Bankruptcy and Discharging IRS Tax Debt

Aiken Bankruptcy Lawyer Helps With IRS Tax Debt

Get Your Tax Debt & Bankruptcy Questions Answered

Tax debt is among the most difficult debts to erase. The Internal Revenue Service (IRS) has powers that regular creditors do not. The IRS can put a lien on your home, take your tax refunds, or even money from your bank account, all without having to get a judgment against you first. Many people believe that, even if they file for bankruptcy, they will be unable to get rid of any outstanding tax debt. However, in many cases, this is actually untrue.

Tax debt can, in fact, be wiped out in bankruptcy proceedings — but you must meet some very specific rules. If you have past tax debt and are worried about the IRS, you should speak to an IRS tax debt attorney at the law offices of Andrew C. Marine in Aiken, South Carolina. Their lawyers can answer all of your questions and help you determine if bankruptcy may help solve your problems.

Can Bankruptcy Wipe Out My Tax Debt?

In order to erase past tax debt through bankruptcy, you must meet the following requirements:

  • Your tax debt must be at least three years old
  • Your tax return must have been filed two years before you file for bankruptcy
  • The IRS must have determined you owe taxes more than 240 days ago

Other factors affect whether or not your tax debts can be discharged through bankruptcy as well.

  • If your debts are a result of tax fraud or evasion, they are non-dischargeable
  • Some sales taxes or payroll taxes are non-dischargeable
  • You cannot discharge tax liens on your property

However, if you file for Chapter 13 bankruptcy, you can pay back these taxes in an affordable payment plan worked out with your creditors. This plan stops the IRS and other creditors from garnishing your wages and other forms of harassment.

We understand this process can be confusing, so it’s crucial you speak to an experienced bankruptcy lawyer as soon as possible.

Call an Aiken, South Carolina Tax Debt Law Firm Today

At the Law Offices of Andrew C. Marine, our two decades practicing bankruptcy law give us the experience you need for your financial issues. Let us help you work out a solution to your problems and get you back on the road to recovery. Call us today at (803) 810-0859.