Helping People: IRS Taxpayer Relief Initiatives

May 19, 2021

The IRS is highlighting reasonable cause assistance available through IRS procedures for failure to file, failure to pay and failure to deposit penalties. First time abatement relief is also available for the first time a taxpayer is subject to one or more of these tax penalties.

  • For individual taxpayers receiving notices (letters about a tax bill) with tax liabilities up to $250,000 for Tax Year 2019 only, the IRS can offer one Installment Agreement opportunity with no lien filed.
  • The IRS is extending the short-term payment plan timeframe to 180 days (normally 120 days).
  • The IRS is easing paperwork requirements to allow individuals more flexibility to get non-streamlined Installment Agreements up to $250,000 without financial verification, if their case is not yet assigned to a revenue officer.
  • Extend guidance to automatically include new tax year balances accrued in existing Installment Agreements. (Individuals and Out of Business entities only)
  • The IRS will provide relief for taxpayers having difficulty meeting the terms of previously accepted offers.

Have questions? Call our office at 610-296-2500.

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