Can a Taxpayer Start the 3-Year Statute of Limitations on Additional

question 165

Essay

Can a taxpayer start the 3-year statute of limitations on additional assessments by the IRS by filing his income tax return early (i.e., before the due date)? Can the period be shortened by filing late (i.e., after the due date)?

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Definitions:

Return On Total Assets

Return On Total Assets (ROTA) is a financial metric used to assess a company's profitability by comparing net income to its total assets. It illustrates how efficiently a company uses its assets to generate profit.

Return On Common Stockholders' Equity

A measure of a corporation's profitability by disclosing how much profit a company generates with the money shareholders have invested.

Book Value Per Common Share

This is the equity available to common shareholders divided by the number of outstanding common shares, representing the per-share value of a company.

Current Ratio

A financial metric that evaluates an organization's capacity to meet its short-term debts, which are payable within a year, by comparing its current assets to its current liabilities.