As the name suggests, a tax lawyer is one who specialises in the financial aspects of the running of a company, business or investment. However, he is quite different from an accountant. The latter helps with the day-to-day management of the finances, whereas an attorney is there to deal with the legal implications of a company or business’ finances. Tax attorneys may not be able to ‘crunch the numbers’ as accountants do, but their specialty is the complex and technical field of tax law. They are experts at handling complex legal issues associated with the filing of taxes and related tasks.
Therefore, it is always advisable to get in touch with a tax lawyer at the very onset of your business, rather than going to one when you face problems. As any good tax lawyer in Perth will tell you, it is imperative that the business or company keep track of tax payments and other financial details from the very beginning, rather than reaching the end of the year when it could be too late to rectify imbalances in the books or other financial discrepancies.
So, what exactly are a tax lawyer’s areas of expertise?
A tax lawyer possesses strong knowledge of tax laws and also knows how to handle issues related to income, property, gift and federal tax. They also show their clients how to keep up to date with IRS regulations and tax laws, and use this to counsel clients on changes that may affect their finances and accounts. Tax lawyers also show businesses how to maintain accurate records and develop plans to solve financial problems that may affect the clients.
Your business in Perth will also need a Perth tax lawyer to communicate and negotiate with federal, state and local government departments with regards to the company’s finances. Added to this, he or she will also evaluate and assess complicated tax issues that your company may be facing. Your tax lawyer will also research and analyse federal and state laws and have a strong knowledge of the same.
In essence, your tax lawyer in Perth acts as your financial advisor. They guide you through major financial decisions, and show you how those decisions could affect the financial soundness of the business. They also explain how these could be affected by the changes in the IRS and business regulations due to public policy and other changes.
The right time to contact a tax lawyer is when you are starting a business. You may have many questions like what type of business entity you should set up, or if you want to function as a sole proprietor. And also what the tax ramifications are. The legal advice provide by a tax lawyer can guide you with regards to the structure and tax treatment of your company, including the non-tax issues that you may need to consider simultaneously.
Your tax lawyer can also help you out in other areas like if you were setting up or engaging in an international business and you need to draw up contracts in keeping with the laws of the other country as well as yours. In extreme cases, your tax lawyer will also advice you when you need to bring a suit against the IRS, or if you are under criminal investigation by the IRS, or you request for an independent review of your case before the U.S Tax Court.