All too often when a taxpayer has penalties imposed by the IRS and the taxpayer becomes aware that there are exceptions from the penalties for reasonable cause, the taxpayer erroneously assumes that his reasonable cause explanation will satisfy the IRS and the penalty will be forgiven. Unfortunately, there are also tax preparers, including CPAs, attorneys and enrolled agents, who don’t understand that what the taxpayer or professional deems to be reasonable cause does not necessarily satisfy the IRS’s criteria for reasonable cause.
Take the case of [Read more…] about Taxpayer Loses Reasonable Cause Argument – FBAR Penalty Imposed