Is it best to say yes to power of attorney or no?

You would only need a Power of Attorney to do your taxes if you had to to give the IRS your permission to discuss your taxes with someone else. In that case you would need a Form 2848, Power of Attorney.  You would not need a Power of Attorney unless the items discussed below apply to your situation.

A Power of Attorney only authorizes another individual to deal with the IRS for you. You can authorize immediate family members or a tax professional to act on your behalf.  

A Power of Attorney form is most often used to authorize a tax professional to deal with the IRS for you.

This can include:

• Negotiating a payment plan,
• Signing on your behalf,
• Receiving copies of IRS notices,
• Responding to notices on your behalf,
• Accessing transcripts from your IRS account and
• Appealing a dispute with the IRS.

Some reasons why you would need a Power of Attorney to act for you would be:

• You are being audited by the IRS, giving your CPA power of attorney allows them to work directly with the auditor.
• You have a medical condition that makes it difficult for you to communicate with the IRS, you can give a family member the authority to call the IRS to discuss your tax issues.
• You have an unresolved tax debt; a power of attorney allows your lawyer to negotiate payment arrangements.

Click here for "What Is Form 2848, Power of Attorney, and When Is It Used?"