Can I file bankruptcy even though I did not file a tax return for 2007? 32 Answers as of December 11, 2013Will my debts be wiped out if I file a bankruptcy even though I did not file taxes for 2007? I need to file soon to end a garnishment and I'd rather not try and get taxes taken care of for that year first.
Hayward, Parker, O'Leary & Pinsky, Esqs. | Michael O'Leary
A Chapter 7 filing will stop the garnishment, as long as it is not for child support or alimony, but the resulting Discharge will not eliminate your liability for the taxes due for the unfiled year of 2007. If you file a Chapter 13, your case will not be confirmed unless the 2007 tax returns are filed.
Answer Applies to: New York
Michael B. McFarland, P.A. | Michael B. McFarland
You can probably file, but will still have to do your 2007 taxes before you can complete the bankruptcy. If you have a refund coming, that will probably go to the trustee and if you owe money, it will probably still be owing after the bankruptcy. Unless it's extremely complicated, you should try to get your returns filed before the bankruptcy even if you don't send any payment just to help the bankruptcy go more smoothly.
Answer Applies to: Idaho
Timothy Casey Theisen, P.A. | Tim Theisen
The failure to file 2007 taxes does not preclude bankruptcy relief. However, you are required to be law-abiding, and the law requires you to file tax returns with certain limited exceptions for very low-income people, and even then the IRS sometimes wants you to prove you were low income. If it subsequently turns out you are entitled to a refund for 2007, well, first, you might be beyond the statute of limitation to get one, and second, it may become property of your bankruptcy estate. And if turns out you owe, well, that wouldn't have been discharged anyway. While there is a very slight chance that this fact could disrupt your bankruptcy or that the filing of the bankruptcy could cause other unforeseen problems due to this, my guess is that it's probably such an ancient misgiving, that it's water under the dam at this time.
Answer Applies to: Minnesota
David R. Fondren, Attorney at Law | David R. Fondren
You can file now without filing the tax return. However, if there is a refund, the trustee may get some or all of it. (in addition to 2013) The trustee will insist you file so he can find out. If you owe taxes, they will not be discharged. The return must be filed at least 3 years prior to bankruptcy.
Answer Applies to: Missouri
The Law Office of M Grater LLC | Mark O. Grater
You can file the bankruptcy. As to taxes, the general rule is they cannot be discharged unless they are over three years old and you have been filing your tax returns on time every year with no extensions. If you filed 2007 and waited about a year (actual time cannot be estimated at this time since there are various extensions the IRS could claim) you might even be able to discharge 2007.
Answer Applies to: Connecticut
Deborah F Bowinski, Attorney & Counselor at Law | Debby Bowinski
You can file, but any taxes that you owe for that year will not be discharged. Your trustee may require that you prepare and file the missing tax return within a fixed period of time. Any refund that you might be entitled to receive for that year will be taken by your trustee.
Answer Applies to: Colorado
Steven Meyer | Steven Meyer
You should file your tax returns for 2007 and every other year too, if you have not already done so. You can file for bankruptcy, but the bankruptcy trustee may require you to complete your tax returns before ending your bankruptcy case. You should definitely contact an attorney who is experienced in handling bankruptcy matters.
Answer Applies to: Florida
Couch Law, PLLC | SPENCER M COUCH
Yes, you can file a bankruptcy even though you have not filed your 2007 tax returns, and the filing will stop any garnishments. However, as part of the bankruptcy, the trustee will likely require you to complete your unfiled taxes. In the event that a refund is due to the debtor, the bankruptcy estate would be entitled to the entire refund, but in your case, any refund would have already been forfeit due to the lateness of your filing. However, although you can stop garnishments and discharge your debts, your tax liability for the year you did not file your taxes will not be discharged in the bankruptcy.
Answer Applies to: Utah
Law Offices of Daniel J Winter | Daniel J Winter
Yes you can. However, if you owed money to the IRS for that year, you won't be able to eliminate it in bankruptcy. Even if you file that year's return now, you won't be able to eliminate that debt. But, if you need to stop a garnishment, call a bankruptcy lawyer now to get the case filed. This is not something that is easy to do yourself. There are many requirements to file a bankruptcy case. The sooner you set up an appointment the better. Many attorneys, such as myself, offer free first consultations.
Answer Applies to: Illinois
Goldsmith & Guymon | Marjorie Guymon
You can file bankruptcy now, but you will need to file your 2007 return shortly after filing bankruptcy. You may want to review your return before filing you determine the tax liability as it may make a difference when you file and what type bankruptcy you elect to file.
Answer Applies to: Nevada
Garner Law Office | Daniel Garner
Yes, you can definitely file bankruptcy before filing your 2007 tax return, but any taxes you might owe from that year would not be discharged. You should list IRS and the state(s) where you worked in 2007 (if the state had an income tax that year) as potential creditors so they will get notice of your bankruptcy. Then you should make a point of filing any required tax returns within 3 months of filing your bankruptcy, to avoid any chance that the taxing authorities might object to your bankruptcy. You do not have to pay any taxes owed before your case is closed, but you do have to file the returns.
Answer Applies to: Oregon
Law Office of Shawn N. Wright | Shawn N. Wright
The rule in Bankruptcy Court is that you have to have filed all of your income tax returns in order for your case to be approved. Generally, the Bankruptcy Court or Trustee in your case though will give you approximately 60 days following the case filing date in order to file any unfiled returns. But you will eventually have to file that 2007 return, or your case will be dismissed.
Answer Applies to: Pennsylvania
Stittleburg Law Office | Bernd Stittleburg
If you have not filed your tax return for 2007, then any taxes owed will not be discharged in any bankruptcy filing. There is a two year window from the time you file late tax returns and then the IRS must access the taxes for them to be dischargeable. If none of this has yet been done, it makes not sense to file bankruptcy on any tax liability you may have.
Answer Applies to: Georgia
Portland Bankruptcy Law Group | Christopher J. Kane
If you don't file the 2007 tax returns you will still be able to file a bankruptcy and discharge debts. However, if you owe money for the 2007 tax year that debt will not be discharged. And be aware the the bankruptcy trustee might require you to file those taxes and will give you a deadline.
Answer Applies to: Oregon
Steele, George, Schofield & Ramos, LLP | Alan E. Ramos
Generally, I require my clients to see a tax attorney to determine the extent of their tax liabilities and, in virtually every case, file their returns prior to filing a petition. You don't want to file a bankruptcy petition before you know the extent of your liabilities.
Answer Applies to: California