A new web site, www.TaxPenalty.com, was launched this week by Time Value Software to assist millions of businesses to reduce penalties imposed by the IRS. The penalty reduction is enabled by recent tax law changes (IRS Rev. Proc. 99-10) that give businesses 90 days to ask the IRS to use a different calculation method for penalties.
"Our experience is that we can reduce penalties in more than half the cases," said Tom Persky, head of product development for TimeValue. "In the cases where we help, the average reduction is over 35 percent and under some circumstances, the penalty can be eliminated entirely." The service is free, except for those cases where the saving is greater than $500, in which case the service costs $49.