IRS Form 872, Consent to Extend the Time to Assess Tax, is a request from an examiner to give the IRS more time to finish an audit and assess additional tax. You are not required to sign it, but refusing has consequences. Knowing the versions of the form and how to narrow it lets you make an informed choice.
Why the IRS sends Form 872
The IRS generally has three years from the date a return was filed, or its due date if later, to assess additional tax. Longer periods apply in certain situations, such as a substantial omission of income, and there is no time limit for a fraudulent return or a return that was never filed. Our article on how far back the IRS can audit covers those rules.
When an audit runs close to the end of that window, the examiner faces a choice: finish quickly, or ask the taxpayer to extend the deadline. Form 872 is that request. It often shows up when an audit has stalled, when a case is about to go to Appeals, or when records are still being gathered.
If an examiner has just handed you an extension form, call (415) 754-0115 to schedule your free consultation, or reach out through our contact page, before you sign anything.
The different versions of IRS Form 872
Form 872: a fixed end date
The standard form extends the assessment period to a specific date. When that date arrives, the IRS's time to assess expires unless you agree to another extension. A fixed date keeps pressure on both sides to move the case along.
Form 872-A: open-ended
Form 872-A extends the period indefinitely. It ends only after a specified event, such as either side filing Form 872-T to terminate the consent, followed by a waiting period, or the IRS issuing a notice of deficiency. An open-ended consent can leave a case hanging far longer than anyone expected. A fixed date is often preferred for that reason, although the IRS may use an 872-A in certain situations, particularly for cases being considered by Appeals.
Form 872-T to end an open consent
If you signed an 872-A, Form 872-T is the tool to terminate it. Filing it starts a countdown, after which the extended period closes. The IRS can still act within that window, so termination should be timed and filed carefully.
Your rights: refuse, limit, or set the date
The law requires the IRS to tell you that you may refuse to extend the period, or limit an extension to particular issues or a particular period. In practice, your choices usually look like this:
- Sign as written. The audit continues on all issues until the new date.
- Negotiate a shorter date. Examiners often have some flexibility on how far out the extension runs.
- Restrict the consent. A restricted consent can limit the extension to specific adjustments, so issues not listed close on the original schedule.
- Decline. The original deadline stands.
What happens if you refuse to sign
Declining is your right, but the IRS does not simply drop the audit. If the examiner cannot finish in time, the usual response is to close the case on the information available and issue a statutory notice of deficiency, the 90-day letter. That notice may include adjustments you would have been able to rebut with more time. Your main pre-payment option then becomes a petition to the U.S. Tax Court, explained in our guide to a Tax Court petition after a notice of deficiency.
Refusal can also make it harder to reach the IRS Independent Office of Appeals, because Appeals generally wants enough time left on the statute to consider the case. So a flat no can cost you the administrative review that resolves many disputes.
When signing can help you
An extension can be in your interest when you need time to locate records, when an issue is complex, or when you want the case reviewed by Appeals rather than sent straight to a deficiency notice. The question is not just whether to sign, but on what terms.
California has its own clock
The Franchise Tax Board has separate assessment periods, and it may ask for its own waiver during a state audit. Separately, when the IRS makes final changes to a federal return, California generally expects to be told, and the FTB's time to follow up can be tied to that report. A federal extension can therefore have state effects. Our article on the FTB audit process explains how state reviews work.
How we approach extension requests
The Somal Law Firm represents individuals and small businesses in IRS and FTB audits across Pleasanton, Dublin, Livermore, San Ramon, Danville and the East Bay. Attorney Bob Somal can review the stage of the audit, the open issues, and the remaining time, then negotiate the date or scope with the examiner where appropriate. More on our tax audits and appeals practice is available on the site.
Frequently asked questions
Is it a bad sign if the IRS asks me to sign Form 872?
Not necessarily. Extension requests are routine when an audit is still open near the end of the assessment period. The request tells you about timing, not about the merits of the adjustments.
Can I limit an extension to one issue?
Often, yes. A restricted consent can confine the extension to listed items. The examiner has to agree to the wording, so this is usually negotiated.
How long does a Form 872 extension last?
The standard form runs to the date written on it. Form 872-A has no fixed date and continues until terminated or until the IRS issues a deficiency notice.
Can I be asked to extend more than once?
Yes. Examiners sometimes request a second or third extension in a long audit. Each request is a fresh decision, and each can be negotiated or declined.
An extension decision is easier with a clear picture of where the audit stands. Call (415) 754-0115 to schedule your free consultation with The Somal Law Firm, or write to us through the contact page. Bring the form, the audit letters, and any notes on what the examiner still needs, and we will explain your options.
Attorney Advertising. This article is general legal information for Bay Area residents, not legal advice, and does not create an attorney–client relationship. Every situation is different — please consult a licensed attorney about your specific circumstances.