Penalty relief due to statutory exception

You may qualify for penalty relief under certain statutory exceptions allowed by tax law.

On this page

• Statutory Exceptions Eligible for Relief
• Incorrect Written Advice From Us
• Mailed on Time
• Federal Disaster Areas and Combat Zones
• How to Request Penalty Relief
• How to Appeal a Penalty Relief Decision
• Interest Relief

Step 1 – Create sender payload file "updated"

You may be eligible for penalty relief due to statutory exception. Common statutory exceptions include:

• Relied on incorrect written advice from us
• Mailed a return on time
• Lived in a federal disaster area
• Were involved in military operations in a combat zone

For more information on statutory exceptions, see Internal Revenue Manual Section 20.1.1, Penalty Handbook, Introduction and Penalty Relief.

Incorrect written advice from us

You may be eligible for relief if you received a penalty because:

• You received incorrect written advice from us in response to your written request for information and
• You relied on the incorrect advice

When requesting relief for incorrect written advice, you'll need:

• A copy of the written advice you received from us
• An explanation of how you relied on that advice
• A copy of your IRS notice identifying the penalty or additional charge resulting from the incorrect advice

Include supporting documents relating to the incorrect advice such as:

• An examination report
• Any letters you received from us

Mailed on time

You may also be eligible for relief if you mailed your tax return on time but received a penalty.

A paper return or payment is considered on time if you:

• Mailed it in the United States on or before the deadline to file or pay
• Addressed it to us correctly
• Included proper postage
• Mailed it with the U.S. Postal Service or a designated private delivery service

An e-filed return is considered on time if it:

• Was sent via an authorized electronic return transmitter
• Has a timely electronic postmark
• Was sent to us in processable form

If your e-filed return was timely and processable but was rejected by our e-file system, it is considered on time if you re-sent or mailed it within 10 days of the initial rejection notice.

If your e-filed return was rejected for any reason that would have made a paper return not processable, it is not considered on time.

Federal disaster areas and combat zones

If you are affected by a federal disaster or serving in a combat zone, you may be eligible for penalty relief.

Find more on residents of federal disaster areas.

Find more on service members and civilians working in a combat zone.

How to request penalty relief

Follow the instructions in the IRS notice you received.

Some penalty relief requests may be accepted over the phone. Call us at the toll-free number at the top right corner of your notice or letter. Have this information when you call:

• The notice or letter we sent you
• The penalty you want relieved
• The reasons you think we should remove it

During the call, we'll tell you if your penalty relief is approved. If we cannot approve your relief over the phone, you may request relief in writing with Form 843, Claim for Refund and Request for Abatement.

To reduce or remove an estimated tax penalty, see:

• Underpayment of Estimated Tax by Individuals Penalty
• Underpayment of Estimated Tax by Corporations Penalty

How to appeal a penalty relief decision

If you received a notice or letter stating we didn't grant your request for penalty relief, see Penalty Appeal Eligibility for next steps.

Interest relief

We charge interest on penalties. Interest increases the amount you owe until you pay your balance in full.

We'll automatically reduce or remove the related interest if any of your penalties are reduced or removed. For more information about the interest we charge on penalties, see Interest.