Bournakis & Mitchell, PC: Your Tax Attorney in Cartersville, GA
Tax issues are potentially devastating, but a skilled Tax Attorney in Cartersville, GA, may be able to help. Contact Bournakis & Mitchell, P.C. for information.
Tax Lawyer in Cartersville, GA
Tax refers to the compulsory levies or assessments imposed on individuals or corporations by the government at different levels – federal, state, or municipal.
The authorities can impose different types of taxes, including income taxes, payroll taxes, estate taxes, gift taxes, and excise taxes, depending on the scope of the empowering tax law. They use the taxes collected to fund public services and infrastructure, so it’s important that everyone who is required pays their taxes within the required time.
As tax season approaches, it is important that you pay your taxes according to your tax bill and file the necessary returns on time to avoid liability under tax laws and regulations.
However, tax laws are complex, making it difficult for many people to understand their tax obligations. If this is you, you would likely benefit from the help of a tax professional such as a tax attorney, who can assess your case and ensure that you’re on the right track to avoid incurring further tax liability or penalty for late payment.
A tax attorney is one whose core practice involves tax regulations and compliance. They have significant experience in the area and render various services to taxpayers to help them avoid tax liability.
If you’re in Cartersville, GA, the information here can help you understand how tax laws work and how reputable tax attorneys from the law firm of Bournakis & Mitchell, P.C. can assist you with your tax problems. Keep reading to learn more.
How Taxes in the US Work
The United States taxation system is multi-tiered and operates across the federal, state, and local government levels as follows;
Several laws, including the Internal Revenue Code, regulate the taxes payable to the federal government. The code empowers the Internal Revenue Service (IRS) as the primary enforcement agency/tax collector for the federal government and grants them a wide range of powers to help them achieve their aim.
The IRS collects several kinds of taxes, including federal income tax, payroll tax, estate tax, and gift tax, from all those qualified, regardless of where the taxpayer resides in the US.
If you can’t afford to pay your taxes, the IRS offers several options for resolving your tax debt. One option is to set up an installment plan. Under an installment plan, you make monthly payments toward your debt. The IRS office also offers a “Fresh Start” program, which offers several options for managing your tax liability.
If you fail to pay your federal tax, the IRS can take several actions against you to recover the amount due, including placing a lien on your property.
So, if you need to catch up on your federal taxes, it is important that you take steps immediately to make the necessary payments and file your tax returns. You can consult a tax attorney if you’re unsure how to proceed.
State taxes in the US are collected by state tax departments or agencies set up for that purpose within each state. For example, the Department of Revenue is responsible for enforcing Georgia (GA) tax law and collecting taxes due to the state, including income tax, death, and sales taxes.
Some taxes, such as ad valorem property taxes, are collected at the local or county level. If you’re in Cartersville or own real estate there, you’ll need to pay your property tax bill via the Tax Commissioner’s Office in Bartow County. In most cases, you’ll receive the property tax bill on or about September 15 each year. The bill becomes due by November 15 of the same year. Please make your payment within this period to avoid any issues with the tax authorities.
Penalties for Non-Compliance With Tax Laws
If you fail to pay up your past due taxes or comply with any other aspect of the federal and state tax law, you could face several penalties depending on the type of tax you owe. Some of the penalties for default in Georgia are as follows;
For failure to file income tax returns by the due date, you’ll be made to pay 5% of the sum due and an additional 5% for each month that you remain in default.
For failure to pay your income tax at the required time, regardless of whether or not you filed the tax returns, you’ll be made to pay 0.5% of the due tax and an additional 0.5% for each month you remain in default.
If you filed returns that do not contain sufficient information for the relevant authorities to determine your tax liability, so as to delay or prevent tax collection, the penalty is the payment of $1000.
For negligent underpayment of tax, the penalty is 5% of the underpayment of the tax due.
For fraudulent underpayment of tax, the penalty is 50% of the underpayment of the tax due.
Also, if you owe federal taxes, the unpaid tax attracts additional interest from the moment it becomes due until the entire sum is paid. So, you’ll need to pay your back taxes plus the accrued interest to be free from the tax collectors.
There is no benefit in delaying your tax payments because you might have to pay more as a penalty for your default. For guidance on your taxes, consult a tax attorney.
How a Tax Attorney Can Help You
Tax lawyers can help you in several ways, including the following:
Resolving Tax Disputes
If there is any dispute relating to your taxes or if you’re dealing with tax court litigation, your attorney can represent you in court and help you resolve the issue. In such cases, you’ll likely go up against the tax authorities and their team of experienced lawyers. Having an attorney of your own to defend you helps to level the playing field and gives you a better chance at success.
Negotiating Tax Debts
If you cannot pay your taxes fully, tax authorities like the IRS offer other alternatives that could help you.
In some cases, you can negotiate your tax debt and get the amount that you’re required to pay reduced. You can also get an installment plan if you cannot make a lump sum payment.
Your tax attorney can represent you throughout the negotiation process and present your case clearly and convincingly before the tax officers to help you reach a favorable settlement.
Dealing With Tax Liabilities While Filing for Chapter 13 Bankruptcy
If you are considering filing for Chapter 13 bankruptcy, it is important to know the potential tax liabilities that could come with this decision. While many think of bankruptcy as a way to get out of debt, it is important to remember that you may still have some financial obligations to meet.
Under Chapter 13 bankruptcy, you will be required to repay your debts over three to five years. During this time, you will still be responsible for paying your taxes. If you owe back taxes, you will need to include them in your repayment plan.
If you cannot repay your tax debt within the stipulated timeframe, the tax authorities may pursue other collection methods, such as wage garnishment or seizure of assets. Therefore, it is important to speak with Chapter 13 lawyers or a tax attorney before making any decisions about filing for bankruptcy. They can help you understand the potential tax implications and create a repayment plan that meets your needs.
Get Help With Your Taxes From Reputable Cartersville, GA Tax Attorneys
At Bournakis & Mitchell, PC, we pride ourselves on being your trusted source for corporate and individual tax consulting and resolution services. We work hard to stay up-to-date on the latest tax laws and regulations to provide personalized legal advice and guidance for our clients.
So, whether you’re looking for IRS tax relief, help with back taxes, or navigating the complex world of business taxes, we’re here to help. Contact us today to schedule a free consultation.
We look forward to serving you.