Legal Question in Bankruptcy in Illinois

Re: Bankruptcy and the IRS

No.

Re: Bankruptcy and the IRS

In a Chapter 7, it is irrelevant whether you are current with filing your taxes as the debt is not dischargable in a chapter 7. However, you are supposed to supply the trustee with the last two years of tax returns. As a result, you need to have filed your taxes.

In a chapter 13 not only do you have to provide the trustee with your tax returns for the last 4 years (and in the northern district they prefer transcripts to prove they were actually filed), you have to pay off all tax debt before the end of the plan (through the plan) to get your discharge.