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IRS Penalties and Interest Abatement

IRS Penalties and Interest Abatement

Some taxpayers may be entitled to abatement (relief) from federal tax penalties if you made a legitimate effort to satisfy legal demands, due to events beyond your control, known as reasonable cause.

If you have received a notice from the Internal Revenue Service review it fully for correctness.  You are eligible for penalty relief if you failed to file a tax return, failed to pay on time, failed to deposit certain taxes on time and some other circumstances on occasion.

Reasonable Cause:

To meet the Internal Revenue Service’s reasonable cause requirement you must have made all reasonable efforts to meet your tax obligations but couldn’t due to something like a natural disaster or serious illness.  The Internal Revenue Service does not consider the inability to pay a reasonable cause not to file see…to-file-my-taxes/ for more information on the penalty for not filing taxes.

To Establish Reasonable Cause:

The Internal Revenue Service will need to know what happened and when.  The actual events that kept you from filing and paying on time.  How those events prevented you from filing and/or paying your taxes on time.  Did your circumstances interfere with other responsibilities?  When your situation changed what steps did you take to try to correct the situation?


The Internal Revenue Service may require documentation to support your request such as court or medical records or documentation of a natural disaster.

The interest on the actual penalty can be removed if the penalty is forgiven.  Interest on any remaining balance will not be forgiven and will continue to accrue until it is paid in full.

For assistance with penalty abatement, our Enrolled Agents are ready to help with almost 30 years of experience working with the IRS on behalf of clients just like you.  Our Enrolled Agents will listen to your concerns and find the solution that works best for you.  We are a small company.  You will not get lost in a crowd and you will work directly with an Enrolled Agent, not a case manager.  We only promise straightforward solutions for our clients who owe the Internal Revenue Service and we deliver tax settlement quickly and with no hidden fees.

There are payment plans for back taxes if you are an individual or self-employed also available, see for more information.

We serve all 50 states and the territories of the United States.

For more information visit our website at  Email the author at


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