Q: Can overdue taxes be included in bankruptcy?
A: yes. certain taxes that are generally more than 3 years old, if personal income taxes, can be discharged in ch 7. Unfortunately, the calculation of time varies under the particular circumstances of a case. It matters when the tax returns were filed and again, what type of taxes are due. Taxes can also be paid back without further penalties being added on through Chapter 13. The timing of the due date of taxes is important in ch 13 because dischargeable taxes can be paid as a general unsecured ("non-priority") claim in the plan. This means other debts such as more recent taxes, car loans, mortgage arrears, etc can be paid instead of, or ahead of those taxes depending on the plan.
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.