Can tax be totally discharged through bankruptcy?

Talk to a good bankruptcy attorney for assistance. There are many clauses regarding tax debt discharge.

Talk to a good bankruptcy attorney for assistance. There are many clauses regarding tax debt discharge.

In case of Chapter 13 bankruptcy, you can't wipe out tax debts; instead, you repay the tax debts through a repayment plan. Therefore, it may require to repay your tax debts along with other debts in a period of 3-5 years.

You can discharge tax in bankruptcy under the following circumstances:

1. You have not committed any income tax fraud


2. The tax debt is 3 years old


3. You have filed the income tax return at least 2 years ago


4. The IRS has assessed the income tax debt 240 days before filing bankruptcy

You can discharge tax in bankruptcy if you have filed the income tax return at least 2 years ago. Also, make sure you haven't committed any income tax fraud, ever.