Thanks for the response. This goes far enough afield of my expertise that I don’t think I can give very helpful answers to your specific questions. I don’t have any experience with corporate tax refusal of this sort. In the very limited anecdotal reports I’ve seen, it seems like the IRS is most likely to crack the whip and potentially pursue corporate officers when 1) the corporate entity fails to pay employment taxes (payroll/social-security taxes) after withholding them from employees’ paychecks, 2) when there’s actual fraud/dishonest filing involved, 3) when there’s no filing of required forms; in roughly that order of severity. I’m much less confident in anticipating the IRS’s behavior here than I am in the case of individual tax-nonpayers.
As far as the 10-year limitations deadline, again here I have much less information to go on for corporate taxpayers than for individuals. I know in the case of individuals, once the tax debt passes the “collection statute expiration date” it just sort of vanishes from the system and so they stop bothering you about it.
Note that if the corporate entity formally files for bankruptcy that this suspends the ticking of the statute of limitations clock until six months after the bankruptcy is resolved.
Thanks for the response. This goes far enough afield of my expertise that I don’t think I can give very helpful answers to your specific questions. I don’t have any experience with corporate tax refusal of this sort. In the very limited anecdotal reports I’ve seen, it seems like the IRS is most likely to crack the whip and potentially pursue corporate officers when 1) the corporate entity fails to pay employment taxes (payroll/social-security taxes) after withholding them from employees’ paychecks, 2) when there’s actual fraud/dishonest filing involved, 3) when there’s no filing of required forms; in roughly that order of severity. I’m much less confident in anticipating the IRS’s behavior here than I am in the case of individual tax-nonpayers.
As far as the 10-year limitations deadline, again here I have much less information to go on for corporate taxpayers than for individuals. I know in the case of individuals, once the tax debt passes the “collection statute expiration date” it just sort of vanishes from the system and so they stop bothering you about it.
Note that if the corporate entity formally files for bankruptcy that this suspends the ticking of the statute of limitations clock until six months after the bankruptcy is resolved.