For those who have tax debts, it is no secret that the IRS will quickly asses penalties and late fees.  The interest, though reasonable, still accumulates at a significant rate and can add to your overall liability and make it harder to pay the IRS back.  If you have a large amount of back taxes, and the original balance was much lower than it is currently, penalty abatement may be a good option for you.

Penalty abatement allows an individual to dispute interest and penalties for a certain period of time based on several reasons:

• Reasonable Cause - If you weren't aware fully of tax law code, had a death in the family, have a serious illness or weren't able to file, you would qualify for penalty abatement.
• Administrative Waivers- If you have had an unfortunate hardship like bad advice from a tax professional, natural disaster, death in the family, first time filing taxes, fixed income, mental diagnoses, lengthy unemployment, lost or destroyed financial records, drug or alcohol problems.
• IRS Error - If the IRS made a mistake on the processing of your claim or if the IRS gave you bad advice on how to file your taxes.

As with all dealings with the IRS, it can be frustrating and time consuming trying to plead your case with them.  It takes knowledge of the tax laws to effectively choose your best option when working to get back on track.  As with a car mechanic, professional tax services like ours can leverage years of experience to effectively get our clients the best settlement with the IRS in a short amount of time.