Interest on unpaid taxes can be canceled. The 1988 Taxpayer's Bill of Rights Act guarantees you the right to cancel interest assessments under certain circumstances. Three conditions lead to cancellation of interest:

• When the interest is due to an error made by the IRS;
• When the interest is due to a delay caused exclusively by the IRS; or
• When the interest is demanded on money which the IRS send in error.

To cancel interest, write a letter that states, "Interest should be canceled because ..." and list which condition the cancellation of interest meets. Mail your letter to the Service Center that issued the bill.