Time is on my side, yes it is
Time is on my side, yes it is
THE ROLLING STONES, Time Is on My Side, on Time Is on My Side [Single] (Vinyl, London Records Sept. 25, 1964)
The Rolling Stones famously asked whether time is on your side. It’s a catchy question, but it’s also one that applies surprisingly well to tax debt.
If you’ve been carrying an IRS balance for years, you may feel like the government will be knocking on your door forever. Every letter, every notice, every passing year can make it seem
like there’s no end to the story.
But here’s something many taxpayers don’t realize: even the IRS must keep time.
IRS 10 YEAR STATUE OF LIMITATION
In most cases, the IRS has 10 years from the date a tax is assessed to collect the debt. New York State generally has 20 years. Contrary to popular belief, the government doesn’t get an endless
encore.
– The IRS typically has 10 years from the date a tax liability is assessed to collect the tax, along with any related penalties and interest. This deadline is known as the Collection Statute Expiration Date, or CSED. (I.R.C. § 6502(a)(1))
NYS 20 YEAR STATUE OF LIMITATION
– For New York State tax debts, the Department of Taxation and Finance generally has 20 years to collect an assessed liability, starting from the first date a tax warrant could have been filed. (New York State Tax Law § 174-b)
You’re searching for good times but just wait and see
You’ll come runnin’ back (R. Stones, “Time Is on My Side”)
EVENTS CHANGING THE TIMELINE
Before you start humming that Rolling Stones classic, though, remember that tax law has a way of changing the tempo. Certain events like filing for hardships, bankruptcy, submitting an Offer In Compromise, or spending extended time outside the United States; can stop the clock and give the IRS or New York State additional time to collect.
That’s why one person’s collection period can look completely different from another’s. Sometimes, time really is on your side. Other times, the clock has been paused without you even realizing it. The key is to know which song is playing in your case.
If you’ve been living with old tax debt, don’t spend another year wondering where you stand. Let out office review your account, calculate the applicable statue of limitations, and determine whether time has become your ally—or whether it’s time to act.
Because when it comes to text debt, you don’t want to guess what time it is. You want to know. Call us today and schedule a consultation to find out exactly what time is it for you.
My practice has for over 20 years advised, helped individuals and small businesses in their tax problems. If you would like to know if time truly is on your side, please give my office a call to discuss your options. Call us at 212-387-7880 or email Daniel@dmsilverlaw.com.