PENALTY ABATEMENTS
A request for a penalty abatement allows the IRS to reduce or eliminate assessed penalties added to a taxpayer’s liability. A successful penalty abatement could save a taxpayer thousands of dollars on the overall amount owed. A successful penalty abatement must establish “reasonable cause” which generally means that the specific facts and circumstances show that the taxpayer exercised ordinary business care in determining their tax obligations, but because of special circumstances, was unable to comply with those obligations.
