Discharging Taxes and Penalties in Bankruptcy: How Delinquent Tax Returns Can Affect Your Eligibility
Tuesday, July 7th, 2009When taxpayers file for bankruptcy, some taxes and penalties may be discharged–giving people a chance of obtaining tax relief. When someone files for bankruptcy, the “automatic stay” stops taxing authorities from collection actions including seizures and wage garnishments. The extent of the tax relief from bankruptcy may depend on a few factors including: the kind of tax involved, the age of the tax, whether a return was filed, and the
