Legal Question in Bankruptcy in California

file for bankrupsy

will bankrupsy take care of fed income tax debt


Asked on 4/19/07, 1:01 pm

2 Answers from Attorneys

Mark Markus Law Office of Mark J. Markus

Re: file for bankrupsy

It depends on when the tax returns were last due to be filed, when they were actually filed, whether you've had any offers in compromise or prior bankruptcies, and a number of other factors. At minimum, for a case to be filed now, the taxes would have to be for tax years prior to 2004.

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Answered on 4/19/07, 1:07 pm
Robert F. Cohen Law Office of Robert F. Cohen

Re: file for bankrupsy

Tax debt is a complicated issue. Here's a simplified checklist: If the income tax debt meets all five of these rules, then the tax debt is dischargeable in Chapter 7 and Chapter 13 bankruptcy petitions.

1. The due date for filing a tax return is at least three years ago.

2. The tax return was filed at least two years ago.

3. The tax assessment is at least 240 days old.

4. The tax return was not fraudulent.

5. The taxpayer is not guilty of tax evasion.

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Answered on 4/19/07, 1:09 pm


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