Do You Need a Tax Attorney?

Kansas City Tax Mediation can handle most tax situations that arise, and we can typically do it for a lower fee than what a tax attorney would charge. However, there have been occasions when clients have come to us looking for tax help and we have declined to help them. In those cases, we recommend that they hire a tax attorney.

So when might you need a tax attorney instead of a CPA firm? Here are some situations:

1) You may need a tax attorney when the IRS or state is conducting a criminal investigation. If they are using the word “fraud” or you find out that the agent assigned to you is a “special agent” from a criminal division, Kansas City Tax Mediation will not take your case. This is because we will not enjoy attorney client privilege the way a tax attorney would. For example, if you told a tax attorney about something illegal that you did (and you may not have even known it was illegal!), the other side could not insist that the tax attorney testify; in fact, the tax attorney would lose his or her license if your secret were out. On the other hand, anything you tell anybody else, including a CPA, is admissible in court and, unless you are married to that CPA, we could find ourselves on the witness stand of a criminal trial for you. We never want to be in that situation, which is why we recommend you hire a tax attorney instead of Kansas City Tax Mediation.

2) If you want to take your case to tax court, you would need a tax attorney. We have handled audit cases all the way to the appeal level, but it has always involved settling outside of court. However, if you had an audit or other issue that you believed was legally defensible but your IRS auditor and appeals officer did not relent, a tax attorney could argue the case in federal tax court.

For situations where you don’t need a tax attorney, you can call Kansas City Tax Mediation for your tax help needs. Kansas City Tax Mediation: Let’s get through this together.

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