As long as you pay tax as company or even as an individual, you may need the services of a tax lawyer at one point or the other. Let’s say you are interested in becoming an attorney but don’t know where to specialize. Becoming a tax is actually a great option for you.
So, this article on how to become a tax lawyer is a full guide on the educational requirements, career paths and how much it may cost to become one. You will also find in this article, the obligation, and duties of a tax lawyer, how much you may earn as this professional and a whole lot more. See the table of content below for a highlight of salient points discussed in detail.
- What does a tax lawyer do?
- How many hours does a tax attorney work?
- Is a CPA also a tax lawyer?
- How long will it take me to become a tax lawyer?
- Where can I study tax law?
- How much does an income tax lawyer make?
- What is the expected employment outlook for an income tax lawyer?
- Frequently Asked Questions
A tax lawyer helps clients with their income taxes and guiding them as they are preparing their taxes. Also, becoming an income tax lawyer will guide you to protect your client from passing through the stress of dealing directly with the IRS.
Besides, a tax attorney will help you to save a huge amount of dollars which you might have lost through direct dealing. Matters that relate to the IRS are normally sensitive coupled with wrong calculations which may cost you time and money. That is why; a tax lawyer who understands all the intricacies involved in the deductions is important.
What does a tax lawyer do?
Actually, an income tax lawyer is someone who focuses their legal practice on handling income tax legal issues. However, he/she gives you guidance while preparing your taxes. Also, a tax lawyer and can save you thousands of dollars as well as a lot of stress you may feel by dealing with the IRS.
Next, a tax attorney helps to navigate complex tax laws, documenting business entities. Also, becoming a tax lawyer can help us to advise clients on estate, tax, and financial planning. However, becoming a tax attorney to someone helps clients navigate the technical statutes which make up our tax laws.
Besides, income tax lawyers work for businesses and corporations in order to restructure debt. In addition, tax lawyers assist businesses with issues involving the distribution of profits and the treatment of capital gains and losses. Also, they write-off non-performing assets and the establishment of retirement benefit plans.
How many hours does a tax attorney work?
Actually, a tax attorney work in a formal, professional office environment. However, a tax lawyer will always work long hours of 40-60 hours per week if working on a major case. Well, the intense pressure to get every detail correct, makes it a high-stress position.
Is a CPA also a tax lawyer?
Actually, a tax lawyer is different from a Certified Public Accountant, although both help taxpayers. In fact, tax attorneys are legal professionals with law degrees. However, they have passed the state bar exam and specialize in the legal aspect of tax preparation. While CPAs help to prepare a client’s taxes.
Although both CPAs and tax attorneys can represent you in communications with the IRS. But, a tax attorney is the better choice if you have trouble with tax authorities, such as owing in back taxes or facing levies.
How long will it take me to become a tax lawyer?
Step 2: Apply in a Law School
First, you need to prepare for and take the Law School Admission Test (LSAT). This is an exam that tests reading comprehension and logical and analytical reasoning, before applying to law school.
However, after getting the LSAT scores, you can use the Law School Admission Council’s Credential Assembly Service to help you submit your applications. Well, when choosing a law school, try and consider some factors. However, these factors include tuition, location, student body size and the overall quality of the school according to the Law School Admission Council.
Besides, all states require lawyers to graduate from a law school that is accredited by the American Bar Association.
Step 3: Obtain an Internship
In fact, try to gain hands-on experience in tax law through an internship with a law firm that specializes in taxation while in law school. However, you can gain experience from the law review and the political science club.
Step 4: Graduate and Pass the Bar Examination
In fact, once you finish law school, sit for the state bar examination in your state. However, state bar requirements vary. But all lawyers must pass a state bar examination in order to practice law.
Step 5: Complete Additional Education and Seek for a job
However, some lawyers enter right into practicing tax law. But some prefer to complete a Master of Laws in Taxation to ensure mastery of the subject. Additionally, all lawyers must complete continuing education in order to maintain their licensure.
In fact, the U.S. Bureau of Labor Statistics projects that employment for attorneys, including tax lawyers, will grow by 6% from 2014 to 2024.
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Where can I study tax law?
