Penalty Waiver Policy

The Penalty Waiver Policy document describes in detail the policy of the NCDOR. Per the NC General Statutes, the Department must impose certain civil penalties on taxpayers who do not follow the tax laws. The NC General Statutes give the Secretary of Revenue the authority to waive or reduce all these penalties. 

A taxpayer may request a waiver of penalties in any of the following three ways:

• Submit Form NC-5500 Request to Waive Penalties. 
  • Note: you may obtain a printed copy of this form by calling our taxpayer assistance line at 1-877-252-3052 and selecting the menu option for Forms, or by visiting any NCDOR service center.
• Write a letter. 
• Call the Department, in limited circumstances.

The Department notifies the taxpayer of its decision to grant or deny said request.