Wrapping up our blog series FAQs about Tax Debt and Bankruptcy, here are some final answers to commonly asked questions about tax debt and bankruptcy.
Q – What if I already have a federal IRS tax lien against me? What happens to the IRS lien if I file for bankruptcy?
A – If you are already dealing with an IRS lien, then the type of bankruptcy case you are pursuing will impact what happens with this lien. Specifically:
- With Chapter 13 bankruptcy cases, a plan to repay this lien over the course of the next 3 to 5 years will need to be developed and approved by the courts. It’s important to note here, however, that you may not be obligated to pay back the full amount of the lien (and that an attorney may be able to help you work out a lower repayment amount with the IRS).
- With Chapter 7 bankruptcy cases, how existing IRS liens are resolved will depend on the value of your bankruptcy estate/the assets you have. In some cases, the IRS may be willing to release liens against you if you can prove that you don’t have sufficient assets.
Q – Do I need an attorney to help me with my tax debt and bankruptcy?
A – If you want to favorably resolve both your tax debt and bankruptcy case, then yes – it’s a far better idea to move forward under the guidance of an experienced tax debt and bankruptcy attorney. The fact is that even one wrong step or mistake in dealing with your tax debt or filing your bankruptcy case can result in complications that may end up:
- Preventing you from discharging your tax debt
- In your bankruptcy case getting dismissed
- Other challenges that can cost you financially, as well as emotionally.
Q – How to I get my bankruptcy case started so I can get on the path to discharging my tax debt?
A – Simply contact the Law Office of Jon B. Clarke and meet with one of our Denver, Colorado bankruptcy lawyers. If you choose to move forward with us, we will oversee all of the important details of your bankruptcy case and help you obtain the best possible resolutions to all of your debt-related issues.
Colorado Bankruptcy Lawyers at the Law Office of Jon B. Clarke, P.C.
If you are overwhelmed by seemingly insurmountable debt and are looking for a financial fresh start, contact the trusted Colorado debt relief and bankruptcy lawyers at the Law Office of Jon B. Clarke, P.C.
For more than 35 years, Mr. Clarke and his diligent support staff have been successfully helping our clients resolve even the most complex bankruptcy cases for both individuals and businesses alike. Our experienced legal professionals are committed to providing each of our clients with the personalized debt relief assistance they need, and we will work tirelessly to ensure that our clients’ cases are resolved as favorably and efficiently as possible.
Contact Us Today
For a thorough assessment of your situation, along with expert advice regarding the best manner in which to move forward to unburden yourself from debt, call us at (866) 916-3950 or email us using the contact form on this page.
From our offices based in Denver, we provide people throughout Colorado with the highest quality debt relief legal services.