Can the limitation period be interrupted? What are the effects?

The limitation period may be interrupted for the following reasons:

a) For any administrative action, the taxpayer is notified, in order to check, inspect, secure, settle or collect a tax debt.

For example, the start of an inspection, the notification of a provisional settlement or an enforcement order; to name just three examples, can interrupt the limitation period.

However, abusive practice followed by the administration to send petitions and notices to taxpayers should be rejected, with the sole purpose of avoiding prescription (see section 10.4).

b) The filing of complaints or appeals of any kind.

c) For any action leading to the payment of the taxpayer or debt settlement. The typical example is the presentation of supplementary declarations (see section 1.9). Be careful, with such statements, since they can be a double-edged sword for the taxpayer.

d) Finally, in the case of undue income, the limitation period is interrupted by any demonstrable act where the taxpayer is seeking the refund, or any act of the Administration in which recognizes its existence.

In all cases, the effect of the interruption of the limitation period is to reopen the calculation of a new term of five years from the date on which the interruption occurred. Hence, in practice, the records are open for tax debts accrued over five years.