IRS Tax Penalty Relief

Say goodbye to IRS late penalty with fast, reliable, and effective tax relief solutions

Check Your Eligibility for Tax Levy Release Today!

Find Out If You Qualify for Tax Relief in 4 Easy Steps!

What is a Late Payment Penalty for the IRS?

The IRS imposes the late payment penalty when a taxpayer fails to pay their tax liability by the due date, typically April 15th for individuals. This penalty accrues on any unpaid tax balance from the filing deadline until the debt is paid in full. The penalty is generally 0.5% of the unpaid taxes per month or part of a month, up to a maximum of 25% of the owed amount.

J. David Tax Law - Tax Attorney

Fight Back Against IRS Tax Penalties with J. David Tax Law

Our tax attorneys thoroughly assess your financial circumstances to see if you qualify for penalty abatement due to reasonable cause, such as illness, natural disasters, or other uncontrollable events. If penalties cannot be removed entirely, we work with the IRS to set up an affordable installment agreement allowing you to pay off your unpaid taxes and penalties in manageable monthly payments.

Fast & Affordable Tax Penalty Solutions

Don’t let IRS penalties pile up and strain your finances further! Contact J. David Tax Law and take the first step toward penalty relief before the IRS takes action. Time is critical—act now to avoid further interest and penalties.

Eligibility Requirements for Resolving Tax Penalty Relief

To qualify for IRS tax penalty relief, a taxpayer must meet specific eligibility requirements. The IRS considers several factors when determining whether a taxpayer is eligible for penalty abatement or reduction. 

Here are the most common eligibility requirements:

  • Reasonable Cause: If you can demonstrate that your failure to pay on time was due to circumstances beyond your control, such as a serious illness, natural disaster, or financial hardship, the IRS may waive penalties. You’ll need to provide evidence supporting your claim.

  • First-Time Penalty Abatement (FTA): Taxpayers may qualify for the IRS’s first-time penalty abatement if they meet the following conditions:

    • You have filed all required tax returns or extensions.

    • You have paid or arranged to pay any taxes due.

    • You have no prior penalties for the past three tax years.

  • IRS Errors: If the IRS mistakenly calculated your penalties or processed your tax returns, you may be eligible for relief. In this case, submitting the correct documentation and proof is critical.

  • Statutory Exceptions: The IRS may waive certain tax penalties under specific circumstances outlined in tax law, such as military service during a war or qualifying disaster relief situations.

  • Compliance with IRS Filings: To be eligible for relief, the taxpayer must be current on their tax filings and in compliance with IRS regulations. If any previous tax returns are unfiled, these must be resolved before relief is granted.

Tax Levy Relief Assistance

Reliable IRS Late Penalties Resolution in 4 Steps

Free Tax Consultation

We start with a free, no-obligation consultation to understand your unique situation and the IRS penalties you’re facing.

Free Tax Relief Consultation

Eligibility Evaluation for IRS Late Penalty Relief

Our tax attorneys evaluate your eligibility for penalty abatement, considering factors like reasonable cause, first-time penalty abatement, or IRS errors.

Form Submission and IRS Negotiation

Once eligibility is determined, we gather and submit all required documentation, including any abatement request forms.

Unpaid Tax Penalty Removal

After successful negotiation, we work to ensure that the penalties are either reduced or entirely removed from your account.

Free Tax Consultation

We start with a free, no-obligation consultation to understand your unique situation and the IRS penalties you’re facing.

Free Tax Relief Consultation
Eligibility for tax debt relief

Eligibility Evaluation for IRS Late Penalty Relief

Our tax attorneys evaluate your eligibility for penalty abatement, considering factors like reasonable cause, first-time penalty abatement, or IRS errors.

Form Submission and IRS Negotiation

Once eligibility is determined, we gather and submit all required documentation, including any abatement request forms.

