Allen filed his 2020 tax return on May 15 ^th, 2021, and underreported his gross income by 30 percent. Assuming Allen's underreporting is not due to fraud, the statute of limitations for IRS assessment on Allen's 2020 tax return should end:

Question

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The standard statute of limitations for the IRS to assess taxes is 3 years from the date the return was filed or the due date of the return, whichever is later. However, if a taxpayer underreports their gross income by more than 25%, the statute of limitations extends to 6 years. Since Allen underreported his income by 30%, the correct statute of limitations would be 6 years from the filing date, which would be May 15, 2027, not any of the provided options.

Allen Filed His 2020 Tax Return on May 15 th

Allen Filed His 2020 Tax Return on May 15 ^th