AICPA pushes IRS to ease, expand first-time abatement program

The AICPA is urging the IRS to broaden the first-time abatement (FTA) program to include more tax and information-return penalties.

In a letter to the agency, the AICPA emphasized the need for taxpayers to reverse an automatically applied FTA when they can demonstrate reasonable cause, allowing them to reserve their one-time abatement for future use.

“Our recommendations would alleviate significant tax administrative burdens on the IRS, increase taxpayer awareness of the availability of FTA relief, and promote voluntary taxpayer compliance,” said Daniel Hauffe, AICPA senior manager–Tax Policy & Advocacy. See the AICPA’s recommendations.