Gilbert Arizona IRS Settlement Success Story: How Scott Allen EA Helped Donald Resolve Over $100,000 in IRS Debt

Tax problems can quickly snowball into overwhelming financial burdens, especially when back tax returns are left unfiled and IRS notices start to pile up. For many individuals facing significant tax liabilities, it can feel like there is no way out. That was exactly the situation Donald found himself in—until he turned to Scott Allen, EA of Tax Debt Advisors, Inc. in Mesa, Arizona.

With decades of experience helping Arizona taxpayers resolve IRS problems, Scott Allen EA was able to provide Donald with the guidance, representation, and expertise he desperately needed. This is a true story about how Scott Allen EA successfully represented Donald, filed multiple years of back tax returns, and negotiated a “Currently Not Collectible” (CNC) status on over $102,000 in IRS debt—an impressive Gilbert Arizona IRS settlement outcome.

Years of Unfiled Tax Returns and Mounting IRS Debt

Donald, a resident of Gilbert, Arizona, had not filed his federal income tax returns for several years, specifically from 2012 through 2017. Life had thrown him some curveballs, and before he knew it, one unfiled tax return had turned into several. With penalties and interest accruing year after year, the IRS eventually assessed over $102,824.73 in back taxes, penalties, and interest.

He began receiving increasingly urgent IRS letters and notices, including potential collection actions. Feeling the pressure and not knowing where to start, Donald reached out to Tax Debt Advisors, Inc., a family-owned and locally operated business serving Arizona taxpayers since 1977.

A Local Solution: Why Donald Chose Tax Debt Advisors, Inc.

When dealing with something as serious as IRS debt, choosing the right representation is critical. Donald did his homework and ultimately decided to work with Scott Allen EA, an Enrolled Agent licensed to represent taxpayers before the IRS. Scott Allen is the owner and operator of Tax Debt Advisors, Inc., located in Mesa, Arizona.

What made Scott stand out to Donald was his local presence, hands-on approach, and personalized service. Unlike out-of-state firms and national call centers, Scott Allen meets with his clients face-to-face, walks them through every step of the process, and remains their direct point of contact throughout.

This level of service is why so many individuals in need of a Gilbert Arizona IRS settlement turn to Scott Allen EA for help.

The Resolution Process: Step-by-Step

Helping Donald resolve his IRS debt was not a one-step process. It required multiple coordinated actions, professional expertise, and in-depth knowledge of IRS procedures.

1. Filing All Back Tax Returns

The first step was to bring Donald into full compliance with the IRS. Before any negotiation or settlement could be considered, Scott Allen EA had to review and/or file Donald’s back tax returns for the following years:

2012
2013
2014
2015
2016
2017

This was no small task. Each year that needed filing required gathering income documents, determining any credits or deductions, and reconstructing financial records where necessary. Scott Allen and his team guided Donald through this process efficiently, ensuring accuracy and completeness for each year filed.

2. Reviewing the Total Liability

After all the tax returns were submitted and processed, the IRS finalized the total amount Donald owed: $102,824.73. This amount included accrued interest and penalties up to June 2025. With the total balance established, Scott could now determine the best resolution strategy.

3. Financial Analysis and Representation

Scott Allen EA conducted a thorough financial analysis of Donald’s current situation. This included his income, necessary living expenses, assets, and liabilities. Based on this evaluation, it became clear that Donald was not in a position to make monthly payments on this debt.

With this documentation, Scott submitted a proposal to the IRS requesting that Donald be placed into a Currently Not Collectible (CNC) status.

What Is Currently Not Collectible (CNC) Status?

Currently Not Collectible is an IRS program that protects taxpayers who are unable to pay their IRS debt due to financial hardship. When someone is placed in CNC status, the IRS:

Ceases all collection activities
Stops wage garnishments or bank levies
Does not require monthly installment payments

The debt is not erased, but it is essentially put on pause. The IRS acknowledges that trying to collect from the taxpayer would create undue financial hardship.

In Donald’s case, Scott Allen EA successfully demonstrated that his client was financially unable to pay anything towards the $102,000+ balance. As a result, the IRS granted CNC status as of June 2, 2025.

This was confirmed in the official IRS letter dated June 11, 2025, which stated:

“Case Closed – Currently Not Collectible”

This is one of the most favorable outcomes a taxpayer can receive when facing an overwhelming IRS debt.

What Happens Next?

Although Donald’s debt is still technically owed, he no longer faces aggressive IRS collection efforts. He will receive an annual reminder notice from the IRS, but he won’t have to make any payments unless his financial situation improves.

Additionally, Scott Allen EA advised Donald on how to:

Stay compliant by filing future tax returns on time
Avoid triggering future audits or penalties
Monitor changes to his income that might affect his CNC status

If Donald’s financial condition remains the same, the 10-year IRS statute of limitations may eventually expire, meaning the IRS could permanently forgive the debt.

The Importance of Local Representation

One of the key takeaways from Donald’s story is the importance of working with a local IRS tax resolution expert. In an era where national firms and TV ads promise miracle tax solutions, many people get burned by high fees, impersonal service, and empty promises.

Scott Allen EA offers a different approach. As a local Enrolled Agent operating from Mesa, Arizona, he has built a strong reputation for personalized service and honest tax resolution strategies. His office has helped thousands of Arizona taxpayers just like Donald find relief through solutions like:

Currently Not Collectible status
Offer in Compromise
Installment Agreements
Penalty Abatement
Audit Representation

For those searching for an IRS settlement in Gilbert Arizona , there is no better choice than Tax Debt Advisors, Inc. and Scott Allen EA.

Donald’s story is more than just a case study—it’s a message of hope for anyone in Arizona facing IRS tax problems. With the right help, even six years of unfiled tax returns and over $100,000 in debt can be resolved into a non-collectible status with no monthly payments.

Gilbert Arizona IRS Settlement

If you or someone you know is overwhelmed by IRS debt, consider the local expertise of Scott Allen EA. Located in Mesa and serving all of the East Valley—including Gilbert, Chandler, Queen Creek, and Tempe—Scott offers the hands-on help that national firms simply can’t match.

To schedule a free consultation, call Tax Debt Advisors, Inc. today at (480) 926-9300 or visit www.taxdebtadvisors.com.