May 28, 2017

What Can I Do about a Judgment against Me in NC?

A creditor has obtained a judgment against you. That means that the judgment constitutes a lien on your real estate (land and buildings) in the North Carolina county in which the judgment was obtained and in any North Carolina county into which it has been transcribed. It also means that the judgment creditor can have the sheriff seize personal property—anything other than land or buildings, … [Read more...]

Settle Your IRS Debts for Pennies on the Dollar

​The tax return is filed and the taxpayer cannot pay the taxes. Then comes a letter from the IRS demanding payment. The taxpayer sees a nifty ad in the newspaper or on TV screaming "Settle your tax debt for pennies on the dollar!"  Should the taxpayer hold out hope for salvation? This is almost always a promise of salvation provided by unsavory operators who prey on tardy taxpayers … [Read more...]

“I Can’t Pay My Taxes”

If you figured that you are unable to pay your federal or state income taxes in full and on time, there are only five options available to you: Get current.  Some choose to get current through whatever means necessary, including a bank loan or gift from family. The IRS accepts payment by credit card. So does the North Carolina Department of Revenue (NCDOR). Be aware, though, that credit … [Read more...]

Tax Debts and Bankruptcy

The automatic extension granted to individual taxpayers just passed, which often brings calls from those who cannot pay their tax debts. As part of my bankruptcy practice, I strive to stay current on North Carolina Department of Revenue (NCDOR) and IRS policies that may affect my clients. A three-point test to discharge income taxes in Chapter 7 bankruptcy In order for income tax debt to be … [Read more...]

After Bankruptcy: Debts Die, Liens Live

There is a saying among bankruptcy attorneys:  “debts die, liens live.”  People can discharge most debts in a bankruptcy case, meaning that they are released from their personal liability for discharged debts. Creditors cannot take any action to collect a discharged debt from a debtor. But what happens to liens or mortgages on property owned by the debtor?  There are a few common scenarios to … [Read more...]