Statute of Limitations on Back Taxes

If you owe back taxes, how long does the IRS have to assess and collect them? The answer varies based on the situation. In many cases, the IRS has three years from the date a return was due or when it was filed, whichever comes later, to assess how much you owe, and up to 10 years to collect that amount. When a very large item is omitted from the return, the assessment period can last up to six years. However, if fraud or attempted tax evasion is involved or if a return was never filed, then there is no statute of limitations on how long the IRS can take to make an assessment.

If you haven’t paid taxes or filed a return, we can assist you in fixing the problem. We can prepare your returns and help you address any outstanding tax concerns. We can also work with you to tackle broader financial or other issues that you may be facing. Reach out to us today for more information.

Davis & Hodgdon Associates CPAs has assisted individuals, businesses, and nonprofits with tax, accounting, and financial planning services in the Burlington Vermont Metro area for more than 20 years. If you have any questions or concerns please feel free to call 802.878.1963 or email [email protected]. 

Bret L. Hodgdon, CPA, CFP®, CFE, CGMA