Legal Question in Bankruptcy in Georgia

Re: Leins removed

Secured tax liens cannot be discharged in Chapter 7. Generally, liens that have attached to specific property will survive a bankruptcy. What does that mean? It means that the lien will stay against your property regardless of your discharge of the underlying debt. So, when you ultimately sell that property, if there is extra money available, the lien will be paid first from those proceeds.

You can discharge debts for federal income taxes in Chapter 7 bankruptcy ONLY if all of these five conditions are met:

(1)The IRS has not recorded a tax lien against your property. (If all other conditions are met, the taxes may be discharged, but even after your bankruptcy, the lien remains against all property you own, effectively giving the IRS a way to collect.)

(2)You didn't file a fraudulent return or try to evade paying taxes.

(3)The liability is for a tax return (not a Substitute or Return) actually filed at least two years before you file for bankruptcy.

(4)The tax return was due at least three years ago.

(5)The taxes were assessed (you received a notice of assessment of federal taxes from the IRS) at least 240 days (eight months) before you file for bankruptcy. (11 U.S.C. �� 523(a)(1) and (7).)