Tag: IRS penalty abatement

All You Need to Know about IRS Penalty Abatement

IRS Penalty Abatement with The Law Offices of Nick Nemeth

IRS penalty abatement is a provision to remove IRS penalties for late filing and late payment. If a taxpayer has a reasonable cause for non-compliance, they can apply for the relief. If the taxpayer qualifies, the IRS removes some or all of the penalties. An IRS penalty abatement, however, does not reduce the underlying tax; it only removes the associated penalties. In all cases, taxpayers need to have a just reason to backup their request for an IRS penalty abatement. Let’s dig deeper to find out all you need to know about IRS penalty abatement. Grounds for IRS Penalty Abatement

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Scenarios in Which You Can File for IRS Penalty Abatement

File for IRS Penalty Abatement with The Law Offices of Nick Nemeth

There are two scenarios in which an individual may receive an IRS penalty; they are either late in paying their taxes or they file their tax return after the deadline. In case of late filing of your tax returns, the defaulter usually pays 5 percent of the tax amount every month, if the delay is less than 60 days. However, if they are late by more than that, they pay either a maximum of 100 dollars or 100 percent of the amount owed. In certain scenarios the defaulter can be exempted, some examples of which, we will discuss in this

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4 Most Common Reasons the IRS Penalizes Taxpayers and Ways to Avoid a Penalty


The IRS is a difficult master that takes every instance of tax default very seriously. It levies heavy penalties on the tax offenders to set a precedence that discourages taxpayers from defaulting on their outstanding taxes. The sad part about paying a penalty is that often these penalties could have been easily avoided if we a little more aware and strictly adhered to the deadlines. Let’s see what are some of the most common IRS penalties that can easily be avoided. 1. Penalty for Mathematical Errors Math tests have given me several sleepless nights during my school days. When I

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