Bankruptcy

The new Bankruptcy Reform law is now in effect. Based on the big rush to file under the old law by Friday, October 14, 2005, the courts are now backed up with over 300,000 bankruptcy filings. Large banks and credit card companies can now use the Federal government as their collection agency.

The new law requires most wage earners to file a Chapter 13 payment plan, rather than a Chapter 7 liquidation plan. It also requires you to pay for, and attend, a financial counselling program before filing. The new law has many changes relating to writing off income taxes. Bankruptcy filing It is no longer a simple matter. And attorney fees will be higher.

Bankruptcy should never be your first choice, but you must give it consideration. You will have to analyze and plan very carefully to see if you will qualify. I can help you with that analysis.

But, remember, as a minimum, under the new law, you MUST file at least the last four years of your missing tax returns. You can call me for that help right now.