Penalty abatement is an option that may be available to remove IRS penalties that have been assessed to a tax debt. However, not everyone qualifies for penalty abatement. Also, not all penalties are eligible for penalty abatement. Some of the most common penalties that are able to be abated are failure to file, failure to pay, and failure to deposit estimated tax. In this blog, we will discuss the penalty abatement process from start to finish.

If you have ever owed the IRS money for previous tax years then you are probably familiar with the penalties and interest that come with it. The IRS routinely assesses additional penalties on top of the tax debt, whether it’s from a late filed return, late estimated tax payments, or the balance due goes unpaid for a length of time. As you can imagine, these penalties can start to add up pretty quickly. Luckily, there are options for having those penalties removed, one of which is reasonable cause penalty abatement (RCPA). In this blog, we will discuss what circumstances qualify a taxpayer for reasonable cause penalty abatement (RCPA) and what needs to be included in the abatement request. It is also important to note that you do not lose anything by submitting a penalty abatement request, making it worthwhile to always try so long as it’s not a frivolous submission.

If you are dealing with a tax issue or have ever dealt with a tax issue in the past, you probably are aware of the additional penalties and interest that get tacked on. In this blog, we will discuss when it is possible to have the penalties removed/reduced (abated) from the tax debt. In addition, we will go over the accumulation of interest and what options, however limited, may be available.