If we file bankruptcy is our property taxes included? 23 Answers as of July 16, 2014

We owe over $60,000 in taxes and HOA fees.

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GARCIA & GONZALES, P.C.
GARCIA & GONZALES, P.C. | Richard N. Gonzales
Assuming you are surrendering the property, yes.
Answer Applies to: Colorado
Replied: 7/16/2014
Stephens Gourley & Bywater | David A. Stephens
They are included if you give up the property. If not, they are a secured debt that follows the property.
Answer Applies to: Nevada
Replied: 7/15/2014
Rhymer Law Firm
Rhymer Law Firm | William Rhymer
It really depends on whether you keep the property or not. If you keep the property you will still owe them. If you surrender the property you may not be able to discharge them. However, in Georgia the taxes follow the land. A new owner would have to pay the taxes and so usually you would never have to pay them. You need to schedule an appointment with an experienced bankruptcy attorney and explain your facts to get a more definite answer. Bankruptcy cases are like snowflakes, each one is different.
Answer Applies to: Georgia
Replied: 7/14/2014
EDWARD P RUSSELL | EDWARD P RUSSELL
Property taxes are dischargeable but the county will have a lien against the real estate that would survive the bankruptcy. The result is that when you sold the property you would have to pay the property taxes from the proceeds of the sale. You could just surrender the property in the bankruptcy then the property taxes would be discharged.
Answer Applies to: Minnesota
Replied: 7/11/2014
LAW OFFICE OF RALPH L. WILLIAMS
LAW OFFICE OF RALPH L. WILLIAMS | RALPH L. WILLIAMS
No. Property taxes attach to the real property. Past due HOA fees can be dischargeable if the HOA has not recorded liens against the real property.
Answer Applies to: California
Replied: 7/11/2014
    Law Office of Peter M. Lively
    Law Office of Peter M. Lively | Peter M. Lively
    All debtors are required to list their debts (including taxes) in their schedules. Income taxes can be discharged if they pass a several part test including (1) they first came due at least three years prior to the bankruptcy petition date, (2) the debtor filed a tax return before the IRS filed a substitute for return and more than two years before the petition date, and (3) that the taxes were assessed more than 240 days before the petition date. There must also be no fraud or intentional failure to pay taxes. HOA fees have their own complications. If you are surrendering the real property associated with the HOA fees, then all prepetition date amounts are discharged but you still owe postpetition amounts until you and the Chapter 7 trustee lose all interest (ownership, equitable and possessory) in the property. If you are keeping the real property, then the specific CC&Rs as well as liens must be evaluated.
    Answer Applies to: California
    Replied: 7/11/2014
    Michael B. McFarland, P.A. | Michael B. McFarland
    If you are surrendering the property, the taxes will generally be dischargeable, as will HOA fees incurred prior to your filing. However, if the lender does not foreclose or accept a deed in lieu of foreclosure promptly, you could continue to be responsible for post-petition HOA fees. If you are keeping the property, the tax lien (which attaches to the property) remains as a lien, even if you are personally discharged. Depending on the HOA setup, the pre-petition charges may or may not meet the requirements for a lien - although they typically do. You should consult with an experienced bankruptcy attorney for assistance BEFORE you file.
    Answer Applies to: Idaho
    Replied: 7/11/2014
    Idaho Bankruptcy Law | Paul Ross
    All debts are included in a bankruptcy. Depending on state law, you might even receive a discharge. That does not mean that a lien does not attach to the property though and which would have to be paid to sell the property. If enough, those debts could even force a foreclosure. Depends on the circumstances. Visit with an attorney to properly plan and navigate this area.
    Answer Applies to: Idaho
    Replied: 7/11/2014
    Garner Law Office
    Garner Law Office | Daniel Garner
    Property taxes are secured against your property, and HOA dues might be, depending on your contract. The HOA often sues the homeowner to obtain a lien against their property. Therefore, if you surrender your property as part of the bankruptcy, you can discharge your personal responsibility on the taxes and the HOA dues. However, any HOA dues accruing after you file bankruptcy, until the property is no longer in your name, are not dischargeable. Homeowners often get caught in the trap of paying HOA dues after their bankruptcy because it takes so long to foreclose on the property. Thus, it is in your interest to transfer the deed as quickly as possible and maybe have a deed in lieu of foreclosure all lined up before you file, to minimize your exposure to extra HOA dues.
    Answer Applies to: Oregon
    Replied: 7/11/2014
    LAW OFFICE OF DAVID A. KUBAT
    LAW OFFICE OF DAVID A. KUBAT | DAVID A. KUBAT
    If you file a Chapter 13 bankruptcy, you can include your property taxes and HOA payments. You will have to pay these debts, but you can do it over a period of 5 years. While you are in the bankruptcy, neither the county nor the HOA can sue or foreclose on you, so long as you make the required payments.
