What Happens to Liens in Chapter 13 Bankruptcy?
Chapter 13 bankruptcy provides a powerful tool for individuals who need to reorganize their debts, protect essential assets, and return to solid financial footing. However, the impact of a lien—especially a tax lien—within a Chapter 13 case can present some unique challenges for the taxpayer. The Bankruptcy Code defines a lien as a “charge against…
Can You Still Get a Passport If You Owe Taxes? Understanding IRS Passport Denial and Revocation
If you owe taxes to the IRS, you may wonder whether you can still apply for or renew your passport. The answer isn’t always straightforward – unpaid taxes can have serious consequences, including possibly having your passport denied or revoked. The IRS works closely with the U.S. State Department to enforce tax laws, especially in…
When Are Extended Taxes Due? Key Deadlines for 2024
As we move into the final quarter of the year, taxpayers who filed for extensions earlier in 2024—and those who didn’t—need to be aware of critical upcoming deadlines. If you didn’t file your taxes by the April deadline or forgot to request an extension, don’t worry—you still have options. This guide covers the key extended…
What is Tax Controversy?
Dealing with taxes can be stressful, especially when you get a notice from the IRS or a state taxing agency advising you that there’s a problem with your tax return. This situation often gives rise to a “tax controversy.” It occurs when there’s a dispute between the taxpayer and the tax authorities about the proper…
What You Need to Know About State Tax Audits
Navigating the complexities of a state tax audit can be daunting for both businesses and individuals. Unlike federal IRS audits, state tax audits come with unique challenges that vary by state and tax type. Understanding these distinctions is crucial to achieving a favorable outcome. A state tax audit is a review of your filings by…
Will I Lose My Tax Refund if I File Chapter 7?
Filing for bankruptcy can be complex, especially regarding your tax refund. If you’re considering Chapter 7 bankruptcy, you might wonder what will happen to that much-needed tax refund. Let’s go ahead and dive into the details and explore your options. When you file for Chapter 7 bankruptcy, a court-appointed trustee distributes your non-exempt assets to…
Received an IRS Notice? Here’s When You Should Hire a Tax Attorney
There’s nothing more nerve-racking than receiving mail with the words Internal Revenue Service glaring at you, especially when it’s not a refund check but a threatening IRS Notice. It can feel overwhelming as the notices are often filled with IRS-specific language, challenging calculations, and, often, a demand for payment. Feeling a little confused and unsure…
We Explain: How Much Does A Tax Attorney Cost?
It depends on the type of tax attorney and the depth of their knowledge and experience in their focused tax practice. The hourly rate for a new tax attorney straight out of law school might be $250-$375. In contrast, a seasoned tax attorney with a Master of Laws in Taxation (LLM) who worked with the…
What can Tax Attorneys do to eliminate tax debt when filing bankruptcy?
The tax attorney is important in ensuring tax debt’s proper discharge or elimination. Since the dischargeability (elimination) of tax debt requires that each tax claim satisfy a complex set of rules under the US Bankruptcy Code, tax attorneys are most suited to ensure each rule is met and provide a detailed analysis in support of…
Don’t file an IRS Offer in Compromise for Tax Relief – Here’s Why
Why not you ask? Most applicants do not qualify, and there are often more viable options. In addition, the Offer-In-Compromise (“OIC”) will only address IRS tax claims, and there very often is additional non-tax debt that will remain unaffected. A tax bankruptcy can eliminate everything and provide an actual “fresh start.” Often, a partial-pay installment…
