Tax Penalty Abatement

Reduce Interest and Late Fees on Back Taxes

Are your unpaid taxes racking up interest and late fees?

It can feel like the IRS adds insult to injury when they tack on heavy interest and late fees. If fees are preventing you from paying your taxes, you may be able to get them eliminated through a penalty abatement from the Internal Revenue Service.

Dealing with the IRS to resolve your tax debt can be stressful and confusing. Find help and ask a tax lawyer if you qualify for a penalty abatement from the IRS:

What is Penalty Abatement from the IRS?

With penalty abatement, individuals can dispute interest and late penalties stemming from their back taxes.

Penalty abatement might be a viable option if:

• your total tax debt is larger than your original taxes owed, and
• you intended on paying your taxes, but you were unable to pay on time due to circumstances out of your control.

Do You Qualify for Penalty Abatement from the IRS?

You must qualify for this interest and late fee abatement. Not everyone can receive this consideration.

You may qualify for an abatement if you:

• have reasonable cause for not making your payment on time. This generally includes major life events that would make it difficult to file your taxes accurately or on time. This includes major family issues that can be proven such a divorce, a major illness or a death.
• received bad tax advice from a tax professional.
• were unemployed for a lengthy amount of time and unable to make any payments.
• qualify for an administrative waiver because a catastrophic event prevented you from paying your taxes, such as a natural disaster or fire in your home.
• can demonstrate that the IRS made errors in assessing your taxes, and that’s why you did not pay your taxes.

Keep in mind, you may be able to eliminate some or all of the penalties and interest associated with your back taxes, but you will likely still owe the original amount due.

Filing for Penalty Abatement

There are three common ways to file for penalty abatement from the Internal Revenue Service:

• Write a petition to the IRS stating your case and requesting a deduction of late fees/interest
• Request an oral interview with the IRS
• Request and complete a tax abatement form

A tax attorney can help you through the penalty abatement process.

There may be other requirements to meet to be approved for a penalty abatement. Filing all the necessary paperwork can also be time consuming. Let an attorney guide you through the process.

Fill out the above free tax evaluation form to speak with a local tax lawyer today.