Tax Return Penalties Los Angeles CA - Los Angeles CA, legal attorney, Los Angeles CA legal help, Los Angeles CA legal advice, Los Angeles CA penalties, Los Angeles CA negligence, Los Angeles CA disregard of rules and regulations

Local Companies

Income. Tax Preparer
(323) 782-8522
501 N Spaulding Ave
West Hollywood, CA

All Year Income Tax
(323) 937-3848
5967 W 3rd St
West Hollywood, CA

Wyman Frank
(323) 655-8952
8230 Beverly Blvd
West Hollywood, CA

Amanda Tax & Financial Service
(323) 782-8610
8230 Beverly Blvd
West Hollywood, CA

Avenue Insurance
(323) 852-7146
8489 W 3rd St
West Hollywood, CA

Beall & Associates Business Mgmt.
(323) 876-5572
1987 Whitley Ave
West Hollywood, CA

H&R Block
(323) 654-0608
7909 Santa Monica Blvd
West Hollywood, CA

Simon Ernst Income Tax
(323) 651-4180
819 N Fairfax Ave
West Hollywood, CA

M & A Accountant Solutions Incorporated
(323) 654-3500
8159 Santa Monica Blvd
West Hollywood, CA

Freeman Michael
(323) 876-6124
7135 Hollywood Blvd
West Hollywood, CA

provided by:

This penalty is really composed of two alternative penalties. The first is the negligence prong and the second is the disregard of the rules and regulations prong.

"Negligence"
"Disregard of rules & regulations"

"Negligence"

"Negligence" includes (but is not limited to) any failure:

(1) to make a reasonable attempt to comply with the internal revenue laws;
(2) to exercise ordinary and reasonable care in preparation of a tax return; or
(3) to keep adequate books and records or to substantiate items properly.

Moreover, taking a position on your return that has a reasonable basis is not negligence. The IRS will typically find negligence if a taxpayer (1) fails to include on an income tax return income reported on an information return (such as an IRS Form 1099) or (2) fails to make a reasonable attempt to ascertain the correctness of a deduction, credit, or exclusion that would seem to a reasonable person to be "too good to be true".

"Disregard of rules & regulations"

This prong may be asserted if you carelessly, recklessly or intentionally disregard IRS rules and regulations - by taking a position on your return with little or no effort to determine whether the position is correct or knowingly taking a position that is incorrect.

Adequate disclosure on your tax return is not a defense against the negligence prong of the penalty, but may be a defense against the disregard prong. However, disclosure alone is not enough - you must show that there was a reasonable basis for the position.

Featured Local Company

Income. Tax Preparer

(323) 782-8522
501 N Spaulding Ave
West Hollywood, CA