Tax

Have a tax question? Ask a tax Expert

Ask an Expert,
Get an Answer ASAP!

Received notice from IRS today that I owe $2,340 (2015) and…

Customer Question
Received notice from IRS...

Received notice from IRS today that I owe $2,340 (2015) and $1,560 (2016). Both returns were mailed to IRS on October 15, 2017. Is there anything I can do to reduce these ridiculous penalties?

Accountant's Assistant: The Accountant will know how to help. Please tell me more, so we can help you best.

Section 6699(a)(1) penalties; only one shareholder.

Accountant's Assistant: Is there anything else the Accountant should be aware of?

Not that I’m aware.

Submitted: 8 months ago.Category: Tax
Show More
Show Less
Ask Your Own Tax Question
Answered in 8 minutes by:
11/20/2017
Tax Professional: Lev, Tax Advisor replied 8 months ago
Lev
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 33,132
Experience: Taxes, Immigration, Labor Relations
Verified

Section 6699(a)(1) penalties are imposed on S-corporation which

--- fails to file such return at the time prescribed therefor (determined with regard to any extension of time for filing)

https://www.law.cornell.edu/uscode/text/26/6699

Please be aware - the penalty imposed by subsection (a) is assessed against the S corporation - not against you personally.

.

It is possible to abate such penalty base don reasonable cause.

Please be aware that in reality - the IRS abates only 10-15% of penalties - so you may want to have a local tax professional representing you with the IRS.

Ask Your Own Tax Question
Customer reply replied 8 months ago
No shit. I already knew that. Does my wasted $$ spent on you guys give explanation of what constitutes “reasonable cause”? Is $195 per month per shareholder apply for both 2015 and 2016 tax years?
Tax Professional: Lev, Tax Advisor replied 8 months ago

Please be aware that experts do not have access to your account...

If you have issue with payments - please direct these issued to the customer service.
If you are willing to continue conversation about tax related issues - please indicate clearly - and I will be glad to help you.

Ask Your Own Tax Question
Was this answer helpful?

How JustAnswer works

step-image
Describe your issueThe assistant will guide you
step-image
Chat 1:1 with a tax professionalLicensed Experts are available 24/7
step-image
100% satisfaction guaranteeGet all the answers you need
Ask Wallstreet Esq. Your Own Question
Wallstreet Esq.
Wallstreet Esq.
Wallstreet Esq., Tax Attorney
Category: Tax
Satisfied Customers: 586
586 Satisfied Customers
Experience: 10 years experience

Wallstreet Esq. is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Wallstreet Esq.

Wallstreet Esq.

Tax Attorney

586 satisfied customers

10 years experience

Mark D

Mark D

Enrolled Agent

1,338 satisfied customers

MBA, EA, Specializing in Business and Individual Tax Returns and Issues

Richard

Richard

Tax Attorney

4,512 satisfied customers

29 years of experience as a tax, real estate, and business attorney.

PhillipsEsq.

PhillipsEsq.

Attorney-at-Law

59 satisfied customers

B.A., M.B.A, J.D.

Robin D.

Robin D.

Senior Tax Advisor 4

15,569 satisfied customers

15years with H & R Block. Divisional leader, Instructor

Megan C

Megan C

Certified Public Accountant (CPA)

8,655 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

jgordosea

jgordosea

Enrolled Agent

2,885 satisfied customers

I've prepared all types of taxes since 1987.

