While no one likes to pay taxes, Franklin D. Roosevelt explained why taxes are, indeed, necessary:
“Taxes, after all, are dues that we pay for the privileges of membership in an organized society.”
Having said that, Americans are required to pay only the taxes owed; no more; so, tax planning and tax law are an integral part of the practice of law with most planning centered on income tax planning, corporate tax planning, and estate planning.
Types of Tax Planning
As the name denotes, “tax” lawyers handle all matters pertaining to taxes. There’s been a lot of public discussion about the controversial estate tax, sometimes called the “death tax” by detractors; and, there are many other areas of taxation as well. These include local, state and federal income tax; gift tax; generation skipping tax; employment taxes; and corporate tax.
Tax planning refers to the area of practice wherein tax attorneys identify and implement legal methods for reducing your taxes so that you pay what you owe, no more.
Dealing with the IRS
Tax attorneys also help people deal with local and state taxing authorities, and, especially, the federal Internal Revenue Service (IRS.) Tax attorneys provide advice and legal counsel and represent your best interests in front of taxing authorities and in court.