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Many types of taxes cannot be discharged in bankruptcy, ... For example, federal or state income taxes with a return due at least three years prior to filing may be eligible under Chapter 7. This ...
The court may ask to see several years’ worth of filed tax returns. Federal taxes are unlikely to be discharged with a bankruptcy, so speak with your attorney if you owe money on taxes within ...
Chapter 7 is a liquidation bankruptcy, where one's nonexempt property and assets — possessions not protected by bankruptcy — are turned over to a trustee, and debt is discharged in 3 to 6 months.
The reduction in tax attributes is made after the determination of the tax imposed for the taxable year of the discharge. [35] When reducing NOL or capital loss carryovers, the reduction in tax attributes must be in the order of the taxable years that each carryover was created in. [36]
In the United States, with respect to taxes incurred by the bankruptcy estate (as opposed to the debtor) during case administration, a specialized discharge for the trustee, the debtor, any successor to the debtor, and (for cases commenced on or after October 17, 2005) the bankruptcy estate is provided in 11 U.S.C. § 505(b).
Here are some common reasons you might file for Chapter 13 after filing for Chapter 7. Back taxes: If you discharge all your debts but still have back taxes that weren’t dischargeable, chapter ...
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