We are bankruptcy attorneys located in we have offices located in Eastgate, Ohio, Middletown, Ohio and now Centerville, Ohio.  We specialize in Chapter 7 and Chapter 13 bankruptcy filings.

Are you struggling with debt?  Has your mail box become your enemy?  And that phone.  it just seems to ring all the time from morning to night!  Even on the weekends as you try to rest the phone calls start before you even raise your head, bill collectors looking to get a payment from you? What a way to start off the day!   Sure if you had it you would pay them, but the problem many people face is they just do not have the funds to make these bills.

People can get into these situations for a number of reasons.  This can result from job loss, divorce, a medical emergency or a number of other reasons.  People do not usually put themselves into these situations on purpose.  It is most likely due to conditions that are out of the persons control.

Many people frown on the thought of bankruptcy, thinking it will ruin their financial lives forever. This is simply not true.  Many people end up with a better credit rating after the filing of a bankruptcy.

Filing for bankruptcy protection will give you relief from all of those creditor calls and other collection efforts by creditors.  Once you file for bankruptcy the creditors must stop all collection efforts, this includes phone harassment, sending you bills in the mail, court proceeding and garnishments.  Even if you already have a judgment and your wages are already being garnished once you file for bankruptcy protection the garnishment must stop.

Bankruptcy can provide you with peace of mind and a fresh financial start.

Bankruptcy is not free, of course.  But at our office we do offer a free consultation.  At this free consultation you will be able to sit down with one of our attorneys and discuss your individual situation.  A small retainer fee will get things started and we will then accept payments until you pay in full and then we will file your case.  That is why tax time is bankruptcy time!  You can avoid the hassle of another payment and waiting months for you to come up with the funds to pay for bankruptcy, in the mean time creditors can still collect on you and each day that passes it is more likely that they will soon take you to court and try to garnish your wages.  At tax time you will most likely have the full fee up front.  This means that you can pay and get filed right away.  You will get on the path quicker to your fresh financial start.  It will be worth it to spend your tax refund on your financial future.  After bankruptcy many doors will open.  You will be surprised at the number of credit offers you will receive once you file for protection.  Of course this does not mean that you have to accept these offers.  You will be surprised how quickly you will re-build your credit after filing for bankruptcy protection.  The most important factor is to pay any bills you keep on time.

MORE INFORMATION

If you are struggling with debt and need more information you can check out one of our website at www.keeganandrade.com, www.middletown-bankruptcy.com or www.centervilleohiobankruptcy.com or just give us a call at 513-752-3900, 513-422-2994 or 1-738-483-4010 and set up your free consultation to see if bankruptcy is the right financial path for you.

Can you Discharge Income Taxes through Bankruptcy?

We are bankruptcy attorneys we have offices located in Eastgate, Ohio, Middletown, Ohio and Centerville, Ohio.  We specialize in Chapter 7 and Chapter 13 bankruptcy filings

There is a common misconception that income taxes are never dischargeable in bankruptcy. In fact, you can discharge your back federal, state, and local income taxes in Chapter 7, Chapter 13, and Chapter 11. Penalties and interest are also dischargeable. Determining which back taxes are dischargeable can be a little complex. However, it is possible to discharge significant income tax debt in bankruptcy, if your tax debt fits within the following rules:

The 3 Year, 2 Year, and 240 Day Rules

The Bankruptcy code sets out specific time periods that determine if you can discharge your taxes, often called the 3-year, 2-year, and 240-day rules (or the 3-2-240 rules). Under these rules, you can discharge taxes that came due 3 years before filing for bankruptcy, as long as it has been at least 2 years since you filed the tax forms and 240 days since the taxes were assessed. These rules are often misunderstood. However, the important thing to understand is that you must meet the requirements of all three rules to discharge your taxes.

1. The 3-Year Rule. This rule states that to discharge your back income taxes, they must become due at least three years before you file for bankruptcy. Bankruptcy Code §507(a)(8)(A)(i). Typically, your federal and most state income taxes become due on or around April 15th of each year. In most cases, it is simply a matter of adding three years to this due date to determine the earliest date you can file for bankruptcy and still discharge your taxes.

