Who it’s for
People who can’t pay anything toward their tax debt after paying basic living expenses. The IRS decides based on your income, expenses and assets, measured against its Collection Financial Standards.
What the IRS will ask for
- A financial statement: Form 433-F or Form 433-A for individuals.
- Proof of income, monthly living expenses, bank balances, and property or other assets.
What happens while you’re in CNC status
- Most collection stops, including levies on wages and bank accounts.
- You still owe the full amount, and penalties and interest keep accruing.
- Refunds are kept and applied to your balance.
- The IRS may file a Notice of Federal Tax Lien to protect its claim.
- The IRS may review your finances later and resume collection.
- Filing still matters. You need to keep filing returns on time.
How to request it
Call the number on your bill or notice, or 800-829-1040. Be ready to document your finances. A representative with your power of attorney can request it for you.
CNC vs. other options
| If you… | Consider |
|---|---|
| Can afford some monthly payment | An installment agreement |
| Can’t afford anything right now | Currently Not Collectible |
| Will likely never be able to pay the full amount | Whether an Offer in Compromise fits |