Behind on taxes or facing an IRS audit in Colorado Springs?

Top 6 Tax and IRS Lawyers in Colorado Springs

The IRS doesn't go away if you ignore it. Colorado Springs has a small but specialized tax-controversy bar — most of these firms handle Offers in Compromise, Installment Agreements, audit defense, and Colorado Department of Revenue disputes. If you owe more than about $25,000 to the IRS, an attorney usually pays for themselves several times over.

These 6 firms handle IRS audit defense, Offers in Compromise, installment agreements, Tax Court representation, and Colorado Department of Revenue disputes across the Colorado Springs metro and Colorado — from single filings and one-off matters to complex commercial transactions and litigation.

How we picked these 6: We cross-referenced peer-reviewed rankings (Best Lawyers, Super Lawyers, Chambers USA, Best Law Firms), Avvo and Justia client review patterns, state bar specialization listings, and published case results. Firms that appeared consistently across at least two independent directories made the list. We do not accept payment for placement and we do not write sponsored reviews. More on our methodology →

1

Law Office of David Kelly

Solo / Tax Boutique Practice focus: IRS tax resolution, Colorado Department of Revenue

Veteran tax attorney at 719-577-4466 with 50+ years of experience. Handles full IRS tax resolution and communicates directly with the IRS on the client's behalf — appeals, audits, collections, installment agreements.

Why they made the list: Longest-tenured tax-controversy practice in the Springs.

Fee structure
Hourly with engagement deposits
Free consultation
Free initial call
Typical client
Individual taxpayers, small business owners
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2

Kennedy Tax Solutions

Tax Boutique Practice focus: IRS resolution, Tax Court, audits, unfiled returns

Specializes in IRS Tax Resolution, Tax Court representation, IRS audits, Tax Court appeals, and unfiled returns. 30+ years dealing with the IRS.

Why they made the list: Strong fit for unfiled-return cleanup and OIC packages.

Fee structure
Flat fee for defined resolution work
Free consultation
Free initial call
Typical client
Taxpayers with unfiled returns, OIC candidates
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3

Knudsen Law Firm, PLLC

Tax Boutique Practice focus: IRS debt negotiation, audit defense, tax relief

Helping Colorado Springs residents with complex tax disputes since 2016. Focus on IRS debt negotiation, audit defense, and broader tax relief strategies.

Why they made the list: Solid mid-tier choice for $25k–$250k IRS-debt cases.

Fee structure
Flat fee for defined-scope + Hourly otherwise
Free consultation
Free initial call
Typical client
Mid-range IRS-debt clients
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4

Defense Tax Partners (Colorado Springs)

Mid-size / National Practice focus: IRS resolution, audit defense, criminal tax

Team of tax lawyers handling audit defense to criminal-tax matters. Experience with both IRS and Colorado Department of Revenue.

Why they made the list: Useful for clients who want a larger team behind them.

Fee structure
Flat fee + engagement deposit
Free consultation
Free initial call
Typical client
Complex IRS matters, criminal-tax exposure
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5

Business Law Group — Tax Practice

Boutique Practice focus: Business tax representation, IRS resolution, payroll tax

Colorado tax attorneys and an IRS Enrolled Agent representing individual and business clients in tax resolution matters. Good fit for business-owner clients with payroll-tax or sales-tax exposure.

Why they made the list: Strongest pick for payroll-tax (941) trust-fund cases.

Fee structure
Hourly + flat for defined scope
Free consultation
Paid initial consult
Typical client
Business owners with payroll-tax exposure
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6

Silver Tax Group

Mid-size / National Practice focus: IRS resolution, audits, tax debt, international tax

National tax firm with attorneys holding LL.M. degrees and board certification. 6,900+ resolved cases. Useful for clients with multi-state or international exposure.

Why they made the list: Best fit when there is international or multi-state complexity.

Fee structure
Flat fee + engagement deposit
Free consultation
Free initial call
Typical client
Multi-state and international taxpayers
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How to choose between these 6 firms

For a single IRS notice or routine installment agreement — Law Office of David Kelly, Knudsen Law Firm, or Kennedy Tax Solutions can handle it at sensible cost.

For Offers in Compromise and large IRS debt cases — Kennedy Tax Solutions or Defense Tax Partners specialize in resolution.

For business-owner payroll-tax exposure (941 trust-fund recovery) — Business Law Group is built for that.

For criminal exposure or anything that might end up in U.S. Tax Court — prioritize firms with attorneys (not just EAs) and ask specifically about Tax Court experience.

What a tax and IRS lawyer typically costs in Colorado Springs

Hourly rates in Colorado Springs: $275–$500 for boutiques; $400–$700 for larger national firms.

Initial IRS notice response (no audit yet): $750–$2,500 flat fee.

Simple installment agreement: $1,500–$3,500.

Offer in Compromise submission and negotiation: $3,500–$8,000.

Single-year personal audit defense: $2,500–$10,000.

Multi-year business audit defense: $7,500–$35,000.

Trust-fund recovery penalty defense for business owners: $5,000–$25,000.

U.S. Tax Court petition through trial: $15,000–$60,000.

Criminal tax defense: $50,000–$250,000+.

Red flags to watch for when picking a tax and IRS lawyer in Colorado Springs

The big legal directories list hundreds of Colorado Springs attorneys for this work. Most are competent. A few are problematic. Watch for these patterns.

Guaranteed outcomes. No ethical attorney can promise a specific result. If a firm guarantees a court win, a tax debt cut to zero, or a perfect contract that "can never be challenged," walk away.

The disappearing partner. You meet a senior name at the intake meeting, then never speak to that person again. Your file gets handed to an unsupervised junior or a paralegal. Ask in writing who will be your day-to-day attorney and what the supervision structure looks like.

