supernole

Update After enduring the stress for almost a year of getting letters from IRS saying we are working on your case but in the meantime pay us 150k for each year from 2013-2015 plus thousands more in additional interest each month i received a 3064c letter saying no further action is to be taken for tax years 2013-2018.The problem is my penalty relief request was for 2013-2020.I have not received any previous CP notices about 2019-2020- only 2013-2015 were an issue. Should i be concerned about this? Years 2013,2014,2015,2016,2017,2018,2019,2020 were noted separately on penalty relief transmittal however on the 1500.00 check i put check was for penalty tax relief year 2013-2020.Not sure if not listing each year separately on check would cause an issue.

Thanks for your and others here input on this..I did mention I had called IRS about 30 days ago when i first got the CP notices before i had a theory as to why they deemed 2013-2015 ineligible and the IRS agent I spoke with kept putting me on hold checking with higher ups if i qualified for a " referral" to ep accounts and he finally came back and said years 2013-2015 were not eligible for penalty relief .The difference today when I spoke to different IRS agent is I was able to explain to IRS agent what i thought was the reason 2013-2015 were deemed ineligible and she was able to refer this to ep accounts. I just hope being shot down the first time for referral doesn't effect the referral i was granted today.

Update.I was able to get through to someone at IRS today who confirmed they had received 5500 for all years under penalty relief 2013-2020 but was unable to verify why years 2013-2015 were deemed ineligible but she did make a " referral " to IRS EP Accounts for resolution.She was very helpful said I will get a 3064c letter within 30 days with a determination and if adverse I then could apply for abatement however she did make a comment that doing this referral to ep accounts dept was a little like poking a bear which concerned me a little bit.I assume I can be optimistic about getting this referral to IRS ep accounts dept.?

One person plan I am a sole proprietor.Assets were over 250k starting in 2013.Is it possible this is happening because the ez 5500 forms for 2013-2015 do not have box D to check ( If this return is for the IRS Late Filer Penalty Relief Program) and therefore you are instructed to write on top of 5500 in red ink "Delinquent Return Filed under Rev. Proc. 2015-32, Eligible for Penalty Relief" which I did but they just didn't notice it ?

I paid the 1500.00 fee and filed for penalty relief for not filing ez 5500 from year 2013-2020 in august 2022.On 11/21/22 I got cp283 letter from IRS for tax year 2013,2014 and 2015 that says I owe 150k penalty for each of these years. I had called IRS and he kept putting me on hold to see if I was eligible for a " referral " whatever that means which I wasn't. All they could tell me was that those years were not eligible for form ez 5500. He gave me a fax number to EP Accounts and said I could ask for forgiveness for reasonable cause. On tax year 2023-2015 5500 i wrote in red ink at top "Delinquent Return Filed under Rev. Proc. 2015-32, Eligible for Penalty Relief" because there was no box d to check. Is it possible that they just didn't pay attention to this and that is why they told me they are not eligible for penalty relief? Is my only recourse now asking for an abatement for those years? I can't get through to IRS to ask additional questions. Should I assume this is the issue and fax a copy of tax year 2013-2015 to EP Accounts. Due date is 12/21/22 if that makes any difference.

Thanks for response Luke.No employees and no contributions made to keogh after starting sep ira in 2015.I realize now that because of my age 59 and my schedule c net profit well over 200k I would have been better off to have never switched from 401k to sep ira back in 2015.My sep ira 5305 is at ameritrade and my 401k is at fidelity. I am having a hard time finding someone locally with TPA skills to help me with this .Any suggestions on how I may find professional help with this ?

One person sole proprietor adopted Keogh 401k ( profit sharing /money purchase) in 2005 at fidelity then advised by advisor at fidelity to change to SEP IRA for simplicity in 2015.Based on my income I realize now I would have been able to contribute more had I stayed with Keogh.Never filed 5500 although the balance didn't reach 250,000 until 2012 and was not aware I was suppose to terminate Keogh upon opening SEP IRA.Keogh ( profit sharing /money purchase) has not been funded since opening SEP IRA in 2015.Also I mistakenly since did back door Roth for tax year 2015 to 2018 thinking there would be no tax consequence but realize now there is since I have a SEP IRA.. My CPA does not want to help with this so looking for guidance on who to call for help with this.I assume I need a TPA but wondering if I will be able to find one to help me if I do not have an ongoing relationship.Can anybody recommend a TPA in 32207 zip code area( jax,fl) or one that would be will be able to help remotely. What are my chances of getting a favorable decision with these issues using the VCP/SCP ? Hopefully I can connect with a TPA to help me soon but if not should I file a 5500 before the 7/31/deadline even if I will be asking for a retroactive termination of Keogh back to 2015 when the VCP is filed. I took an extension and have not funded my SEP IRA for 2020 .Based on my income and age I would be able to contribute about 10k more to a 401k vs. a SEP IRA for 2020 but wondering if it would be a bad idea to adopt a new 401k for 2020 while still sorting through the mess with my old Keogh?