How Long Can the IRS Collect a Tax Debt? The 10-Year Rule Explained
Short answer: The IRS generally has 10 years to collect a tax debt, counted from the date the tax was assessed. After that deadline — called the Collection Statute Expiration Date, or CSED — the debt legally expires and the IRS has to stop collecting and write it off. But certain actions can pause and […]
IRS Notice CP2000: What to Do When the IRS Says Your Income Doesn’t Match
A CP2000 is a proposal, not an audit and not a bill, but you still have 30 days to respond. Ignore it and you get 90 days to petition Tax Court.
Haven’t Filed Taxes in Years? How to Fix Unfiled Returns Before the IRS Does
Short answer: If you have years of unfiled tax returns, the safest move is to file them — even the old ones — before the IRS files for you. When you don’t file, the IRS can create a “substitute” return that ignores your deductions and inflates what you owe. Getting back into compliance is also […]
LT11 / Letter 1058: The Final Notice Before the IRS Levies
LT11 and Letter 1058 are the same IRS notice: the last one before a levy. You get 30 days to file Form 12153, and the postmark is what counts.
How to Get IRS Penalties Removed: First-Time Abatement and Reasonable Cause
Short answer: The IRS will sometimes remove penalties — a process called penalty abatement. There are two main ways to qualify: First-Time Abatement, if you have a clean recent filing history, and reasonable cause, if something outside your control caused the problem. A big chunk of what people owe is often penalties and the interest […]
IRS Currently Not Collectible Status: What It Is and How to Qualify
Short answer: If paying the IRS would leave you unable to cover basic living expenses like rent, food, and utilities, you may qualify for Currently Not Collectible (CNC) status. When the IRS grants it, active collection stops — no levies, no wage garnishment — for as long as your hardship lasts. It isn’t forgiveness, and […]
What Is an IRS Tax Lien, and Why Can It Stop You From Selling Your Home?
A federal tax lien is a legal claim over everything you own that silently damages your credit. Learn how it differs from a levy and 4 ways to release or clear it.
Can’t Pay the IRS in Full? How an IRS Payment Plan Actually Works
Owing the IRS money you can’t pay all at once is stressful — but it is one of the most common and most solvable tax problems there is. The IRS would rather collect over time than not collect at all, and it offers formal payment plans for exactly this situation. The key is setting one […]
What Is an IRS Levy, and How Can You Stop It Before It Destroys Your Finances?
An IRS levy lets the government seize your wages, bank accounts, and property. Learn what it can take, the 21-day bank rule, and five proven ways to stop a levy.
What Happens After You Receive an IRS CP504 Notice? (Don’t Ignore This)
An IRS CP504 notice means your tax debt entered active enforcement. Learn what it means, what happens if you ignore it, and the exact steps to stop a levy.