Pressure to sign on the spot. Reputable firms send you the engagement letter, give you time to read it, and let you take it home. Same-day "you have to retain us today" tactics are almost always a sign of a volume mill.

No verifiable track record. The firm should be able to point to peer rankings, bar specialization, published case results, or named clients. "We have helped thousands" is marketing copy. Specific case names, transaction sizes, or third-party recognitions are evidence.

Vague fee terms. "Don't worry about cost" is a red flag. Every legitimate Colorado Springs lawyer will give you a written engagement letter with the fee structure, what is included, what triggers extra charges, and what happens if you terminate the relationship.

10 questions to ask in your free consultation

Most firms on this list offer a free or low-cost initial consultation. Use it. Bring a written list of questions and write down the answers. Compare across at least two firms before you sign anything.

  1. Who, specifically, will handle my matter day to day? Get a name and an email. Confirm that this person, not the partner you met at intake, will be your primary point of contact.
  2. How many matters like mine have you handled in the last three years? You want a real number, not a brochure line.
  3. What is your fee and what does it cover? Get the answer in writing before you sign.
  4. What costs am I responsible for outside the legal fee? Filing fees, expert witnesses, third-party services, courier, transcription.
  5. What is a realistic range of outcomes for a situation like mine? A good lawyer will give you a range with assumptions.
  6. How long will it take? Honest estimate with the assumptions stated.
  7. Who else might be involved? Co-counsel? Experts? Local counsel? Larger matters routinely involve outside specialists.
  8. How and how often will I hear from you? Email-only? Weekly calls? Status updates on a schedule? Set the expectation up front.
  9. What happens if I want to change lawyers later? The rules allow it; the fee is sorted between firms.
  10. What is the worst case for me here? A lawyer who refuses to discuss downside risk is selling, not advising.

What is specific about a tax and IRS matter in Colorado Springs

IRS collection process. First notice (CP14): you owe money. Series of notices over 4–6 months. CP504: Notice of Intent to Levy. LT11 / Letter 1058: Final Notice of Intent to Levy and Right to a Hearing. After that the IRS can levy bank accounts and garnish wages. A Collection Due Process (CDP) hearing requested within 30 days of the LT11 stops collection and opens settlement options.

Tax Court petition deadline is jurisdictional. 90 days from the date on the Notice of Deficiency (150 days if you are outside the U.S.). Miss it by one day and the Tax Court has no power to hear your case.

Colorado Department of Revenue audits. CDOR conducts state income, sales, and use-tax audits. Standard look-back is 3 years (longer for sales tax and fraud). Appeals run through CDOR's Hearings Section, then Denver District Court, then Colorado Court of Appeals.

Marijuana-industry tax issues. Colorado's licensed cannabis industry generates a steady stream of IRC § 280E disputes (no ordinary business deductions for cannabis businesses), payroll-tax disputes, and sales-tax audits. Specialized counsel exists in Denver and Colorado Springs.

Innocent spouse relief. If you signed a joint return that turns out to have IRS problems, IRC § 6015 lets you petition for innocent-spouse relief. Deadline is generally 2 years from first IRS collection activity against you. Colorado Springs family-law and tax practices increasingly coordinate on these matters in divorce contexts.

Frequently asked questions

How much do tax attorneys cost in Colorado Springs?

Hourly rates run $275–$500 for most local boutiques. Flat-fee Offers in Compromise typically $3,500–$8,000. Audit defense for a single-year personal audit: $2,500–$10,000. Installment Agreement setup: $1,500–$3,500.

Attorney vs CPA vs Enrolled Agent — who do I need?

CPAs do tax returns and accounting. Enrolled Agents (EAs) are federally licensed to represent taxpayers before the IRS. Tax attorneys have law degrees and can litigate in U.S. Tax Court and federal district court. For audits and basic collection issues, an EA or CPA may be enough. For Tax Court, criminal exposure, or attorney-client privilege, you want an attorney.

Can the IRS take my house?

Technically yes, through a tax lien and seizure, but in practice the IRS rarely seizes primary residences — internal policy generally requires approval at the area director level. Liens on the home are much more common.

What is an Offer in Compromise?

An OIC is an IRS program where you settle a tax debt for less than the full amount owed if you can show you cannot reasonably pay the full balance. Acceptance rates are about 36% of offers submitted.

How long do I have to file a Tax Court petition?

90 days from the date on the Notice of Deficiency (150 days if you are outside the U.S.). The deadline is jurisdictional — miss it by one day and the Tax Court has no power to hear your case.

What is the Colorado Department of Revenue's audit process?

CDOR conducts state income, sales, and use-tax audits. The standard look-back period is three years (longer for sales tax or for fraud). Appeals run through CDOR's Hearings Section, then Denver District Court, then Colorado Court of Appeals.

What if I haven't filed taxes in years?

Get filed first. Most resolution programs require current compliance. A Colorado Springs tax attorney will typically file the missing returns and then negotiate the resulting balance.

What is the IRS Fresh Start Program?

Fresh Start is an umbrella term for several IRS collection initiatives, including expanded Streamlined Installment Agreements (up to $50,000 over 72 months) and easier-to-qualify Offers in Compromise. A tax attorney can tell you whether you qualify under current rules.

Get matched to a vetted Colorado Springs tax and IRS firm

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One last thing. Choosing a lawyer is personal. Read the reviews. Call two or three firms before you sign. Ask each one the same opening question: How many matters like mine have you handled in the last three years, and what were the outcomes? The way they answer tells you almost everything. — The LawFirmSquare team

LawFirmSquare is a directory. We do not represent clients or refer cases for a fee. Editorial rankings reflect publicly available recognition and reviews and are not a substitute for personalized legal advice.