IRS Penalty Abatement

Experienced penalty abatement attorneys in Dallas and Houston, TX. Penalties can turn a manageable balance into an overwhelming debt. We help clients remove or reduce penalties through First‑Time Abatement (FTA) and persuasive Reasonable Cause submissions. Our filings include clear timelines, corroborating evidence, and a demonstrated commitment to future compliance—because the quality of documentation often makes the difference between approval and denial.

Common IRS Penalties

• Failure‑to‑file / Failure‑to‑pay: Assessed when returns are late or balances remain unpaid.
• Accuracy‑related penalties: Understatements due to negligence or substantial valuation issues.
• Payroll and deposit penalties: Missed or late employment tax deposits can escalate quickly.
• Information return penalties: Late or incorrect W‑2/1099 filings and other reporting obligations.

Paths to Abatement

First‑Time Abatement (FTA)

For otherwise compliant taxpayers with a clean history, FTA can remove certain penalties for a single tax period. We verify eligibility and request relief efficiently.

Reasonable Cause

Serious illness, natural disaster, records loss, reliance on professional advice, or other events may justify abatement when they caused or contributed to noncompliance. We present facts in a cause‑and‑effect chronology that links the event to the specific filing or payment failure.

What Documentation Helps

• Chronologies that tie events to missed deadlines or payments.
• Independent proof—medical records, insurance claims, professional communications, or affidavits.
• Evidence of prompt corrective action (filings made, payments scheduled, systems changed).
• Alignment with installment agreements or other compliance steps to minimize total liability.

FAQs

Can interest be abated? Generally no, except for interest that arises from an IRS error or is directly tied to abated penalties.

Do businesses qualify for FTA? Yes—when prior compliance and other criteria are met.