Pelley Law Office LLP
Dallas Office
Plano Office
Sherman Office
214-733-1775
972-608-0335
903-813-4778

No Charge For Initial Consultation ($250 value)

Menu Contact

Over 80 Years Of Combined Experience

View Our Practice Areas

IRS Debt in Bankruptcy

Most of the time the IRS debt is not dischargeable in bankruptcy.  There are exceptions to that general rule, however.  If all the prior years' tax returns are on file, the taxes are income taxes, the taxes are three years old, and there is no equitable lien filed by the IRS then an adversarial proceeding may discharge the IRS debt in a Chapter 7 bankruptcy.  The taxes should also be discharged in a Chapter 13 bankruptcy.

However, if you do not fall within the exception to the general rule that the taxes are non-dischargeable then a Chapter 13 bankruptcy can help you to stop the penalties and interest that the IRS is assessing against your unpaid taxes.  Although the IRS is typically non-dischargeable, they are an unsecured creditor.  As such, they are not allowed to charge you interest in a Chapter 13 plan.

No Comments

Leave a comment
Comment Information

Awards & Recognition

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Office Locations

Plano office
Sherman office
Dallas office

Plano Office
1312 14th Street, Suite 100
Plano, Texas 75074

Phone: 972-608-0335
Map & Directions

Sherman Office
905 North Travis Street
Sherman, Texas 75090

Phone: 903-813-4778
Map & Directions

Dallas Office
6060 North Central Expressway, Suite 602
Dallas, Texas 75206

Phone: 214-733-1775
Map & Directions