IRS gave us 12 month filing extension for hurricane.
Promptly sent us notice we were late to file, and here is your estimated $7000 penalty and interest.
Took a year to get that straightened out, and then IRS throws us $500 month penalty for filing late, 6 MONTHS BEFORE the extended deadline.
I wonder how many people panic and send them money they simply do not owe?
Agree with POTUS - the only way to play this is maximum tax avoidance because the system is so rigged with traps via forms, procedures, schedules, etc.
@ IRS, it isn't people sending these notices out - it's their software systems. To get these penalties set right, you have to go and negotiate with an IRS official who has the authority to do so. This only happens at scheduled places and times each year. You cannot reach a human through the IRS phone system - it is designed that way intentionally.
So you get a CPA and he takes all of their effed up crap for his clients on a plane, usually to Vegas or Denver or somewhere, and then your CPA has one single appointment scheduled months in advance to settle out all the IRS FUBARS he has for his clients. Because nobody else has the authority to do this and you canot get anyone via phone at IRS.