Ninety-nine percent of bankruptcies are “no-asset” cases. The Trustee talks to the debtor, looks at their schedules, and determines that the debtor truly has nothing worth selling. Read more »
July 16, 2021
How to Buy from A Bankruptcy Estate
Blog
Minor Child’s Account with Parent Social Security # – A Cautionary Tale
Here’s a story, with lessons, of how putting your social security number on a minor child’s account can go wrong. Read more »
July 6, 2021
Sebastian On Why Bankruptcy Is One of The Best Things You’ll Do
Many of my clients are embarrassed to be considering bankruptcy. I get it. But there’s a huge upside to bankruptcy. Don’t trust me? Why not see what Sebastian, my Feline Paralegal, has to say Read more »
June 29, 2021
Cheerleading Biden’s Increased IRS Budget Proposal
I enthusiastically applaud President Biden’s proposal to increase the IRS’s budget by $1.2 billion, or more than 10 percent over this year’s budget. In fact, call me a huge cheerleader for this proposal. Read more »
June 24, 2021
Tax Debt Non-Dischargeable in Bankruptcy, Except When…
Debtors can discharge their taxes in bankruptcy so long as they meet certain tests: the three-year test, the two-year test, the 240-day test and no fraud. I lay it out here. Read more »
June 17, 2021
IRS’ Right to Take Your Passport
Congress granted the IRS the power to revoke passports in December 2015. Under this law, if you owe more than $51,000 to the IRS, then you could lose your passport. Read more »
June 9, 2021
Considering Bankruptcy? Tip 6 – Don’t Feel Ashamed
Many clients feel shame about filing for bankruptcy protection. I can tell because they tell me repeatedly that they never thought they would be talking to a lawyer about bankruptcy, or that they fully intended to and still intend to pay their debts. Read more »
June 1, 2021
The IRS Can (Almost) NEVER Waive Interest on Late Taxes
A business-owner client recently claimed an R&D tax credit available to him. The IRS denied his use of the credit, he hired me, we went to Tax Court and ultimately won most of the issues. My client wound up owing something, just much less than what the IRS originally asserted. That made my client happy. Read more »
May 26, 2021
Considering Bankruptcy? Tip 5 – Timing Matters
Timing matters in bankruptcy. For example, if you have seasonal fluctuations in income (like teachers and realtors), then at some times of year your income may be too high to qualify for bankruptcy. But, if you wait a few months, your low-season income may qualify you. Read more »
May 20, 2021
How Inheritance Impacts Bankruptcy
It’s horrible to have a loved one die. But sometimes the death comes with a silver lining in the form of an inheritance. However, for someone with lots of debt who’s considering bankruptcy, an inheritance is a mixed blessing. It’s money that their creditors want, and are legally entitled to take. Read more »
May 12, 2021