Taxes in Bankruptcy

It’s tax season. Accountants are swamped, and taxpayers are stressed. It’s important to remember that unpaid income taxes can be discharged in a Chapter 7 bankruptcy if three years has elapsed since the date the tax return in question was due without being late. Trust fund taxes, such as payroll taxes and sales taxes, are never dischargeable, but they can be paid off in a Chapter 13 case if the amounts are not excessive.  For more details, call for a free consultation.