Tax advocates provide advice, guidance, and representation for individuals and businesses when dealing with the Internal Revenue Service or other tax authorities. They can help with various tax-related issues, including audits, appeals, settlements, and more. This blog will discuss what a tax advocate is and the seven crucial things they do.
Tax Advocate: An Overview
Tax advocates specialize in tax law and can assist taxpayers in filing tax returns, resolving tax issues, and minimizing tax liabilities. They have expertise in understanding the tax code, IRS regulations, and the overall tax system. Tax advocates can advise and assist taxpayers with filing taxes, understanding tax obligations, and resolve tax-related disputes. Sometimes, a tax advocate may even represent a taxpayer in court or other legal proceedings.
That said, here are seven things these advocates can do for you:
1. Represent Clients in Tax Proceedings
Tax advocates represent their clients in all types of tax proceedings. This includes filing and responding to IRS notices, attending audits, representing clients in appeals conferences, and appearing in court. They also advise and guide their clients every step of the way, ensuring they know their rights and understand the process.
2. Negotiate Tax Settlements
A tax advocate, or tax negotiator, is an expert in this field and is hired to assist clients in resolving tax issues, from preparing and filing tax returns to negotiating tax settlements. A tax advocate’s primary role is to provide accurate advice and representation for their clients to ensure the best possible outcome in all tax-related matters. This includes helping clients to understand their rights and obligations when it comes to taxation and helping them to identify potential areas of savings.
3. Assist with Tax Preparation
Tax advocates can assist their clients with preparing their taxes, including filing the necessary forms and ensuring that all deadlines are met. They can guide the best strategies to minimize taxes and maximize deductions and credits. They also have extensive knowledge of the tax code and can advise on how to best utilize it to the client’s advantage.
4. Appeal Tax Audits
When the IRS audits taxpayers, the process can be daunting and intimidating. A tax advocate can help by appealing the audit and representing the taxpayer’s interests. A tax advocate can argue on the taxpayer’s behalf, ensuring that the audit is conducted fairly and that the taxpayer is not being taken advantage of. The advocate can also help the taxpayer understand their rights and responsibilities during the audit and work to make sure that any penalties or charges applied are fair and reasonable.
5. Provide Tax Advice
They know the tax laws and regulations of the country, state, and local jurisdictions and can provide professional advice and assistance to help taxpayers minimize their tax liability. Tax advocates can provide expertise in tax filing, understanding tax regulations, and preparing tax returns. They also help taxpayers handle disputes with the IRS and represent them in audits or appeals.
Tax advocates can also provide advice and assistance on handling tax debt and avoiding potential tax penalties. They can provide strategic advice on structuring business transactions to minimize tax liability and maximize deductions. They can also advise on handling investment portfolios to avoid tax liability.
6. Negotiate Installment Agreements
One of the most important services a tax advocate can provide is negotiating installment agreements with the IRS. An installment agreement between a taxpayer and the IRS allows the taxpayer to pay their tax debt in installments over some time. A tax advocate can help negotiate a payment plan that works for the taxpayer and the IRS. The advocate can also advise reducing the amount owed and protecting the taxpayer’s rights.
7. Represent Clients in Tax Court
Tax advocates represent clients in tax court proceedings and can be instrumental in helping them negotiate a favorable settlement with the IRS or state tax agency. Tax advocates are familiar with the tax laws and regulations and can help clients understand the implications of their tax situation.
They can also assist in filing the necessary forms and documents, ensuring that they are completed accurately and promptly. They can advise how to reduce taxes, minimize penalties, and help clients understand the potential consequences of their decisions.
A tax advocate is a professional who can help taxpayers navigate the complex US tax code. Tax advocates can help taxpayers by researching and negotiating tax liabilities, advising on deductions and credits, preparing returns, and more. If you are struggling with your taxes, it may be beneficial to consult a tax advocate to help you resolve any issues and save you money.