What Taxes are Dischargeable?
The types of debt you can discharge vary depending on the chapter of bankruptcy you file. Taxes that can be discharged also vary depending on your particular situation. Not all debts are dischargeable and, when you contact Weintraub & Selth, we will identify your dischargeable and nondischargeable debt as well as your secured and unsecured debt. When you contact us for a consultation, we will explain all of your options including your dischargeable tax debt. These may include:
- Income taxes
- Returns that were due at least three years ago
- Returns filed at least two years ago
- Taxes that were assessed at least 240 days ago
If the IRS determines fraud or willful evasion, the tax debt, interest and penalties will not be dischargeable. However, our attorneys may be able to provide evidence and argue that fraud and willful evasion did not take place. Regardless of the reason, if you have been unable to pay your taxes, you may be subject to
- Harassment by debt collectors
- Repossession of your vehicles and foreclosure or your home or other property
- Tax liens against your property
- Wage garnishment
These actions may only be taken after significant tax delinquency but if you are in the midst of these kinds of challenges, Weintraub & Selth may be able to put an end to these actions.
Address Tax Debt Now
Do not wait to address tax debt. Once the IRS informs you they are coming to collect, the process can happen almost immediately. If at all possible, contact us before the situation becomes dire. As your representatives and advocates, our attorneys will identify any dischargeable tax debt that you have and help you emerge from the shadow of the IRS. If bankruptcy is the appropriate solution, an automatic stay will put an immediate end to creditor harassment including collection actions of the IRS.
Each situation is different and there is no “one-size-fits all” path to tax debt relief. You may have dischargeable tax debt or you may not. There may be other solutions. Our legal team will create a legal strategy tailor-made for you. Only after we have met with you and analyzed your circumstances can we determine the best path forward.