How Long Can the IRS Collect Back Taxes?
The IRS has significant power to collect back taxes — but that power does not last forever. Under federal law, the government has ten years from the date of assessment to collect most tax debts. After that, the debt becomes legally uncollectible.
Understanding the 10-Year Collection Statute
The “Collection Statute Expiration Date” (CSED) begins when the IRS formally assesses your tax liability, usually after you file your return or the agency files one on your behalf.
Once the ten-year period expires, the IRS must cease all collection activity, including levies, liens, and wage garnishments.
Events That Pause the Clock
Certain actions extend the statute, such as:
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Bankruptcy filings
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Submission of an Offer in Compromise
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Requesting Innocent Spouse Relief
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Extended time outside the United States
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Administrative appeals or hearings
When these events conclude, the remaining time is added back to the clock.
Why Knowing Your CSED Matters
Understanding your CSED allows you and your attorney to make strategic decisions. In some cases, it may be in your best interest to maintain compliance and allow the statute to expire rather than settle prematurely.
COTTS Law helps Texas taxpayers review IRS account transcripts, determine exact expiration dates, and implement strategies that maximize relief.
To learn how the 10-year rule applies to your situation, contact COTTS Law in Corpus Christi today for a detailed review.
