Form 843: Instructions, Tips and Guidance

Refund of IRS Penalties

Want a Refund of IRS Penalties? Then, File Form 843

The IRS will often remove penalties for paying or filing late, but to get relief, you must ask for it. Typically, that involves filing Form 843. You can also use this form to request a refund of certain taxes. This guide covers the basics.

Who Should File Form 843?

The most common reason people file this form is to request abatement of IRS penalties. However, you can also file this form if any of the following apply:

  • You want a refund of any tax other than income, estate, or gift tax that doesn’t come with its own tax refund form.
  • You want a refund of excess Social Security, Medicare, or RRTA tax your employer withheld from your pay, and your employer refuses to issue you the refund.
  • You want a refund of interest, penalties, or tax caused by IRS delays or incorrect written advice by the IRS.
  • You want a refund of a penalty for misuse of dyed fuel under section 6715.
  • You want a refund of a branded prescription drug fee.
  • You believe the IRS has incorrectly charged you interest and penalties.

If you’re unsure of whether or not this is the proper relief form to use, contact a tax attorney or reach out to the IRS for guidance.

Is Form 843 Required for Penalty Abatement?

If you’re applying for penalty abatement, you don’t necessarily need to file this form. Alternatively, you can just call the IRS or write a letter and ask for penalty abatement. However, when you request abatement over the phone or through the mail, you need the same details as you include on this form. By extension, it’s often easier to just fill out the form to ensure you don’t overlook anything.

Other Forms to Request Tax Refunds

The IRS has several different forms that allow you to request penalty abatement. They include the following:

  • Form 1040-X – to amend your personal income tax return and request a refund.
  • Form 8379 – to request to keep your portion of a tax refund on a jointly filed tax return when your spouse’s refund is being seized for unpaid bills.
  • Amended Form 1041 – to amend your estate or trust return for a refund.
  • Form 1045 (Application for Tentative Refund) – to apply for a refund related to a net operating loss, a general business credit, a 1256 contracts loss, or an adjustment under Section 1341(b)(1).
  • Form 941-X or 940-X – to claim a refund of FICA tax, RRTA tax, or income tax withholding.

This is not an exhaustive list. Keep in mind that for most tax refunds, you must request the refund within three years of the return’s due date or filing date or within two years of the date the tax was paid. The IRS will not issue a tax refund if you miss these deadlines.

If you’re requesting a refund very close to the deadline, keep proof of the date you mailed the return. Generally, the IRS will accept a postmark as on-time even if it receives the request after the actual deadline.

Instructions for Form 843 Request for Refund

This form is only one page long, and most of it is very straightforward. To complete it, you need your name, Social Security number, address, contact details, and details about your spouse, if relevant. You also need the tax period and the amount you want abated, and in section six, you’ll tick a box showing which tax form you originally filed.

On line three, you should note the type of tax or fee. If you’re requesting a tax refund, you note the type of tax (income, employment, estate, etc), but if you’re requesting penalty abatement, you should tick the box that says “fee.” Then, if you selected fee, note that type of penalty on line four. For example, you may note “failure to file” or “failure to pay” on this line.

In section 5a, you note the reason for the refund or abatement. The options include 1) interest assessed due to IRS errors or delays, 2) penalties due to incorrect IRS written advice, or 3) reasonable cause or other reason allowed under the law. Then, note the date you made the payments if relevant.

Finally, at the end of the form in section 7, you should explain why you deserve the refund and how you calculated the refund amount. The box is small, but you can attach extra pages for your explanation if you need more room.

Don’t forget to sign the form. If you’re requesting abatement related to a jointly filed tax return, both you and your spouse will need to file it. You need to file a Form 843 for every period you want a refund. For example, if you incurred fees for filing tax returns late in 2021 and 2022, you need to file two 843 forms.

Where to Send Form 843

If you’re filing Form 843 in response to an IRS notice, mail the form to the address on the notice. Otherwise, use the following addresses.

To request a refund for estate tax matters:

Attn: E&G
Mail Stop 824G
7940 Kentucky Drive
Florence, KY 41042-2915

In response to Letter 4658 about a prescription drug fee:

Mail Stop 4921 BPDF
1973 Rulon White Blvd.
Ogden, UT 84201

In response to Letter 5067 C related to Health Insurance Providers Final Fee:

Mail Top 4921 IPF
1973 N. Rulong White Blvd
Ogden, UT 84201

If you’re requesting relief from penalties or filing the form for any other reason not listed above, you should mail the form to the service center where you would normally mail your tax return for filing. The mailing address varies based on your location.

Get Help With Form 843 Today

Wondering if Form 843 is the right form for your situation? Curious if you’re likely to get penalty relief or a tax refund? Want help filing the form? Although most of it is straightforward, the part where you need to explain the refund and its calculation can be challenging.

Want to ensure you’re taking the best path to resolve your tax debts? Then, you should contact the experienced tax attorneys at Wiggam Law today. We will talk with you about your tax debt and, if relevant, help you apply for penalty relief or refunds. Then, we’ll help you get back into good standing with the IRS. Don’t delay – reach out for help today.