What Does a Bankruptcy Lawyer Do?
What Does a Bankruptcy Lawyer Do? Bankruptcy is one of the few legal processes that can be pursued without the assistance of a lawyer. Some may see this as a blessing, believing that they are saving themselves money when they dispense with the need for one. For others, though, navigating all that bankruptcy paperwork on their own is a double-edged sword in that, should they fail, they would be left wondering whether they should have consulted, if not hired, a bankruptcy lawyer in the first place. Whichever the case, understanding what a bankruptcy lawyer does can ultimately help you decide whether you need one or not. So, to help you in that regard, here are four things a bankruptcy lawyer does for people during a bankruptcy proceeding. A Bankruptcy Lawyer Will Effectively Assess Your Situation Generally, the United States has six types of bankruptcy, but the two types most people are familiar with are Chapter 7 and Chapter 13. The difference between the two is simple: the goal of a Chapter 7 filing is for some, if not all, debts to be discharged, typically through liquidating assets. A Chapter 13 filing, on the other hand, deals with debt repayment under an approved repayment plan. Each has its advantages and disadvantages, which you can assess for yourself. But unless you have the relevant expertise or background for it, a proper bankruptcy assessment isn’t something you should do on your own. Filing for bankruptcy is, undoubtedly, a very crucial moment in anyone’s life. An incorrect assessment of your bankruptcy options can have lasting consequences, and these are things you could very well avoid if you have professional help. The best way to assess your financial situation is through an experienced bankruptcy lawyer. They will not only understand the repercussions of all the decisions available to you, but they will also know which bankruptcy route and information will give you the most advantage for your specific circumstances. A Bankruptcy Lawyer Will Negotiate On Your Behalf In any bankruptcy proceeding, three main parties are typically involved: the debtor, the creditor, and the judge. The judge, for the most part, will look at the documents and listen to what the parties have to say. From there, he or she will either grant or dismiss the bankruptcy filing. That’s as simple as it gets. The creditors, however, are an entirely different matter. Because unlike dealing with a judge, a bankruptcy lawyer can negotiate with creditors on matters that may make your bankruptcy petition easier and less burdensome. In fact, a good bankruptcy lawyer can even make it so that you don’t ever reach the courts or, perhaps, even file that bankruptcy petition to begin with. Through careful dialogue, bankruptcy lawyers can talk with creditors and make them agree on a debt settlement, doing away with the idea of filing for bankruptcy. A Bankruptcy Lawyer Will Ensure You Get Discharged or Approved Speaking of the judge, how they decide on your bankruptcy petition will rely largely on the information you supply to them. With the assistance of a committed bankruptcy lawyer, your bankruptcy petition will have a lesser chance of getting dismissed by the judge, giving you a better likelihood of improving or restarting your financial situation. This fact is even supported by one study, which found that people who represented themselves were ten times more likely to have their bankruptcy petitions dismissed or their requests denied when compared to those who had bankruptcy lawyers representing them. It’s safe to say that, out of all the things that a bankruptcy lawyer can do, this may be the most important one. A Bankruptcy Lawyer Will Be There For You Whether you agree or not, there is a stigma when it comes to filing for bankruptcy. For most people, the mere idea of bankruptcy means defeat, both personally and professionally. Debt-related stress is a serious matter, and filing for bankruptcy can sometimes exacerbate this. Fortunately, a bankruptcy lawyer can help you ease these financial stresses. Not only will a bankruptcy lawyer handle everything in the bankruptcy filing, but they will also directly talk with your creditors and their collectors. They may not be your friend, but when it comes to securing your financial situation and ensuring the success of your petition, bankruptcy lawyers will be there for you every step of the way. Closing Thoughts Legal paperwork for bankruptcy can be daunting, stressful, and depressing. Letting these converge on you can not only severely affect your bankruptcy petition but also critically damage your mental health. Delegating all that bankruptcy paperwork to a bankruptcy lawyer means relieving yourself of all those negatives, allowing you to live your life with little to no stress than what you could have had if you didn’t. Bankruptcy is a very crucial decision in one’s life. But it’s also important to remember that, in a similar vein, deciding whether you need a bankruptcy lawyer or not is also a crucial decision. If you’re still unsure, please do not hesitate to contact us. We will be more than happy to consult you on this matter free of charge!
