What Is Negligence Penalty?

When you neglect your taxes, the IRS will catch up with you eventually in the form of a negligence penalty and these penalties can be steep. The IRS assesses the penalty when it believes that you should have known that you owed taxes and purposely underpaid, and the penalties typically amount to 20% of the amount that was underpaid. 

Mary King of the Law Office of Mary E. King PL says: "If you are facing a negligence penalty it is always worth contesting the penalty to give yourself a chance of having it reduced or even waived entirely. To avoid the negligence penalty, you must show that you acted in good faith when preparing your taxes". 

Some important factors that can help your case include whether you sought professional help in preparing your taxes, reported all of your income, took advantage of all available deductions and credits and made a reasonable effort to comply with the tax laws. 

The tax professionals at the Law Office of Mary E. King PL can help you contest a negligence penalty. For more information and to build your defense call 941-906-7585 or visit taxlawyerflorida.com.