Have Tax Questions? Ask a Tax Expert for Answers ASAP
To abate penalties - you need to provide a reasonable cause to have all or part of penalties abated. The IRS would not forgive interest charges - at least that is very unlikely. You might need a local CPA or Enrolled Agent to represent you with the IRS.
That is a relatively new form - previously the IRS accepted an abate request as a free form letter that may be attached to a tax return or sent separately.
First of all - try the IRS to abate penalties - there is nothing to lose - but in case of success - at least part of your problem will be solved.