You Can Discharge Income Taxes In Bankruptcy
Understanding Income Taxes in Bankruptcy Filing for bankruptcy involves many questions and uncertainties, especially concerning the discharge of debts such as income taxes in bankruptcy. This guide is designed to help individuals understand their rights and options regarding the discharge of federal, state, and local income taxes in bankruptcy in a Chapter 13 or Chapter 7 bankruptcy. The Common Misconception A widespread belief is that income taxes in bankruptcy are invariably non-dischargeable in bankruptcy cases. However, certain conditions allow for the discharge of income taxes in bankruptcy, opening a pathway for relief for those burdened with back taxes. The Crucial 3-Year Rule According to the Bankruptcy Code, specifically Section 507(a)(8)(A)(i), specific criteria must be met for income taxes in bankruptcy to be discharged. The critical factor here is the “3-Year Rule,” which states that income taxes in bankruptcy due at least three years before your bankruptcy filing can be eligible for discharge. For instance, if you file for bankruptcy on September 16, 2024, taxes from the year 2021 and before could potentially be discharged, subject to other qualifying conditions. Timing Is Key Eligibility for tax discharge in bankruptcy hinges on meeting specific timing requirements: These criteria are essential in determining the dischargeability of tax debts in bankruptcy. Extensions and Tax Filing If you received an extension for filing your taxes, the three years are calculated from the extended due date. This ensures that filing extensions do not negatively impact your ability to discharge tax debts through bankruptcy. Exclusions from Discharge It’s essential to be aware that failing to file your tax returns or filing fraudulent tax returns will make you ineligible for discharging your taxes in bankruptcy. These actions can lead to serious legal repercussions and should be avoided. Expert Guidance in Tax Discharge and Bankruptcy Navigating the complexities of discharging taxes in bankruptcy can be challenging. Understanding the intricacies of tax laws and bankruptcy regulations is crucial for anyone considering this path. If you’re facing overwhelming tax debts and considering bankruptcy, it’s advisable to seek professional legal advice. An experienced bankruptcy attorney can provide valuable insights and guidance, helping you evaluate your eligibility for tax discharge and plan your bankruptcy filing strategically. This guide aims to clearly understand the process and requirements for discharging income taxes in bankruptcy, helping you make informed decisions in your financial journey. For personalized advice and representation, consider consulting with a qualified bankruptcy attorney.
What Is The Difference Between Chapter 7 & Chapter 13 Bankruptcy?
With nearly 20 years of experience, Michael A. Fakhoury, ESQ., PC has represented clients in bankruptcy cases the key difference between chapter 7 and chapter 13. Filing for bankruptcy can be stressful and confusing. Knowing what the process looks like, as well as what benefits each type of bankruptcy provides, can help you make informed decisions from start to finish. Here Are the Main Difference Between Chapter 7 and Chapter 13 Bankruptcy: To begin with, it’s important that you understand the key difference between Chapter 7 and Chapter 13 bankruptcy, and how to determine which is best for you. In general, the primary difference difference between chapter 7 and chapter 13 are: How they handle payment of debts, and eligibility requirements. How Chapter 7 Handles Your Debts Chapter 7 liquidates your assets to pay debts, and also discharges certain debts. Chapter 7 bankruptcy is also called “liquidation bankruptcy.” However, the state of New York places restrictions on the types of assets that can be liquidated during the process. This means, while many of your assets will be liquidated to pay creditors, your home, car, personal property, and furniture may be exempt. Certain assets and property may still be subject to liens. Chapter 7 basically is the process of gathering and selling the debtor’s assets to pay creditors. This means you may suffer the loss of some of your property and assets in order to pay off certain debts. However, you can also discharge certain unsecured debts, including credit card bills, student loan debts, and medical bills. Chapter 7 tries to give honest debtors a “fresh start” by discharging debts and paying off other debts. Who Is Eligible for Chapter 7 Bankruptcy? Individuals and business entities are eligible for Chapter 7. Individuals, corporations, partnerships, and other business entities are able to file for Chapter 7 bankruptcy. In order to qualify, you must prove that you have received credit counseling from an approved agency within 180 prior to filing, unless there is no adequate agency nearby or the situation is deemed an emergency. Furthermore, Chapter 7 is not dependent the amount of your debts or whether they are solvent or insolvent. To learn more about Chapter 7 Bankruptcy, click here. How Chapter 13 Handles Your Debts Chapter 13 uses a repayment plan to pay off debts. Chapter 13 works by requiring the debtor to create a repayment plan to pay off debts. It allows debtors to avoid foreclosure on their homes, and it even cures delinquent mortgage payments. It also allows debtors to reschedule secured debts, which may lower current payments. In addition, Chapter 13 payments are made to a trustee, who then pays the creditors. This means you will not have to interact directly with creditors. Who Is Eligible for Chapter 13 Bankruptcy? Individuals, but not businesses, are eligible for Chapter 13. Individuals, even if self-employed or running an unincorporated business, may