IRS Penalty Abatement
IRS Penalties Adding Up? May Not Have to Pay All of Them.
Every Eligible Penalty Reviewed for RemovalEvery Eligible Penalty Reviewed for Removal
We identify every penalty you do not have to pay
THOROUGH
You Never File the Abatement Request Yourself
We write, submit, and follow up with the IRS for you
HANDS-OFF
Your Penalty Balance Stops Growing While We Work
We act fast before more interest compounds on penalties
PROTECTED

David Lawrence
IRS Enrolled Agent - 14 Years Experience
ACTIVE
Case Status
In Progess
IRS Notice Received
CP2000 - $24,500 Balance
Day 1
Agent Assigned
David Lawrence taking over
Day 1
IRS Contacted On Your Behalf
Collections Hailted - Case Under Review
Day 1

Maria Bennett
Tax Resolution Specialist · 11 Years Experience
ACTIVE
Case Status
In Progess
Wage Garnishment Stopped
Employer Hold Request Submitted
Day 1
Financial Review Completed
Income & Expense Analysis Approved
Day 2
IRS Payment Plan Initiated
Installment Agreement Under Review
Day 3

James Holloway
IRS Resolution Attorney · 16 Years Experience
ACTIVE
Case Status
In Progess
Final IRS Notice Reviewed
CP504 & Collection Warnings Assessed
Day 1
Power Of Attorney Filed
IRS Communication Redirected
Day 1
Resolution Strategy Prepared
Offer In Compromise Evaluation Started
Day 2
What happens when IRS penalties go ignored
Penalties don't pause. They compound.
If you feel overwhelmed, you are not alone. Start with the situation that matches what is happening right now, and you will land on the right next step.
The Penalty Notice Arrives
A failure-to-pay or failure-to-file penalty lands in your mailbox. Most people ignore it. This is your lowest-cost window to challenge it.
act now
Interest Begins Stacking on Penalties
The IRS charges interest on top of penalties. Every month you wait, the number that was already wrong gets worse.
escalating
Your Total Balance Grows Beyond the Original Tax
Penalties and interest can equal or exceed what you originally owed. At this stage, the number feels impossible. It often isn't.
critical
Collections Begin on the Inflated Balance
The IRS pursues the full amount including every penalty, even ones you may legally qualify to remove. Enforcement moves fast.
urgent
You Call Us. We Review Every Penalty Immediately
Your enrolled agent files for abatement, handles all IRS communication, and fights to reduce your balance starting on day one.
Protected
Tax relief is possible
Speak to a tax resolution expert today.
What IRS Penalty Abatement Actually Means
What most people believe about IRS penalties is costing them money.
The IRS has formal programs to reduce or remove penalties entirely. Most people never know to ask.
Common Myth
"Once the IRS adds a penalty, it's permanent."
"Penalty abatement is only for people who made an honest mistake."
"I already filed late, so I cannot qualify for penalty relief"
"I can just call the IRS and ask them to remove my penalties myself."
The Reality
The IRS has penalty abatement programs specifically designed to remove penalties for taxpayers who meet eligibility criteria, including first-time filers and hardship cases.
First-time abatement, reasonable cause, and statutory exceptions cover a wide range of situations including financial hardship, natural disasters, serious illness, and reliance on incorrect advice.
Filing late does not automatically disqualify you. Reasonable cause and first-time abatement can still apply. An enrolled agent reviews your full compliance history before filing.
You can, but the IRS is not required to walk you through your eligibility or build the strongest case for you. An enrolled agent knows exactly what arguments the IRS accepts and how to submit them correctly.
Ready to find out which penalties you do not have to pay?
Free consultation • No obligation • confidential
Do you qualify?
Find out Today
Two quick questions. Then see if your penalties qualify for removal.
Your Options
Find the Right IRS Resolution Program for Your Situation
Offer in Compromise
Can't pay in full
Tax debt is stressful, and tax relief is a serious decision. Our approach is built around clear communication, realistic options, and steady progress, so you understand what is happening and why.
Best for you if
You owe more than you can realistically ever pay back and your income and assets are limited.
Typical Timeline
6 to 12 months from application to IRS decision. Collections paused during review.
Installment Agreement
Pay over time
A structured monthly payment plan negotiated directly with the IRS. Stops collection pressure while giving you a clear, manageable path to resolve your tax balance over an agreed period.
Best for you if
You can afford to pay your debt over time but need a structured plan that stops IRS enforcement.
Typical Timeline
30 to 90 days to set up. Payments begin immediately once approved by the IRS.
Currently Not Collectible
Pause collections
If paying your tax debt would create serious financial hardship, the IRS can temporarily halt all collection activity, no levies, no garnishments, no calls, while your financial situation is reassessed.
Best for you if
You have no ability to pay right now due to hardship, unemployment, or essential living expenses.
