Failure to file penalty

Forum|Forum|5 years ago
April 26, 2021
3 replies
8 views

I have a client that didn't file 2019, and it turns out that he owes tax.

I would expect him to be subjected to the failure to file penalty. Does proseries calculate this or does he wait for a letter from the IRS? Or, did that penalty get a blanket waiver because of the pandemic? I have looked through IRS notices, but I haven't seen anything mentioned. Maybe I missed it?

Thank you!

ProSeries Professional

This topic has been closed for replies.

Best answer by Lukepccpa

There is a late penalties and interest worksheet in ProSeries. Personally, I just let the IRS calculate the penalty.

There is no blanket waiver, but if this is the first time they have filed late and they are current on all filings and taxes, you can ask for abatement under the first time penalty abatement provisions

https://www.irs.gov/businesses/small-businesses-self-employed/penalty-relief-due-to-first-time-penalty-abatement-or-other-administrative-waiver

sjrcpa

Level 15

There's no blanket waiver.

The more I know the more I don’t know.

L

LukepccpaAnswer

Level 4

There is a late penalties and interest worksheet in ProSeries. Personally, I just let the IRS calculate the penalty.

There is no blanket waiver, but if this is the first time they have filed late and they are current on all filings and taxes, you can ask for abatement under the first time penalty abatement provisions

https://www.irs.gov/businesses/small-businesses-self-employed/penalty-relief-due-to-first-time-penalty-abatement-or-other-administrative-waiver