On this page
What CNC Means
The IRS stops all active collection. No levies, no garnishments, no seizures. The debt stays on the books and interest accrues, but nobody calls you, nobody takes your money, and nobody shows up at your door. The ten-year collection statute keeps running, which means the debt can expire without you paying a dime.
How to Get It
Prove that your monthly income minus allowable expenses leaves zero or negative disposable income. The IRS uses national and local expense standards. If you cannot cover basic needs and pay taxes, CNC is appropriate. You will need to provide full financial disclosure: income, expenses, bank statements, pay stubs.
The Strategic Play
For taxpayers with older debts and no ability to pay, CNC lets the CSED clock run out. A $100,000 debt with three years left on the statute may cost nothing more if you stay in CNC status for those three years.
CNC is not surrender. It is the IRS acknowledging that you cannot pay right now. And in many cases, right now becomes forever.
This guide is general information about federal tax law, not legal advice for your situation. Reading it does not create an attorney-client relationship.