Typical Timeline
Can be granted quickly. Status is reviewed periodically by the IRS as your situation changes.
Penalty Abatement
Reduce penalties
IRS penalties added to your debt can be removed or reduced if you meet eligibility criteria. Often granted for first-time compliance issues or reasonable cause. Reduces your total balance without affecting the underlying tax.
Best for you if
Your balance has grown significantly due to penalties and interest and you have a history of compliance.
Typical Timeline
Response from IRS typically within 30 to 60 days of submission. Can be requested by phone or letter.
Innocent Spouse Relief
Remove liability
If your spouse or former spouse created a tax liability without your knowledge or consent, you may be able to remove yourself from that debt entirely using the IRS Innocent Spouse Relief program.
Best for you if
You filed jointly with a spouse who understated income or claimed improper deductions without your knowledge.
Typical Timeline
6 months or more depending on complexity. An enrolled agent handles all IRS communication.
None of These Feel Like a Fit?
Let's figure it out together
Every tax situation is different. If none of the above programs feel like a clear fit, an enrolled agent will review your full case, identify every option the IRS offers, and tell you honestly what applies at no cost to you.
Best for you if
Anyone unsure of their options or whose situation feels too complicated to fit a single program.
Typical Timeline
Your free case review typically takes 30 minutes. No paperwork needed to get started.
Results
Real cases. Real outcomes.
Penalties removed. Balances reduced. Real people, real outcomes.
Marcus - Georgia
Back Penalties • 2 Years
PENALTY ABATEMENT
$11,400 in penalties added to original tax balance
Two years of failure-to-pay penalties compounding on top of each other
Enrolled agent assigned same day
Filing history reviewed, first-time abatement eligibility confirmed
Abatement request submitted
to IRS Penalties reduced, remaining balance restructured into payment plan
Resolved via Penalty Abatement Results vary.
Nadia - Illinois
Failure-to-File Penalty
PENALTY ABATEMENT
Received $6,800 penalty notice
for unfiled return year No income that year due to job loss, penalty felt unjust
Agent documented hardship and reasonable
cause immediately Reasonable cause abatement letter prepared and filed
IRS accepted reasonable
cause argument Penalty removed in full, original tax balance retained for payment plan
Resolved via Installment Agreement
Derek - Ohio
Penalty on Late Payment
PENALTY ABATEMENT
$4,300 failure-to-pay penalty
on balance owed for prior tax year Derek had paid on time for nine consecutive years before this
Agent identified first-time
abatement eligibility immediately FTA request submitted by phone with full compliance history on record
IRS removed penalty
within three weeks Balance reduced, no enforcement action taken
Resolved via Currently Not Collectible
Our process
What happens after you call us
Case Review
You call or submit your details. An enrolled agent reviews your penalty notices, filing history, and full situation. No paperwork, no commitment.
We Take Over
Your agent contacts the IRS, identifies every penalty you may qualify to remove, and prepares your abatement request using the strongest available argument.
Resolution
We submit your request, follow up with the IRS, and keep you informed at every stage until your penalty balance is resolved.
Why tax hardship center
Not just another firm telling you to call the IRS yourself
IRS EA
Enrolled Agents
Federally licensed to represent you directly before the IRS, not just advisors
A+
BBB Rated
Accredited by the Better Business Bureau, verifiable, independent rating
50
States Licensed
Licensed to practice and represent clients in every state,federal and state tax issues
10,000+
Cases Resolved
Over a decade of resolving IRS and state tax cases across all 50 states
$0
Risk to You
We help you successfully resolve you case
2012
Established
Over a decade of experience, not a pop-up firm, a proven practice with a long track record
Ready to find out which of your penalties can actually be removed?
Testimonials
Trusted help, With Clear Communication
When you are dealing with the IRS, you need clarity and follow through, not vague promises.
We focus on realistic options, straightforward communication, and a structured path from first call to resolution.
I review a lot of businesses. I am fair and want to provide information for people who genuinely are looking at a business to use for themselves. Regarding doing business with the Tax Hardship Center, it’s too good to be true but WOW. They helped me so much. I felt like I was out of a 10-year prison at the end. The feeling I had after they worked out all the issues I had with back tax penalties, etc., was just such a relief.
Special thanks to: Josh Bensimhon, Senior Tax Analyst, my first impression on the phone. After 2 months of searching, he was the first person that put me at ease. Jessy Zhu, Tax Preparer, for the speed and accuracy of getting the electronic form filled in and filed. Leslie Welch, Tax Preparation Associate, who clearly and precisely explained what my role was and the timeline I was on.
Gary M.
May 29th, 2024
G
Honestly I was really skeptical about getting involved with a company that deals with tax debts. After going down the tax debt resolution rabbit hole I saw so many horror stories other worrisome things, but I needed help.. badly. I got a notice of intent to levy and I knew if I did nothing my life would basically be over so I took a chance and prayed for the best.