New York University
Actually, in the first year, law students get an interactive experience in practical legal skills through the school’s Lawyering Program. In their second and third year, students can further test their knowledge in more than 30 legal clinics and about 25 on-campus centers.
However, the School of Law at New York University has an application deadline of Feb. 15. The full-time program application fee at the School of Law at New York University is $85. Its tuition is full-time: $66,422. The student-faculty ratio is 5.3:1.
The Georgetown Law Center is located near the heart of the American federal government in Washington, D.C. However, it has an application deadline of March 1. Thus, the full-time program application fee at the Law Center at Georgetown University is $85.
Also, the part-time program application fee at the Law Center at Georgetown University is $85. Its tuition is full-time: $62,244 and part-time: $42,237. The student-faculty ratio is 4.8:1.
University of Florida (Levin)
Well, this school that trains tax attorneys has an application deadline of July 15. The full-time program application fee at the Levin College of Law at the University of Florida (Levin) is $30. Actually, its tuition is full-time: $21,803 (in-state) and full-time: $38,039 (out-of-state). The student-faculty ratio is 5.8:1.
Northwestern University (Pritzker)
However, the school for tax attorneys gives several Moot Court and Trial Team groups. Also, all students are required to take part in the Arlyn Miner First-Year Moot Court Program.
The School of Law at Northwestern University (Pritzker) has an application deadline of Feb. 15. Actually, the full-time program application fee at the School of Law at Northwestern University (Pritzker) is $75. So, its tuition is full-time: $64,402. The student-faculty ratio is 3.6:1.
University of Virginia
Actually, for you to become a tax lawyer, you will pledge not to lie, cheat or steal, and anyone found guilty by a peer jury is expelled from the school.
However, the School of Law at the University of Virginia has an application deadline of March 4. Also, the full-time program application fee at the School of Law at University of Virginia is $80. Its tuition is full-time: $60,700 (in-state) and full-time: $63,700 (out-of-state). The student-faculty ratio is 6.5:1.
Actually, the Law School at Columbia University has an application deadline of Feb. 15 for tax law programs. Also, the full-time program application fee at the Law School at Columbia University is $85. Besides, its tuition is full-time: $69,916. Thus, the student-faculty ratio is 4.9:1.
Well, you can become a tax lawyer at Stanford University. However, it has an application deadline of Feb. 1. Also, the full-time program application fee for a tax attorney is $85. Actually, its tuition is full-time: $62,373. Finally, the student-faculty ratio is 4:1.
Actually, this school offers the Low Income Protection Plan to help prospective tax lawyers with minimal salaries manage their student loans. However, HLS has an application deadline of Feb. 1 for tax attorneys.
Also, the full-time program application fee for income tax lawyers at the law school at Harvard University is $85. Besides, its tuition is full-time: $64,978. Thus, the student-faculty ratio is 7.6:1.
The University of California (Irvine)
However, the School of Law at the University of California–Irvine has an application deadline of March 1 for intending tax attorneys. Besides, the full-time program application fee at this school is $0.
Actually, its tuition is full-time: $45,099 (in-state) and full-time: $51,593 (out-of-state). The student-faculty ratio is 5.8:1.
The University of California (Los Angeles)
However, this school has an application deadline of Feb. 1. Also, the full-time program application fee for intending tax lawyers at the School of Law at the University of California (Los Angeles) is $75. Its tuition is full-time: $45,600 (in-state) and full-time: $52,094 (out-of-state). Above all, the student-faculty ratio is 5.9:1.
University of Chicago
However, the Law School at the University of Chicago has an application deadline of March 1. Also, the full-time program application fee for those who want to become a tax lawyer is $85. Besides, the school’s tuition is full-time: $64,089. Above all, the student-faculty ratio is 5.1:1.
University of Michigan (Ann Arbor)
Well, students who want to be income tax lawyers at this school can start their legal education by beginning in the summer. However, the Law School at the University of Michigan–Ann Arbor has an application deadline of Feb. 15.
Also, the full-time program application fee prospective tax lawyers is $75. Besides, its tuition is full-time: $59,762 (in-state) and full-time: $62,762 (out-of-state). The student-faculty ratio is 6.8:1.
