It is possible for tax debt to be discharged through bankruptcy. If it cannot be discharged, it should become more manageable through the establishment of a repayment plan through Chapter 13 bankruptcy. The following criteria must be met for tax debt to be discharged:

• A filing due date of at least 3 years prior
• A tax return filing date of at least 2 years prior
• A tax assessment that is 240 days old or more
• The tax return must not be fraudulent
• The taxpayer cannot have committed tax evasion
• If the debt is from a return that has yet to be filed, it cannot be discharged

You may be concerned that filing for bankruptcy will cause your credit score to plummet. However, many people find that they actually receive offers for credit cards as soon as their debts are discharged! This is because, once your debts are discharged, you have a good debt-to-income ratio and are in a position to repay future debts. Also note that, though bankruptcy will appear on your credit report for 10 years after you file, you will still be able to take out lines of credit to purchase a house or car during this time.

In Wisconsin, you can file for Chapter 7 bankruptcy once every eight years. Where it gets tricky is trying to file for Chapter 7 and receiving a discharge, then trying to file for Chapter 13. If you file for Chapter 13 within four years of filing for Chapter 7, you cannot receive a Chapter 13 discharge. However, in this instance, you will still be eligible for protection from creditors through your Chapter 13 filing.

No. It is illegal to discriminate against someone because they have filed for bankruptcy, so your job is safe.

No, there is no minimum amount of debt required to file for bankruptcy.  

It may take a while to rebuild your credit score, but you will be eligible for loans to make purchases like a home or car soon after filing. You may also receive credit card offers in the mail after filing, because you will be in a good position to pay back future debts. That said, Attorney Michael Burr and associates will help you create a plan to build your credit back up and get on the road to financial wellness.