Good afternoon all. I was in North Carolina last week to meet my new granddaughter! My daughter, son in law and new granddaughter are all doing well!!
While traveling , I usually hand out my business cards when I strike up a conservation with my seat neighbors. This one particular seat neightbor was DELIGHTED when she saw my card and noticed I was a CPA in Florida, versed in IRS problem solving. I didn't want all our seat neighbors to hear our conversation, so I suggested she call me and we could talk privately.
When she called, I found out that her and her husband had an IRS tax debt assessed on September 21, 2003. When I ran the Account Transcripts from the IRS, I felt as though I won the lottery!
The couple did not know the IRS has 10 years from the date of assessment to collect the tax debt. In this case , the tax was assessed on September 21, 2003, so that IRS had until September 20, 2014 to collect the tax.
Here is the 411 on the Statue of Limitations, (Collection Statute Expiration Date, CSED). There is a ten year Statue of Limitations on IRS collections of your unpaid tax debt. The IRS can attempt to collect your open tax liability for up to ten years from the date the taxes were assessed, with some exceptions we can talk about on a later blog, Once the ten years are up, the IRS has to stop its collection efforts. If the Collection Statute Expiration Date, (CSED) is close, the IRS may act aggressively to get you to pay as much as possible before the deadline. The Statute of Limitations begins when you receive a written notice of the amount of tax you owe when you file your return and don't pay the tax that is due. The date on this IRS notice starts the ten year Statute of Limitations period.
Let me know if you have any questions or if I may help you with your IRS problem.
MaryAnn Schoolden, CPA
Premier Tax Relief, Inc
954.474.1539
