Phil Liberatore, CPA and IRS Professional, Reveals Why Individuals Should Never Tackle Their Own Tax Audit or Dispute

LOS ANGELES, CA, UNITED STATES, October 2, 2024 /EINPresswire.com/ -- Phil Liberatore, a tax professional and IRS expert, says tax audits and disputes are complex, and individuals who handle IRS issues alone can end up facing unnecessary complications. Direct communication with the IRS or the California Franchise Tax Board (FTB) can significantly increase the chances of making a misstep that is difficult to correct, warns Liberatore. While acting as the primary contact for any inquiries from these agencies may seem efficient, placing some distance between direct communication with the government can often be a strategic move.

Tax attorney Robert W. Wood says many criminal defense attorneys, for example, try to limit their clients’ communication with law enforcement as much as possible. While the risk of a tax case turning criminal is minimal, a similar caution should be exercised when interacting with the IRS about your personal tax matters.

Liberatore agrees, “Just as criminal defense attorneys aim to protect their clients by limiting direct communication with law enforcement, it's essential for taxpayers to exercise the same caution when dealing with the IRS. Even innocent misstatements can complicate matters, and having a knowledgeable representative ensures that your rights are protected and that your case is handled strategically from the start."

Those with a legal background, such as attorneys, may have the necessary knowledge and understanding of the law to face the IRS alone. However, despite their extensive legal expertise, many professionals still choose to hire a tax specialist. The reason is simple: tax law is complex, and even the most seasoned lawyers can benefit from the focused expertise of a tax professional who can navigate the intricacies of the IRS process and help avoid costly missteps.

Need a Professional?

“Some taxpayers spend large sums with tax professionals precisely because they tried to handle the case themselves. Sometimes, you can dig a hole that is bigger, wider, and deeper than if you had handed it to a professional from the start. If you just can’t help yourself from handling your tax case on your own, at least get some good accounting legwork,” Wood advises.

Phil Liberatore emphasizes why individuals should consider hiring a tax professional when dealing with the IRS. First, tax laws are intricate and constantly evolving, making it difficult for the average person to stay up-to-date with the latest regulations. A tax professional has the specialized knowledge to interpret these laws and apply them correctly to each unique situation.

Second, IRS audits and disputes can be overwhelming, and a misstep in communication or documentation can have serious financial consequences. A tax professional can represent clients with precision and care, reducing the risk of errors that could complicate or prolong the process.

Finally, having a professional advocate can provide peace of mind. Knowing that a tax expert is handling the complexities of the case allows individuals to focus on their personal or business responsibilities, confident that their financial matters are in competent hands.

Don’t Go It Alone

“Tax audits and disputes are not situations to handle on your own. Whether you're dealing with the IRS, the FTB, or another tax authority, the stakes are too high to risk mistakes. Enlisting the help of a qualified tax lawyer or CPA can save you time, money, and a great deal of unnecessary stress in the long run,” concludes Liberatore.

To learn more about Phil Liberatore and Liberatore CPA, click here.

Amanda Kent
Boundless Media USA
+1 313-403-5636
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