You’re hustling every day, juggling a million things—inventory, payroll, marketing, you name it. Then suddenly, out of nowhere, boom — that dreaded letter from the IRS lands in your mailbox.

Not exactly what you had planned for the day, right?

And honestly, when business owners and the IRS lock horns over taxes, it can feel like being dragged into a wrestling match. Except, you didn’t sign up for this, and you’re definitely not wearing the right gear.

Let’s take a guess. Maybe you took a deduction that, in your world, made perfect sense.

You perhaps thought that office renovation was totally deductible because, well, you needed a better Zoom background, right? 

But there you are, facing a disagreement with the IRS.

The IRS is probably looking at you like you tried to sneak a new pool into the “business expense” writeoff category. It’s frustrating and extremely confusing. We get it.

So, what now? Do you push back? Pay up and move on? Or do you call your accountant and ask why no one warned you this was coming?

Here’s where we’d say: hit pause. Take a breath. And yeah, maybe consider hiring a tax attorney.

Remember — this isn’t a personal attack from the taxman. The IRS doesn’t hate you (even if it feels that way).

And, if you need someone to talk you off the ledge, our tax experts are here to clarify things.

Here’s how a tax attorney can help you out when the IRS comes knocking on your door.

✅ Speak fluent IRS: Yes. They do. Tax attorneys speak ‘IRS’ like it’s their first language. What we mean by this is they’ll take that jargon-filled letter from the IRS and translate it into something you can actually understand. No more squinting at forms or wondering what “adjusted gross income” really means.

✅ Limit the financial fallout: If the IRS is trying to hit you with penalties or back taxes, a tax attorney can work to reduce what you owe or find ways to lessen the blow. They know the loopholes and can help you avoid unnecessary charges.

✅ Handle the IRS for you: No need to deal with the IRS directly. Your tax attorney steps in as the go-between, handling the communication and negotiations while you keep running your business.

✅ Protect you legally: If things escalate, having a tax attorney in your corner means you’re protected. They know your rights and will make sure the IRS doesn’t overstep, so you’re not left vulnerable.

Now, what more do you need? But before you rush into hiring a tax attorney, make sure you’ve done your research. You want the best tax attorney in town — someone who knows the ropes better than your competitors’ guy.

Ready to dig in? Let’s get started.

Who Is a Tax Attorney?

A tax attorney is basically your go-to person when the IRS gets involved. They’re the experts who deal with tax law and can help you sort out issues like audits, penalties, or disputes with the IRS.

Tax attorneys go by a few different names, depending on their specialty or the context. Here are some other names you might hear:

Tax lawyer: When you’re facing an audit, penalties, or just need help navigating complex tax laws, they’re the ones you call.

IRS attorney: Specifically refers to someone who deals with IRS-related cases.

Tax resolution specialist: Focuses on resolving disputes and negotiating with tax authorities.

Tax defense lawyer: When they specialize in defending clients against IRS claims or audits.

Tax consultant: Often used interchangeably, though some tax consultants focus more on advice rather than legal defense.

Tax litigation attorney: When they represent clients in tax-related lawsuits.

These are all essentially variations of the same role, but with a slight focus on different areas of tax law.

Key Considerations: What to Look for When Choosing the Right Tax Attorney

Before you hire a tax attorney, there are a few key things you’ve got to check off the list.starting with qualifications and experience. Think of it like hiring a personal trainer — you wouldn’t just go with anyone, right?

📚 Qualifications

When it comes to qualifications, don’t settle for just any lawyer. You need someone who’s got the following:

👉 Law degree (JD): A basic requirement. They should have graduated from a law school with a Juris Doctor (JD) degree. But here’s where you want to dig a little deeper.

👉 Specialization in tax law: Some attorneys go a step further and earn an additional degree, like an LL.M. in Taxation. This means they’ve taken the extra time to specialize in tax law, giving them deeper expertise. Bonus points if they’ve completed this.

👉 Bar membership: Make sure they’re licensed to practice law in your state, which means they’ve passed the state bar exam. But for tax attorneys, being admitted to practice before the U.S. Tax Court is a huge plus because that’s where they’ll represent you if things get that far.

👉 Certifications: Look for attorneys who have earned certifications from organizations like the American Bar Association (ABA) or the National Association of Tax Professionals (NATP). This shows they’re staying up to date with ever-changing tax laws.

🎯 Experience

You want someone who’s not only book smart but battle-tested — someone who’s handled cases like yours and knows how to navigate tricky IRS situations without breaking a sweat. So check for these:

✅ Tax law cases: You want a tax attorney who has actually handled cases like yours — whether it’s audit defense, penalty negotiations, or tax litigation. Ask about their track record with IRS disputes specifically. Have they gone toe-to-toe with the IRS before? If so, how often?

✅ Years of practice: Tax law isn’t something you pick up overnight. The more years under their belt, the better. An attorney with 5-10 years of experience in tax law is a solid bet. It means they’ve likely seen a variety of cases and know how to maneuver through different tax issues.

✅ Industry-specific experience: Depending on your business, you may want someone who has experience in your specific industry. If you’re a small business owner, look for a tax lawyer who’s worked with other small businesses, not just giant corporations. They’ll understand your unique tax challenges better.