    Answer Applies to: Washington
    Replied: 7/11/2014
    Steele, George, Schofield & Ramos, LLP
    Steele, George, Schofield & Ramos, LLP | Alan E. Ramos
    Your property taxes stay attached to the land and is not discharged. In California, you have no personal liability for property taxes. Your personal liability for HOA assessments up to the time of filing will be discharged; however, if the HOA placed a lien on the property, that will remain. Also, any HOA assessments that accrued after the date of filing are not discharged.
    Answer Applies to: California
    Replied: 7/11/2014
    Patrick W. Currin, Attorney at Law | Patrick Currin
    HOA fees from prior to filing can be discharged, post-filing HOA fees and property taxes cannot.
    Answer Applies to: California
    Replied: 7/11/2014
    Thomas Vogele & Associates, APC | Thomas A. Vogele
    If you successfully complete your bankruptcy case and obtain a discharge, it does not apply to taxes or fees assessed by governmental agencies. Thus, your property tax obligations will survive and you can lose your house. Your HOA fees might be discharged, depending on the form and nature of the HOA. Check with a good lawyer in your area before you do anything. Most will give you a free 30 minute consultation. Use that time wisely and ask questions that are important to you. You probably should write them down along with the answers you get.
    Answer Applies to: California
    Replied: 7/11/2014
    Danville Law Group | Scott Jordan
    Property taxes are secured against the land, so bankruptcy will not discharge them. Under certain circumstances, income taxes are dischargeable but you will need a skilled bankruptcy attorney to make that determination. Any HOA fees that are due prior to the bankruptcy filing are generally dischargeable. However, you will need to resume paying the HOA fees for the month following the bankruptcy filing.
    Answer Applies to: California
    Replied: 7/11/2014
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    To keep the house, you have to pay the back taxes. If you surrender the house, you don't have to pay the back taxes but you do have to pay the ongoing taxes on the property as long as your name is on the title to the property. Filing bankruptcy & stating that you intend to surrender property does nothing to take title to the property out of your name, and in some circumstances, lenders can be very slow about foreclosing on underwater properties.
    Answer Applies to: Nevada
    Replied: 7/11/2014
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    The property secures the taxes, so that will not go away. The past due HOA fees pre-petiton are discharged but not any post petition HOA fees that accrue (unless they have a judgement and lien in which case they will remain a lien against the property). You should see a local lawyer.
    Answer Applies to: California
    Replied: 7/11/2014
    Law Office of Melissa Botting | Melissa Botting
    All debts are included in bankruptcy. The treatment of those debts depends on your filing. If you file a 13, the property taxes and HOA fees can be paid over time. If you file a 7, the debt goes with the property. If you surrender the property, you are not liable for the debt.
    Answer Applies to: Texas
    Replied: 7/11/2014
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    Property tax is not dischargeable and HOA fees are only dischargeable for the pre-petition fees. All fees accrued after filing, you are still liable for. Furthermore, the HOA can still foreclose on you regardless of the bankruptcy.
    Answer Applies to: New York
    Replied: 7/11/2014
    Timothy Casey Theisen, P.A. | Tim Theisen
    Property taxes are only secured debts, not a personal liability in Minnesota. HOA are both a secured debt and personal liability. So to answer your question, if you are surrendering your home, those obligations will go away. If you want to keep the house, you will need to pay them, in which case you may wish to repay through a chapter 13 plan.
    Answer Applies to: Minnesota
    Replied: 7/11/2014
    Law Office of Stuart M. Nachbar, P.C.
    Law Office of Stuart M. Nachbar, P.C. | Stuart M. Nachbar
    Yes, they are included, but may or may not be dischargeable depending on your circumstance.
    Answer Applies to: New Jersey
    Replied: 7/11/2014
    Law Office of Michael Johnson
    Law Office of Michael Johnson | Michael Johnson
    The taxes will not be and the hoa dues may be able to be protected.
    Answer Applies to: Florida
    Replied: 7/11/2014
    Moore Taylor Law Firm, P.A.
    Moore Taylor Law Firm, P.A. | Jane Downey
    Possibly not for you.
    Answer Applies to: South Carolina
    Replied: 7/11/2014
    Law Office of Lynnmarie A. Johnson
    Law Office of Lynnmarie A. Johnson | Lynnmarie Johnson
    Yes, but if you are wanting to keep the house, the property taxes must be paid. The HOA prefiling are discharged, nut you have to pay any that come due after you file.
    Answer Applies to: Michigan
    Replied: 7/11/2014
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