The Real Truth
Forget the common misconception that, as an entrepreneur, you only need a tax attorney on hand when or if you face an IRS tax audit. This is simply not the case. In fact, this sort of invaluable professional should be on your books from the very beginning so that you can actually avoid causing red flags to fly that could easily trigger an IRS tax audit in the future.
Many other reasons exist when it comes to retaining a tax lawyer when you are starting your own company. For instance, these studied professionals can help you determine which type of business structure you need in the first place. Will you start a corporation, or would a partnership or LLC be the better option? A former IRS tax attorney on your team can help you make the best decision.
Additionally, a tax attorney can review your contracts as well as assist in any negotiations you encounter as your new business gets underway. Plus, a lawyer who specializes in tax law can and will advise you on what will and what will not affect your business taxes.
If you face complex deductions as part of your new business, utilize the advice of a tax attorney to figure out how to note these at tax time. As a person educated to give the right advice, this specialized lawyer can help determine which purchases make the most sense with regard to possibly lowering your business taxes. After all, you want to ensure you’re getting the maximum amount of money in deductions because doing so will greatly affect how much you’ll end up paying the IRS.
Indeed, many aspects for beginning a business go far beyond the obvious nature of that business. That means that hiring a tax attorney will work wonders to ensure you are always on the right track.
To help, make a list of the tasks that are important to tackling a fresh firm with a tax lawyer helping you out.
Include how to create a business plan and how to choose which business structure you will need to follow. Also, seek the best way to research and ultimately select an strong business name. Then learn how to procure a domain name online.
In addition, pay special attention with regard in how you’re creating a legal business agreement for all the owners. Learn the ins an outs of how to apply for an Employee Identification Number (EIN), how to apply for necessary licenses and permits, how to set a budget for business spending, and how much is feasible to pay yourself and your employees.
Indeed, know that a good tax lawyer, preferably a former IRS tax attorney, can help you get your business started right while helping to avoid potentially devastating mistakes as you start your new company. To be sure, a bit of planning now will likely assist in preventing costly consequences in the future.