Bankruptcy discharges income tax debts. They just need to meet some conditions, mostly based on when they were due and whether and when filed. Bankruptcy DOES Write Off Income Taxes There are certain very special debts that bankruptcy never discharges (writes off). Child and spousal support is a good example. See Sections 523(a)(5) and 101(14A) of the U.S. Bankruptcy Code. Income taxes are … Read More
Filing a Chapter 7 case stops a tax lien recording on your home, and so may stop that tax from turning into one you must pay. Our last blog post was about how filing a Chapter 7 case buys you time with debts on your home. It’s worth expanding on one of those Chapter 7 benefits, one that can … Read More
Usually you can discharge–write off–an income tax debt by just waiting long enough. Here’s how to discharge a tax debt under Chapter 7.
Bankruptcy DOES discharge–permanently write off–certain income taxes. It’s mostly just a matter of time.