Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
Hello, and thank you for using Just Answer. My name isXXXXX am a bankruptcy law professional, and I look forward to answering your questions this afternoon.
While as a general matter, tax debt cannot be wiped out in bankruptcy, there are limited circumstances in which back federal tax debt can be discharged. If every one of the following applies, the court may discharge back taxes owed:
ok....and what are the conditions
give me a moment while I type them all out....
If each of these apply, then you may be able to to discharge income tax debt.
You of course also have to be otherwise eligible for chapter 7 (meaning you either make less than the median income based on your household size, or you pass a somewhat complicated means test).
I am aware of the means test and I should be able to pass that without an issue....thanks for your input. the rest is now for me to figure which way I want to go. I do have some bad debt I would like to get rid of. Thanks so much for your help.