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Penalty Abatement
REMOVE PENALTIES AND INTEREST FROM YOUR TAX DEBT
The IRS will remove all or part of your penalties and interest from your tax liability if you qualify for penalty abatement. The IRS will often remove the penalties, and keep the interest, however because the penalties can make up to 25% of your tax debt, a penalty abatement can provide a large amount of tax relief.
How Do I qualify For Penalty Abatement?
The IRS has no set rules or limits for penalty abatements, instead they rely on each individual’s financial facts and circumstances on a case by case basis. The IRS requires that the individual or business entity prove that they handled their taxes correctly to the best of their ability, and that they have a reasonable cause for not filing or paying the debt in time. Here are some examples of reasonable cause which may qualify a taxpayer for IRS penalty abatement or reduction.
  1. Death of a family member, or close friend
  2. Incorrect advice from a licensed tax professional, such as a CPA whom you hired to do your taxes, and filed those in error and you were unaware.
  3. Bad or wrong advice received from the IRS, in correspondence, by phone, or in person.
  4. A taxpayer’s financial documentation was destroyed or unreachable for circumstances out of their control such as a fire, or natural disaster.
  5. The taxpayer was absent for a reason outside of their control, such as being incarcerated, kidnapped, or other unavoidable circumstances.
Getting a penalty abatement from the IRS can be difficult, and requires that you back all reasonable causes with enough evidence to convince them.
Tax Attorney.com works with tax attorneys, CPA’s, Enrolled Agents, former IRS agents, and tax relief specialists who can assist you with getting a penalty abatement on your tax debt. Having a professional on your side that specializes in penalty abatements to help navigate your tax liability, will save you time, money, and headache. To talk with a tax specialist and see if you qualify for a penalty abatement or reduction on your tax debt; contact us online, or call us at 888-241-0002, and find out what you may be able to save.
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