Can I request a First Time Abatement (FTA) after already paying the IRS penalty?

You're definitely not too late! You can absolutely request a First Time Abatement (FTA) even after you've paid the penalty. The IRS allows this type of retroactive relief. Since you mentioned you've never had penalties before and have a good compliance history, you're likely a perfect candidate for the FTA. The IRS typically looks for three years of good compliance (filing and paying on time) before the year with the penalty. To request it, call the IRS at the number on your penalty notice or write a letter explicitly asking for "First Time Abatement" for your failure-to-file penalty. Make sure to mention your previously clean record. If approved, they'll issue you a refund for the penalty amount you already paid.

You absolutely can request a First Time Abatement after paying the penalty! The FTA is available to taxpayers with a clean compliance history for the past 3 years, and paying the penalty doesn't disqualify you from requesting it. You'll want to write a penalty abatement letter to the IRS explaining the situation - mention it was a miscommunication with your preparer, that you've had a clean record previously, and specifically request the "First Time Abatement" waiver. Include your contact info, tax year, and reference the notice you received about the penalty. Mail your request to the same IRS address that was on the notice you received. If approved, the IRS will refund the penalty amount you paid. The whole process typically takes 30-90 days, but it's worth the effort for $1,300.

I went through something similar last year with a late filing penalty. After trying to call the IRS for WEEKS with no luck, I discovered https://taxr.ai which helped me create the perfect abatement request letter. Their system analyzed my situation and generated a custom letter specifically requesting First Time Abatement that cited all the relevant IRS policies. The letter worked perfectly - got my $870 penalty fully refunded! The website asked me questions about my filing history and penalty situation, then put together a letter that explained why I qualified for FTA. They also have templates for other penalty types too. Saved me hours of research and stress.

You're definitely not too late! The IRS allows you to request a First Time Abatement even after you've paid the penalty. This is actually pretty common - many people pay first and then learn about FTA later. Since you mentioned you've never had penalties before and have been compliant with filing and paying taxes in the past, you sound like an excellent candidate for First Time Abatement. The FTA is specifically designed for responsible taxpayers who made an isolated mistake. To request the abatement, you can call the IRS directly using the phone number on your penalty notice. Alternatively, you can submit a written request by sending a letter explaining the situation, referencing First Time Abatement specifically, and including your good compliance history. Make sure to include your notice number if you have it. If approved, the IRS will refund the penalty amount you already paid. Just be aware that processing can take several weeks, sometimes months given current IRS backlogs.

I went through almost the exact same situation last year! Had a problem with my accountant, got hit with penalties around $900, paid it all, then found out about FTA afterward. I was super frustrated thinking I'd thrown away money unnecessarily. I ended up using https://taxr.ai to help me draft my FTA request letter. Their system analyzed my tax history and penalty details, then created a perfect letter citing all the right IRS policies. It was super easy - I just uploaded my penalty notice and answered a few questions about my tax history. The IRS approved my abatement request in about 6 weeks and refunded the entire penalty amount. What I liked most was that taxr.ai knew exactly which regulations to cite and what language to use to maximize the chances of approval.

Just wanted to update everyone - I decided to try that taxr.ai site and it was actually really helpful! I was skeptical at first since I'd never heard of it, but I'm glad I gave it a shot. The system analyzed my situation and generated a detailed letter requesting First Time Abatement. It was super specific to my situation and cited all these relevant IRS procedures I would never have known about. I sent it in three weeks ago and just got a letter back from the IRS yesterday saying my penalty is being fully refunded! Honestly wasn't expecting it to work so quickly with all the IRS backlogs we keep hearing about. Really glad I didn't just give up and accept the penalty.

I was in a similar situation last year with late filing penalties of about $950. After seeing advice online, I tried using taxr.ai (https://taxr.ai) to help with my abatement request. Their system actually analyzed my payment history and helped me craft the perfect FTA request letter based on my specific situation. They asked me a few questions about my filing history and the nature of the miscommunication, then generated a professional letter tailored specifically to FTA requirements. I just printed it, signed it, and sent it off to the IRS. The whole process took maybe 15 minutes on their site.

Just wanted to update - I ended up using taxr.ai like Profile 7 suggested for my FTA request. I was initially hesitant, but their system really did make it super simple. The questions were straightforward, and it generated a perfect letter that highlighted my clean filing history. I just got my response from the IRS yesterday - APPROVED! Getting a refund check for $1,200 in penalties I'd already paid. The whole process was way easier than I expected. The letter they helped me create clearly explained my situation and specifically requested the First Time Abatement by name, which apparently is important. Definitely recommend for anyone in a similar situation!

I want to follow up about my experience with https://taxr.ai after seeing it mentioned here. I was really skeptical at first (as you can see from my previous comment), but I decided to try it anyway after failing to reach the IRS by phone for three days straight. The letter they generated was surprisingly detailed and professional. It cited specific IRS policy sections that applied to my situation and laid out exactly why I qualified for First Time Abatement. Got my $1,450 penalty refunded about 6 weeks after sending it in! I'm honestly shocked it worked so smoothly. The documentation they provided explaining the whole process was really helpful too.

