>And all the IRS can go back is 7 years.
WRONG
The IRS can go back 3 years, from the date filed or the statutory due date 4/15/– whichever date is later (extention of time to file will cause date to extend past the April 15 due date)
If fraud is found, IRS can go back ANOTHER 3 YEARS and ANOTHER 3 years ad nauseum.
Sauce: Experience specific to this issue. There is NO limit to the number of years IRS can "go back" even with an expired statute of limitations when fraud can be established.