Are Tax Debts Dischargeable in Bankruptcy

The dischargeability of tax debts in bankruptcy depends on various factors, including the type of tax debt, the age of the debt, and the specific bankruptcy chapter filed. Generally, income tax debts may be dischargeable in bankruptcy, but certain criteria must be met. Income tax debts can be discharged in both Chapter 7 and Chapter 13 bankruptcies if they meet the following requirements: The tax debt must be related to income taxes. Other types of taxes, such as payroll taxes are typically not dischargeable. The tax return must have been due at least three years before the bankruptcy filing date. The tax return must...