file for Chapter 13. However, the amount of their secured debts must be less than $1,184,200, and the value of their unsecured debts must be less than $394,725. Unlike Chapter 7 bankruptcy, business partnerships or corporations are not eligible to file for Chapter 13. If you would like to learn more about Chapter 13 bankruptcy, click here. Call Our Fishkill Bankruptcy Firm Today at (845) 896-5200. Understanding your bankruptcy options can allow you to be prepared for what lies ahead. At Michael A. Fakhoury, ESQ., PC, we have guided hundreds of clients to successful solutions in bankruptcy cases. We are passionate about helping clients navigate the complicated legal system regarding bankruptcy, and our firm can provide knowledgeable legal assistance as you seek a beneficial outcome. Difference between chapter 7 and chapter 13, while Chapter 7 focuses on liquidating assets and discharging debts for a fresh start, Chapter 13 focuses on creating a workable repayment plan to pay off debts and increase financial stability. Our Fishkill bankruptcy lawyer is passionate about providing excellent, personal services to client facing bankruptcy, and we can answer your questions and discuss your options. Contact us today for a free consultation.
Representing New York Victims Of Zantac Side Effects
Contents1 Legal Support for New York Zantac Side Effects Victims1.1 What Are Zantac And NDMA?1.2 Why Was Zantac Side Effects Recalled?1.2.1 NDMA exposure is linked to cancers including:1.3 Common Cancer Symptoms Associated With Zantac1.3.0.1 Common symptoms associated with Zantac-caused cancer include:1.4 What To Do If You’re A Zantac User1.5 How We Can Help1.6 Zantac Lawsuit Compensation Legal Support for New York Zantac Side Effects Victims Officials at the Food and Drug Administration (FDA) ordered that all medications sold under the brand name zantac side effects be removed from store shelves idue to their risk of causing cancer to users. If you or someone you love has developed cancer after taking zantac side effects to treat heartburn, you may be able to file a zantac side effects lawsuit. With more than 20 years of legal experience and millions of dollars recovered for clients, our Zantac side effects lawsuit attorney in Fishkill is dedicated to helping individuals like you recover after a devastating injury or illness caused by negligence. You shouldn’t have to pay the price for another party’s mistakes. Michael A. Fakhoury, Esq., P.C., can hold zantac side effects drug makers responsible for the bodily harm they’ve caused to users. When you call our team, you can expect to be treated with respect and compassion during this challenging time. Contact us online or by phone at 845-896-5200 to receive award-winning counsel from an experienced personal injury lawyer in the Hudson Valley. What Are Zantac And NDMA? Known by its chemical name as ranitidine hydrochloride, Zantac side effects is a medication used to treat heartburn by decreasing the amount of acid produced in the stomach. The drug, which has been on the market since the 1980s, is available over the counter and by prescription, and is also used to treat acid reflux and other throat, stomach, and gastrointestinal problems. Sold by the drug company known as Sanofi, Zantac side effects is typically used regularly for long periods of time. Why Was Zantac Side Effects Recalled? Zantac heartburn medicine began being recalled voluntarily in January after the FDAS detected N-nitrosodimethylamine (NDMA), a chemical associated with cancer, in the drug. In September 2019, the FDA tested the drug to find that it contained NDMA at levels up to 3,000 times greater than the daily intake limit. NDMA is a probable carcinogen to humans as well as animals. NDMA exposure is linked to cancers including: Common Cancer Symptoms Associated With Zantac If you’re a Zantac user, it’s important to stop taking the medication and monitor your physical health for any signs of cancer zantac side effects. If you are experiencing certain cancer-related symptoms, it’s crucial that you seek medical attention and diagnosis. If you are diagnosed zantac side effects, our lawyer can advocate for your right to compensation. Common symptoms associated with Zantac-caused cancer include: What To Do If You’re A Zantac User The FDA is now recommending that consumers stop taking pills or liquid versions of zantac side effects. Before you stop your medications completely, it’s suggested that users consult their physicians to determine other options for treating their conditions. Other medications that can help those with heartburn issues include: While typically the FDA offers specific drop-off centers for users to safely dispose of their harmful medications, due to COVID-19 concerns users will need to personally throw away their Zantac pills and liquid medications. How We Can Help Even though zantac side effects is now being recalled, research and evidence show that drug makers have known about NDMA’s dangerous effects in Zantac for quite some time. There are now countless zantac side effects lawsuits being filed on behalf of users and families who allege that drug makers have failed in their responsibility to provide safe medications for the public. Our lawyer has helped the injured and ill for decades and can secure the compensation you need to heal. Zantac Lawsuit Compensation Damages we can recover include: Navigating the legal system on your own is additional stress that you don’t need right now. With our team on your side, you can trust us to deal with the legal specifics and put your well-being first. Recover the damages you’ve accrued when you call our Fishkill Zantac lawsuit attorney at 845-896-5200. We take an innovative and aggressive approach to our cases because you deserve results.