Example: Joe’s 2012 federal income taxes are due on April 15, 2013. If Joe owes taxes for that year and wants to discharge them, the earliest he can file for bankruptcy is April 15, 2016 (April 15, 2013, plus 3 years).

Regardless of the initial due date, if you file for and receive an extension of time in which to file your taxes, the due date falls on the day the extension expires.

Example: If Joe in the example above obtains an extension until October 15, 2013, his tax due date is October 15th, not April 15th. Therefore, he must wait until October 15, 2016 to file for bankruptcy, if he wishes to discharge these taxes.

2. The 2-Year Rule. Under the 2-year rule, your income tax returns must have been filed at least two years before filing your bankruptcy petition. This requirement allows you to discharge your taxes, even if you filed your tax forms late, as long as you file them at least two years before filing for bankruptcy. §523(a)(1)(b)(ii).

Example: Jill’s income taxes were due on April 15, 2013. Jill did not get an extension. However, she did not get around to filing her tax forms until June 1, 2014. If Jill wants to discharge her 2012 taxes, she cannot file for bankruptcy until June 1, 2016 (two years from the date she filed her taxes AND more than three years from the date the taxes were due).

What if you did not file? If you did not file an income tax return in a given tax year, any taxes assessed by the IRS for that year are not dischargeable. §523(a)(1)(b)(i). I sometimes see clients whose taxes would have been dischargeable, if only they had filed their tax forms. If their tax debt is significant, I may advise them to go ahead and file the tax forms, then wait to file for bankruptcy.

Quick Point: If the IRS files a return on your behalf, it is not considered a filed return for the purposes of this rule. You must still file a tax form for that year.

3. The 240-Day Rule. Taxes must be assessed at least 240 days before you file for bankruptcy under this rule or not assessed at all. As a practical matter, the date of assessment is typically on or near the date you filed your income tax form (assuming the IRS and you agree on the amount of taxes owed). However, if you file a correction or a change results from an IRS audit, the assessment date may be substantially later. §507 (a)(8)(A)(ii).

If you are in a dispute with the IRS regarding how much you owe and plan to file for bankruptcy, you should inform your bankruptcy lawyer of the dispute. A tax dispute can impact the assessment date.

Quick Note: If the back taxes are an issue, it may be necessary to order an IRS “account transcript” (sometimes called a “literal transcript”) for the tax years in question. The account transcript typically includes the assessment date. Note that this is not the same as a “tax return transcript”. You can order an account transcript from the IRS over the phone or online, or using IRS Form 4506T.  

Other actions can add additional time to some or all of the 3-2-240 time requirements, including (a) making an offer in compromise, (b) having filed for bankruptcy previously, or (3) obtaining a taxpayer assistance order. §507(a)(8)(A)(i). However, simply entering into a payment arrangement with the IRS does not toll the statute of limitations.

Other Issues

Tax Evasion and Fraud. If a taxpayer willfully evades taxes or commits tax fraud, the taxes involved are not dischargeable. §523(a)(1)(C). However, the Bankruptcy Code means deliberate tax evasion, not an honest mistake.

Penalties and Interest. Penalties and interest assessed by a taxing authority are dischargeable, along with the taxes. In other words, if the taxes are dischargeable, the penalties and interest attached to them are dischargeable as well.

Tax Liens. Discharging income taxes in bankruptcy does not remove a tax lien. You can certainly file for bankruptcy with a tax lien, and the underlying debt will be discharged, if you meet the requirements of the 3-2-240 rules. However, the lien against property you acquired before bankruptcy still stands.

MORE INFORMATION

At our office we will offer a free consultation where you can sit down with one of our attorneys and discuss your individual situation.

Check out our website at www.keeganandrade.com, www.middletown-bankruptcy.com or www.centervilleohiobankruptcy.com today.  We have an office conveniently located near you.

Call our office today to make your free consultation to discuss your individual situation.

NEW BANKRUPTCY OFFICE

We are bankruptcy attorneys with offices located in Eastgate, Ohio, Middletown, Ohio. and now Centerville, Ohio.  We specialize in Chapter 7 and Chapter 13 bankruptcy filings.

