IRS Tax Resolution Glossary
Understand the key terms and concepts used in IRS tax resolution. From OIC to CSED, we break down the jargon so you can make informed decisions.
Collection Due Process (CDP)
A formal hearing right that allows taxpayers to dispute IRS collection actions before an Appeals officer.
Collection Statute Expiration Date (CSED)
The date after which the IRS can no longer legally collect a tax debt, typically 10 years from assessment.
Currently Not Collectible (CNC)
An IRS status granted when a taxpayer cannot afford to pay their tax debt without causing financial hardship.
First-Time Penalty Abatement (FTA)
An IRS administrative waiver that removes failure-to-file or failure-to-pay penalties for first-time offenders.
Form 433-A/433-B
IRS financial disclosure forms used to evaluate your ability to pay tax debts.
Form 656
The official IRS application form for submitting an Offer in Compromise.
Installment Agreement
A payment plan that allows you to pay your tax debt over time in monthly installments.
IRS Notice
Official correspondence from the IRS regarding your tax account, such as balance due, adjustments, or collection actions.
Tax Levy
The legal seizure of property or assets to satisfy an unpaid tax debt.
Tax Lien
A legal claim the IRS places on your property as security for unpaid tax debt.
Taxpayer Advocate Service (TAS)
An independent IRS organization that helps taxpayers resolve problems with the IRS.
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