Chapter 7 Dischargeable Debts

Last Updated: Saturday, April 25, 2020

Our bankruptcy law firm consistently strives to educate all of our clients, as well as prospective ones, which we hope will allow them to make better, more informed decisions regarding their financial future.

Toward that end, we hope you will take the time to read the information that appears below pertaining to what debts are generally considered "dischargeable" as well as the ones that are not.

Debts That Are Not Dischargeable

The following are some but not all debts which may not be erased through a Chapter 7 Bankruptcy, subject to the specifics of your case. Please ask us.

• Debts incurred for a luxury item over $600 purchased within ninety days prior to filing bankruptcy;
• Cash advances taken on a credit card for $750 or more within seventy days of filing bankruptcy;
• Court‑ordered child support and alimony;
• Student loan debt, unless you fall within the hardship exception. Our firm handles adversary proceedings seeking to discharge student loan debt under undue hardship exceptions. Please ask us about this;
• Court‑ordered fines and criminal restitution;
• Debt from death or personal injury caused while driving while intoxicated;
• Debts not scheduled or listed in your bankruptcy paperwork may not be discharged; and
• Debts which arose after you filed bankruptcy.

What To Know About Taxes

Taxes under certain requirements are dischargeable while other taxes are not. This can be a complex subject, where professional advice is highly recommended.

In general, however, taxes which are dischargeable are: Tax return filed on time and was not fraudulent or, if the tax return was filed late, it was filed more than two years before the bankruptcy.

The tax debt is a priority claim and not dischargeable if the tax return was filed less than three years before the date of the bankruptcy petition or if the tax was assessed within 240 days before the bankruptcy petition or after commencement of the bankruptcy case.

These requirements not only affect the usefulness of a Chapter 7 filing, but can also influence the timing of a filing. These factors are something that we here at The Salkin Law Firm can discuss with you based upon the facts unique to your case.

If you are contemplating bankruptcy and would like to schedule a free, friendly, no‑obligation consultation at one of our two locations, either in Fort Lauderdale or in Gainesville, kindly call or e‑mail us at your convenience.

Please call us to schedule your appointment for a Free Bankruptcy Consultation at one of our two conveniently located bankruptcy law offices either in Fort Lauderdale or Gainesville.