< Previous | Next >

Related Tax Questions
For 2016, I messed up a tax credit and owe the IRS part of
For 2016, I messed up a tax credit and owe the IRS part of my 2016 refund. This is not my question. My question if I pay the 2016 back tax, say today, can I factor it into my 2017 return or will it on… read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
I filled through turbotax last year but did not realize
I filled through turbotax last year but did not realize until filling this year that it was not accepted by the IRS. How can I file for last year so I can finish this year. … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
My 2016 taxes both fed and nys were not file to irs and nys
My 2016 taxes both fed and nys were not file to irs and nys by turbo tax now both irs and nys will not accept my 2017 taxes can I get turbo tore … read more
Barbara
Barbara
Enrolled Agent, Paralegal
5,444 satisfied customers
How much do I owe to the CA FTB for not filing form 568 for
How much do I owe to the CA FTB for not filing form 568 for the years 2015, 2016, and 2017? Thanks… read more
Barbara
Barbara
Enrolled Agent, Paralegal
5,444 satisfied customers
I need to file current and back taxes for someone who
I need to file current and back taxes for someone who experienced a catastrophic accident in 2011 and incurred some pretty high medical expenses (over 200k) since then. Specifically, I have three years of back taxes (2014, 2015, and 2016) to file and 2017 taxes. I did not worry much about 2014 & 2015 taxes being overdue because, given the high amount of medical expenses paid to health care facilities, I knew a refund was due for 2014 and 2015. However, 2016 is not as straight forward because those expense were for home health care. In addition, in 2017, a settlement was received, and my understanding is that the full amounts that were already deducted for medical expenses in 2012 and 2013 must now be included as income on this years taxes since there is no allocation for the settlement. Here's what is unclear to me: (1) when the back taxes for 2014 and 2015 are filed, can the medical expenses still be deducted for those years since the settlement wasn't received until 2017, as that would ensure a refund would be due for those years and penalties could be avoided? (2) Even if some of the home health expenses can't be deducted for 2016 and taxes are owed, if refunds are due from 2014 and 2015, would that reduce the amount considered overdue for 2016, thereby reducing the amount on which penalties are calculated? (3) Assuming 1 and 2 above are possible, must the entire amount deducted for medical expenses from 2012 - 2016 be included as income on 2017? Note: By "entire amount," I'm referring specifically to medical expenses related to the settlement, I'm assuming other medical expenses that aren't related to the accident do not need to be repaid. Please correct me if I am wrong. … read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
15,569 satisfied customers
I prepared my 2016 tax form 1099. I am due a refund. Can I
i prepared my 2016 tax form 1099. I am due a refund. Can I just mail the form along with my 2017 return? … read more
Barbara
Barbara
Enrolled Agent, Paralegal
5,444 satisfied customers
I am kind of in a panic. I have an S-Corporation. I have had
I am kind of in a panic. I have an S-Corporation. I have had it for years and years with my mother. I always do our corporate taxes myself. We aren't a huge company. We also have an LLC partnership th… read more
keeperumiami
keeperumiami
Sr Financial & Tax Consultant
Bachelor\u0027s Degree
1 satisfied customers
Would you please review this appeal that I am sending to the
Would you please review this appeal that I am sending to the GA DOR? Am I providing too much information or not enough? I am disputing the amount due to statute of limitations.In response to State Tax… read more
Barbara
Barbara
Enrolled Agent, Paralegal
5,444 satisfied customers
I have a tax question, Can I withdraw my IRA contribution
Can I withdraw my IRA contribution without tax penalty if I have not filed for 2016 yet? … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
I started an S corporation in May 2016 in CA. I am the only
I started an S corporation in May 2016 in CA. I am the only shareholder. The corporation did not start conducting business until Feb 2017. I understand that I still need to file 1120S for 2016 tax yea… read more
keeperumiami
keeperumiami
Sr Financial & Tax Consultant
Bachelor\u0027s Degree
1 satisfied customers
I got an extention for my 2015 taces, filing jointly. And I
Hi, I got an extention for my 2015 taces, filing jointly. And I sent it in in October, as we necessary, I owe money and sent a check in for a payment. The irs cashed it, I still have not gotten any re… read more
ABC Accounting Group
ABC Accounting Group
Bachelor\u0027s Degree
848 satisfied customers
I moved from a W2 status to a 1099 status effective October
Hi, I moved from a W2 status to a 1099 status effective October 2016. Wait, we already chatted didn't we, Pearl? … read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
15,569 satisfied customers
If i'm being asked about federal taxes being paid before a
If i'm being asked about federal taxes being paid before a specific date of this year, do they mean through the beginning of last year or starting from the beginning of this year? … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
I have been sent letters from IRS about late filing of form
I have been sent letters from IRS about late filing of form 1120S for years 2011 and 2012. We are sub chapter S Corp. We have 2 stockholders and they are wanting to charge $ 195 per month for each of … read more
Mark Taylor
Mark Taylor
Certified Public Accountant
Masters
2,328 satisfied customers
If I am going to owe $8,000 in taxes for 2016 and owe about
If I am going to owe $8,000 in taxes for 2016 and owe about the same from 2015, can I file an offer in compromise for both years and stop the payment plan I am on for 2015?… read more
Mark Taylor
Mark Taylor
Certified Public Accountant
Masters
2,328 satisfied customers
I'm researching the chances for abatement for late filing of
I'm researching the chances for abatement for late filing of 1120S S-Corp return. S-Corp makes little $ and has only 2 shareholders. … read more
Mark Taylor
Mark Taylor
Certified Public Accountant
Masters
2,328 satisfied customers
We got a letter today that states we owe $1263.39 on our
We got a letter today that states we owe $1263.39 on our 2014 taxes. When we filed on October 15, 2015, we sent a check for $2199 that was due. The check cleared on October 22, 2015. On the statement … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
On Sep 15, 2012 I filed late S Corporation returns for 2009
On Sep 15, 2012 I filed late S Corporation returns for 2009 and 2010. I just got penalty letters. Why was the penalty for 2009 $89 per shareholder and $195 per shareholder in 2010? Letter quoted IRC S… read more
Phillip B, EA
Phillip B, EA
Tax Advisor
Bachelor\u0027s Degree
570 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x