Chapter 7 Bankruptcy Lawyer In Fishkill
Debt Relief Through Liquidation Bankruptcy Individuals and families may find themselves deep in debt for a variety of reasons, from job losses to medical emergencies. If you are struggling to stay on top of your bills and want to seek financial relief, you may want to consider filing for chapter 7 bankruptcy lawyer. It is a common myth that filing for bankruptcy is the end of the line when it is actually a chance for a new beginning and a fresh financial start. Turn to a Fishkill and Dutchess County bankruptcy attorney. Turn to Michael A. Fakhoury, Esq., P.C. Call 845-896-5200 to get started with a consultation. Benefits Of Chapter 7 Bankruptcy chapter 7 bankruptcy lawyer bankruptcy is one of the most common forms of bankruptcy for a reason. Known as the liquidation option, chapter 7 bankruptcy lawyer is appropriate for individuals who do not have sufficient disposable income to pay back debt. If you do not have a lot of assets you wish to hold onto or minimal income, this may be the most efficient solution for you. Filing for Chapter 7: Requirements Of Filing For chapter 7 bankruptcy lawyer Not everyone can qualify for chapter 7 bankruptcy lawyer, which is why it is important to meet with a Fishkill bankruptcy lawyer to discuss your options. You will need to take a means test to determine that your income is less than the median of households of the same size in New York. If you pass the means test, the bankruptcy court can move forward with your bankruptcy petition. Although chapter 7 bankruptcy lawyer does not have minimum income requirements, it requires that you sell (or liquidate) all of your non-exempt assets. You will have to be willing to let go of most of your non-essential possessions in order to make this work. Once your non-exempt assets have been liquidated, you will have most of your unsecured debt discharged. Can You File Chapter 7 On Your Own? While it is possible for you to file for chapter 7 bankruptcy lawyer bankruptcy without an attorney, there are certain situations in which it would be highly beneficial to retain a bankruptcy lawyer: As a New York chapter 7 bankruptcy lawyer bankruptcy lawyer, I can help you undertake the bankruptcy process and ensure that you obtain the best results possible. Does Chapter 7 Discharge IRS Debt? According to the IRS, liquidation under chapter 7 bankruptcy lawyer is a common form of bankruptcy. Chapter 7 bankruptcy is available to those who can’t make regular payments toward their debt. At the conclusion of your Chapter 7 bankruptcy, you will receive a discharge of debt. A discharge releases the debtor from personal liability for certain dischargeable debts. Some taxes may be dischargeable. Every bankruptcy case is different, so we encourage you to reach out to our Fishkill chapter 7 bankruptcy lawyer bankruptcy lawyer for more information about your specific situation. We have the experience you need to obtain financial relief. My debt relief agency helps people file for relief under the bankruptcy code. Call the office at 845-896-5200 to begin. You can also fill out our online contact form.
