No penalty shall be imposed under this part with respect to any failure if it is shown that such failure is due to reasonable cause and not to willful neglect. Any penalty imposed by this part shall be paid on notice and demand by the Secretary and in the same manner as tax.
Therefore, under paragraph (h) of this section, Q is considered to have established reasonable cause, and under section 6724 and paragraph (a) (1) of this section the penalties under sections 6721 and 6722 are waived.
A filer may treat as a penalty not incurred any penalty under sections 6721 through 6723 that was self assessed under section 6724 (c) (3) and any penalty under section 6676 (b) that was self assessed under section 6676 (d), prior to amendment or repeal by the Omnibus Budget Reconciliation Act of 1989.
Read this complete 26 U.S.C. § 6724 U.S. Code Unannotated Title 26. Internal Revenue Code § 6724. Waiver; definitions and special rules on Westlaw. Westlaw subscription required. FindLaw Codes may not reflect the most recent version of the law in your jurisdiction.
It also discusses reasonable cause criteria per IRC 6724 and 26 CFR 301.6724 1. Audience: All operating division employees who address information return penalties.
No penalty shall be imposed under this part with respect to any failure if it is shown that such failure is due to reasonable cause and not to willful neglect. Any penalty imposed by this part shall be paid on notice and demand by the Secretary and in the same manner as tax.
A filer may treat as a penalty not incurred any penalty under sections 6721 through 6723 that was self assessed under section 6724(c)(3) and any penalty under section 6676(b) that was self assessed under section 6676(d), prior to amendment or repeal by the Omnibus Budget Reconciliation Act of 1989.
§301.6724–1 26 CFR Ch. I (4–1–24 Edition) of interest to B’s account when the Internal Revenue Service or a broker has notified Y that the EIN is incorrect.
§ 301.6721 1 Failure to file correct information returns. § 301.6722 1 Failure to furnish correct payee statements. § 301.6723 1 Failure to comply with other information reporting requirements. § 301.6724 1 Reasonable cause.
Learn how 19 CFR affects you by gaining sound knowledge of the Code of Federal Regulations and the Customs Import and Export Regulations in the US.
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