What the notice is saying
The penalty on the notice is charged under Internal Revenue Code Section 6651, the failure-to-file and failure-to-pay statute. The failure-to-pay piece is Section 6651(a) specifically, and Treasury Regulation Section 301.6651-1(c)(1) is where the reasonable-cause standard that undoes it is written down.
Route one: First Time Abate
If your last few years were clean, the IRS First Time Abate administrative waiver can remove the penalty on a single request. It is an administrative waiver, so it is asked for in a specific way, and asked for first, because using it does not spend your reasonable-cause argument.
Route two: reasonable cause
Where First Time Abate does not apply, Treasury Regulation Section 301.6651-1(c)(1) allows the penalty to be removed for reasonable cause: the facts that kept you from paying or filing on time, stated plainly and supported. We prepare that written response for you to review, sign, and file.
See whether your penalty can come off.
It takes a minute, needs no Social Security number, and tells you which route fits your notice. Start the free check.