Penalty Appeal Eligibility
  • May 4, 2022
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Being on the wrong side of the IRS can translate into sleepless nights for those at the receiving end. While the IRS has more than a few provisions for taxpayers struggling to meet their tax obligations, in a lot of cases there is nothing people can do to overcome the obstacles they are facing, which can result in IRS penalties. Even in such cases, the IRS keeps its doors open. The Federal authority allows taxpayers to request removal of penalties, provided they meet certain preconditions. If their request is rejected, they might be eligible to request an Appeals conference or hearing. The question is, when can you file an appeal against IRS penalties?

Primary Conditions

A taxpayer can file an appeal against IRS penalties only if all of the following are met:

  • The taxpayer has received a IRS letter stating that they have failed to file and/or pay a penalty.
  • The taxpayer has already sent a letter requesting the IRS to remove the penalty imposed on their account.
  • The penalty removal request has been turned down by the IRS, and the taxpayer has received a letter confirming the rejection.

Related Blog Post: Notable Dos and Don’ts When Applying for IRS Penalty Abatement

Eligibility Criteria

A taxpayer can appeal against an IRS penalty if they were unable to file or pay the penalty due to a factor beyond their control. The IRS has a number of scenarios it classifies as “reasonable causes”. These include:

  • Death, a serious illness, or an unavoidable absence of the taxpayer or an immediate family member.
  • Natural disaster, casualty fire, or other such mishaps
  • Lost or missing records of the taxpayer
  • A human error caused the penalty
  • The penalty resulted from an erroneous advice

If any of the aforementioned circumstances apply to a taxpayer, they may meet the criteria for a reasonable cause as defined by the IRS. Having said that, in all these situations, the IRS needs a detailed description and explanation of the scenario to assess whether or not the reason can actually be considered as a “reasonable cause”.

Related Blog Post: Answering 5 FAQS about IRS Penalty Abatement

Filing an Appeal

Filing an appeal against an IRS penalty can be a tricky maze for anyone without formal knowledge or expertise with the Tax Code and its finer lines. That is the reason it is advisable to hire an IRS tax attorney with proven expertise in the field, rather than taking matters in your own hands. That is precisely what you can expect when you choose the Law Offices of Nick Nemeth to help you out of your IRS problems. Over the years, we have helped thousands of taxpayers find their way out of all sorts of IRS tax-related problems, and the next success story could be yours.

Contact us today for a completely confidential no-obligation consultation. Simply call (972) 426-2553 or fill out our contact form and we’ll get back to you as soon as possible.

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What Our Clients Have to Say

Susan WilsonSusan Wilson
03:27 25 Jan 23
I have been very pleased with the solid counsel and guidance that Nick Nemeth has provided me regarding my tax issue. I found him to be honest and straightforward which I appreciated. I was impressed with his relevant experience and knowledge . He has definitely brought me peace of mind during a difficult and stressful time.
Sarah HowardSarah Howard
03:44 14 Nov 22
I would like to thank Mr. Nick and his staff for the superb help that I received from them. My IRS problem was resolved quickly and efficiently. It took 2 visits to convince me that I was over my head. I thought that I could call the IRS, appeal my tax notices and settle on a payment plan on my own. After many phone calls to the IRS, waiting sometimes more than 4 hours with no resolution to speak of, it proved to be extremely difficult and stressful. Revisiting Mr. Nick was a huge wake up call. My account was reviewed, and a payment plan was established with the IRS within a week. I will be forever grateful to the staff who worked on my case and especially to Lorna who listened to me vent while going through this painful process.
00:33 07 Aug 22
I cannot say enough good things about Nick and his team. When I first met with Nick he was up front, honest, friendly and efficient. When I worked with one of his attorneys, Eric B, I was just as pleased. All of the staff there are nice and very helpful. I wish I hadn't waited so long to get help with my issue. Over 6yrs I tried getting through and getting anywhere with the IRS and hardly made any progress. I know this may not be the case for all, and even I thought it would take longer than it did, but 3mos and they had my situation straightened out. I still can't believe it. Thank you thank you THANK YOU for all that you did for me. This is a huge burden gone out of my life now thanks to you. If anyone needs help out there, I know you may not want to shell out more money to get their help but it may just save you in the long run.
Spoilly GirlSpoilly Girl
23:49 03 Aug 22
The Nemeth Law team is exceptional. They treat their clients like a family member who is in crisis. They want you to get the best possible outcome. I really appreciate everything that they did for me. Jake and Ashley had the greatest role in my case and it all turned out for the best for me. Thank you Nick and team for easing my fears and getting me through the long process. I'm truly grateful.
Eddie WaltEddie Walt
19:44 12 Jul 22
During a time in which competent, professional service at a fair price seems to have disappeared, Mr. Nemeth and his team are a refreshing breath of fresh air.From my first phone call to the final settlement of our case with a non-responsive IRS, they under-promised, over-delivered and were in constant courteous contact to make sure we knew exactly what was happening and where we stood.I hope to never need their services again, but, should I receive another friendly letter from the IRS...I know who to call!
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