How to Reduce IRS Penalties
Penalties and interest can prove to be an extremely large amount of a tax debt. How can you as a tax payer possibly pay all of those penalties and interest on top of an already large tax debt? Tax One Solutions can help you in getting a penalty abatement so you can radically lower the total amount of money you owe to the Internal Revenue Service.
How does a penalty abatement work? When the IRS finds that a tax payer owes a tax debt, penalties and interest are automatically accrued on that debt. The addition of interest and penalties does not take into account any situation the tax payer might be in, their financial situation, or what they can actually afford to pay. Even in the event the tax payer has a legitimate reason that they’re unable to pay their tax debt, the IRS does not take it into consideration. They will continue to apply penalties and interest on the existing tax debt until the debt is paid in full unless a penalty abatement is approved.
To qualify for a penalty abatement you have to file any taxes for the years you have not filed if you want to even be considered. Once all of your delinquent tax returns are filed, you can then begin to work on getting a penalty abatement provision from the IRS. This is not a form you want to submit on your own.
The IRS requires you fill out speicifc forms, which if you are not familiar with them, can prove extremely complicated. With these forms you must be fully capable of demonstrating what caused you to fall behind on your tax payments. The IRS has very strict guidelines for what can be considered a reasonable cause; such reasons may include, but are not limited to, poor accounting, the death of close faimly members, alcohol/drug issues, theft and/or embezzlement, first time tax filer of new tax forms, a prolonged period of unemployment, natural disasters, destroyed/lost records, and more.
When seeking a penalty abatement you will have to prove to the IRS that you have attempted to make all payments with due diligence and that you have not acted neglectfully as well. Tax One Solutions aids you as you get your documentation and paperwork prepared. We ensure that you submit everything you need to in a timely fashion and as completely as possible. This will later ensure that upon review of your penalty abatement request you will be in a better position for approval.
Tax One Solutions strives to get your penalties and interest radically reduced if not entirely eliminated for you. If you have already paid on your interest, penalties, and tax debt and you get approved for the penalty abatement, the Internal Revenue Service will send you a refund of the interest and penalties you have already paid. Tax One Solutions maintains the necessary experience and expertise you need in order to get your penalty abatement request approved by the Internal Revenue Service. We know what it takes to get the documents and necessary proof in proper order, how to submit your application to the IRS, and how to make you feel less stressed throughout the process.
Tax One Solutions has a reputable history of finding solutions for your tax problems. Specializing in tax relief, Tax One can help you get your tax debt resolved.
categories: tax relief,tax debt,back taxes,irs income tax,income tax,irs tax debt,income tax help,penalty abatement,tax penalty,taxes,tax debt,finance,law