Potential COVID-19 Penalty Relief
The IRS understands the challenges faced by taxpayers due to the pandemic and may be flexible in granting penalty relief where taxpayers can demonstrate good-faith efforts in filing their returns. As always, facts and circumstances are important in any penalty determination.
Play it safe. When possible, always file tax returns and submit any payments to the IRS on time. Be prepared to pay any penalties and interest if you don’t. However, if you fit this scenario, you may be able to mitigate your penalties.