Best Tax Lawyers in Brooklyn

About Tax Law in Brooklyn, United States

Tax law in Brooklyn integrates three overlapping layers - federal, New York State, and New York City rules - each affecting individuals and businesses in different ways. Federal tax law governs income, payroll, estate, and certain excise taxes administered by the Internal Revenue Service. New York State tax law covers state income tax, state sales tax collected on most retail transactions, and a variety of business taxes. New York City imposes additional rules and taxes that apply within all five boroughs, including Brooklyn - for example, property tax assessments, certain business taxes, and local filing or registration requirements. Because Brooklyn is part of New York City, residents and businesses must navigate a mix of reporting, payment, assessment, and appeal procedures across multiple agencies.

Why You May Need a Lawyer

Tax situations can be complex and time-sensitive. You may need a lawyer when:

- You receive an audit notice or proposed adjustment from the IRS, the New York State Department of Taxation and Finance, or the New York City Department of Finance.

- You face significant tax debt, liens, levies, wage garnishments, or bank freezes and need help negotiating payment plans or releases.

- You are under criminal investigation or charged with tax fraud, evasion, or related offenses where penalties include fines or imprisonment.

- You disagree with a property tax assessment, real property transfer tax, or commercial rent tax determination and want to appeal.

- Your business has sales tax, payroll tax, or unincorporated business tax exposure and you need compliance advice, voluntary disclosures, or audit defense.

- You need help filing refund claims, handling amended returns, or resolving complex issues like international income, trusts, estates, or partnership allocations.

Local Laws Overview

Key local aspects relevant to Brooklyn taxpayers include:

- Property tax assessments and challenges - Property in Brooklyn is assessed under New York City assessment rules. Assessments determine the tax class and bill amounts, and there are city-level processes for protesting assessments.

- New York City business taxes - Certain businesses operating in the city may be subject to local taxes such as the Unincorporated Business Tax, commercial rent tax, and other city-specific obligations.

- Sales tax collection and rates - Sales tax is administered primarily by New York State but includes city-level portions. Businesses must register, collect, remit, and file on the correct schedules for multi-jurisdiction sales.

- Withholding and payroll rules - Employers in Brooklyn must comply with federal and state payroll tax withholding, reporting, and unemployment insurance obligations. Local guidance or registration may also apply.

- Local credits and incentives - There are local economic development programs, abatements, and tax incentive programs that may affect property taxes or business tax liabilities. Eligibility and application rules differ by program.

- Administrative processes and appeals - Notices and assessments from city agencies follow particular procedures and deadlines for protest and appeal. Separate state and federal appeal paths also apply for their respective matters.

Frequently Asked Questions

I received a notice from the IRS or New York tax authority - what should I do first?

Read the notice carefully to identify the issuing agency, the type of action proposed, and any deadlines. Do not ignore the notice. Gather the documents referenced, preserve originals, and consider contacting a tax lawyer or qualified representative for guidance on responding or appealing. If the notice proposes collection action, take steps to protect assets and explore payment or relief options quickly.

Do I need a lawyer if I am selected for a tax audit?

Not always, but many taxpayers benefit from legal help when audits raise significant liabilities, complex legal issues, or potential penalties. A lawyer can assist in framing legal arguments, handling communications with the agency, negotiating settlements, and protecting rights. For routine, small audits, an accountant or enrolled agent may be sufficient, depending on the issue.

Can I represent myself before the IRS or New York State?

Yes. Individuals can represent themselves, and certain non-attorney professionals can represent taxpayers before tax authorities if properly authorized. However, if the matter involves legal strategy, significant money at risk, or potential criminal exposure, an attorney with tax experience is advisable. You may need to sign a power of attorney to allow someone else to act on your behalf.

What options exist if I cannot pay my tax bill?

Agencies typically offer options such as installment agreements, offers in compromise, temporary hardship status, or penalty abatement in limited situations. The best option depends on your finances, the size of the debt, and whether the tax is federal, state, or local. A lawyer can help evaluate eligibility, prepare submissions, and negotiate terms to minimize collection actions like liens or levies.

