IRS Refund Statute Expiration Date and Penalty Relief
Did you know that the IRS has something called the Refund Statute Expiration Date (RSED)?
The IRS is prohibited from issuing a refund of abated penalties and interest on a full paid account if the RSED has passed.
The Internal Revenue Manual section 188.8.131.52.1.1(6) states:
a claim for credit or refund must be filed within 3 years from the time the return was filed or 2 years from the time the tax was paid, whichever is later.