Many taxpayers owe lots and lots of money to the IRS. If they do not qualify to settle the taxes for less via one of the IRS’s settlement programs, we might recommend a penalty abatement.
A penalty abatement allows the IRS to reduce or eliminate the penalties from a tax return that is not paid in full. The IRS will consider a penalty abatement when there is a valid and documented reason for the taxpayer to have failed to pay the tax. For example, if you had an illness when the taxes would be due, that might qualify for a penalty abatement. If you had a severe personal hardship such as a death in the family, you could potentially qualify for a penalty abatement. These options can be very helpful, especially when you make too much money to prove that you are unable to pay the taxes due.
Call Kansas City Tax Mediation today to discuss whether or not you will qualify for a penalty abatement. Kansas City Tax Mediation: Let’s get through this together.