Texas IRS Tax Levies Bankruptcy Attorney

Even when the economy is down, the Internal Revenue Service (IRS) will continue to aggressively pursue income tax debt. One of the tools the IRS uses to recover debt is a tax levy. A tax levy is when the IRS takes possession of your financial assets or property in order to repay a tax debt. This can include withdrawing money from your bank account, garnishing your wages, and/or seizing your property. Most people do not realize that filing for bankruptcy can stop a tax levy and wipe out a tax debt in certain circumstances. At the Law Offices of Chance M. McGhee, we are skilled in helping clients stop tax levies and eliminate their tax debt through bankruptcy. We have a long track record of successfully providing tax relief to clients in debt.  Attorney Chance McGhee has handled many tax cases during his career and has help client’s discharge millions of dollars in income taxes over the past 20 years.

Automatic Stay Stops Tax Levies

When you file for bankruptcy, an automatic stay goes into immediate effect that prevents all creditors from continuing collection efforts. That includes the Internal Revenue Service ( IRS). If a tax levy is issued against you and the IRS attempts to seize your assets, filing for bankruptcy will immediately thwart that attempt. Attorney Chance McGhee is experienced in helping clients who are under pressure from the IRS.  He understands the pressure and heavy load that people experience with dealing with the IRS.   With his help, you can level the playing field and hold onto your assets and achieve a fresh start.

Eliminating Tax Debt through Bankruptcy

Most people assume that income tax debt is not eligible for discharge when you file for bankruptcy. That is only partially true. Tax debt incurred in the immediate years preceding a bankruptcy filing cannot be discharged, but older tax debts may be completely eliminated. If you owe on returns that were due to be filed more than three years before your bankruptcy filing, Chapter 7 bankruptcy and Chapter 13 bankruptcy can wipe out that debt including interest and penalties subject only to the value of a tax lien if filed.  In many cases, client’s have very few assets with little to no value or equity, therefore a tax lien has no value and is released upon receiving a discharge.   We are highly experienced in working with clients to eliminate tax debts and alleviate this very cumbersome burden. 

To learn more about how bankruptcy can provide relief from tax levies and tax debt, contact us to schedule a free initial consultation. From our San Antonio office, our firm assists clients throughout south-central Texas.