IRS Extending the Tax Assessment Period  Length of Extension (Part II)  In an open-ended consent, the extension period generally remains open until 90 days after either the taxpayer or the Service sends the prescribed notice ending the agreement. The procedures for using this consent are set forth in Revenue Procedure 79-22, 1979-1 C.B. 563, which…

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IRS Extending the Tax Assessment Period  Length of Extension (Part I)  The Service’s examiners will request an extension period no longer than is necessary to complete the examination and any administrative action necessary to process your case. As stated above, the Service uses two kinds of consents to accomplish this, a “fixed-date” and an “open-ended”…

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IRS Extending the Tax Assessment Period  Background (Part II)  Because of these restrictions, the Service identifies tax returns under examination for which the statutory period for assessment is about to expire and requests that you extend the assessment statute of limitations. This additional time allows you to provide further documentation to support your position, request…

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IRS Extending the Tax Assessment Period  Background (Part 1)  The Internal Revenue Service (Service) makes every effort to examine tax returns as soon as possible after they are filed. To ensure timely tax examinations, Congress has set deadlines for assessing taxes and making refunds or credit of tax. These deadlines are called “statutes of limitations.”…

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An IRS Audit (Part VIII) How does the IRS conclude an audit? An audit can be concluded in three ways: No change: an audit in which you have substantiated all of the items being reviewed and results in no changes. Agreed: an audit where the IRS proposed changes and you understand and agree with the…

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