How many years can the IRS go back to audit your personal income taxes?

I heard they would go back 3 years and start from there foward. Does any one know?

Public Comments

1. That sounds correct. . . three years.
2. Normally just 3. If fraud is involved though, they'd go back farther. And if you didn't file, they can go back any length of time.
3. if you owe them they can go back as far as they want. If you are due a refund 3 yrs.
4. It depends on the point of the audit. If you are a wage slave (W-2s) and there is nothing special about your tax return, the rule is 3 years. If you are a wage slave and claimed amazinging high itemized deductions because your preparer says they do that on every return and the IRS doesn't care, plan on 6 years. Even if you aren't accused of fraud, the IRS reserves the right to audit you for 6 years if they decide you underreported your total taxable income by more than 25%. If your preparer pads, say, 100 client returns, all it takes is an audit of one of them to trigger an audit of the other 99...those tend to run past the 3 year window, but given the hint of fraud, the IRS will still do the audit to get the money back. (A guy took this to tax court last year and lost.) Officially, for fraud, there is no statute. And if you never file, the clock never starts....
5. About three years, unless something in the initial audit raises red flags. If you are audited, or told you owe, you have 5 years to file a tax year over using a form 1040X (the X means you have to write in the year). If you request a transcript of a particular tax year, they have to send you EVERYTHING on file for that year - even if you did not initially receive a copy (like missed W-2 forms). Since they don't figure all of your credts when they claim you messed up, you usually end up owing less than they said, owing nothing at all, or actually being owed a refund. If you refile and did not owe or are owed by them, they can't charge and fees or penalties. If you refile and still owe something, you can make arrangements or settlements.
6. General rule: Three years from the date the return was filed or three years from the due date whichever is later. Six years if your income is understated by 25% or more. This means income, not taxable income or tax due. The burden of proof is on IRS to show the understatement. No limit if there is fraud. The burden of proof is on IRS to show that fraud exists.
7. Most of the time it is 3 years. But if intentional tax fraud is suspected, they can go back as far as they want.