Are state and federal tax obligations dischargeable in Chapter 7 Bankruptcy?

In Idaho, most tax obligations are not dischargeable in Chapter 7 Bankruptcy. Bankruptcy laws specify certain taxes that can be discharged, and those that cannot, under chapter 7. State income taxes, as well as federal income taxes, are both usually not eligible for discharge in chapter 7 bankruptcy. In order to be dischargeable, the taxes would have to have been due at least 3 years before filing for bankruptcy, as well as the associated tax return must have been filed at least 2 years before the bankruptcy filing. Also, the taxes must not have been assessed within 240 days of the filing. Other taxes, such as excise taxes, transfer taxes, and property taxes are not dischargeable in a chapter 7 bankruptcy either. Sales taxes, under certain restrictions, may be eligible for discharge in some cases. In summary, the majority of tax obligations are non-dischargeable in chapter 7 bankruptcy in Idaho. Certain types of taxes, such as sales taxes, may be eligible for discharge under certain restrictions. In order to be dischargeable, taxes must have been due at least 3 years before filing for bankruptcy, as well as the associated tax return must have been filed at least 2 years before the bankruptcy filing. Also, the taxes must not have been assessed within 240 days of the filing.

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Are state and federal tax obligations dischargeable in Chapter 7 Bankruptcy?

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