I’m glad I did because it worked out better than I ever could have expected. Jeremy helped me understand my options and made the plan as well as the fees easy to understand and straight forward.
It ended up getting resolved better than I could have hoped for and I can finally sleep again.
I’m grateful to Jeremy, Kimberly, and the rest of my team. Thank you Tax Hardship Center
A F.
May 28, 2025
A
If you have unresolved tax issues, this is the company work with – I had a stellar experience and my tax issues were resolved in a much shorter time period than I had anticipated. Sarah, Alex and Clay were absolutely wonderful. All calls were returned promptly and they took the time to answer all questions I had. I very much appreciate their patience.
Katherine Hess was my case manager and she was absolutely wonderful to work with-she too answered all calls promptly and stayed in close contact every step of the way and her kindness, professionalism and patience were very much appreciated. I cannot recommend this company enough. If you have unresolved tax issues this is the company to work with-they go above and beyond for their clients!
Linda Little
Sep 20, 2025
L
I didn’t know if Tax Hardship could help me. I hadn’t filed tax returns in years and the IRS was sending me bills so I got scared and buried my head in the sand. I knew I had to do something about it when the letters started coming more frequently and seemed to be getting more aggressive. I decided to hire Tax Hardship and they were incredible.
My tax prepares got my returns filed quickly and the resolution team was a God send! They kept me updated throughout the process and answered all my questions. I’m now in “good standing” with the IRS
Alice P
June 06, 2026
A
20+ years of tax relief services.
Serving clients nationwide in all 50 states
Insights
Resources to understand IRS tax relief
If you are still learning, these topics can help you avoid common mistakes and understand your options.
Ignoring a missed IRS payment plan payment doesn’t make the notice disappear....
You owe the IRS money you don’t have sitting in your account,...
You set up a payment plan with the IRS, breathed easier, and...
One more thing
Every Day You Wait, Interest Builds on Penalties You May Not Owe
The IRS charges interest on top of penalties. The balance grows whether or not you are aware of your options. A free case review takes 30 minutes and costs you nothing. Waiting costs you more.
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Frequently asked questions
Questions People Ask Before Filing for Penalty Abatement
Who qualifies for IRS penalty abatement?
It depends on why the penalty was assessed and what circumstances led to it. Some taxpayers qualify because they have a strong compliance history, while others qualify because events outside their control prevented them from filing or paying on time. The IRS reviews each situation individually.
What is first-time penalty abatement and do I qualify?
First-time penalty abatement is a one-time waiver available to taxpayers with a clean compliance history. If you’ve filed your returns, addressed any tax owed, and haven’t had penalties in recent years, you may qualify. Many taxpayers are eligible without realizing it.
What counts as reasonable cause for the IRS to remove a penalty?
Reasonable cause generally means something beyond your control prevented you from meeting your tax obligations. Examples can include serious illness, a family emergency, natural disasters, or other significant hardships. The stronger the documentation, the stronger the request.
Can penalties be removed after collections have already started?
Yes. A penalty abatement request can be submitted even if the IRS has already begun collection efforts. While the request itself does not automatically stop collections, reducing penalties can still lower your overall balance and improve your resolution options.
How long does it take for the IRS to respond to a penalty abatement request?
Many requests receive a response within 30 to 60 days, although timelines can vary. Simpler cases may be resolved faster, while requests involving reasonable cause or additional documentation often take longer. Processing times also depend on IRS workload.
Will removing penalties also remove the interest on my account?
Usually not. Interest on the original tax debt generally remains. However, if a penalty is removed, any interest that accrued specifically because of that penalty is typically removed as well, which can help reduce your total balance.
Can I request penalty abatement on my own without a tax professional?
Yes, you can request penalty relief directly from the IRS. However, many taxpayers are unsure which relief option applies to them or what documentation is needed. Presenting the strongest possible case often improves the likelihood of approval.
What happens if the IRS denies my penalty abatement request?
A denial is not always the final answer. Depending on the reason for the denial, you may be able to appeal the decision or submit additional supporting documentation. In some situations, another form of penalty relief may be available.
Does penalty abatement affect my underlying tax debt?
No. Penalty abatement only removes or reduces penalties that were added to your balance. The original tax debt remains due. However, reducing penalties can make the overall debt much more manageable and easier to resolve.
Do I have to deal with the IRS myself?
No. You have the legal right to be represented before the IRS by an enrolled agent, CPA, or tax attorney. Once a Power of Attorney is filed, your representative handles all IRS communication you are no longer required to speak with them directly. Most clients never speak to the IRS again after engaging our team. This is one of the most significant benefits of professional representation the IRS deals with us, not you.