The answer to this question, of course, will depend on the complexity of the case.
The billing option for hiring an attorney can be handled two ways:
- Hourly rate – In some scenarios, an hourly rate makes sense when the nature of the legal issue is uncertain. Clients can potentially save money by paying hourly.
- Flat fee – This billing method is more applicable when the scope of the legal issue is more clearly defined. It also helps the client by knowing upfront the total cost of the services.
Most tax attorneys will charge clients at an hourly rate, as each case can be very different. In all cases, the fees should be discussed at the very beginning of representation. Every client deserves to have an idea of what the case may cost. And a good tax attorney will give an estimate based on his experience over the years with similar cases, and possibly based on whether he knows the Internal Revenue Service agent involved.
At times, just a one-hour consultation, costing anywhere from $200 to $500, might be all that is needed to guide the client and get the answers that are needed for their tax issues. Additionally, the client deserves to be fully apprised of the work that is being done on his or her case, as well as the potential future costs remaining at any stage of the representation.
If you are unable to afford a tax attorney, you can contact the IRS directly. But, this can be intimidating and overwhelming. There are step-by-step guides available online for you to use if you do plan to handle the tax issue on your own.
Alternatively, you may want to seek out a tax attorney that offers a payment plan. This will allow you to spread out your tax fees.
At the offices of Jeffrey L. Cohen, we specialize in tax law, which gives us the experience to understand the nature of a tax issue and to determine the scope of a case based on the thousands of tax law cases we have handled over the years. We actually can provide you with a ‘no cost’, phone consultation to help you understand your legal options.
Call us today.