Owed Late Tax Penalties? The IRS May Remove Them for You Automatically

What Just Changed

The IRS announced that it is simplifying penalty relief and adding an automatic process for eligible taxpayers. That means if you got hit with certain penalties, the IRS may be able to remove them without you filing a long request.

In plain terms: money you may have been charged in penalties could come off your account. For some people, that happens automatically. For others, there is a simple path to ask.

This is good news if you fell behind on a tax bill and got charged extra on top of what you already owed.

Who This Could Help

This is aimed at taxpayers who were charged penalties, like penalties for paying late or filing late. If that sounds like your situation, it is worth checking.

When the IRS removes a penalty automatically, you generally do not need to call or send forms for that specific relief. If a penalty already got paid, relief could show up as a credit or refund to you.

Every situation is different, so the best move is to look at your own IRS account and see what applies to you.

It Is Free to Check and Free to Ask

You never have to pay a company to get penalty relief from the IRS. The official process is free.

Be careful with anyone who calls, texts, or emails promising to wipe out your IRS penalties for a fee. OpenFinancial is not the IRS and not a government agency. We just point you to the free, official path.

Checking your own account costs nothing and does not put you at risk.

Frequently asked questions

Do I have to apply to get my penalties removed?

For eligible taxpayers, the IRS says the process can be automatic, so you may not need to apply for that specific relief. If you think you qualify but do not see it, follow the IRS instructions to request relief. It is free.

Will I get money back if I already paid the penalty?

If a penalty is removed and you already paid it, that relief can show up as a credit or refund on your IRS account. Check your account at IRS.gov to see your current balance and any changes.

Does it cost anything to get penalty relief?

No. The official IRS process is free. You never need to pay a company to get penalties removed. Be cautious with anyone who charges a fee and promises to erase your IRS penalties.

How do I see what is on my IRS account?

Create or sign in to your free account at IRS.gov. You can view your balance, penalties, and recent changes there.