Q: I have a tax lien filed against me. I have no real property to attach. I owe another $39k I bills including g my car.
Our income is $4300 per month. Our expenses..credit cards, rent etc, car and life insurance is over $5k. Then everyday expensle, like food, gas, utilities. Would bankruptcy help me?
To.
A:
If you have filed tax returns in prior years, for those unpaid income taxes, then yes, a bankruptcy can help you. Unpaid income taxes, for returns filed more than two years and four months prior to the date of bankruptcy, are dischargeable, along with the interest and penalties accruing.
You need to meet the eligibility requirements for a Ch. 7 filing, and it appears that you do (assuming that $4,300/mo is below the median income for your area).
I represented a guy, who did sports shows on tv, who always filed tax returns, but hadn't paid income taxes for over ten years prior to our filing a bankruptcy for him. His debt to the IRS alone was over $1.5 million, so he was only eligible to file a Ch. 11. Inidividuals are not well-suited for the Ch. 11 process, and after about a year, the judge converted our case to a Ch. 7. Client was delighted, as that meant that 90% of his tax liability was discharged.
1 user found this answer helpful
A: Certainly possible, yes. Contact a competent bankruptcy attorney to review your financial situation immediately.
1 user found this answer helpful
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.
