If you are filing bankruptcy, and owe back taxes, you may be eligible to have those tax debts discharged in bankruptcy. There are many rules that govern when your tax debts are eligible for a discharge. Typically, older tax liabilities (i.e. taxes owed from returns filed four (4) or more years ago) tend to be dischargeable. However, due to the timing rules, it is very prudent to have a trained professional review your various tax debts to determine dischargeability.
Michael Tyson has worked closely with bankruptcy counsel in the past to ensure that all tax debts that can be discharged will be discharged. As an example, Michael Tyson has personally seen bankruptcy attorneys file a bankruptcy mere days before the tax debt would become eligible to be discharged in the bankruptcy. In this particular case, the client was saddled with $20,000.00 of debt that should have been resolved in the bankruptcy.
Additionally, there are times when the Internal Revenue Service will incorrectly challenge whether taxes should be discharged. Bankruptcy attorneys inexperienced with tax issues may not know how, or even if, they can challenge a wrongful determination by the Internal Revenue Service.