Nationwide Relief From Tax Assessments
IRS collection actions require immediate response.
The complexity of the federal tax code and other circumstances outside of taxpayers' control can ensnare anyone in a situation where he or she may face significant penalties and/or interest.
At Bredemann & McFarlane, based in Scottsdale, Arizona, our knowledgeable tax attorneys represent clients nationwide in dealings with the IRS and matters before the U.S. Tax Court. If you need help pursuing abatement of IRS penalties and interest, don't hesitate to contact us.
Pursuing Abatement of Tax Penalties
The IRS and Arizona Department of Revenue can assess penalties against taxpayers who fail to meet their tax obligations. Common circumstances that lead to penalties being assessed include the following:
- Failure to file a tax return
- Failure to pay your full tax liability on time
- Failure of self-employed people to file and pay estimated taxes
In many cases, people who are unable to complete their tax returns on time file for extensions without realizing that they still have to make payments of their taxes when due.
Often, taxpayers have a valid excuse or explanation for their failure to file or pay their taxes on time. The Internal Revenue Code and the Arizona statutes authorize the abatement of penalties imposed by the IRS or ADOR in certain limited instances if the failure is due to "reasonable cause" and not "willful neglect." For instance, you may have had a medical condition that prevented you from filing. If you have a reasonable explanation for your failure to pay or file your return, we can help you pursue abatement of your penalties by communicating the facts and circumstances of your case to the IRS.
Let the lawyers of Bredemann & McFarlane seek abatement of your penalties due to reasonable cause and fight to get a reduction in the amount you owe.
Understanding Interest Charged by the IRS
The IRS has the statutory directive to charge interest on assessed taxes and penalties. Interest charges begin as soon as the IRS makes an assessment, which is the act of stating the amount of tax deficiency onto the IRS books. The same process is accomplished by the ADOR. From that point in time, interest accrues on the unpaid balance of assessed tax and assessed penalties.
Our attorneys understand the assessment and collection processes because they have experience as government attorneys and have years of experience handling cases before the IRS and ADOR. Contact us for an appraisal of your case.
