Working with the Internal Revenue Service (IRS) can be a highly complicated issue process. Whether you find yourself with large tax liabilities, an audit, or allegations of tax fraud, dealing with complicated and convoluted tax laws will only make any of those issues that much worse.
When you need an attorney for IRS inquiries, tax liabilities or allegations concerning your tax behavior, it is not only beneficial but reasonable, to hire a top-rated tax lawyer Houston.
They will have very specific knowledge and experience on how your IRS disputes regarding IRS matters work while also having your interests and rights at the forefront of the matter.
Benefits of Engaging a Top-Rated Tax Lawyer Houston
Houston's economic diversity creates a variety of tax problems. These problems will often come from a combination of relating to investments in oil and gas, small business' misreported taxable income, international income, or selling a high value piece of real estate. A top-rated tax lawyer Houston understands the legal aspects and complexities of all these factors.
Benefits of hiring a Houston top rated tax lawyer:
• In-depth knowledge of the federal and Texas tax codes
• Representation before the IRS or the Texas state tax authority
• Protection from audits, garnishments, and liens
• Advice on compliance and assess future tax risks.
In circumstances where your finances, or possibly your freedom, is at stake, you cannot afford not to secure the assistance from an expert.
Common IRS Problems Houston Residents Face
The following are some of the most common tax problems that require legal help:
IRS Audits
A random or targeted audit can occur after months or years after a tax return is filed. A top tax lawyer will make sure your responses are planned, complete, and do not trigger an additional opening of the audit.
Tax Debt and Tax Penalties
Though having debt in the tens of thousands of dollars is a common condition, the interest and penalties for not paying your taxes can add up very quickly. Tax attorneys can assist you in applying for the installment agreement, offer-in-compromise, or a hardship status.
Tax Liens and Levies
The IRS doesn't need a court to place a lien on your property or levy your bank account. If you receive a lien or levies from the IRS, this can be a good point to have legal assistance to stop or undo that action.
Wage Garnishments
If the IRS garnishes your wages, you can be losing a massive part of your paycheck. A tax attorney can request a Collection Due Process hearing or negotiate a release.
Criminal Investigations
If you have been investigated for tax evasion, false returns, or structuring, a lawyer defending your rights is incredibly important. At this point, this is no longer just a tax problem, but a criminal law issue.
How a Top-Rated Tax Lawyer Houston Helps
1. Strategic Protection in an IRS Audits
Your lawyer makes sure you don't disclose too much or self-incriminate. They will respond to any audit letter, deal with any document requests, and deal with IRS agents directly on your behalf.
2. Legally Negotiating Tax Debt
Top rated tax lawyers Houston understands how to negotiate tax settlements with the IRS, and especially take advantage of programs like:
• Offer in Compromise (OIC)
• Currently Not Collectible (CNC)
• Partial Pay Installment Agreements (PPIA)
3. Removing IRS Liens and Levies
An experienced tax lawyer can argue for the release of a levy or lien based on a claim of hardship, and/or procedural appeal, or negotiated payment plan.
4. Defend You in Case of Criminal Charges with the IRS
If you are criminally being investigated for either not filing a tax return, concealing income, or filing a false return, you cannot hire a better ally than a top-rated tax lawyer Houston.
5. Long Term Tax Planning
Your attorney can help you structure transactions, income, and deductions going forward in a way that stop future problems with the IRS, which is especially important for high earners and business owners.
An Example Case Study
Imagine this: A Houston IT consultant, earning just over $300K annually, hadn’t filed taxes for three years, believing that he wouldn’t owe much based on some withheld income. The situation escalated when the IRS began a criminal investigation, accusing the client of willfully failing to pay taxes.
With a top-rated tax lawyer Houston:
• The client was able to quickly file all late filings and tardily complied reports of accounts to the IRS
• The attorney was able to negotiate with IRS agents before charges were even filed
• The attorney was able to negotiate and reduce penalties, and the case was resolved without criminal prosecution.
• The client was placed on a quarterly installment agreement for up to 3 years to pay off his back owed taxes.
• The lawyer’s quick engagement gave him the ultimate protection from jail time and protection of his license.
What To Look For In A Top-Rated Tax Lawyer Houston?
When choosing from the top-rated tax lawyers Houston, think about the following:
• IRS Experience: Has the lawyer represented clients against the IRS or done IRS work (as an employee or for the IRS)?
• Track Record: Have they successfully represented clients with cases comparable to yours?
• Bar Certifications: Is the attorney Board Certified in Tax Law and/or have an LLM in taxation?
• Client Testimonials: As with all professional service, strong testimonials and high Avvo or Martindale scores are a plus!
• Responsiveness: Tax issues can move quickly, and so should your attorney.
Houston-Specific Issues: Oil Royalties, Real Estate, International Tax
Houston has different tax situations after comparing tax issues for U.S. taxpayers. Houstonians typically face tax problems with;
Oil and Gas Royalties
Many Houstonians receive royalties from mineral rights. Royalties are considered income and also that oil and gas revenues often prompt IRS audits due to income being undervalued or unreported 1099 forms.
Real Estate Agreements
People routinely flip properties, generate rental income, consummate like-kind exchanges (1031), etc. Small errors in depreciation, capital gains reporting, and passive activity losses can result in IRS attention.
International Tax Issues
Houston is a city filled with expats, immigrants, and international entrepreneurs. If you have earned income overseas or hold foreign funds, you are likely liable for
• FBAR (Foreign Bank Account Reporting)
• FATCA (Foreign Account Tax Compliance Act)
• Reporting for foreign corporations or foreign assets i.e., filing form 5471 or 8938.
Failure to file properly, on these different international activities, can carry a penalty of $10,000 and up per year. A tax lawyer can make sure you are filing accurately and request abatement of penalties as appropriate.
Proactive "Avoiding IRS Problems" Steps
While a tax attorney can fix problems once the IRS has identified it, there are steps you can take to avoid IRS problems altogether:
• Make sure to pay quarterly estimated taxes if you are self-employed or have side income; automate it if possible
• Track your deductions and income as they occur, either through tax specific applications or accounting software
• Speak to a CPA and legal tax advisor whenever making business or investment decisions
• Get an annual transcript, and make sure they match your tax filings with the IRS
If you receive a correspondence from the IRS, reply immediately. Delaying any correspondence will only further reduce your options.
Conclusion
Dealing with IRS matters; an unfiled return, an audit, tax liabilities, or pending enforcement, is a complicated and often overwhelming process.
Having a top-rated lawyer Houston helps to ensure that you are protected and supported to take action in a proper and strategic way.
Firms such as Mixon Tax Law in Houston have extensive experience with all sorts of tax issues, with support and guidance unique to each client's circumstances.
Whether you are under immediate pressure from the IRS or trying to figure out the best long-term compliance path, discussing your options with a qualified tax attorney can significantly alter your opportunities and likelihood of a successful outcome.
FAQs
Q: Can I negotiate with the IRS by myself?
Sure, but if you do not have an attorney representing you, you may take a settlement offer worse than what an attorney could have achieved—or not even take advantage of available legal defenses.
Q: How much does a top tax attorney cost?
Hourly rates in Houston vary from $250-$600. There may also be flat fees for certain services. Most attorneys provide a consultation.
Q: Is it worth hiring a tax attorney for a small debt?
Yes- particularly if you are facing interest charges, penalties, or the possibility of aggressive collection by the IRS.
Q: Can a tax lawyer stop a wage garnishment?
Yes. Your attorney can request a release or file an appeal- in some cases within 24-48 hours.