How long can the IRS collect for?

I’m tax attorney Steve Klitzner. When I meet with a new prospective client, after we talk for a little while and I go over some of the options, I very often hear this question: Is this going to go on forever? How long can the IRS collect for?

Well, the good news is that there is indeed a statute of limitations for the IRS. The IRS has to collect the money within 10 years of when they assess it against you, or it’s done. You don’t owe any money.

Now the IRS can, and very seldom does, file a lawsuit to perfect their judgment, and then they can collect another 20 years. But for the most part, 10 years is the period of time.

There are some things that can be done, whether intentional or unintentional, that can extend that period of time. But once that statute of limitations is over, the taxpayer is free of any IRS obligations.

One of the things I do when I meet with somebody is I get the transcripts right away. I do a calculation, and I can tell you to the day when the IRS problems go away.

I’m tax attorney Steve Klitzner. Until next time, if you have any questions, please give me a call.