With the New Year holidays coming up you may be hoping for an IRS tax dispute resolution, or that you never have to deal with this agency again in the coming year if you have had past controversy with the IRS. We want to assist you in your goal in staying in the good with the IRS and avoiding any tax disputes.
Listed below are 6 steps which can help you avoid problems with the IRS, and keep any damage as small as possible if you do find yourself involved in a controversy with this agency:
1) Avoid panicking. No matter what your tax dispute with the IRS you are facing, it is panicking will not help your situation any. If you receive notice that the IRS has a tax dispute against you stay calm and consider your situation. You may start to feel overwhelmed or unsure of what steps you need to take. Consult with a qualified tax attorney as soon as possible.
2) You should never try to take on the IRS without professional legal representation. If you have a dispute with the IRS over your taxes a qualified tax attorney can help you resolve any issues without aggressive collection tactics. The lawyer will ensure that you are treated fairly and that the IRS follows the laws. This will help you get the best possible outcome from the tax dispute. This government agency has many attorneys, you should have a qualified and experienced tax attorney on your side as well.
3) Don’t bury your head in the sand when it comes to IRS communications and problems. The IRS will not leave you alone until any tax dispute is resolved, and when you ignore this agency things will only go down hill and you could end up facing asset seizure, wage garnishments, personal visits from an agent at your job or home, and other aggressive IRS collection methods.
4) If you are a business owner make sure you retain copies of all your business records. Careful record keeping is crucial for any business owner, and you need to make sure that you document all of the business income and earnings for each year. If there is any tax dispute with the IRS then this agency will ask for documentation to verify these factors. If you can not produce the requested records and information then the IRS may disallow the related business expenses.
5) Always keep documentation for any deductions that you claim on your personal and business tax returns. The IRS is big on documentation, and they are always suspicious if you can not provide it. Any charitable donation deductions, use of your vehicle for business purposes, and any other personal or business deductions should have supporting documentation to back up all of the deductions that you claim.
6) Organization is very important when it comes to your tax forms and documents. Always keep all supporting documentation for tax deductions and other aspects of your tax return completely accessible and very well organized. Spend a couple of hours at the beginning of the year creating a well organized system for filing and storing any tax documents and supporting evidence of tax deductions, making it much easier to quickly locate them if there is an IRS tax dispute.
These 6 key steps can help you avoid any problems with the IRS. The Law Offices of Nick Nemeth is available if you need additional information or an experienced tax attorney who will work with you to resolve any IRS tax dispute.