Declaring Bankruptcy When You Owe Irs Tax Debt: Difference between revisions
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Revision as of 01:23, 4 October 2024
Tax, it is not a dirty four letter word, but for many individuals its connotations are far worse than any bane. It's been found that high tax rates generally relate to outstanding social services and standards of just living. Developed countries, whereas the tax rate exceeds 40%, usually have free health care, free education, systems to nurture the elderly and a bigger life expectancy than individuals with lower tax rates.
In the above scenario, decide saved $7,500, but the government considers it income. Should the amount is expired $600, a new creditor can be send which you form 1099-C. How could it be income? The government considers "debt forgiveness" as income. So how can you out of accelerating your taxable income base by $7,500 with settlement?
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