If you have a clean compliance history for the prior three years, you may qualify for First-Time Abatement — automatic relief from failure-to-file and failure-to-pay penalties. Most taxpayers never ask for it. We do, on every case where it applies.
Who qualifies for FTA
No penalties for the three tax years before the year you are requesting relief on, all required returns filed (or extensions on file), and any tax owed paid or under an active installment agreement.
Reasonable Cause as a backup
If FTA does not apply, Reasonable Cause may — serious illness, death in the immediate family, fire/casualty, unavoidable absence, or reliance on a tax professional. Documentation is required for each.
What FTA does not cover
Estimated tax penalties (Form 2210), accuracy-related penalties, and fraud penalties are not eligible for First-Time Abatement. Those require different relief grounds.
Need help with your case?
Talk to an Enrolled Agent. Free 15-minute consultation, no obligation.