Currently Not Collectible means the IRS has determined you cannot afford to pay anything and shelves your account. No levy. No garnishment. No payments. They leave you alone.
The critical detail: the 10-year collection statute keeps running while you are in CNC. If it expires, the debt disappears. This makes CNC one of the most powerful tools in tax resolution, especially when the CSED is within a few years.
CNC vs. OIC
If your statute expires within 24 to 36 months, CNC is almost always better than an OIC. An OIC tolls the statute. CNC does not. You run out the clock while the IRS stands down. We evaluate which option fits your situation.