IRS Penalties - Understanding Your Rights

Given the recent financial crisis, economic slowdown are many Americans who are in trouble with the IRS. Often these problems are related to penalties and interest from tax documents filed late, non-payments and other issues.

Late filing penalties are one of the penalties that cause the taxpayers a great concern. They amount to 5% of the unpaid tax balance for each month or part of a month. The maximum late filing penalty is 25% of the assessed tax.

Non-compliance penalties to pay less penalty than late filing penalties. They are 0.5% of the assessed taxes, with a maximum of 25%. These penalties will accrue until the tax is paid in full (below the 25% cap).

Make sure that you carefully the IRS, the penalties were assessed. In some situations, you find that the IRS has assessed a late filing penalty, even though you had filed on time or at least an extension of time filed.

The IRS will remove (or decrease) penalties under certain circumstances. The taxpayer must show reasonable cause exist. An important reason is usually the case among the following situations: (1) a serious illness or even death of the taxpayer or his immediate family, (2) were necessarily absent from the taxpayer on the filing date, or (3) the physical destruction of the taxpayer's residence or business.

With more and more Americans with IRS penalties and interest, people have to ensure that they are trained on the subject. When you get up to behind with the IRS, everything in your power, trapped. They will not go away when you approach the problem directly.

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You need tax relief if you have been negligent or delinquent on your taxes and has contacted or harassed by the Internal Revenue Service, due to the compensation that you receive, too. People who are visitors in their tax returns under scrutiny with the IRS to be delinquent.

If you have problems with your government taxes, which the assistance of an attorney tax relief you may have to find enough contacts in the yellow pages of the telephone or the Internet to find on Google for tax attorneys in your area.