Tax Law as a practice area involves providing advice on the structure of businesses, commercial transactions, and representing clients in tax disputes with the IRS or the local Division of Revenue and Taxation. Tax attorneys generally take additional schooling and receive an advance degree in Tax Law (an LLM degree). They may also have a background in accounting. The Dotts Law Office is pleased to have associated with it, Anthea (Tiandouwa) Yuan, who after graduating from law school at the University of Minnesota received her LLM in Tax Law from North Western University and graduated with Honors. Anthea practices Tax Law for the clients of the Dotts Law Office.
Tax attorneys like Anthea work with clients to determine the most tax efficient manner to establish a new business or to carrying on an existing business, taking into account federal, CNMI, and international tax considerations. In the CNMI, LLCs are very popular as they are pass through entities for taxes. However, LLCs are not right for every business situation. A Tax attorney will generally work with a CPA or the company’s accountants to determine, based on the business plan of the client, what really is the best structure for the business.
Tax attorneys also help negotiate the terms of transactions with an eye toward the tax consequences. The structure of a transaction can significantly affects its tax consequences, and very small changes in the structure or in the underlying facts can have enormous tax significance. Tax attorneys also help their clients understand the intended tax treatment of a transaction, identify certain tax exposures, and allocate responsibility between the parties for any taxes that may apply in a transaction.
On occasion, tax-related disputes arise with the IRS or the Division of Revenue and Tax. Tax attorneys represent clients in administrative proceedings, private settlement negotiations, or litigation related to tax disputes, to address these disputes.
A tax attorney will generally work with a CPA or the company’s accountants to determine, based on the business plan of the client, what really is the best structure for the business.