Legal Question in Bankruptcy in California
Dischargable Back taxes
We're going to file Ch. 7 on Jan.2, 2002. WE have back taxes owing from 1998. They were filed April 15, 1999. Our potential attorney has indicated that these taxes will be discharged. Is he right?
2 Answers from Attorneys
Re: Dischargable Back taxes
First of all, the only way to accurately determine tax dischargeability is to start by getting an official transcript from the taxing agency. Since I do not have that in my possession, I disclaim any response I give here. If you are talking about 1040 income taxes, for which the returns were filed on April 15, 1999, the earliest they would be dischargeable is in a case filed after April 15, 2002. I suggest you visit my webpage at http://www.bklaw.com and go to the Chapter 7 link for more information on tax discharging.
Re: Dischargable Back taxes
Thanks for your posting. In general, the statute of limitations is three years from the due date for filing, or April 15, 2002, as suggested by counsel. However, it partially depends, for purposes of bankruptcy, on whether or not there was a "tax transcript" done, as Mr. Markus indicated. For that reason, it is difficult to say for sure, but I would say that if your attorney was speaking in general, then no, you cannot get rid of taxes prior to the three year statute.
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