Phoenix AZ’s Tax Debt Advisors answers: Can I discharge IRS taxes in bankruptcy?

Can I discharge IRS taxes in a Bankruptcy and if I live in the Phoenix Arizona area? This is the question many if not most people don’t know the answer to.

Yes, IRS (and Arizona) taxes can be discharged in tax bankruptcy? If you have filed your tax returns and it is three years from the due date including extensions and the returns have been assessed for two years and it has been at least 240 since any adjustments, then taxes on your individual returns are dischargeable. There cannot be any fraud on your tax filings and you must qualify to file a bankruptcy. Payroll taxes and sales taxes cannot be discharged in a Phoenix AZ IRS tax bankruptcy. Some actions such as filing an IRS Offer in Compromise or a Collection Due Process hearing will delay the timing of filing a bankruptcy.

Scott Allen E.A. near Phoenix AZ can compare your option to discharge IRS taxes in a bankruptcy with other IRS settlement options. There are financial consequences by filing a bankruptcy that should be considered beforehand. Call 480-926-9300 to schedule a free initial consultation.