Thursday, April 4, 2013

Tax Trouble? Consider Currently Non Collectible!

Are you currently unemployed? Do you have tax trouble due to Income Tax? Did your business shut down because of the taxing authorities or other creditors? Are you left with nothing but a large trust fund tax bill?  If so, consider currently non-collectible.

Currently Non Collectible is a great option for individuals out of work, or working as a wage earner, self employed, or individuals on disability.  The IRS will require a financial review to consider currently non collectible.  The individual must fall under the national standard guidelines as far as expenses are concerned, must have limited equity in assets, and if one does have equity in a home or retirement account prove they cannot access the equity. If you are in tax trouble the IRS will recognize  the necessity for you to get back on your feet, start working again, and revisit your financial statement in 1 to 2 years.  It is a great option for individuals seeking relief, seeking a different resolution such as an offer in compromise but may not be ready to file yet, or those in the middle who's financial position may change for the better or worse down the road. 

At Highland Tax Group, Inc. we specialize in helping individuals and businesses in tax trouble.  We look for the best possible route to fully resolve the case.  However, sometimes CNC or Currently Non Collectible is the best way to go in order to put a "band-aid" on the situation until the taxpayer is ready to resolve their issues at a later date. As always, if you are in tax trouble feel free to call us at 720-398-6088 or check out our website for further details at