Penalty and Interest Abatement (Form 843, Reasonable Cause, First-Time Abate)
Free IRS Enrolled Agent SEE Part 3 (Representation, Practices and Procedures) lesson in Specific Areas of Representation. 16 min read, ~2,377 words.
Form 843 is the workhorse for penalty and most interest abatement; income tax refund claims go on Form 1040-X. First-Time Abate (FTA): administrative waiver for FTF (§6651(a)(1)), FTP (§6651(a)(2)/(3)), and FTD (§6656); requires 3 prior clean compliance years. Reasonable cause: ordinary business care and prudence prevented compliance; written facts-and-circumstances showing...
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