Stopping Collection Attempts From the IRS Through Bankruptcy It seems like everyone has an opinion about Chapter 7 bankruptcy - and they're all too willing to share it with you. From gut-wrenching assertions that you'll lose your house to fear-inducing statements about the black mark it will leave on your credit score forever, there's no [...]
Bankruptcy Can Help Resolve Your Tax Problems When it comes to tax debt , most of us believe that the only way to get the IRS off our backs is to grit our teeth and pony up the penalties. However, while common wisdom may indicate that the only certainty in life is death and taxes, [...]
Stopping Wage Garnishments Stopping a garnishment enforced by the Internal Revenue Service (IRS) can be done by utilizing several options. The main objective is to settle what you owe in taxes by working with the IRS or a tax expert to determine the best solution for your situation. You can either pay what you owe [...]
When a debtor files Chapter 13 bankruptcy the automatic stay protection is extended to cover co-debtors of consumer debts. Consumer debts include those "incurred by an individual primarily for a personal, family, or household purpose" such as credit card debts , car loans, mortgages, payday loans etc. However, the bankruptcy code does not define tax debt as [...]
Wage Assignments and Bankruptcy Increasing collections costs is prompting some creditors to turn to voluntary wage assignments. A wage assignment is basically an agreement that allows the creditor to deduct from a debtor's wages any amount owed to them. This is most often used by payday loan lenders. Borrowers sign a bunch of paperwork, which [...]
Debt Forgiveness and Bankruptcy Debts forgiven in bankruptcy are never taxable. However, some debts forgiven outside of bankruptcy may create a tax liability for the debtor. Let's take a look at few tax issues debtors may face after settling debts outside of bankruptcy: Debt Settlement On Credit Cards As we have mentioned previously, many debtors [...]
Yes, tax season is over, but the battle of tax refund anticipation loans is still ongoing. The Federal Deposit Insurance Corp. (FDIC) is going after Republic Bank & Trust Co., the last bank standing who issues tax refund anticipation loans. The FDIC claims that the bank is mismanaging its refund anticipation loan program and that [...]
Considering Bankruptcy and Haven't Filed Taxes? Properly filing your taxes is an important part of making sure that your bankruptcy case goes smoothly. Failure to file taxes can end in the dismissal of your bankruptcy case, not to mention a waste of your time, money and energy. Here's what you need to know: If you [...]
In a recent Chapter 13 bankruptcy case, the bankruptcy court was faced with the issue of how to apply interest on tax debt in a repayment plan. As stated in the Trustee's original motion filed in each case to modify the subject claims, Debtors' respective proposed Chapter 13 plans and their Orders of Confirmation provided [...]
Consumer advocates are calling on the FTC to beef up enforcement of new rules governing debt settlement companies after realizing that many debt settlement companies were coming up with new tactics to circumvent the regulations. Since the new rules ban companies that use telemarketing as a means to sign up new customers from charging upfront [...]