Living Paycheck to Paycheck
We demonstrate to the IRS that your income barely covers necessary expenses, making any payment impossible without sacrificing basic needs like housing, food, or medical care.
Currently Non-Collectible (CNC) Status
Temporarily halt IRS collections when you can't afford to pay. Proven financial hardship relief.
Who This Helps
- Those experiencing significant financial hardship
- Low-income taxpayers with no disposable income
- Unemployed individuals or those on fixed income
- Anyone living paycheck to paycheck
- Those with income below IRS collection standards
- Taxpayers facing temporary financial crisis
- Individuals who can't afford basic necessities
- Those for whom any payment creates undue hardship
Need help with Currently Non-Collectible status? We can help.
Currently Non-Collectible (CNC) status provides immediate relief from IRS collection activities when financial hardship makes payment impossible without sacrificing basic living necessities. At Resolve Federal Tax Group, we specialize in securing CNC status for taxpayers experiencing genuine financial distress, halting levies, stopping wage garnishments and other collection actions while you focus on meeting essential expenses. When the IRS places your account in Currently Non-Collectible status, they acknowledge that aggressive collection would create undue hardship and they suspend enforcement activities until your financial situation improves. This doesn't eliminate your tax debt, but it provides critical breathing room to stabilize your finances without the constant pressure of IRS collections. Our experienced professionals understand exactly how to document financial hardship according to IRS standards, comparing your income against allowable living expense guidelines and presenting compelling evidence that collection would prevent you from meeting basic needs for housing, food, transportation, and medical care. We prepare detailed financial statements, gather supporting documentation and negotiate with IRS revenue officers to secure CNC designation quickly and effectively. CNC status works particularly well for unemployed individuals, those on fixed incomes, taxpayers with medical emergencies and others facing temporary financial crisis who need immediate relief but may have better resolution options available once circumstances improve. While in CNC status, the statute of limitations continues running on your tax debt, meaning time works in your favor as the ten-year collection period moves closer to expiration. The IRS periodically reviews CNC accounts to determine if your financial situation has improved and we help you maintain status through these reviews or transition to other resolution options when appropriate. Don't let the IRS collections destroy your ability to meet basic needs when you're already struggling financially. Contact Resolve Federal Tax Group for a free consultation and discover how Currently Non-Collectible status can provide immediate relief and protection during your time of financial hardship.
How We Help
1
Financial Hardship Analysis
We thoroughly document your income, expenses and assets using IRS Collection Financial Standards to prove you cannot pay without creating hardship.
2
Detailed Documentation Preparation
Our team gathers bank statements, pay stubs, expense receipts and prepares Forms 433-A, 433-B or 433-F with comprehensive evidence of your inability to pay.
3
CNC Status Application & Negotiation
We submit your hardship request to the IRS, advocate for your situation and negotiate to secure Currently Non-Collectible status determination.
4
Protection & Future Planning
Once granted CNC status, we can monitor your account if needed, ensure the IRS doesn't violate the status and plan for when your financial situation improves.
Common Problems & Solutions
Can't Afford Basic Living Expenses
Document that payment would prevent you from affording IRS-allowed necessary expenses, qualifying you for hardship status that stops all collection activity.
IRS Levy or Wage Garnishment Threats
CNC status immediately stops levy and wage garnishment actions, providing relief from aggressive collections while you recover financially.
Collection Notices Causing Stress
Obtaining CNC status stops threatening notices and phone calls, giving you peace of mind while you focus on improving your financial situation.
Unemployed or Fixed Income
If you're unemployed, disabled, or on fixed income below IRS standards, we prove you qualify for hardship relief until your circumstances improve.
Temporary Financial Crisis
Medical emergency, job loss, or other crisis can qualify you for CNC status even if temporary, buying time until you can afford payment arrangements.
Frequently Asked Questions
CNC status remains in effect until your financial situation improves or the statute of limitations expires (typically 10 years from assessment). The IRS reviews your status periodically, usually every 1-2 years, to see if you can afford to pay.
No, the debt doesn't disappear, but the 10-year collection statute of limitations continues to run. If you remain in CNC status up to when the statute of limitations expires, the debt becomes uncollectible. Interest and penalties continue to accrue until the debt is completely paid or the statute of limitations has expired.
Yes, the IRS may file a Notice of Federal Tax Lien even with CNC status to protect their interest in current or future assets, but they won't actively pursue collection through levies or wage garnishments while your hardship status remains.
You're required to report significant financial improvements to the IRS. The IRS will likely review your status when you file future returns showing increased income. At that point, we can negotiate payment plans or other arrangements based on your improved but still manageable situation.
We prepare detailed Collection Information Statements (Form 433-A, 433-B or 433-F) showing your income doesn't exceed necessary living expenses based on IRS standards. This includes documentation like pay stubs, bank statements, rent receipts and medical bills.
It depends. CNC provides immediate relief but the debt remains. An OIC permanently resolves debt but requires payment and stricter qualification. If you don't qualify for OIC or can't afford the lump sum, CNC is an excellent temporary solution.
Ready to Get Started?
Contact us today for a free consultation. Let us help you resolve your tax problems.
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