Taxpayers who owe pandemic-era penalties tied to the Kwong decision face a hard deadline: paper Form 843 claims must be mailed on or before July 10, 2026, and the IRS does not accept the form electronically. With fewer than six weeks left, the requirement to print, sign, and physically mail a document creates a bottleneck for anyone seeking penalty refunds or abatements linked to tax years affected by COVID-era filing delays.
Why the July 10 paper-only deadline changes the calculus
The Kwong decision opened the door to refunds and abatements of certain penalties assessed during the pandemic, but the relief is not automatic. Taxpayers must affirmatively request it by filing Form 843, the IRS’s designated vehicle for claiming a refund or abatement of penalties when other methods, such as a phone request, are unavailable or insufficient. The National Taxpayer Advocate has emphasized that many filers will need to use Form 843 to secure significant penalty refunds that will not be issued on their own.
The paper-only constraint turns a straightforward deadline into a logistical challenge. Certified mail is the recommended delivery method because it creates a dated receipt proving the claim was sent before the cutoff. A taxpayer who waits until early July and relies on standard mail risks having no proof of timely filing if the envelope is delayed or lost. The practical difference between a certified-mail receipt dated July 8 and an untracked envelope postmarked July 9 could determine whether a claim survives IRS scrutiny or falls outside the filing window entirely.
Taxpayers who submit a protective Form 843 before the deadline can preserve their rights even when exact refund amounts remain uncertain. The IRS Internal Revenue Manual defines a valid protective claim as one that identifies the relevant tax years and the contingencies at issue, without requiring a specific dollar figure. That distinction matters because many filers affected by Kwong may not yet know the precise penalty amounts eligible for relief. Filing a protective claim by certified mail locks in the date and keeps the door open for a full calculation later, even if supporting schedules or detailed computations follow months afterward.
Because Form 843 cannot currently be e-filed, taxpayers must also account for practical hurdles such as printer access, signature requirements, and mail service disruptions. Households that typically rely on commercial tax software may not be accustomed to preparing a standalone paper claim. Waiting until the final week could leave no margin for correcting simple errors like missing signatures, incorrect Social Security numbers, or mailing to the wrong IRS address, all of which can jeopardize timely consideration.
What IRS procedures and the Kwong decision actually require
Form 843 is the IRS’s own written-request method for claiming penalty relief and certain refunds, and the agency’s instructions spell out where and how to mail it depending on the taxpayer’s circumstances. The form is used to request abatement of penalties for reasonable cause, to seek refunds of assessed penalties or interest, and in some cases to assert that the IRS improperly collected an amount. For Kwong-related issues, taxpayers must clearly indicate the type of penalty, the tax period involved, and the legal basis for the claim in the explanation section.
The Taxpayer Advocate Service has published a multi-part series explaining that Kwong’s reasoning may extend beyond penalties and interest to refund claims for certain tax years, broadening the pool of people who could benefit. One installment in that series describes how the decision may affect missed refund opportunities for taxpayers whose filings were delayed or disrupted during the pandemic. The Advocate cautions, however, that the contours of Kwong-based relief remain unsettled and may ultimately be shaped by further litigation and IRS guidance.
The non-automatic nature of the relief is the critical detail. Unlike the IRS’s earlier blanket penalty waivers for some late filers during the pandemic, Kwong-based claims require each taxpayer to act individually. No amended return or standard refund request substitutes for the Form 843 filing when penalties are at issue. A protective claim filed before July 10 does two things at once: it satisfies the IRS’s procedural requirement for a written request, and it establishes a date-stamped record that can be cited if the IRS later questions timeliness or the scope of the taxpayer’s rights.
To strengthen a Kwong-related claim, taxpayers should attach copies of relevant IRS notices showing the penalties assessed, along with any correspondence that reflects COVID-era delays or confusion. The narrative explanation should reference the pandemic context, identify the specific tax year and form (for example, a 2019 or 2020 individual income tax return), and note that the claim is being filed protectively in light of Kwong and related guidance. While taxpayers are not required to cite case law, clearly connecting the penalties to pandemic-era disruptions can help the IRS route and evaluate the request.
Because the outcome of Kwong-based claims is not guaranteed, taxpayers should also consult with a qualified tax professional, particularly if large dollar amounts or multiple tax years are involved. Practitioners can help determine whether additional actions-such as filing amended returns, contesting collection activity, or pursuing administrative appeals-are advisable alongside Form 843. What is clear from current guidance, though, is that missing the July 10, 2026 mailing deadline may permanently foreclose relief for many pandemic-era penalties, making timely, documented filing the most important step taxpayers can take now.
Warren Cohen is a finance writer based in Phoenix, Arizona, covering personal finance topics including credit, banking, and beginner investing. He earned his degree in business administration from Arizona State University and began his career working in consumer finance, where he gained direct experience with lending and credit systems. He now writes for personal finance websites and fintech platforms, focusing on clear, practical content that helps readers make informed financial decisions.
