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tax deficiency and bankruptcy

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wayne-o

Member
What is the name of your state? TN
I settled a credit card in 2003 for about half the amount due. The bank forgave about $4000.00 I filed my taxes in early 2004 and about a week after filing I received a 1099 from the credit card company. I did not do anything about it as I really did not know what it meant. Well I just received a notice of delinquency in the mail from the IRS stating that I owe roughly $1000 more for 2003 taxes.

One of the forms they sent was an installment agreement, which I know that I cannot enter into. I cannot pay the amount outright as the chapter 13 trustee gets all of my excess income.

The installment agreement states do not sign if you are in bankruptcy, but to call a 1-800 number with the IRS. Obviously, I will call the number, but I was wondering if any of the "advice pros" could give me any idea of what to expect.
 


bigun

Senior Member
Contact your lawyer and see about modifying the Chapter 13 plan to reflect the tax obligation.
 

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