Penalty Abatement  A very effective program for reducing outstanding tax debt is called Penalty Abatement. If you were involved in circumstances beyond your control that prevented you from paying your tax debt, negotiations can take place on your behalf for the reduction of the penalties and interest that have accumulated on your outstanding tax debt.
Below are four categories that relief from penalties fall under:
1. Reasonable Cause
- Mistake made by the taxpayer
- Ignorance of law
- Death
- Serious Illness
- Unavoidable absence
2. Statutory Exceptions
- Simple or complex legislative tax code changes
3. Administrative Waivers
- Undue hardship
- Fire
- Flood
- Natural Disaster
- Bad legal advice
- Bad tax advice
4. Correction of Service Error
- Mistake made by the IRS -Source IRS
The terms for successful penalty abatement are very specific. They are specific because the request for relief has to do with stated representations as opposed to financial hardship. In order to be successful with this program a great deal of expertise and knowledge of the IRS rules is needed. The average taxpayer could realize a savings of thousands of dollars if applied correctly.
For straight answers about Penalty Abatement, 411TaxRelief is there to assist you. If you want to get on with your life, get expert advice on your available options.
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