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Phillips Esq.
Phillips Esq., Attorney-at-Law
Category: Bankruptcy Law
Satisfied Customers: 17518
Experience:  B.A.; M.B.A.; J.D.
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Are tax returns always required when filing Chapter 7?

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Are tax returns always required when filing Chapter 7?
Hello: This is PhillipsEsq. I am a licensed Attorney and I will be assisting you today.

Could you explain a little more?
Customer: replied 3 years ago.


Someone close to me just got hit with a large judgment and she will be filing CHapter 7. She meets the means test, has no assets, no property, nothing. Judgment was from vacating a commercial building and closing her business.


 


She has not filed tax returns (2010,2011,2012) and I have been trying to get her to do it... she was under the impression she could not file BK until 10'/11' were at least completed. Is that accurate?


 


She made less than $10k both years (if that). She did have a business, but all of those assets were sold off (.10c on the dollar from what she paid).

Thank you for the information:


Someone close to me just got hit with a large judgment and she will be filing CHapter 7. She meets the means test, has no assets, no property, nothing. Judgment was from vacating a commercial building and closing her business.

She has not filed tax returns (2010,2011,2012) and I have been trying to get her to do it... she was under the impression she could not file BK until 10'/11' were at least completed. Is that accurate?


Response: No it is not accurate. Her most recent tax return is required. So, she must also file her 2012 tax return. That is the one that must be submitted to the Chapter 7 Trustee. See 11 U.S.C. Section 521(e)(2).


She made less than $10k both years (if that). She did have a business, but all of those assets were sold off (.10c on the dollar from what she paid).


Response 2: She must file her outstanding tax returns before filing for bankruptcy protection. She would need this information in order to complete her bankruptcy Schedules and Statement of Financial Affairs, which are all documents that must be submitted as part of the bankruptcy case.


Click here for blank Statement of Financial Affairs

Phillips Esq. and other Bankruptcy Law Specialists are ready to help you
Customer: replied 3 years ago.


Got it. Thank you!

You are quite Welcome and thank you very much for the positive rating!


Have a wonderful day

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