Multi-Year Tax Compliance Dashboard

The IRS maintains a separate Collection Statute Expiration Date (CSED) for each tax assessment. The 10-year collection clock starts when the tax is assessed, not when the return is filed or when you receive a notice. Since each year is assessed at a different time, each has its own CSED. This is why tracking multiple years separately is critical for tax debt strategy.

The optimal strategy depends on your situation. The IRS default is "oldest year first," which preserves their longest collection window. However, you may benefit from paying the largest balance first (saves the most interest), FTA-eligible years first (eliminates penalties), or waiting out years near CSED expiration. Our dashboard analyzes all factors to recommend the best approach.

Yes, but only for voluntary payments. Per IRM 5.1.2 and Rev. Proc. 2002-26, you can designate specific tax years when making voluntary payments by including written instructions. However, installment agreement payments, levy proceeds, and wage garnishments cannot be designated - the IRS applies them to the oldest year first.

The CSED is the deadline by which the IRS must collect a tax debt. Per IRC § 6502, the IRS has 10 years from the assessment date to collect. After the CSED passes, the IRS can no longer legally collect that debt. The CSED can be extended by certain events like bankruptcy, OIC, CDP hearings, and installment agreement requests.

IRS interest compounds daily per IRC § 6622. Each tax year's balance accrues interest independently. For 2025, the underpayment rate is 7% for individuals (9% for large corporate underpayments over $100,000). Our dashboard shows your daily and monthly interest accrual across all years combined.

Several events pause ("toll") the CSED: bankruptcy (+180 days after case closes), Offer in Compromise (+30 days), Collection Due Process hearing (+90 days if <90 remain), installment agreement request (+30 days if rejected), innocent spouse claim (+60 days), and military service in combat zone (+180 days). These suspensions are tracked per tax year.

FTA can only be used once per penalty type. If you have multiple years with penalties, you should strategically choose which year to use FTA - typically the year with the largest penalty. Other years may qualify for reasonable cause abatement. Our dashboard identifies FTA-eligible years and recommends the optimal order.

Unfiled returns should ALWAYS be addressed first. Without filed returns, the IRS cannot assess the tax, so there is no CSED clock running (which might seem good, but the IRS can assess at any time). Additionally, being non-compliant disqualifies you from most relief options including installment agreements and OIC.