Client Receives $375,000 In Settlement For A Car Accident
With nearly 20 years of experience, our firm passionately represents injured clients such as settlement for a car accident as they fight for compensation against large insurance companies. In a recent case, our client was involved in a settlement for a car accident and was pursuing the compensation she deserved. In the end, we were able to help her obtain a large settlement for a car accident. Our firm is honored to share another story of success, and we continue to use our experience to fight on behalf of clients in the courtroom. Here’s what you need to know about the settlement for a car accident case: The Situation Our client had been driving on a local bridge when she was suddenly rear-ended by another vehicle. She knew that the other driver was to blame. However, the other driver claimed that she had driven into his lane of travel, causing the accident. In essence, he was trying to put the blame on her in order to avoid paying compensation. His insurance company offered a settlement for a car accident of $35,000 for the incident. However, our client was determined to get the compensation she was rightly owed. How We Won Her Case Because the other driver was disputing our client’s claim, we knew evidence was going to be essential. We subpoenaed video surveillance from the NYS Bridge Authority. The footage clearly showed the other driver rear-ending our client’s vehicle. Because of our due diligence and retention of a private investigation firm, we were able to obtain a settlement for a car accident of $375,000 on our client’s behalf. The case was settled on September 12, 2017. Passionate Representation for Injured Victims in Fishkill, NY At Michael A. Fakhoury, ESQ., P.C., we offer efficient and reliable legal services to injured clients. If you or a loved one have suffered an injury in a car accident, slip and fall, or other type of accident, we can help. Our Fishkill personal injury attorney has nearly 2 decades of legal experience. From start to finish, we can investigate the incident, gather evidence, and represent you tenaciously in court as you pursue the financial relief you need for medical bills, lost wages, pain and suffering, and other damages. If you’re facing financial challenges in Billings, it’s essential to have a trusted legal advisor on your side. At Fakhoury Law, our Billings bankruptcy lawyers have the knowledge and experience to help you overcome your debt and regain control of your finances Contact us today for a free consultation, and discuss your case with our experienced legal advocate.
Top Rated Chapter 13 Bankruptcy Lawyer
Get A Free Consultation With A Chapter 13 Bankruptcy Lawyer Finding yourself in financial distress can be extremely trying for you and your family, especially as economic conditions worsen. At Michael A. Fakhoury, Esq., P.C., I have seen virtually every situation which brings someone to consider filing for bankruptcy. Whether you have recently had an increase in debt due to a loss of job or medical issues, chapter 13 bankruptcy lawyer can help you explore the possibility of filing for debt relief under Chapter 13 bankruptcy. I have nearly 20 years of experience in the field of bankruptcy law and am the former president of the Hudson Valley Bankruptcy Bar Association. My debt relief agency helps people file for relief under the bankruptcy code. Contact 845-896-5200 for a free consultation to inquire about Chapter 13 bankruptcy and your debt situation. Determining If Chapter 13 Is Right For You The people who qualify for Chapter 13 bankruptcy are those who have some income or an ability to make payments towards a portion of their debt. If you have non-exempt assets that you would lose in Chapter 7, Chapter 13 bankruptcy may be the right answer for you. Additionally, filing for bankruptcy can immediately halt any type of collection attempts if you are currently at risk of losing your car or home. Filing for Chapter 13 bankruptcy can immediately stop: Can IRS Debt Be Discharged In Chapter 13 Bankruptcy? When filing for Chapter 13, your debts will be arranged into two categories: priority and nonpriority. Priority tax obligations cannot be outrightly discharged in your Chapter 13 bankruptcy filing. Instead, they must be repaid across your three- or five-year repayment plan. Tax debt or other tax obligations owed to the IRS are typically priority and therefore cannot be discharges, but there are exceptions. IRS debt can be considered nonpriority if: Under these special exceptions, you could potentially have the majority of your IRS debt discharged in Chapter 13, while only repaying the remaining priority tax debt. As your Fishkill and Dutchess county Chapter 13 attorneys, we can help you sort through and understand your debts owed to the IRS, so you know just how much is capable of reduction and discharge. Meet With A Trusted Local Debt Relief Agency Trying to avoid debt collectors can be both stressful and prove impossible, especially as you find yourself deeper in debt. If you are facing foreclosure, repossession, or wage garnishment, it is imperative that you do not waste any more time before seeking representation. Chapter 13 bankruptcy lawyer can help you determine if filing for Chapter 13 bankruptcy is right for you. If you decide to move forward, I can guide you through the complex steps involved in the process. Why Hire a Chapter 13 Bankruptcy Lawyer Hiring a bankruptcy lawyer is perhaps the single best thing you can do to relieve yourself of the strain and allow them to guide you through the complicated maze that is bankruptcy. How to Hire Chapter 13 Bankruptcy Lawyer Schedule a free consultation with for Chapter 13 bankruptcy lawyer via Fakhoury Law. This meeting allows you to assess the lawyer’s understanding of your case, their communication skills, and whether we are aligned with your needs. Choosing a Chapter 13 bankruptcy lawyer from Fakhoury Law involves researching their qualifications, assessing personal compatibility, and understanding financial commitments. With the right lawyer, you can navigate the complexities of bankruptcy with confidence and support. Would you like to learn chapter 13 bankruptcy lawyer can do to help? Call a Fishkill bankruptcy attorney now at 845-896-5200.
