Statement and instructions regarding recent software outage

Note: There is no guarantee that the SurePrep software outage will be accepted as reasonable cause. Each return is looked at on a case by case basis.

October 11, 2019

SurePrep has been in contact with the IRS regarding the recent SurePrep FileRoom outage. The IRS encourages taxpayers with an October 15 deadline to file on time, if possible.

Taxpayers that were affected by the SurePrep outage and file after the deadline should include the phrase “Late filed return due to SurePrep software outage” as a statement of reasonable cause.

Following are specific instructions for taxpayers and preparers seeking reasonable cause penalty relief.

For Paper Returns:

To clearly identify an impacted paper-filed return, please attach a separate written statement to the signed tax return that’s titled “Reasonable Cause Waiver Request – IRC 6651, Failure to File Penalty” that contains in the letter body “Late filed return due to SurePrep software outage”. It must be attached to the original signed return.

For E-Filed Returns:

In the ReasonableCauseStatement element of the electronic file, include the following text: “Late filed return due to SurePrep software outage”.

If a late filing penalty notice is received, use form 843 to request an abatement: https://www.irs.gov/forms-pubs/about-form-843

Note: There is no guarantee that the SurePrep software outage will be accepted as reasonable cause. Each return is looked at on a case by case basis.

SurePrep Incident Report:

https://status.sureprep.com/incidents/zt8bpm16bjth