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TAXES AND BANKRUPTCY

Like student loans, taxes are generally non-dischargeable. While not all taxes are eligible for discharge, it can be possible if the following five rules are met:


• The tax return filing due date is three years or older. The debt that you are asking to have discharged must have been for a tax return due three years back or longer before you file for bankruptcy. • The tax return’s actual filing date is two years or older. The debt must be from a tax return that you actually filed at least two years before you file for bankruptcy.


• The tax assessment is 240 days old or older. The tax must have been assessed by the IRS 240 days or more before filing for bankruptcy. This assessment can be a self-reported balance due, the final determination by the IRS of an audit or a finalized IRS proposed assessment.


• The tax return was not filed fraudulently. The tax return you filed does not qualify if it was frivolous or fraudulent in any way.


• You are not guilty of tax evasion. You cannot be guilty of intentionally evading any tax laws. If the tax debt that you are seeking to have discharged is from a tax return that you never filed, then it cannot be discharged. If your student loans or tax debt are putting a strain on your finances and you fit the above criteria, you may eligible to have them discharged. To find this out for sure, you should Call Hughes Law Group Now.