Chapter 7 Bankruptcy Lawyer In Fishkill
Debt Relief Through Liquidation Bankruptcy Individuals and families may find themselves deep in debt for a variety of reasons, from job losses to medical emergencies. If you are struggling to stay on top of your bills and want to seek financial relief, you may want to consider filing for chapter 7 bankruptcy lawyer. It is a common myth that filing for bankruptcy is the end of the line when it is actually a chance for a new beginning and a fresh financial start. Turn to a Fishkill and Dutchess County bankruptcy attorney. Turn to Michael A. Fakhoury, Esq., P.C. Call 845-896-5200 to get started with a consultation. Benefits Of Chapter 7 Bankruptcy chapter 7 bankruptcy lawyer bankruptcy is one of the most common forms of bankruptcy for a reason. Known as the liquidation option, chapter 7 bankruptcy lawyer is appropriate for individuals who do not have sufficient disposable income to pay back debt. If you do not have a lot of assets you wish to hold onto or minimal income, this may be the most efficient solution for you. Filing for Chapter 7: Requirements Of Filing For chapter 7 bankruptcy lawyer Not everyone can qualify for chapter 7 bankruptcy lawyer, which is why it is important to meet with a Fishkill bankruptcy lawyer to discuss your options. You will need to take a means test to determine that your income is less than the median of households of the same size in New York. If you pass the means test, the bankruptcy court can move forward with your bankruptcy petition. Although chapter 7 bankruptcy lawyer does not have minimum income requirements, it requires that you sell (or liquidate) all of your non-exempt assets. You will have to be willing to let go of most of your non-essential possessions in order to make this work. Once your non-exempt assets have been liquidated, you will have most of your unsecured debt discharged. Can You File Chapter 7 On Your Own? While it is possible for you to file for chapter 7 bankruptcy lawyer bankruptcy without an attorney, there are certain situations in which it would be highly beneficial to retain a bankruptcy lawyer: As a New York chapter 7 bankruptcy lawyer bankruptcy lawyer, I can help you undertake the bankruptcy process and ensure that you obtain the best results possible. Does Chapter 7 Discharge IRS Debt? According to the IRS, liquidation under chapter 7 bankruptcy lawyer is a common form of bankruptcy. Chapter 7 bankruptcy is available to those who can’t make regular payments toward their debt. At the conclusion of your Chapter 7 bankruptcy, you will receive a discharge of debt. A discharge releases the debtor from personal liability for certain dischargeable debts. Some taxes may be dischargeable. Every bankruptcy case is different, so we encourage you to reach out to our Fishkill chapter 7 bankruptcy lawyer bankruptcy lawyer for more information about your specific situation. We have the experience you need to obtain financial relief. My debt relief agency helps people file for relief under the bankruptcy code. Call the office at 845-896-5200 to begin. You can also fill out our online contact form.
