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First-Time Penalty Abatement Screener
Four questions that screen whether a failure-to-file, failure-to-pay, or failure-to-deposit penalty may qualify for IRS First-Time Abatement. Verify against the taxpayer's account transcript before requesting.
General information only. Not tax advice. Verify eligibility against the actual transcript.
Screen for FTA eligibility
First-Time Abatement (FTA) is an administrative waiver available for certain IRS penalties when the taxpayer has a clean compliance history. It is one of the most consistently granted IRS abatement types — but only when the right criteria are met. This screener checks the four criteria defined in IRM 20.1.1.3.6.1.
Step 1 of 4
What type of penalty appears on the notice?
What FTA is and is not
- FTA is administrative, not statutory. It is granted at IRS discretion under IRM 20.1.1.3.6.1. No hardship, illness, or special circumstance is required — only a clean penalty history for the same penalty type in the 3 prior years.
- FTA applies to FTF, FTP, and FTD penalties only. Accuracy-related penalties (20% underpayment), fraud penalties, FBAR penalties, and most information-return penalties are not eligible.
- Each tax year is evaluated independently. FTA may be available for one year but not another if a prior penalty was assessed in the 3-year window.
- Phone requests are often fastest. Calling 800-829-1040 and requesting FTA verbally is the most efficient method — qualifying cases are frequently approved on the first call.
- Written requests use Form 843. File to the IRS address on the notice; cite "first-time abatement" and IRM 20.1.1.3.6.1.
- Pull the transcript first. Verify the taxpayer's actual penalty history before requesting. An unpulled transcript is the most common reason FTA requests are denied after submission.
Where FTA fits in the notice workflow
FTA screening happens after a penalty notice is received and identified — typically CP14 (initial balance due with a penalty component), CP501 or CP504 (follow-up collection notices), or a notice of deficiency that includes a penalty assessment. In the TaxRiskOS first-hour workflow, penalty abatement screening is captured at intake — before the response strategy is set — so the option is not overlooked under time pressure.
Check the notice deadline and document list →
CP14 — Initial balance due notice →