Atlanta, Georgia, is a busy city and the most popular in the state and country. It has a great business scene because companies thrive in the healthy economic scene. But while businesses do well in Atlanta, you must understand how taxes work there. The city has a sales tax of 1.5%, and while it is not the highest in Georgia, every business must pay it to stay open.
You may need an expert to explain the regulations and help you calculate them correctly for proper legality. However, who do you need: a tax attorney or an accountant? Let’s find out if these experts are the same or if there is a difference. That way, you can easily decide which best suits your needs.
Who Is a Tax Attorney?
A tax attorney is a legal professional with training in tax law, taxation, and related matters. They must pass the state bar exam and be licensed to practice law. Tax attorneys defend people with tax issues that require court appearances.
Businesses can also use these attorneys to sort out IRS issues and comply with regulations in that state or various locations if needed. Since they can practice law, these attorneys can consult with judges or file lawsuits. They can negotiate settlements during tax disputes and defend clients based on legal precedents.
Benefits of Hiring a Tax Attorney
Getting an attorney for your tax issues is a wise decision. The following are some tax attorney benefits for your business.
1. An Understanding of Tax Policies
Keeping up with the constantly changing policies is challenging if you are not conversant with the field. You must always find a way to stay in the know and keep your business going, which is almost impossible.
This is where an attorney comes into play. They know everything about policies and are constantly in the know about updates. They can keep your business a step ahead by ensuring you comply with all the regulations.
2. Protection of Information
The attorneys must protect the information you provide during consultations if you are under investigation. They cannot divulge everything discussed, even when compelled by the court. The same is not true of other personnel; once subpoenaed, they must appear in court and can be compelled to divulge privileged information. You can rest assured that your private details and dealings remain safe with a lawyer.
3. Availability of Professional Advice
Taxes and everything related to them can be confusing and overwhelming. Trying to figure it out independently does not always work, and you can make errors. An attorney can provide professional advice because of their experience in the field.
They can tell you where you have missed it and how to get back on track. They can also help you navigate the intricacies of IRS regulations to ensure your business stays legal and profitable.
Who Is an Accountant?
An accountant analyses, inspects, and keeps financial records, keeping a client’s professional and personal financial information in order. In tax, a certified public accountant or CPA calculates and generally handles statements for businesses and individuals. They can also be financial advisors providing valuable information for liabilities and other financial holdings.
A certified CPA can file reports with the Securities and Exchange Commission (SEC), which benefits a business that has yet to trade on the stock market. Simply put, an accountant focuses on the accounting and financial aspects of regulations and preparation.
Benefits of Using an Accountant for Tax Statements
The following are key benefits of using an accountant when doing your taxes and sorting financial liabilities.
1. Saves Time
You may already know how to file your tax return, but you can also admit that it takes time to do it yourself. The time spent gathering the necessary information, checking deductions, and double-checking the info should be spent on something else. That is why outsourcing that aspect of your business is crucial. Moreover, you are more confident of correct figures when a CPA does the job than if you do it yourself.
2. Filing Extension
One of the most vital benefits of using an accountant is that they can help extend your filing window. When you are a self-lodger, the deadline is usually October 31 of the financial year since you file your taxes yourself.
But that can be a disadvantage since forgetting is possible if you are typically busy. However, an accountant helps you fix all the holes and ensure you file on time. Best of all, they can get you a filing extension up to May the following year.
3. Correct Taxing
If you are filing your taxes for the first time, it is easy to get overwhelmed and intimidated by all the requirements and regulations. There is also the risk of calculating wrongly and having to redo the entire statement. That is one of the best benefits of an accountant, if not the best. They ensure your returns and statements are correct and get you all your entitlements once the period ends.
What Is the Difference Between a Tax Attorney and an Accountant?
The primary difference between an attorney and an accountant is what they do. A tax attorney is a legal professional licensed to represent you in court regarding issues. An accountant handles the correct filing of returns and statements. Simply put, an attorney handles the legal aspects of taxes, while an accountant handles the financial aspects of taxes.
While their duties can sometimes overlap because they handle taxes, you can easily tell which you need by determining the details. If your taxes are incorrect and you must ensure the numbers align, hire an accountant.
But suppose you have liabilities or run into problems with the IRS because of wrong figures or late filing. In that case, an attorney is ideal to navigate the legal intricacies and get you out of the dilemma. Click here to learn more about the differences between them.
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Conclusion
A tax attorney and an accountant are essential personnel for tax issues. You will need one or the other or both if you run a business or have a significant tax return to file. They are not the same because of their roles.
The attorney handles the legal aspects, while the accountant ensures your financials are in order. You must determine what your business needs before choosing one. Hire both to ensure you cover every area and get the best results.
