I can just barely pay my back tax bill, but the accumulated penalties and interest will force me to make some serious sacrifices. Can I get an IRS penalty abatement?

It all depends on what you mean by “serious sacrifices”—and what counts as “serious” in your eyes will often be perfectly acceptable to the IRS. Let's say you owe a back tax bill of $50,000, and the IRS has levied another $10,000 in tax penalties and interest. If paying that extra $10,000 means that you won't be able to afford the medication for your chronic medical condition, or care for your elderly parents, the IRS may well be open to negotiating a tax abatement with your attorney. However, if you complain to the IRS that paying the extra $10,000 will mean selling your car or pulling your kids out of private school, your entreaty will fall on deaf ears.

When you've been assessed a large back tax bill, in addition to penalties and interest, the IRS is basically in charge of the show. It may seem unfair, but it's up the IRS Revenue Officer to determine whether paying your bill in full will send your life into a downward spiral, or simply result in some necessary downsizing. After all, in the eyes of the IRS, the only reason you were able to send your kids to private school in the first place was because you didn't pay your full share of taxes!

Are you an Oklahoma resident who has been handed a huge back tax bill by the IRS, complete with penalties and interest? The first thing you need to do is to hire an experienced Oklahoma tax attorney who knows how to negotiate with the IRS, and present an argument that the average revenue officer will be wiling to listen to. Call the law firm of Travis W. Watkins, PC at 800-721-7054 for a free consultation!