If a taxpayer is selected for examination by the Internal Revenue Service (the “IRS”), why is it important to seek legal representation?

Author: Richard Hunt
March 30, 2026

If a taxpayer is selected for examination by the Internal Revenue Service (the “IRS”), why is it important to seek legal representation?

It may be appropriate to hire representation (such as an attorney, CPA, or enrolled agent) if (1) the audit or controversy involves complex tax law issues resulting in significant penalties and interest, (2) the taxpayer is unfamiliar with audit or collection procedures, (3) the IRS proposes adjustments to the taxpayer’s return or assesses penalties, (4) the taxpayer wishes to appeal an IRS decision, or (5) the taxpayer faces economic hardship or special circumstances.
Taxpayers have the right to be represented at any in-person interview with the IRS. If a taxpayer wishes to consult with a representative, the IRS must suspend the interview to allow the taxpayer a reasonable opportunity to do so (except in the case of an administrative summons).

Having representation in an IRS examination is critical because representatives are knowledgeable about tax law and can advocate for the taxpayer, present documentation and arguments, and negotiate with the IRS on the taxpayer’s behalf. The presence of a representative can prevent misunderstandings, protect against unauthorized disclosures, and ensure that the taxpayer is not subject to unreasonable requests or delays. Moreover, if during an examination the IRS discovers the presence of deliberate actions to deceive or conceal, such as falsifying records, omitting income, or other willful violations, the matter may be referred to criminal investigation.

If you have received correspondence from the IRS indicating your tax return is under examination, it may be prudent to seek representation to assess your exposure and risk of adverse IRS enforcement.