bankruptcy and taxes

[ksjane]

What is the name of your state? KS

Question 1:
If you file bankruptcy and then stop making payments--can you file bankruptcy again?

Question 2:
If you owe the IRS--can you include that in your bankruptcy?

Thanks in advance.
KS

 

[Ladynred]

Question 1:
If you file bankruptcy and then stop making payments--can you file bankruptcy again?

Paying what ?? The only time you make payments is in a Chapter 13. If you fail to make payments your case will be dismissed. You can file again, but there may be some time restraints as to WHEN you can file again.

Question 2:
If you owe the IRS--can you include that in your bankruptcy?

That depends. If the returns were FILED and the taxes due are more than 3 years old, then they probably will be discharged. If you filed NO returns, it doesn't matter how old they are, the taxes will NOT be discharged.

 

[ksjane]

Someone filed bankruptcy 2 years ago and has been making payments??? and recently quit, I am assuming they revoked??? bankruptcy? This same person filed tax return last year and fraudulently claimed an EIC and now has to pay the IRS back. Person is trying to file for bankruptcy again, and include the payment to IRS in bankruptcy. I was under the impression you couldnt file bk more than once within the 7 year period and also thought irs was same as child support, student loans. I thought you couldn't include these things in bk.
Thanks.

 

[Ladynred]

Someone filed bankruptcy 2 years ago and has been making payments??? and recently quit, I am assuming they revoked???

Sounds like a Chapter 13 and if he/she quit making payments the case was dismissed - not revoked (that is something else).

This same person filed tax return last year and fraudulently claimed an EIC and now has to pay the IRS back. Person is trying to file for bankruptcy again, and include the payment to IRS in bankruptcy.

First of all, this person, if allowed to file again, may not have the protection of the automatic stay or it may only last 30 days. Second, since the IRS debt is repaying the gov't for funds he/she claimed fraudulently, its quite possible that debt will NOT be discharged, although it may be included in another chapter 13 plan.

I was under the impression you couldnt file bk more than once within the 7 year period

Under the old law it was SIX years between filings for a Ch 7, under the new it is 8 years. Under the old law a person could get away with serial filings of a Ch 13, assuming that case never reaches discharge. Under the new law, the provisions to stop the abuse of serial filings have been put into place. Under the new law, a new 4 year waiting period was added between Ch 13 cases that are completed and discharged.

and also thought irs was same as child support, student loans. I thought you couldn't include these things in bk.

Nope, taxes can be included. Doesn't mean the IRS debts will be DISCHARGED though.