Nothing related to taxes is easy. American tax laws are complex. The process of reporting your taxes is complex. The IRS is complex. A do-it-yourself approach will likely leave you exhausted, frustrated, and, in the end, it can be costly. Our tax attorneys will provide experienced advocacy on behalf of clients in disputes with state and federal tax judgements.
Civil tax penalties are for less serious offenses, like failure to pay or to file on time. Most tax mistakes aren’t serious from a legal standpoint and only require a civil penalty IRS fee.
Can the IRS Waive a Penalty?
The answer is often yes. The IRS has the authority to waive most penalties based on “reasonable cause.” It can remove some penalties based on its “first-time abate” policy.
Reasonable cause may be based on:
- Reliance on a tax advisor
- Death, serious illness, or unavoidable absence
- Fire, casualty, natural disaster, or some other disturbance
- Inability to obtain records
- Ignorance of law in conjunction with other facts & circumstances
- Misfeasance by employee or agent leaving taxpayer “incapacitated” or “disabled”
- Financial hardship
These are a few common justifications for penalty abatement. They can apply to mistakes triggered by a bookkeeper and, in some cases, erroneous tax advice. The courts may impose additional requirements to justify penalties in some cases.
Need an Experienced Tax Attorney?
Simplified Business Solutions helps clients in Waxahachie, the Dallas – Fort Worth metroplex and all across Texas with all types of tax matters. We have an in-depth understanding of tax matters arising in the tax return and planning stage through to tax controversies affecting particular industries and tax issues.
The goal of our firm is to help reduce the time, confusion, and stress associated with federal and state tax matters.
Whether you have a small individual tax issue or liability or a larger business tax matter, we have the experience, expertise, and resources that you need. Contact the Simplified Business Solutions team today.
If you have received an examination letter from the IRS, you need a tax attorney in DFW metorplex who understands the audit process on your side. Revenue agents often overstep their boundaries when conducting audits.
We have helped clients struggling with massive amounts of IRS debt. We will ensure that your rights are protected at all times. While we attempt to resolve all tax disputes at examination or IRS appeals, occasionally we are forced to petition the tax court for relief.