Will you ever get an audit for a tax return 5 years or more ago?
2007-01-20 06:28:39 · 9 answers · asked by 6th Finger 2 in Business & Finance ➔ Taxes ➔ United States
The IRS generally does not audit a return filed more than 2 years ago. If they need to examine a return, they need to have the case closed within 3 years of filing.
If there is a case of a non-filed return, the statute of limitations does not start until the taxpayer files a return, so the time is infinite.
There is no statute of limitations on fraud. They can go back to 1931 if there is evidence of such an act.
Even if they could go back 75 years, though, it's doubtful they would. The IRS wouldn't be able to find the records, but they have them.
In reality, it's difficult for the IRS to access its records more than 5 years old right now.
Enrolled Agent
2007-01-21 02:43:23 · answer #1 · answered by WealthBuilder 4 · 1⤊ 1⤋
Routine audits can go back 3 years. If substantial misstatement of income or expenses is suspected, they can go back up to 6 years. If tax fraud is suspected, they can go back forever. If no original return was filed, the limit is 6 years by IRS policy. The courts have held that failure to file is negligence, not fraud or evasion, hence the 6 year limit under the substantial misstatement rule. Normally you should keep tax records for at least 7 years to be safe. You're required to keep them for at least 4 years or for long as they are relevant. Records for stocks need to be held for 4 years past the sale date. Ditto for real estate and other asset records. Gift tax records must be kept forever since they may have an impact on the estate tax exclusion when you pass.
2016-05-24 01:14:42 · answer #2 · answered by ? 4 · 0⤊ 0⤋
Also keep in mind that the number of years used as the statute of limitations start counting from the day you file your return. So for any tax year that you never filed a return, the statute of limitations will never run out and the IRS can come after you for it at any time.
2007-01-20 06:45:35 · answer #3 · answered by jseah114 6 · 0⤊ 0⤋
10 years
2007-01-20 06:31:01 · answer #4 · answered by ac_ohfosho 2 · 0⤊ 1⤋
7 years I think but for fraud they can go back to the first return. I would suggest you catch the next flight out of the country..
2007-01-20 06:33:07 · answer #5 · answered by americanmalearlington 4 · 0⤊ 0⤋
I believe it's 7 years
2007-01-20 06:32:52 · answer #6 · answered by MKM 3 · 0⤊ 1⤋
they normally don't go more than 7 years unless the find something.
2007-01-20 06:31:10 · answer #7 · answered by Anonymous · 0⤊ 1⤋
3 years if no fraud is involved, 7 years (I think) if it is.
2007-01-20 06:32:18 · answer #8 · answered by Dorothy and Toto 5 · 0⤊ 1⤋
They can - but that is rare.
Good Luck!!!
2007-01-20 06:32:02 · answer #9 · answered by Anonymous · 0⤊ 0⤋