We are proud to announce the grand opening of our office in Centerville, Ohio.  The location of our new office is 

• 533 Windsor Park Drive
• LL Room 102
• Centerville, OH  45459

We are proud to expand our practice to other areas of the city.  This office will specialize primarily in bankruptcy.  You can contact our office to make a free consultation at 1-937-483-4010.  You will be able to sit down with one of or experienced bankruptcy attorneys to discuss your individual situation.  If you decide to move forward a small retainer fee will get things started and we will then accept monthly payments until your fees are paid in full.

BANKRUPTCY CHAPTERS

Chapter 7 and Chapter 13 are the most common consumer bankruptcy filings.

Chapter 7 Bankruptcy is a total wipe out of all your unsecured debts.  You can discharge all of your unsecured debts through a Chapter 7 Bankruptcy.  If you have secured debts you wish to retain such as a vehicle or home, you may retain these debts.  You must continue to make your payments on secured items that you wish to keep and be current on your payments.  If you do not wish to keep your secured items you may also file on these debts and surrender your collateral through your bankruptcy case.  There are income requirements that you must pass to qualify for a chapter 7.  The best advise is to contact our office make an appointment for your free consultation to see if you qualify.

Chapter 13 bankruptcy is a re-payment plan.  Chapter 13 is available for you if your home is in foreclosure or your vehicle is about to be repossessed.  If you are behind on your home or vehicle under Chapter 13 you will have three to five years to make the payments.  You will also pay on a percentage of your unsecured debts.  There are no income requirements for Chapter 13, however, you do need to have income to qualify for Chapter 13 as you must make monthly payments to the Trustee.

Each situation is unique.  Nobody is the same.  To understand which chapter you would qualify for you need to make your appointment for your free consultation.  As stated above at this free consultation you will be able to sit down with one of our attorneys and figure out the best financial option for your individual situation.

MORE INFORMATION

For more information check out our website at www.keeganandrade.com

Call today for your free bankruptcy consultation.

Bankruptcy Information

We are bankruptcy attorneys located in Middletown, Ohio.  We specialize in Chapter 7 and Chapter 13 bankruptcy filings.

ARE YOU THINKING OF FILING FOR BANKRUPTCY

Are you thinking of filing for bankruptcy.  Looking for an attorney to represent you through the process?  Calling around to get a fee?  Looking for the lowest fee around?  Just remember that you get what you pay for.  Bankruptcy is a very specific process and must be done correctly so that your case will go through and you will receive your discharge through your case.  You do not want any snags and want everything to go through smoothly.  It is stressful enough when everything goes just right let alone when things are messed up.  Some believe that bankruptcy is simple, so simple that they can even take care of it themselves.  This may have been the case in the past but since the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) of 2005 things are much more difficult and more precise.  It is not recommended that you attack this task on your own.

Trying to file for yourself will most likely cause you more headaches than you would like to endure.  So the decision to seek an attorney to help you through the process is the best one.  You will want to find an experienced attorney who specialized in bankruptcy.

OUR LAW OFFICE

At the Law Office of Keegan and Andrade we specialize in bankruptcy, this is our main focus of practice.  Our office has specialized in bankruptcy for over 25 years.  We can provide you with the expertise that will make your bankruptcy seem simple and before you know you will be on with your debt free life.

FREE CONSULTATION

At our office we will offer you a free consultation where you will be able to sit down and discuss your individual situation.  They will be able to advise you as to the best road for you to take on your financial journey.  Sometimes bankruptcy is the answer, sometimes it may not be the best decision.  The attorney will advise what is best for you.

At this free consultation the attorney will quote you a fee.  If you decide you want to move forward a small retainer will retain this office.  Once you have retained our office you will quit paying on bills you do not want to keep and refer your creditors to our office until your case is filed.  We will accept monthly payments until your case is filed.

MORE INFORMATION

For more information check out or website at www.middletown-bankruptcy.com or call 513-752-3900 for your free consultation today!

At our Middletown, Ohio bankruptcy office we will be able to help you get out of debt and get a fresh financial start!