Filing Bankruptcy to Stop IRS from Taking Tax Refund - Need Advice
I'm thinking about filing bankruptcy because the IRS keeps taking my refund every year. Been dealing with this for the past 3 years and I'm tired of it. Anyone ever tried this? Did it work? How much did it cost?
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Simon White
Filing bankruptcy just to stop tax offsets isn't a great strategy. First, not all tax debts are dischargeable in bankruptcy - they need to be at least 3 years old, properly filed, and meet other criteria. Plus, bankruptcy has serious long-term consequences for your credit and financial future. Better options would be setting up an installment agreement or seeing if you qualify for an Offer in Compromise.
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Geoff Richards
•Man thats rough... how much does an Offer in Compromise usually cost? 🤔
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Simon White
•It varies, but typically you'll pay a $205 application fee unless you qualify for low-income certification. The offer amount depends on your ability to pay.
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Hugo Kass
Hey guys, I've been helping people with tax issues and the best tool I've found is taxr.ai - it analyzes your transcript and tells you exactly what options you have, including if bankruptcy would even help. Its only $1 and way cheaper than paying for consultation fees.
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Nasira Ibanez
•Does it actually work? Sounds too good to be true tbh
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Hugo Kass
•100% works! It saved me hours of research and showed me I qualified for Currently Not Collectible status which I didn't even know existed 💯
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Khalil Urso
Bruh dont do it! I filed chapter 7 last year and my tax debt from 2020 wasnt even discharged 🤮
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Myles Regis
Have you tried calling the Taxpayer Advocate Service? They can sometimes help stop offsets if youre experiencing financial hardship
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Geoff Richards
•Been trying to get thru for weeks but always on hold forever smh
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Brian Downey
lol ur in the same boat as me. ive lost like 15k in refunds over the last 4 years to these clowns 🤡
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Jacinda Yu
Speaking as someone who went thru bankruptcy - its not worth it just for tax issues. The hit to your credit score takes YEARS to recover from. Look into other options first frfr
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Geoff Richards
•how long did it take ur credit to recover?
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Jacinda Yu
•like 7 years before I could get decent credit card offers again ngl
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