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Accountancy Slice
North America
AICPA has urged the IRS to expand and refine its First Time Abatement (FTA) penalty relief program to cover a broader range of tax and information return penalties. In a letter to the IRS, the organization also proposed allowing taxpayers to reverse automatically applied FTA relief if they can demonstrate reasonable cause, preserving their one-time abatement for future use. The AICPA said the changes would reduce administrative burdens, clarify penalty relief options and encourage greater voluntary tax compliance.
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