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Currently Not Collectible

What does Currently Not Collectible (CNC) mean?

If you are unable to pay your state debt, Treasury may consider your account currently not collectible. Being in a CNC status does not mean the debt goes away. Rather, Treasury has determined that you cannot afford to pay at this time and has approved a temporary collection postponement until your financial condition improves.

If you feel you cannot pay:

  • You must call the Collections Services Bureau at (517) 636-5265 to discuss your situation.
  • Complete the Collection Information Statement that Treasury sends to you.
  • Return the required paperwork with proof of your monthly income, monthly expenses, assets, and other debts.

How to qualify for CNC status:

Generally, you qualify for CNC status when you experience hardship affording reasonable living expenses while paying toward your state debt. If approved for CNC status, your financial situation will be periodically reviewed by Treasury. Ensure your contact information remains up to date with the Collections Services Bureau.

What to expect while in CNC status:

  • Penalties and interest will accrue until the balance is paid in full.
  • Your Michigan tax refund will be redirected to your collections account and applied to the balance.
  • A tax lien may be placed to protect the state’s interest in resolving the debt.
  • You can still make voluntary payments.