IRS form submission & debt negotiation
tax debt resolution

Unpaid Tax Penalty Removal

After successful negotiation, we work to ensure that the penalties are either reduced or entirely removed from your account.

tax attorneys specializing in tax debt relief

What makes our service unique is our comprehensive evaluation process, where we carefully assess every client’s eligibility for relief, uncovering opportunities others might overlook.

What Makes Us the Best Tax Lawyers in the Nation?

At J. David Tax Law, we stand out as the best choice for taxpayers in resolving IRS tax penalties nationwide. We’ve successfully helped thousands of clients reduce or altogether remove IRS late payment penalties, saving them significant amounts of money. 

Unlike many firms that take a generic approach, we tailor our strategies based on your specific circumstances, whether filing for first-time penalty abatement, citing reasonable cause, or negotiating directly with the IRS for more favorable terms. We don’t just aim to reduce penalties—we focus on resolving your entire tax situation, ensuring compliance with IRS regulations, and preventing future penalties.

What to Do If My Penalty for Filing Late Taxes Isn’t Removed

If the IRS refuses to remove your penalty for filing late taxes, there are still several specific steps we can take to continue seeking relief. At J. David Tax Law, our tax attorneys won’t stop after a denial—we ensure that every possible option is explored. Here’s what we do next if your penalty removal request is unsuccessful:

Thoroughly Review the IRS Denial Letter

Our tax attorneys carefully review the IRS’s explanation for denying your penalty relief. Often, denials occur due to missing or insufficient documentation. We analyze the reasons to ensure every detail is addressed in the next step.

Reapply with Complete Documentation

If the denial was due to incomplete or missing documentation, we gather the necessary paperwork for resubmission. This may include:
– Medical Records: Hospital or doctor’s notes prove illness or injury prevented timely filing.

– Financial Records: Bank statements or tax returns show financial hardship caused inability to pay.
– IRS Correspondence: Past IRS communication supports prior efforts to resolve penalties.
– Disaster Declarations: FEMA declarations or insurance claims confirm natural disasters caused delays.

Negotiate an Installment Agreement

If full penalty removal isn’t possible, we negotiate an installment agreement with the IRS to spread out payments. This ensures that you can pay the penalties in manageable monthly installments while avoiding further interest or penalties.

Reassess and Strengthen Reasonable Cause Relief

If the IRS initially denied reasonable cause, we gather additional evidence and provide more detailed explanations. For example, we may submit affidavits from employers or third-party documents showing that external circumstances—such as job loss or court orders—contributed to your inability to file or pay on time.
Frequently Asked Questions

Your Tax Relief Questions, Answered

Yes, our tax attorneys can address multiple IRS penalties simultaneously, whether they involve late filing, late payment, or other tax-related penalties. We evaluate each penalty, determine the best relief options, and work to resolve them in one streamlined process.

You may qualify for first-time penalty abatement if:

  • You have filed all required tax returns or extensions.

  • You have paid or arranged to pay any taxes due.

  • You have no prior penalties for the last three tax years. Our tax attorneys can review your tax history and confirm if you meet the requirements for this program.

Need help determining your eligibility? Contact us to see if you qualify for first-time penalty abatement.

Yes, the IRS continues to charge interest on both the unpaid tax and any penalties until the balance is paid in full. This interest accrues daily, significantly increasing your overall debt if left unresolved. Give us a call today to get started on penalty relief.

Yes, being on an IRS payment plan does not disqualify you from seeking penalty relief. We can help you apply for penalty abatement even while making payments. Reducing or removing penalties can lower the overall amount you owe on your plan. Contact our tax attorneys for assistance if you are unsure how to process.

Missing the deadline to apply for penalty relief can make the penalties permanent, and interest will continue accumulating. However, our tax attorneys can explore other relief options depending on your situation, including reasonable cause abatement or alternative IRS programs.

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Trusted by Clients, Recognized by Experts

We provide tax solutions for our clients who have IRS and state tax debts, unfiled returns, audits, etc. We advise you on future compliance that enables your individual or business tax problems to be behind you for good.