Bankruptcy lawyers regularly evaluate the dischargeability of taxes when deciding when to file a client’s bankruptcy case. At base, the 3 year rule, the 2 year rule, and the 240 day rule routinely drive timing of a bankruptcy. But as we approach the end of the tax year, a client’s current year tax situation becomes another moving part in the...
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By Henry E. Hildebrand, III, Chapter 13 Trustee for the Middle District of Tennessee
In re Stewart, No. 13-33037 HCD (Bankr. N.D. Ind. Filed August 26, 2014) (Dees). When a below-median income debtor establishes good cause permitting the extension of a Chapter 13 plan beyond 36 months, the debtor must commit all projected disposable income to the plan for the entire term of the plan.
Case Summary
Ms. Stewart filed a Chapter 13 plan as a below-median income debtor and proposed to make no distribution to unsecured creditors, pay priority claims in . . .
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Critical Case Comment
Honorable Kevin R. Anderson, U.S. Bankruptcy Court District of Utah