Accounting Articles > IRS Audit:

How far back in time can the IRS audit?

Generally the statute of limitations is three years after the date that the income tax return was filed.

If, after an audit, the service can prove fraudulent intent, they can go back further than the three year statute of limitation. They can generally prove fraudulent intent by auditing within the statute and finding more than a twenty percent change in taxable income.

If fraudulent intent is proved, then they can back as far as they want.

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