✅ Success with IRS negotiations: If you’re facing an audit or penalties, you’ll want someone who’s skilled at negotiating with the IRS. Ask about specific cases where they’ve managed to reduce penalties or reach settlements that worked out in their clients’ favor.

🔎 Clientele

Lastly, who they’ve worked with matters too. If they’ve successfully represented businesses like yours, that’s a green flag.

You’re looking for someone who knows the ins and outs of tax issues for your type of business — whether you’re a small startup, a freelancer, or running a larger operation.

doola’s Two Cents:

Ask the tax attorney for case studies or examples of past clients they’ve worked with — especially businesses similar to yours. You can also check their website for client testimonials or ask if they’re comfortable providing references. It’s the easiest way to see if they’ve got the experience to back up their claims.

When Should You Hire a Tax Attorney?

There comes a time in every business owner’s life when taxes get, well, messy. And when that happens, you don’t want to be the one playing defense with the IRS. Here’s when to dial a “call a tax attorney” button:

👉 You’ve Been Audited or Got an IRS Notice

If they’ve flagged you for an audit or sent a notice you don’t fully understand, a tax attorney can jump in, interpret the notice, and make sure you’re not nervous through the process. 

👉 Your Assets Are On the Line

If the IRS starts talking liens and levies on your bank accounts (including business bank account) or property, it’s time to stop trying to DIY it.

A tax attorney can negotiate payment plans, settlements, and even work to appeal these claims to protect your assets. You don’t want to be caught off guard when the IRS is eyeing your hard-earned cash.

👉 Business Taxes Got Complicated

Taxes can get complicated fast — like missing payroll tax deadlines, struggling to figure out how much business tax you owe, or dealing with sales taxes that vary from state to state.

It’s the kind of confusion that can lead to mistakes and, unfortunately, those dreaded IRS notices. That’s where a tax attorney can step in.

They’ll sort through the issues, fix any mistakes, and make sure you’re following all the rules so you don’t get hit with big penalties or fees. 

👉 International Taxes Have You Stumped

If you’re working internationally — selling products, hiring overseas, or expanding operations — international tax laws can get confusing fast.

A tax attorney ensures you’re playing by all the rules in multiple jurisdictions so you’re not blindsided by any tax surprises down the line.

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How Much Does It Cost to Hire a Tax Attorney?

The cost to hire a tax attorney can vary based on several factors like their experience, the complexity of your case, and where you’re located. Here’s a general idea:

Hourly Rate: Most tax attorneys charge by the hour, typically ranging from $200 to $500 per hour. For highly experienced attorneys or those in big cities, rates can go even higher.

Flat Fees: For simpler matters like tax planning or filing certain forms, some attorneys offer flat fees, which can range from $1,000 to $5,000, depending on the scope of work.

Retainer Fees: In some cases, attorneys require a retainer, which is an upfront payment. This amount can vary widely but is often around $2,000 to $10,000, with the attorney billing against that amount as they work on your case.

The final cost depends on how complicated your tax situation is and how much work the attorney needs to do. It’s always best to discuss fees upfront and get a clear understanding of what services are included.

What About Tax Relief Firms?

Now, if you’re looking for a more budget-friendly option, you might be thinking about hiring a tax relief firm instead. These firms often come in at a lower cost but offer different services compared to a tax attorney.

Flat Fees: Tax relief firms typically charge $1,000 to $7,500 in flat fees, depending on the complexity of your tax issue.

Hourly Rates: If they charge by the hour, it’s usually between $150 to $300—lower than most tax attorneys.

Performance-Based Fees: Some firms also offer to charge based on the results they deliver, so you might pay a percentage of the tax savings they negotiate for you.

Which One’s Right for You?

If your tax issue is relatively straightforward — like settling back taxes or reducing penalties — a tax relief firm could be a more cost-effective option.

But if you’re dealing with serious legal issues, facing an audit, or navigating complex business taxes, a tax attorney is your best bet. They offer specialized knowledge and legal protection that tax relief firms typically don’t.

In short, it all comes down to how complex your situation is and how much personalized service you need.

Either way, it’s important to understand the costs upfront so there are no surprises later.

A Word Of Caution Here

Not all tax relief firms are as helpful as they seem. Some promise to “erase your tax debt” but don’t deliver the results.

Always check their credentials, read reviews, and make sure they’re upfront about fees and services. A tax attorney, on the other hand, typically has more legal protections in place if things go wrong.

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How doola Can Help

Before bringing in a tax attorney, there’s one thing you need to handle first — your financial records. When your books are organized and accurate, it saves time and helps your attorney focus on what really matters: solving the tax issues. 

The cleaner and clearer your finances are, the better your chances of a smooth process — especially if you’re dealing with the IRS.

That’s exactly where doola can make things easier.

With doola’s bookkeeping services, we ensure your business’s finances are up-to-date, accurate, and organized. It’s like setting the stage before bringing in the big guns. 

The more organized your books, the quicker your tax attorney can get to work on resolving the issue.

Need a hand getting your books in order before tackling those tax concerns? 

Book a free consultation with us today and let’s get your finances on the right track!