How to write a letter requesting abatement of tax penalties and interest?
The IRS will never waive the interest that is due on a past due tax debt, but they will sometimes waive the penalties or a portion of the penalties, if you can show reasonable cause as to why the taxes were not paid on time.You would need to write a letter to the IRS Service Center where you file your returns to the attention of the Penalty Abatement Coordinator. Here is a sample of what the letter should include:Sample Request Letter To: Penalty Abatement Coordinator IRS Service Center P.O. Box 123 Cincinnati, OH. 98765
(Make sure you use the actual address for the service center where you file your return)Re: Request for Penalty AbatementFrom: Jane Doe
July 4, 2010To Whom It May Concern:I am requesting an abatement of penalties totaling $2,345.20 as asserted in the IRS Notice dated 6/2/XX, of which I have enclosed.The reason I paid late, filed late, did not report income (choose your reason) was that __________(fill in your reason, such as:)My husband passed away I was hospitalized My tax records were lost in the hurricane Whatever your good reason is....Enclosed is a (describe your supporting documentation, such as):Death certificate confirming my husband's death Doctor's explanation for my hospitalization Picture of house torn apart from hurricaneI have also enclosed payment that covers the amount of the underlying taxes I owe. (It is a good idea to send at least something as a good faith deposit).Please abate these penalties for "reasonable cause." If you have any further questions, please feel free to contact me at (Your Number) from 8 am to 5 pm.Thank you in advance for your time and consideration.Sincerely,Manual signatureJane DoeEnclosed: IRS Tax Notice, death certificate, doctor's letter, photograph.