IRS Penalty Abatement Process Has Holes, TIGTA Says
By Jonathan Randles
Law360, New York (December 2, 2013, 6:28 PM EST) -- The Internal Revenue Service should improve internal controls to ensure that penalties assessed on individuals who are late in filing tax information regarding their involvement in a foreign corporation are properly abated, according to a Monday report by the Treasury Inspector General for Tax Administration.
The results were included in TIGTA's review of how the IRS assesses penalties on U.S. taxpayers who are required to file a Form 5471, which provides information on their relationship to certain foreign business entities. Although the IRS has improved, the...