Get A Free Consultation With A Chapter 13 Bankruptcy Lawyer
How to Get Free Consultation Finding yourself in financial distress can be extremely trying for you and your family, especially as economic conditions worsen. At Michael A. Fakhoury, Esq., P.C., I have seen virtually every situation which brings someone to consider filing for bankruptcy. Whether you have recently had an increase in debt due to a loss of job or medical issues, I can help you explore the possibility of filing for debt relief under Chapter 13 bankruptcy with free consultation. I have nearly 20 years of experience in the field of bankruptcy law and am the former president of the Hudson Valley Bankruptcy Bar Association. My debt relief agency helps people file for relief under the bankruptcy code. Contact 845-896-5200 for a free consultation to inquire about Chapter 13 and your debt situation. Determining If Chapter 13 Is Right For You The people who qualify for Chapter 13 bankruptcy are those who have some income or an ability to make payments towards a portion of their debt. If you have non-exempt assets that you would lose in Chapter 7, Chapter 13 may be the right answer for you. Additionally, filing for bankruptcy can immediately halt any type of collection attempts if you are currently at risk of losing your car or home. Filing for Chapter 13 can immediately stop: Can IRS Debt Be Discharged In Chapter 13? When filing for Chapter 13, your debts will be arranged into two categories: priority and nonpriority. Priority tax obligations cannot be outrightly discharged in your Chapter 13 bankruptcy filing. Instead, they must be repaid across your three- or five-year repayment plan. Tax debt or other tax obligations owed to the IRS are typically priority and therefore cannot be discharges, but there are exceptions. IRS debt can be considered nonpriority if: Under these special exceptions, you could potentially have the majority of your IRS debt discharged in Chapter 13, while only repaying the remaining priority tax debt. As your Fishkill and Dutchess county Chapter 13 attorneys, we can help you sort through and understand your debts owed to the IRS, so you know just how much is capable of reduction and discharge. Meet With A Trusted Local Debt Relief Agency Trying to avoid debt collectors can be both stressful and prove impossible, especially as you find yourself deeper in debt. If you are facing foreclosure, repossession, or wage garnishment, it is imperative that you do not waste any more time before seeking representation. I can help you with free consultation to determine if filing for Chapter 13 bankruptcy is right for you. If you decide to move forward, I can guide you through the complex steps involved in the process. Book your free consultation today.
Discharging IRS Debts Under Chapter 7 And Chapter 13 Bankruptcies
Chapter 7 And Chapter 13 Bankruptcies Sometimes life throws unexpected challenges at you that result in costly consequences. Economic conditions beyond your control can force your employer to lay off employees. You or a loved one could also suffer an unforeseen injury or illness, eating up a substantial part of your budget. Life can happen to the economically prudent and casual alike. Sometimes people have the misfortune of experiencing a series of unlucky events, causing them to incur substantial debt. Fortunately, U.S. bankruptcy law provides people with a legal remedy to halt the spiral of debt before it spins out of control. This article explains how certain debts are discharged if you file for bankruptcy under either Chapter 7 or Chapter 13 bankruptcies code. Chapter 7 and Chapter 13 Bankruptcies Filing for either Chapter 7 or Chapter 13 Bankruptcies acts like an emergency brake for a runaway train. By filing for bankruptcy, the petitioner avoids incurring greater debt and gives them the opportunity to repay their existing obligations to creditors. Under Chapter 7, the petitioner’s assets are temporarily controlled by a court-appointed “trustee in bankruptcy.” A Chapter 7 bankruptcy trustee can liquidate your assets to satisfy outstanding debts. In contrast, under Chapter 13 bankruptcies, the petitioner’s assets are not placed in trust with the bankruptcy court. Instead, the court overseas a repayment plan based on your current level of income. Filing for bankruptcy initiates an automatic stay on any legal action to collect on your debts. In other words, creditors cannot take further action to collect on your existing obligations while bankruptcy proceedings are in effect. The Interest on obligations will not accrue during the automatic stay. Discharging Debts under a Chapter 7 or Chapter 13 Bankruptcies Another important consequence of filing for bankruptcy relief is that certain debts are discharged (wiped out) by the time proceedings are complete. Obligations that qualify as “priority unsecured debt” are generally not dischargeable. Debts such as alimony, child support, and tax obligations are priority unsecured debts. However, certain tax obligations may be discharged in bankruptcy. You can discharge debts for federal income taxes under a Chapter 7 or Chapter 13 bankruptcies if they meet the following requirements: Consult an Experienced Fishkill Bankruptcy Attorney Today At the office of Michael A. Fakhoury, ESQ., PC, we understand how overwhelming financial trouble can be. There is a certain stigma associated with the notion of filing for bankruptcy. However, monetary problems and debt issues can happen to anyone regardless of how careful and prudent you are with your personal finances. Our legal team is here to guide you through each step of the process to make sure you understand how the bankruptcy procedure can benefit you, and what the full extent of your responsibilities during and after the bankruptcy process are. To arrange a free consultation regarding chapter 7 and chapter 13 Bankruptcies with an experienced Fishkill bankruptcy attorney, call the office of Michael A. Fakhoury, ESQ., PC or contact us online today.
