Form 843: Claim for Refund and Request for Abatement

What is Form 843?

Form 843 is an IRS form used to request a refund or abatement of certain taxes, penalties, or interest that were assessed or collected in error. It covers certain non-income taxes and situations where IRS error, delay, or incorrect written advice caused an improper assessment.

Key points

• Use Form 843 to seek refunds or abatements for certain non-income tax items, interest, or penalties assessed in error.
• File a separate Form 843 for each type of tax/fee and for each tax year.
• The deadline is generally two years from the date taxes were paid or three years from the date the return was filed, whichever is later.
• If the IRS denies a claim or takes no action for six months, you may sue in U.S. District Court or the U.S. Court of Federal Claims.
• Filing an excessive refund claim can trigger a penalty equal to 20% of the amount determined to be excessive.

When to use Form 843

Common reasons to file Form 843 include:
* Requesting abatement of interest or penalties that resulted from IRS error or delay.
* Requesting relief based on erroneous written information from the IRS.
* Requesting refund of Social Security or Medicare (FICA) tax withheld in error when the employer will not adjust the over-collection.
* Requesting abatement of certain taxes other than income taxes (e.g., some estate or gift tax situations, where applicable).

What Form 843 cannot be used for

Form 843 should not be used to:
* Amend previously filed income or employment tax returns to claim usual income tax refunds (use Form 1040X or other appropriate forms).
* Claim refunds or abatement for FICA tax or Railroad Retirement Tax Act tax in most situations (exceptions are limited; check IRS guidance).
* Claim refunds for income tax withholding, lien fees, offer-in-compromise fees, or certain gift/estate tax abatements.

Who can file

• The taxpayer whose taxes were assessed or the taxpayer’s authorized representative may file Form 843.
• If an employer will not correct an over-withholding for Social Security/Medicare, the employee may file Form 843 to seek a refund.

How to complete and file Form 843

Main items required on the form:
* Taxpayer identification (name, address, Social Security number or EIN).
* Tax period and type of tax or fee.
* Clear statement of facts explaining why the refund or abatement is due.
* For penalty abatement, include the Internal Revenue Code (IRC) section number of the penalty (enter this on Line 4; you can find it on the IRS notice).
* On Section 5a, indicate the reason for the request (IRS error/delay, erroneous written information, reasonable cause/other).
* Use Section 7 (or attach additional pages) to give a full explanation, supporting evidence, and calculations.

Practical tips

• Attach copies of relevant IRS notices, pay stubs, employer statements, and any other documentation that supports your claim.
• Keep detailed computations showing how you calculated the refund amount.
• If concerned about the statute of limitations, file a protective claim before it expires to preserve your rights; protective claims and real claims have the same legal effect.
• Be cautious: a frivolous or excessive claim can result in penalties.

After you file

• The IRS will process the claim; if it issues a statutory notice of claim disallowance or does not act within six months, you can pursue a refund suit in federal court.
• Maintain copies of everything you submit and note filing dates.

Where to get Form 843 and more information

• Form 843 and instructions are available on the IRS website.
• For procedural details on claims and appeals, see IRS Publication 556.

Sources

IRS Form 843; IRS Publication 556.