A simple, honest mistake relating to sales and use taxes can result in thousands of dollars of penalties. The government is quick to impose penalties, but slow to abatement them. Generally, a taxpayer must show that "reasonable cause" exists for the abatement of a sales and use tax penalty. The government is quick to assume that "willful neglect" led to the mistake. However, you and your business should never just pay a penalty without first considering if there are grounds to get that sales tax penalty abated.

In order to obtain penalty abatement you must show that the error resulted from a "reasonable cause" rather than "willful neglect." We will work with you and your business to develop, document, and present to the government the grounds (reasonable cause) for penalty abatement. We will follow through and elevate the penalty abatement request to supervisors or hearing officers whenever necessary.

Never pay a penalty without first questioning whether reasonable cause exists for its abatement. Penalties and interest on tax assessments can quickly put a profitable business out of business. In some cases, the owners and corporate officers can be personally liable for the payment of the sales and use tax penalties. We will do everything possible to obtain penalty abatement on your behalf.

Note: Nothing on this website should be interpreted to be legal, tax, or accounting advice. Every business or person should obtain detailed advice as applied to a specific transaction or hypothetical fact pattern.