Bankruptcy Blog

In a Chapter 13, IRS debt must get paid in the bankruptcy unless the Debtor has already made arrangements to pay them directly to the IRS and are current on the payments to the IRS under that arrangement. IRS debt for taxes filed after the bankruptcy must also get paid when it comes due, […]

While in Chapter 13 bankruptcy, the Internal Revenue Service (IRS) will send your refund to the office of the Chapter 13 trustee. The General Order states that any refund of $2,000.00 is to be reviewed by the Trustee’s office and they can keep any amount over the $2,000.00.
For example, if your refund from the […]

While in Chapter 13 bankruptcy case, the Internal Revenue Service (IRS) will require any debt owed to be paid in your Chapter 13 plan. This is to ensure the IRS debt will be paid in timely manner over the course of your Chapter 13 plan.
If you continue to owe every year that you remain […]

A chapter 13 is a payment plan and it is there for many reasons. One of those reason is if you owe the IRS money. IF you have a payment plan with them on your own there is interest and penalties added on each month. With the chapter 13 it will stop all interest and […]

This is the fund time of year where everyone is getting their refunds from the IRS. Other issues arise as well. I have received several calls from Debtors stating that they have not received anything about their tax returns the whole time they have been in bankruptcy. We then have to call […]

While in active Chapter 13 bankruptcy you are protected by the automatic stay therefore the Internal Revenue Service cannont levy your wages for income taxes owed. Any prior taxes years owed to the I.R.S. should be included and paid in your Chapter 13 bankruptcy plan.
If you recieve letter from the I.R.S. with intentions to levy […]