Audit how many years back
How long can the IRS audit a tax return?
The basic rule is that the IRS can audit for three years after you file, but there are many exceptions that give the IRS six years or longer
For example, the three years is doubled to six if you omitted more than 25% of your income
This 25% rule can apply to tax basis too
Is it too late to audit a tax return?
“Sorry, IRS, you missed your deadline, it’s too late to audit me!” The IRS usually has three years after you file to audit you
But there are many exceptions that give the IRS six years or longer
No one wants to be audited by the IRS
Even if you think your taxes are pristine, gathering receipts is no fun, nor is explaining what you did and why
Most IRS audits reach back a maximum of three years, meaning any tax returns you filed during the previous three years may be included in the audit. However, while three years is the typical cut-off point, there are also some situations in which the IRS will extend or even double the standard audit period.How far back can a business be audited by the IRS? The IRS is subject to a statute of limitations that sets a maximum amount of time that the IRS has to initiate an audit. The default audit window is typically three years. The IRS has six years to audit a business when there are substantial omissions or errors on the return.In most situations, the IRS can go back three years. That means if your 2016 tax return was due April 2017, the IRS has three years from April 2017 to audit you (if you file the return timely, either before or on the April due date).In general, the agency can go back and reassess a return for three years after the date on the initial Notice of Assessment.First, the legal answer is in the tax law. Technically, except in cases of fraud or a back tax return, the IRS has three years from the date you filed your return (or April 15, whichever is later) to charge you (or, “assess”) additional taxes. This three-year timeframe is called the assessment statute of limitations.
