Five Rules to Discharge Tax Debts

[jhonebyde]

If the income tax debt meets all five of these rules, then the tax debt is dischargeable in Chapter 7 and Chapter 13 bankruptcy petitions.

1. The due date for filing a tax return is at least three years ago.
2. The tax return was filed at least two years ago.
3. The tax assessment is at least 240 days old.
4. The tax return was not fraudulent.
5. The taxpayer is not guilty of tax evasion.

[loanmod]

Great information.I will always keep these rules in mind.

[Wystan]

Thanks for the useful information. You made it easy to understand how tax debt is dis-chargeable in Chapter 7 and Chapter 13 bankruptcy petitions.