How much of my IRS debt can be considered discharable?
When filing bankruptcy the Internal Revenue Service (IRS) will be notified of the filing and file a proof of claim in your case as to how much their records reflect you owe. Income taxes owed & assessed 3 years prior to filing of your bankruptcy case will be considered dischargeable. Assessed means that if you filed the tax return so if you late filed prior year tax returns they may not be considered dischargable unless they meet the 3 year prior to filing bankruptcy requirement.
If the IRS files a proof of claim for unassessed tax years then you will be required to file the tax return or the IRS will file a motion to dismiss your case. After all unasssessed tax returns are filed then the IRS will file an amended proof of claims to reflect the correct amount owed with penalty and interest accred prior to the filing of your bankruptcy case.
The IRS proof of claims may also include any unpaid business taxes not filed on this claim as well. If you were self employed and did not have any employees then an affidavit can be filed and submitted to the IRS and those unassessed business taxes will be removed from proof of claim.
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