Penalty Abatement

IRS Penalty Relief

Penalty relief can reduce certain IRS penalties when the taxpayer meets the applicable requirements. It does not automatically remove the underlying tax, and interest may be treated separately.

Start with the reason for the penalty

Identify the tax period, penalty type, compliance history and the circumstances that caused the late filing, late payment or other issue. Current IRS administrative rules and reasonable-cause standards should be reviewed for the period involved.

Support the request

A clear timeline and documentation can be important when relief depends on facts beyond the taxpayer’s control.