What are the risks of not responding to a tax notice or assessment?

Failing to respond can lead to increased penalties and interest, enforced collection actions such as tax liens and bank levies, wage garnishments, and the loss of rights to appeal. In extreme cases where fraud or willful evasion is suspected, nonresponse can trigger criminal investigations. Timely action preserves legal options.

How are property tax assessments handled in Brooklyn and how can I challenge them?

Property assessments in Brooklyn are set by New York City assessment rules. If you believe an assessment is incorrect, you generally must file a formal protest or complaint with the city assessment office or tax commission within established deadlines. Documentation showing comparable sales, errors in assessment data, or valuation mistakes strengthens an appeal. If the city process is unsuccessful, judicial review may be available.

Can penalties and interest be reduced or waived?

Penalties and interest are often imposed automatically, but relief may be available in specific circumstances - for example, reasonable cause for late filing or payment, administrative abatement programs, or successful penalty protests. Interest is typically statutory and harder to eliminate, but professional help can sometimes reduce overall costs through negotiation or demonstrating good cause.

What should business owners in Brooklyn know about sales tax and local business taxes?

Business owners must register with the appropriate state and city agencies, collect the correct sales tax on taxable transactions, remit taxes on time, and file accurate returns. Certain local taxes may apply depending on the business structure and location in the city. Recordkeeping is essential. Noncompliance can lead to audits, assessments, and personal liability for unpaid payroll or sales taxes in some cases.

What are the consequences of criminal tax charges and how should I respond?

Criminal tax charges - such as tax evasion, willful failure to file, or filing false returns - can lead to severe penalties including imprisonment, fines, and restitution. If you are contacted by criminal investigators or receive a subpoena, do not speak to investigators without counsel. Retain a criminal defense attorney with tax expertise immediately to protect rights and mount a defense.

How long do I have to dispute a tax assessment or file for a refund?

Statutes of limitation vary by agency and type of tax. For federal income tax refunds, a general rule is three years from the filing date or two years from payment, but exceptions exist for omitted income or fraud. State and city deadlines differ and may be shorter or longer. Acting quickly and consulting a lawyer or tax professional helps preserve your rights to challenge assessments or claim refunds.

Additional Resources

- Internal Revenue Service - federal tax administration and taxpayer assistance.

- New York State Department of Taxation and Finance - state tax rules, filing, and collections.

- New York City Department of Finance - property tax assessments, business taxes, and payment options in New York City.

- New York City Tax Commission - the city agency that hears property assessment disputes.

- New York State Division of Tax Appeals and Tax Appeals Tribunal - state-level appeal bodies for tax disputes.

- U.S. Tax Court - a federal forum for disputes about federal tax liabilities and refund claims.

- Brooklyn Bar Association - local lawyer referral services and resources to find qualified tax attorneys in Brooklyn.

- New York State Bar Association - tax law sections and lawyer directories to identify specialists.

- Small business resources - local business assistance programs and tax guidance that help Brooklyn businesses with compliance and incentives.

Next Steps

If you need legal assistance with a tax matter in Brooklyn, consider these practical steps:

- Preserve all notices, returns, correspondence, bank records, and supporting documents related to the issue. Organize them by date and type.

- Note any deadlines on the notice - appeals and responses are often time-limited. Missing a deadline can reduce your options.

- Schedule an initial consultation with a tax attorney who practices in New York and has experience with your type of case - audits, collections, property tax appeals, criminal defense, or business tax matters.

- Prepare questions for your consultation - ask about experience, likely outcomes, fee structure (hourly, flat fee, or contingency if applicable), and the expected timeline.

- Ask whether the attorney handles representation before the specific agency involved and whether they will handle negotiations, appeals, or litigation if necessary.

- Consider engaging representation formally with a written engagement letter that outlines the scope of work, fees, communication expectations, and billing practices.

- If you cannot afford full representation, ask about limited-scope representation, payment plans, or referrals to low-cost or pro bono services.

Taking timely, informed steps increases the chances of a favorable outcome and protects your rights while you resolve tax issues in Brooklyn.