Guide to Finding New Jersey Tax Lawyer

Because the American tax code is complicated, it is often hard for people to make sure that they are in compliance with all local, state and federal tax payments. Citizens who wish to ensure that they have correctly filed their taxes, couples negotiating the terms of a divorce and business owners are some of the people who may wish to retain the services of a NJ tax lawyer. Here are some things to know if you are thinking of finding an attorney to help you.

Areas of tax law

In most cases, if you are hiring a New Jersey tax lawyer, you are hiring someone to perform “preventive litigation.” This means you are paying someone to look after your paperwork to make sure you are not opening yourself up to a lawsuit later. NJ tax lawyers can be helpful in reviewing:

• All tax forms you submit

• Any divorce settlements regarding alimony payments or child support which could affect your tax returns

• Wills with tax implications for the heirs or managers of the estate

• Business agreements involving a contractor

• Any mergers, acquisitions or other transactions involving a business

New Jersey tax lawyers who practice preventive litigation are known as “transactional attorneys.” They work behind the scenes with paperwork, reviewing all documents and organizing your records for future reference. These kind of NJ tax lawyers do not appear in court.

If you must appear in court, you will need the services of a different kind of attorney. New Jersey tax lawyers who act on your behalf during the trial to present a case for your innocence are known as “litigation attorneys.” Some of the charges they may specialize in defending clients against include:

• tax fraud

• filing false returns

• not reporting international bank accounts

• embezzlement

Criminal transgressions are generally prosecuted by the appropriate government body in criminal court. If you are being audited or accused of tax fraud, you will probably be facing charges from the IRS. Any wrongdoing they can prove in court can carry the threat of jail time. When you are being charged with a financial crime by the IRS, you will want a NJ tax lawyer to present a strong case on your behalf.

Tax debt

Sometimes people accumulate a large balance of unpaid federal taxes they are unable to pay. In these circumstances, NJ tax lawyers may be able to negotiate some kind of settlement with the IRS, such as an installment plan or an “offer in compromise” that modifies the amount of your balance based on your ability to pay. Many people may be able to deal with the IRS without the help of an attorney. If you are uncertain how to proceed, New Jersey tax lawyers can help you understand the technicalities of the law.

Bankruptcy

Sometimes people who are unable to keep up with their financial obligations may be advised by a NJ tax lawyer to file for bankruptcy. This is an extreme step to take that should be considered carefully. If you decide to take this kind of action, you will need to prepare all your financial documents for creditors and a bankruptcy court judge to review. A New Jersey tax lawyer can help you assemble some of the documentation you will need.

Finding a New Jersey tax lawyer

If you are considering finding private legal counsel to help you with tax issues, consider the following questions first:

• Do I need preventive litigation or am I defending myself against charges?

• Can I afford an attorney?

• How much am I willing to pay a New Jersey tax lawyer? How much can I afford to pay?

As with any professional relationship you enter into, finding an attorney to represent you is not a process you should rush into. The most trustworthy referrals to NJ tax lawyers will come from friends, family or business associates who can recommend they’ve personally worked with. Your county’s bar association may also be able to recommend a reputable specialist experienced with your kind of legal issues.

Before agreeing to meet with any New Jersey tax lawyers, be sure to look up their disciplinary records online. You do not want to retain an attorney who is not in good standing or unqualified to practice the law. Make sure you are speaking to someone who is a specialist in your field. There is no such thing as a New Jersey tax lawyer familiar with every kind of case. If the attorney you are speaking to cannot represent you, he may be able to refer you to someone more familiar with your kind of case.

Do not trust New Jersey tax lawyers who seem to offer unrealistic resolutions to difficult cases or hint at any kind of special influence. Many attorneys maintain websites with exaggerated claims you should disregard.

NJ tax lawyers will not be able to explain what they can offer you if you do not come prepared into your first meeting. Assemble any financial documents that may be relevant. Be open and honest when describing your tax status and fiscal health. In return, a NJ tax lawyer should be prepared to be equally candid and prepared to answer questions. Some issues you should cover during your first meeting include:

• The cost of the services provided by the New Jersey tax lawyer

• On what basis you will be billed: for each service provided, by the hour, or for a regular retainer fee

• How long you intend to retain the services of the New Jersey tax lawyer

• The timeline of any case that is scheduled to be resolved in court

• How to get in touch with your NJ tax lawyer

Make sure to receive a detailed plan of action and estimate of reasonable expenses in writing. Obtaining documentation on relationships you enter into with NJ tax lawyers will help ensure both attorney and client understand the nature of their working relationship and what to expect.