I represent taxpayers in Maple Grove, Minnesota and all the 50 States in the United State before all administrative levels—examination, collection, and appeals—of the Internal Revenue Service (IRS).
By law, the IRS have 10 years to collect on a tax debt, after 10 years the tax debts expire. For example, a taxpayer owes $25,000 on his/her 2010 return, filed the return in April 2011 and the IRS assessed the taxpayer in May 2011. The IRS has 10 years until May 2021 to collect on the tax debts if the taxpayer did not do anything to extend the date.
However, there are certain events that could toll(move) the date forward. The Collection Statute Expiration Date (CSED) refers to how long the IRS has to collect tax for a specific assessment.
The CSED is calculated as 10years after the assessment date.The CSED can be extended by tolling events. Each assessment carries its own CSED. Here is a list of events that could suspend the CSED.
- Pending Installment Agreement
- Terminated Installment Agreement
- Offer in Compromise Pending
- Bankruptcy
- Collection Due Process Hearing
- Innocent Spouse
- Military Deferment.
You can check on how many years is left on a debt by requesting a tax transcript. Please note it sometimes takes up to 90 days for the IRS to update the transcript if the debt has expired.
If you or someone you know believe that a tax debt should have expired, please feel free to contact me at by phone or email at joe.alabi@fishcointax.com.
Ph. (612) 516 – 5878
Fax (651) 419 -2021
Email : info@fishcointax.com
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