Success with abating S Corp late filing penalty?

[David]

TPs started an S Corp in 2015 and thought they had until 4/15 to file an extension. There are 2 shareholders in the corp. They brought their tax information to me around 4/15 and I told them I had a backlog and would not be able to prepare it until later and that they missed the extension deadline anyway. I prepared the tax return and it was filed in June.

I know the IRS no longer accepts Rev Proc 84-35 as a basis for abating the late filing penalty. Have any of you been successful in getting the penalty abated? 

If you have a form letter of some type that you have used successfully, I would appreciate a copy.

Thanks for your help.

[BHoffman]

You might be able to use the First Time Abatement.  I've had it approved over the phone a few tImes.

[rfassett]

I also have had good success with the first time offender abatement - both over the phone and via snail mail.  I have done a lot more snail mail lately since it takes a lot less time than enduring those incredibly long wait times on the phone.  The old "taking the path of least resistance" idea.  Doing the snail mail, we always get the "we received your correspondence and will reply within 60 days" letter.  The next correspondence has always been, "OK, penalty abated".

Keep your letter simple.  Put your client's identifying information on it, attach the notice, state in the letter "relative to the attached notice we are hereby requesting abatement of all penalties associated therewith under the first time offender penalty abatement policy.  This was taxpayer's first year as an S-Corp and the shareholders were mistaken about the due date of the return.  Thank you for your cooperation in this matter."

Always use the KISS policy when dealing with the IRS.

[David]

Thank you for your help.

[michaelmars]

I HAVE used the rev proc 84-35 in the past even though its for 1065's and was successful.  Did they come out with an official position to no longer accept it?