At least the graduate in the picture has a job. Being that is involves wearing a chicken suit, it might not produce enough scratch to pay off his share of the more than $1 trillion dollars in student loan debt now owed in our country. The issue is on this site because now, more than [...]
discharge
Filing a Chapter 7 or Chapter 13 bankruptcy can get your Driver’s License back for you when you have lost your license because of no have insurance! Many States require people that own cars to have motor vehicle liability insurance. These laws, often called compulsory motor vehicle liability laws, generally require that if you own a car, that [...]
When I meet with a married couple that are considering a Chapter 7 bankruptcy, one major consideration that needs to be addressed is whether or not to file for both, or only one of the spouses. I practice in Louisiana. Louisiana is a community property state. This means that all the assets acquired after the [...]
(And One Good Reason Why You Should) Do you have a business that is in a corporation? Is it failing and you think you need to file a bankruptcy case to get rid of the business debts? Don’t! Why shouldn’t you file a bankruptcy for a corporation? Let me count the ways: No Discharge of [...]
Bankruptcy can discharge income tax if certain conditions are met. One required condition is that returns must have been filed. Some bankruptcy courts have recently taken the position that a return filed after the statutory deadline does not qualify as a return for the purpose of bankruptcy discharge. The bankruptcy court for the northern district [...]
Under the U.S. Bankruptcy Code, if a debt is discharged in a bankruptcy case, it does NOT count as taxable income. Bankruptcy-discharged debt is, therefore, much more powerful than merely canceled debt. While canceled debt may create an income tax liability, discharged debt does not. See What is a 1099c and what do I do [...]