University of Pennsylvania
Actually, the law school has an application deadline of March 1. Too, the full-time program application fee at the law school at the University of Pennsylvania is $80. Its tuition is full-time: $65,804. The student-faculty ratio is 4.9:1.
How much does an income tax lawyer make?
In 2011, lawyers earned an average salary of $130,490 per year or $62.74 per hour, reports the Bureau of Labor Statistics. But this figure reflects all lawyers, regardless of industry. However, tax lawyers earn closer to $84,150 a year, or $40.46 per hour.
Besides, like any job, experience affects salaries, and tax lawyers are no exception. However, entry-level tax attorneys make less than the average amount and much of their time is often spent doing research. In fact, entry-level positions start at $77,000 and can stretch all the way up to $105,000.
Also, experience creates a greater value for individual tax lawyers. Moreover, it leads to an increase in pay over the course of their careers. As experience increases, so do salaries. Thus, top yearly salaries range from $79,300 to $118,800 in tax law.
What is the expected employment outlook for an income tax lawyer?
Well, tax law applies to every sector of employment. However, some law firms hire tax attorneys. Also, most accounting firms also have tax lawyers as part of their staff. There is no shortage of opportunities for income tax lawyers. However, this has made for a promising future filled with lots of opportunities.
Honestly, one of the most important things of being a tax lawyer is the flexibility it offers in the job market. Tax lawyers can choose to work for large corporations, any size law firm or even go into business for themselves.
Besides, tax lawyers could also represent clients in legal matters with the IRS in the courtroom. Becoming a tax lawyer is one of the most stable choices for any lawyer. However, this is because there is always going to be demand for them in different sectors.
Tax lawyers represent clients before federal, state, and local taxing authorities, as well as individuals and businesses that are under audit by the Internal Revenue Service. Other roles of a tax attorney include structuring, negotiating, and documenting business entities.
Also, he/she advises clients regarding the tax implications of certain financing, joint ventures, tax-exempt, taxation of compensation, estates, and gifts, and the U.S. taxation of international transactions.
Tax attorneys advise corporations and high net worth individuals with respect to all areas of tax law on a day-to-day basis. However, some tax attorneys work only in estate law. Also, they might appear before federal, state, or local taxing authorities.
Frequently Asked Questions
Do tax lawyers earn a lot of money?
Honestly, tax lawyers in the rural areas and have less experience can expect perhaps $40,000 to $50,000 a year. The U.S. national average for tax lawyers is a little higher at $62,000 per year.
How many tax attorneys are there in U.S.A?
The 2018 survey indicates a little increase in the national lawyer population, rising 0.2 percent from 1,335,963 active resident attorneys on December 31, 2016 to 1,338,678 lawyers on the same day in 2017.
How can I become a tax lawyer?
However, you can become a tax lawyer following the steps below:
Step 1: Complete a Bachelor’s Degree Program.
Step 2: Take the LSAT.
Step 3: Graduate from Law School.
Step 4: Take the Bar Exam.
Step 5: Work as a Tax Lawyer.
Step 6: Consider Earning an LLM.
How much does a tax attorney charge per hour?
Actually, most of the tax attorneys charge by the hour. Every attorney will charge a different hourly rate, but most rates are between $200 to $400 per hour. Highly experienced attorneys or attorneys working in big firms in large cities can charge more than $1,000 per hour.
Do tax lawyers go to court?
Yes, they do. However, Attorneys may represent their clients at audits or litigate issues in the U.S. Tax Court and the U.S. District Court. Also, tax controversies may involve negotiations with the IRS. Besides, tax treatment issues may be heard in the U.S. District Court.
Does the IRS ever forgive back taxes?
Of course. That’s why the government offers IRS debt forgiveness when you cannot afford to pay your tax liability. Under certain circumstances, taxpayers can have their tax debt partially forgiven. If any collection action would force you into a financial crisis, the IRS cannot collect the back taxes.
What skills do I need to become an income tax lawyer?
You need solid accounting and math skills , as well as excellent oral and written communication skills. Topnotch analytical and critical thinking skills are required to practice in the area of tax law.
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