IRS Penalty Abatement & Penalty Relief

IRS penalties can add substantially to an unpaid tax balance. In certain circumstances, taxpayers may qualify for penalty abatement or other penalty relief. National Taxor helps taxpayers review the penalty, compliance history and facts before deciding whether an abatement request is appropriate.

Common IRS Penalties

Penalties can arise from late filing, late payment, estimated-tax issues and other compliance problems. The type of penalty matters because different standards and procedures may apply when requesting relief.

First-Time Abatement and Reasonable Cause

Depending on the taxpayer’s circumstances and compliance history, first-time penalty abatement may be available for certain penalties. In other situations, reasonable-cause relief may be considered when the taxpayer can demonstrate facts that meet applicable IRS standards. Supporting documentation can be important.

Penalty Abatement Is Not Automatic

A difficult financial situation by itself does not necessarily eliminate penalties. National Taxor reviews the specific penalty and relevant circumstances before recommending an approach. Removing a penalty also does not necessarily eliminate the underlying tax or all related interest.

Professional Help With IRS Penalties

As an Enrolled Agent practice, National Taxor can review IRS notices, identify the penalties involved, evaluate possible relief and assist with representation when appropriate.