All posts by Mike Ablan

Role of a Tax Lawyer in Tax Controversies

As the saying goes, nothing is certain in life but death and taxes. However, if you find yourself on the receiving end of tax controversy, the last thing you feel is certain. Tax controversies can be highly complex and result in significant penalties. A tax lawyer can explain what is at stake in your case and help you resolve the controversy.

Tax Computation

Types of Tax Controversies

Tax controversies often arise when the Internal Revenue Service determines that you owe taxes or that you reported inaccurate information on your taxes. Common types of tax controversies include:

  • Failing to file a tax return
  • Failing to pay taxes
  • Failing to remit sales tax or taxes withheld from employees
  • Allegations that you deliberately under-reported or omitted income
  • Allegations that you hid or transferred assets or income
  • Failing to report capital gains

Many of these issues may have occurred by mistake or due to a misunderstanding. Our team can help you clear up these issues and mitigate the consequences you may face for a tax violation.

 

Possible Consequences of Tax Violations

Violating the tax law may be considered a crime, depending on the circumstances. A conviction for tax evasion can result in imprisonment up to five years per offense, a fine up to $250,000 for individual taxpayers, or up to $500,000 for corporations. You may also be ordered to pay restitution and the costs of prosecution. Your life may continue to be affected and restrained if you are given probation.

Even if your case is handled through civil court, the consequences can still be dire. You can be charged hefty penalties, such as a 5% penalty for forgetting to file a tax return or a 75% penalty for intentionally filing a fraudulent tax return.

Because the potential consequences are so serious, it is important that you retain the services of a qualified tax lawyer the moment that a tax controversy arises.

 

How a Tax Lawyer Can Help

At Ablan Law, we take a proactive approach to resolving tax controversies. Our goal is to minimize or eliminate your exposure to liability or penalties related to your tax situation and we get involved in the process as early as possible. Whether you need to clear up a simple misunderstanding or you find yourself charged with tax fraud, our attorney is capable of zealously protecting your interests.

Our services include assisting individuals and businesses with:

  • Audits – We can represent you during field or office audits, present information to the auditor, and clear up misunderstandings. Our in-house accountant has more than 45 years of experience as a private-sector auditor and knows the procedures that auditors must follow and can recommend how to proceed with this process.
  • Compromises – With a compromise, you provide the IRS with information about your ability to pay and your finances. Michael Ablan can help determine an appropriate offer of compromise that is calculated to resolve the tax controversy without further intervention.
  • Collateral agreements – With a collateral agreement, you can pay your tax liability over time and can be requested at the same time as an offer in compromise. We can devise creative solutions to make this option more feasible for you, such as waiving certain deductions or agreeing not to carry forward certain losses. This helps you avoid tax levies or attachments.
  • Representation in collection due process hearings and collection appeals – As a taxpayer, you have the right to due process to contest collection efforts. You can appeal the IRS collection activities, and we can present your arguments at the hearing or through alternative dispute resolution methods.If you do not receive a satisfactory result at this level, you can appeal the decision to prevent a tax lien or levy.
  • Penalty prevention and abatement – We can also provide strategies to our clients to help prevent penalties or to obtain penalty abatements.
  • Criminal defense – If you are charged with tax fraud or tax evasion, we can lodge an aggressive defense on your behalf. Attorney Michael Ablan has represented clients since 1974 and puts his vast experience to use to quickly attack the charges against you.

 

Contact Ablan Law for Help

If you have received notice that you are being audited or are on the receiving end of tax controversy, do not wait to protect your rights. Contact Ablan Law right away at (608)785-1977 to retain our services. Our experienced tax lawyer can carefully review your situation and determine whether a compromise, agreement, negotiation, or litigation will best serve your needs with the Internal Revenue Service. We represent clients throughout Wisconsin in cases involving tax disputes at the federal, state, and local levels.