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Chapter 13 bankruptcy - clarifications

Posted on: 29th Nov, 2012 11:21 pm
Long story short - My spouse and I are in Chapter 13. We filed in bankruptcy 12/2008. He lost a senior level job and then started a business that failed within a year taking down years of retirement savings and we had also accumulated a tremendous amount of debt. I had left the workforce to raise our children. I am back to work now and am a relatively high earner of more than $200K the last two years. We pay a significant amount to our Chapter 13 monthly due to my income of $2100. For the last two years, I have also had IRS bills in excess of $10K a year - while in Chapter 13. My spouse, who has always handled our money, has told me repeatedly that the IRS has agreed to a "stay" on bills for the last two years and we don't have to pay it while in Chapter 13. Does anyone know if that sounds correct? And, is there anything the IRS can do to derail the discharge that is due in April of 2014?
Well, as far as IRS taxes are concerned, they don't get discharged in bankruptcy. So, you will have to keep on paying them on your own unless you don't pay them off.
Posted on: 30th Nov, 2012 12:03 am
It is unlikely that your issues with the IRS will affect the BK 13.
Posted on: 02nd Dec, 2012 04:01 am
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