Bankruptcy – It 'true that you can not discharge taxes in bankruptcy?
Bankruptcy It 'true that you can not discharge taxes in bankruptcy
?
Bankruptcy is a legal procedure that can eliminate the tax liability. This is not to say that will solve all their problems, the IRS and you should also consider the impact of this on you and your family before presentation. Although this process is probably as a last resort to resolve their IRS problems, we can certainly possible.
There are two basic types of bankruptcy: Chapter 7 (bankruptcy law) and Chapter 11, 12 or 13(Payment Plans). Chapter 7 bankruptcy allows you to pay their debts. Chapter 11, 12 or 13 bankruptcy, you can schedule a payment so that you can pay some debts and eliminate the rest. And what about tax?
There are five criteria to be respected for tax debts to be discharged. These criteria are:
date for the tax return is at least 3 years before the application for insolvency proceedings
The declaration was made at least 2Years before bankruptcy
Analysis of tax of at least 240 days before bankruptcy
a statement was not fraudulent
The taxpayer was not guilty of tax evasion
It 'also important to note that all tax liabilities must be met to be considered. Taxes from tax in the book, of course, can not be exceeded.
One aspect of this failure is that after sending a duration of 4 years of taxes must beReturn to his case before the meeting of creditors provided. You need a copy of his last statement before the bankruptcy court and to present their creditors have the right to request a copy of it.
You should also know that you have filed for bankruptcy and his family for some time. Stay on your credit report for 10 years. This may be your ability to borrow money to avoid the creation of new lines of credit, rent an apartment or even change jobscases.