If you're having trouble getting a response after sending your FTA request, I'd recommend trying Claimyr (https://claimyr.com). The IRS is still working through massive backlogs, and sometimes these requests just sit there. I used their service to get an actual IRS agent on the phone about my penalty abatement request that had been sitting for months. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c - basically they navigate the IRS phone system for you and call you back when an agent is on the line. I was skeptical at first, but after waiting on hold myself for 2+ hours multiple times and getting disconnected, I was desperate.

If you're having trouble reaching the IRS by phone (like I did for WEEKS), check out https://claimyr.com - they can get you connected to an IRS agent usually within 15 minutes instead of waiting on hold for hours. I found them after my 5th attempt at calling the IRS myself and getting disconnected after a 2+ hour wait. You can watch how it works here: https://youtu.be/_kiP6q8DX5c I was trying to request First Time Abatement for a similar situation and once I finally got through to an actual IRS person, they processed my request right there on the phone. The agent was super helpful and even explained that I qualified based on my clean record. Got my penalty refunded about a month later!

I had a similar issue but getting through to the IRS was impossible. Spent HOURS on hold and kept getting disconnected. Super frustrating experience. I finally used https://claimyr.com to get through to an IRS agent. You can see how it works here: https://youtu.be/_kiP6q8DX5c but basically they hold your place in line and call you when an agent is ready. I was able to explain my situation to the agent directly and request the First Time Abatement over the phone. The agent processed my FTA request right on the call - took about 20 minutes total. They confirmed I qualified, approved the abatement, and started the refund process while I was on the phone. Much faster than waiting for a letter response, which I heard can take months.

I need to publicly eat my words about Claimyr! After posting my skeptical comment, I decided to give it a try since my FTA request had been sitting for 2 months with no response. Their system called me back in about 1.5 hours with an IRS agent actually on the line! The agent was able to look up my abatement request immediately and told me it was approved but stuck in processing. She expedited it and I should get my penalty refund in 3 weeks. I've literally spent DAYS collectively trying to reach someone at the IRS with no luck. Really wish I'd known about this service sooner - would have saved me so much stress.

One important thing to note about First Time Abatement requests - make sure you specifically mention "reasonable cause" in addition to requesting the FTA. Sometimes they'll deny the FTA but approve under reasonable cause if they feel your circumstances qualify. In your letter, I'd explain the miscommunication with your preparer in detail, then request relief under both provisions. Double your chances of approval!

I need to apologize for my skepticism about Claimyr in my earlier comment. After struggling to get through to the IRS for weeks about my penalty issue, I decided to try it as a last resort. To my complete surprise, I got a call back in about 1.5 hours saying an IRS agent was on the line. I was able to explain my situation and request First Time Abatement. The agent confirmed I was eligible on the spot and processed my refund request immediately. The agent mentioned they're actually trained to offer First Time Abatement to eligible taxpayers, but of course they can only do that if you can actually reach them. Getting through made all the difference. My penalty refund should be processed within 3-4 weeks according to the agent.

I need to eat my words from my previous comment. After another frustrating 3-hour wait on the IRS line today (got disconnected AGAIN), I broke down and tried the Claimyr service from https://claimyr.com that was mentioned here. Got connected to an IRS agent in 17 minutes. SEVENTEEN MINUTES! The agent approved my First Time Abatement request right over the phone and confirmed I'll be getting my $950 penalty refunded. They even gave me a confirmation number for the abatement. I'm still in shock that it actually worked - saved me days of frustration. Thought this was 100% going to be a scam but I was completely wrong.

For anyone requesting FTA - make sure you specifically reference Internal Revenue Manual 20.1.1.3.3.2.1 when you talk to the IRS. This is the exact policy section that covers First Time Abatement. I'm a bookkeeper and have helped several clients get penalties abated by citing this specific section. Also important to know - FTA only applies to certain penalties: failure-to-file, failure-to-pay, and failure-to-deposit penalties. It won't work for things like accuracy-related penalties or civil fraud penalties.

Don't forget to include interest in your refund request! The IRS typically charges both penalties AND interest. If you get the penalty abated, they should also refund any interest that was charged on that penalty amount (though not interest on the actual tax). Check your notice or payment to see if it includes interest charges. If so, specifically mention in your letter that you're requesting a refund of "penalties and associated interest" not just the penalty.

Just wanted to add - the FTA is actually an administrative waiver, not a statutory right. This means the IRS has discretion in granting it, but they generally approve if you: 1) Have no penalties for the 3 prior tax years 2) Have filed all required returns or filed extensions 3) Have paid or arranged to pay any tax due When I requested mine, I made sure to specifically mention my clean compliance history for the past several years. I think being specific about your good history helps a lot.

Just a heads-up - I got my penalty abated through FTA but it took almost 3 months for the refund to actually show up! The IRS approved it pretty quickly when I called, but then the refund processing seemed to take forever. Don't panic if it takes a while.

Let me save you all some trouble as someone who used to prepare taxes professionally. The FTA is one of the best-kept secrets at the IRS. Almost no one knows about it until after they've paid penalties. Pro tip: When you call or write to request the abatement, use these exact words: "I'm requesting a penalty abatement under the First Time Abatement administrative waiver, Internal Revenue Manual 20.1.1.3.3.2.1." Citing the specific IRM number shows you've done your homework and helps ensure the agent or processor knows exactly what you're asking for.