An enrolled agent
can be a very cost effective
way to resolving issues
with IRS back taxes and
penalties. Often
consumers find that by
trying to clear up IRS
problems themselves that
there is far more time
and effort put into
learning what to do
which can take time away
from your everyday
challenges. I'm not
saying you shouldn't try
to understand the
procedures, it's
important that you do
but, as stated above, a
professional can save
time and money. This
type of tax professional
is a federal
tax practitioner who is
empowered by the department
of treasury. They are
authorized to represent
tax payers before all administrative
levels of the IRS for audits,
collections, and appeals.
Here are some of the benefits to
using this type of professional
over a tax attorney
or CPA.
- Limited
client privilege.
Meaning that for
most part, they
could not be
forced to testify against
you. The only way they can be forced
to testify against you
about is if you are
being
brought up on criminal
tax charges related
to your tax issues.
- Another benefit
to hiring an enrolled
agent over a CPA or
tax attorney is the
price. CPAs and tax
attorneys generally
charge about double
the amount that an
enrolled agent will
charge. They are
usually more cost effective
at dealing with
audits, filing back
taxes,
basic collections and
appeals.
- Enrolled agent tax
professionals have a
good amount of experience
dealing with the IRS.
To become one, they
must work for the
IRS for 5 years or
pass a series of
examinations. This
ensures the superior
knowledge of an
enrolled agent in
streamlining the tax
issue process.
The best advise from
me to you is, if your in
a tax issue situation,
visit an enrolled tax
advisor for a
consultation and, take
your list of questions
with you. Taking the
time to interview with
an enrolled agent and
asking the proper
questions will help you
decide if hiring and
agent is the best way
for you to go. Depending
on your tax situation it
can be very smart to
hire an enrolled agent
over other types of tax
professionals. Most tax
professionals offer a
free consultation and
price estimate. Tax
advantage of free
consultations, and you
will be able to find the
best solution at a good
price. It is always a
good idea to receive
multiple consultations
and quotes since each
tax professional uses a
different method and
specializes in different
areas when it comes to
help with back taxes and
IRS issues.
