assume all deposits were taxable income and then assess you additional taxes. Our firm will identify potential reasons for these discrepancies, i.e. loans, gifts, re-deposits of cash, etc., and explain why these differences exist to the IRS.
- Documentation of deductions: The IRS will look for documentation, i.e. receipts, cancelled checks, bank statements, to support your deductions. If this documentation is no longer available we can help you reconstruct your records or use other indirect methods to demonstrate your deductions are legitimate. A disallowed deduction can result in additional taxes plus penalties and interests.
If you do not respond to an audit notice, you could face a summary assessment of substantial taxes, penalties, and interest followed by the seizure of income and assets including wages, bank accounts, automobiles and real property. Protect your assets and your rights by contacting a tax audit lawyer at Freeman Tax Law. Contact us for a free consultation.