This post covers a sample waiver letter
I know waiver is among complex legal concepts.
So I think giving you a sample waiver letter without any backup information won’t be helpful.
To help you get a big picture, Here I will take you through
- the concept of waiver
- what is a waiver letter
- why do you need a waiver letter
- how to write an effective waiver letter
- sample waiver letter
- IRS penalty waiver letter sample
let’s get started
Jump to section
The concept of waiver
Understanding the general concept of the waiver will help you digest the rest of the content in this post easily.
Read care full here.
I will try to break down things into simple language as much as I can so that you fully understand.
What is a waiver?
A waiver is a voluntary renunciation or surrender of a known right or privilege. (underline the word voluntary).
Black’s Law Dictionary defined Waiver to mean the voluntary relinquishment or abandonment – express or implied – of a legal right or advantage…
That simply means when a person deserves a certain right or privilege he will be termed to waive that right or privilege when he voluntarily surrenders it.
For example when you have entered into a contract with Harry to deliver the goods from point A to point B. Unfortunately, Harry did not deliver the goods as agreed and as a result, you suffer a loss.
According to the rules of the contract, you have the right to sue Harry for damages. But when you choose not to sue him it will be termed that you have voluntarily waived your right to sue.
Another example is when you are obliged to pay rent to your landlord but you may ask him to waive his right to rent due to some inevitable circumstances.
Or when you are obliged to pay tax filing penalties but request the IRS to waive its right to enforce the penalties due to certain criteria.
Waivers can be applied in different ways;
- It may be incorporated as a clause in a certain contract
- It may be entered as an independent agreement
- It may be made in a prescribed form.
- It may be expressed in a formal letter- a waiver letter
Regardless of the form, the intention and legal implications remain the same.
Generally for a waiver to be valid, it must be;
- A voluntary act;
- Relinquishment or abandonment of a right;
- Either express or implied;
- Knowledge of existing rights;
- Intention to forgo such right.
For the purpose of this post, I think it is enough. If you wish to learn more about waivers, you may read this post from Investopedia.
What is a waiver letter?
Since you now fully understand the meaning of the waiver I see no need to waste your time telling you what is a waiver letter.
Oh, it’s okay! I will do that for those who have skipped the above section.
A waiver letter is a brief statement of facts written by an individual or institution to voluntarily renunciation or surrenders its right or privilege.
This letter works in two ways; the First is when a person uses a waiver letter to voluntarily renounce or surrender his right or privilege and the second way is when a person writes a letter to request another person or institution to renounce or surrender its right or privilege.
For example, you may write a waiver letter to voluntarily surrender your right to sue Harry for damages or Harry may write a letter to request you to waive your right to sue him.
Generally, a waiver letter can be used to;
- Waive Parental Rights: Here a biological parent may choose to waive their legal rights as a parent.
- Waive liability: here a person will be required to sign a waiver letter/form to consent to the associated risks. This waiver would exonerate the organization organizing the activity from liability if a participant were hurt or killed while participating.
- Waive Claims: here a person may waive the right to continue to make a claim on the item. For example, a seller may waive his right to make claim to his sold property.
Why do you need a waiver letter?
Depending on which side of the waiver you are on, the advantages are usually quite clear, check the following
- It is the evidence that a person has voluntarily waived his right or privilege
- A waiver letter may help you avoid costly litigation mechanisms, especially when sued to waive a right to sue.
How to write an effective waiver letter
A waiver letter is written in a business letter format. Begin your letter with your address and contact information, followed by a date and the recipient’s address, and state that you are writing to surrender or renounce your certain right if you are writing to request a waiver you have to include the grounds for your request.
REMEMBER the aim of your waiver letter is to voluntarily surrender your right or to request a recipient to surrender his right.
Therefore the following is how you can write an effective waiver letter;
- Provide your name/organization, address, and contact information
- Include the date of the letter
- Include the recipient’s name, address, and contact information
- Provide the intention of your letter instantly.
- Attach the necessary documentation to support your letter.
- Be clear and straightforward
- Maintain a professional tone
- Be honest
Sample waiver letter
City, State, Zip Code
[Recipient’s Street Address]
[Recipient’s City, State, and Zip Code]
TO WHOM IT MAY CONCERN
Re: Request for waiver of [insert the right or privilege]
Dear [Recipient’s last name]
I/we are writing this letter to humbly request you to waive [right or privalage] due to the following reasons;
- Reason 1
- Reason 2
- Reason 3
I have enclosed [mention the attached documentation] to support my request.
If you have any questions, I can be reached by [Phone Number] or by [Email Address]. I’m also open to any discussion or negotiation regarding my requests.
Thank you for your understanding regarding this matter.
IRS penalty waiver letter sample
Here is an IRS penalty waiver letter sample or you can call it a letter to request IRS penalty abatement.
Depending on your circumstance, you can use the sample below as a template to assist you in writing a letter. However, working with a tax expert will increase your chances of having your request approved.
Internal Revenue Service
[City, State ZIP]
Re: Request for first-time penalty abatement under FTA Administrative Waiver
[Enter taxpayer name and identification number]
[Enter tax form and tax period]
[Enter notice number and date, if applicable]
To Whom it May Concern
I/we are writing this letter to humbly request that the [failure to file, failure to pay, or failure to deposit] penalty be abated based on IRM 22.214.171.124.6.1 that discusses RCA and First Time Abate “First Time Abate (FTA)” administrative waiver.
I/we strongly believe that i/we meet all of the first-time penalty abatement criteria due to the following reasons:
- [I/We] filed all required returns or extensions and do not have any outstanding tax return requests or abatements
- [I/We] have not incurred tax penalties for the 3 prior years [note: you can have estimated tax penalty though, as it is allowed]
- [I/We] have paid all my taxes due, or set up an installment agreement which I am current with
If you have any questions, I can be reached at the [Phone Number] or at [the Email Address.]
Thank you for your consideration and understanding regarding this matter.
For ease of reference and to support my/our request, I/we enclosed
- copy of a notice
- a copy of a valid power of attorney (Form 2848)
- transcripts proving that the first-time penalty abatement criteria are met