Senator’s bipartisan letter urges the IRS and Treasury Department to waive late filing penalties for Arizona taxpayers
WASHINGTON – Arizona senior Senator Kyrsten Sinema urged the Internal Revenue Service and U.S. Department of Treasury not to punish Arizonans affected by the coronavirus pandemic for filing their taxes late—and to waive late penalties, especially for delays related to IRS backlogs.
“Arizonans affected by the coronavirus pandemic and IRS’ own delays shouldn’t be punished for filing taxes late—the IRS should waive filing penalties for Arizona taxpayers,” said Sinema.
Sinema’s letter requests the IRS to provide targeted penalty relief to taxpayers impacted by the pandemic and IRS delays. Sinema additionally requests the IRS to create a dedicated COVID-19 hotline and provide IRS staff with specific coronavirus examples for when Arizona taxpayers would qualify for relief.
The coronavirus pandemic created major challenges for taxpayers, preventing many from filing timely tax returns, making timely tax payments, and responding to IRS inquiries. The months-long shut-down of many IRS services created huge mail backlogs, where some Arizona taxpayers who did file and pay in-time, were still sent a “notice of intent to levy” and sometimes actual penalty notices.
Sinema’s casework team heard from numerous Arizonans who have begun receiving tax penalty warning letters and are facing challenges trying to get help from IRS staff due to backlogged workloads and limitations in receiving in-person assistance.
Click HERE to read Sinema’s bipartisan letter.