Thursday, September 10, 2009

How Long Does the IRS Have to Collect Taxes Owed?

In general, the IRS has ten years to collect on back taxes. However, there are a number of ways the ten year period might be extended.

1. The ten (10) year period doesn't start until after you have filed your tax return and the IRS accesses the tax against you.

2. The IRS can extend the 10 years by pulling some of its legal string, such as suing you in federal cour. (We are told this usually only happens if you owe the IRS millions)

3. If you take certain actions concerning past due taxes owed, such as filing an Offer in Compromise, file for bankruptcy, or sign 'something' from the IRS's Collections department, the ten year period can be extended.

The different rules are complex and you should seek out a Tax Professional for more information. The above information serves only as a summary. To learn more visit, www.irs.gov and put your keywords into the search box.

If you are experiencing problems because of past due returns, we provide an online, confidential, back tax service. There is no need to take off from work or to sit in some one's office. We do everything online, via email, fax and the United States Post Office. http://taxeswilltravel/pdr.htm
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