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Level 4
June 28, 2022

Tax prep error

  • June 28, 2022
  • 1 reply
  • 5 views

I have a new client who's tax preparer mistakenly forgot to enter a 1099 which caused a substantial tax underpayment penalty.  The taxpayer advised that it was just an honest mistake.  Are there any options to get the penalty waived for the tax payer without using their one-time  waiver of penalties and interest?  

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    1 reply

    sjrcpa
    Level 15
    June 28, 2022

    Reasonable cause. Honest mistake, never happened before, will make sure it doesn't happen again, yada yada.

    The more I know the more I don’t know.