Statute of Limitations Considerations

(1) Purchases and Cash Withdrawals

a. Since the purchases and cash withdrawals occurred during the 2020 year,

the statute of limitations on those transaction is May 15, 2024, which is 3 years after the filing of the 2020 Form 990 by Orchid.

Note: See II.F.5, Statute of Limitations above for discussion on how the statute is determined.

(2) Loan

a. Section 4958 excise taxes can’t be assessed against the initial loan since the

initial transaction occurred in the 2010 tax year, and the statute of limitations has expired for that period.

b. However, any unpaid interest in the 2020 tax year would be within the statute

of limitations.