Frequently Asked Questions - Bankruptcy

CAN I DO AN OFFER IN COMPROMISE THROUGH BANKRUPTCY?

NO! -- See Bankruptcy

CAN THE IRS PURSUE UNPAID TAXES AFTER BANKRUPTCY?

Yes, collection will only stop on taxes included in the bankruptcy. -- See Bankruptcy

DOES BANKRUPTCY DISCHARGE MY IRS DEBT?

Yes, when properly included in the bankruptcy. -- See Bankruptcy

WILL BANKRUPTCY SAVE THE TRUST FUND OR CIVIL PENALTIES ON MY UNPAID PAYROLL TAXES?

NO! -- See Bankruptcy

ARE MY TAXES ELIGIBLE FOR A DISCHARGE IN BANKRUPTCY?

They must meet the following 3 rules:

a) Liability must be over 3 years past the due date including extensions of the returns.

b) The tax returns (not SFR's) must have been filed at least 2 years before the petition date.

c) 240 days must pass from the date of assessment.

But there are exceptions to whether your taxes are dischargeable... -- See Bankruptcy

HOW ARE DELINQUENT TAXES TREATED?

It varies. please -- See Bankruptcy

CAN BANKRUPTCY ERASE IRS DEBT?

Yes in some cases -- See Bankruptcy

Is The IRS Affected By Bankruptcy Filing?

Yes, your collection case will be transferred to the legal division.

I Need Bankruptcy Advice On Taxes.

I include some advice on this site on the bankruptcy page.

Can I Get A Tax Refund If I Declared Bankruptcy?

It Depends on the type filed. It may get taken by the court to pay off creditors. -- See Bankruptcy

Can You File Bankruptcy Against The IRS?

Yes, your personal 1040 income tax liability may be eliminated. -- See Bankruptcy