The Peck Group, LC
  • Comprehensive Tax Law Representation Since 1995

    We handle every aspect of tax law: preparing tax returns, representing clients during audits, resolving IRS and state tax controversies, and creating tax planning strategies for the future.

  • Problems With The IRS Or State Tax

    Our attorneys are committed to providing efficient and effective tax solutions for individuals and businesses in Georgia and nationwide.

  • Planning For The Future

    Our lawyers help individuals and businesses with all aspects of estate and tax planning. We help our clients use proactive strategies to minimize tax implications in the future

  • Changing The Balance Of Power

    Does it feel like the government has all the power? Taxpayers have rights, too. We use our knowledge of tax law to shift the balance of power and ensure that your rights are protected.

  • Tax Solutions … And Peace Of Mind

Do you qualify for a reasonable cause penalty abatement? Part 1

Living in Georgia means taxes are unavoidable. Filing all appropriate returns on time and paying what is owed is usually enough to keep most individuals off the IRS’ radar. However, if you have trouble paying your taxes, have fallen on hard times or have encountered some circumstances that have kept you from honoring your tax obligations in a timely manner, you could end up with a higher tax bill due to the accrual of interest and penalties

Fortunately, the IRS understands that life happens. There are solutions for people who find themselves in trouble with their taxes to help mitigate their situations. One is the reasonable cause penalty abatement. Not everyone who thinks they should qualify does. Here is a brief overview of how death and illness affect eligibility. 

Extenuating circumstances like death or serious illness 

Certain events in life are unavoidable, like death and sickness. If an immediate family member is ill or dies and that circumstance creates a hardship that prevents the timely filing of returns, payment of taxes or adherence to any payment arrangements, the filer may fill out a request to have all associated penalties and interest removed. 

Requests require proof 

It is not enough to claim that illness or death was the reason why you may have fallen behind on your taxes; you will need to provide proof. Be prepared to provide the date and time of death or the date, length of sickness and medical documentation. A valid reason explains how the circumstance kept you from taking care of your taxes, i.e., you were unable to manage your taxes because you were so ill that you were in the hospital receiving treatment, or that you were too ill or too bereaved from the loss of an immediate family member to make legally sound decisions. 

Keep in mind that the IRS uses other factors to approve or deny a reasonable cause penalty abatement request. Factors that weigh heavily in your favor include how soon you filed or paid your taxes after recovery or return from bereavement, if there are any other outstanding tax obligations from previous years and whether the person who was ill or died was an immediate member of your family (spouse, child, stepchild, sibling, parent or grandparent).

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The Peck Group, LC
5855 Sandy Springs Circle N.E., Suite 190
Atlanta, GA 30328

Phone: 770-884-6914
Fax: 770-933-2369
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