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What Happens to Tax Debt in a Nevada Bankruptcy?

Treatment of tax debt in bankruptcy is complicated, which leads to a great deal of confusion. The common belief that you can’t discharge tax debt in bankruptcy isn’t accurate. In fact, the Internal Revenue Service (IRS) specifically calls out bankruptcy as an option for managing tax debt on its website.  But, the opposite statement doesn’t tell the whole story, either. …

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The Truth about Bankruptcy and Employment

Many people considering filing for bankruptcy protection are concerned about the effect a bankruptcy filing may have on their current employment or their future employment prospects.It makes perfect sense that a person who is facing financial challenges significant enough to consider bankruptcy would not want to make take chances with his or her employment. Fortunately, the U.S. Bankruptcy Code provides …

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Understanding the Nevada Chapter 7 Bankruptcy Process

The legal process is daunting to most people. Even being called as a witness in someone else’s civil case or being summoned for jury duty can be stressful. So, it’s no surprise that many people struggling with debt are worried about the legal process associated with bankruptcy. Often, people considering bankruptcy are especially concerned because they are uncomfortable discussing their …

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Medical Debt and Bankruptcy

The link between medical debt and bankruptcy has become surprisingly controversial over the past decade. In 2005, then-Harvard-Law-Professor Elizabeth Warren published a study concluding that about half of U.S. personal bankruptcy filings were triggered in part by medical expenses. An update published four years later put that number even higher. Quibbling over those conclusions began almost immediately and hasn’t slowed. …

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The High Cost of Being in Debt

When you’re overwhelmed by debt, it’s often difficult to look beyond the “minimum payment due” box on your bills. Constantly racing against disconnection dates, juggling payments, and fielding debt collection calls leaves little time or energy for long-term planning. Often, the loudest debt collector or the one with the most intimidating threat gets whatever funds you have on hand, re-starting …

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What are the Bankruptcy Exemptions in Nevada?

Last year, more than 8,000 Nevadans filed for bankruptcy under Chapter 7 or Chapter 13 of the U.S. Bankruptcy Code. Bankruptcy is a legal process through which Americans struggling with overwhelming debt can obtain some relief. At the end of the process, the debtor receives a bankruptcy discharge, which is a court order terminating his or her obligation to repay …

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Chapter 7 or Chapter 13 Bankruptcy: What’s the Difference?

When individuals file for bankruptcy, one of the first choices they must make is under which chapter of the Bankruptcy Code to file their case. In general, individuals choose to file either under Chapter 7 or Chapter 13. Each of these chapters provides its own set of rules and offers different advantages and disadvantages for debtors. If you’re considering filing …

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What Happens if You Forget to List a Creditor When Filing Bankruptcy?

Every bankruptcy case begins with a flurry of paperwork. In addition to the bankruptcy petition, you’ll need to file multiple schedules and other documents listing comprehensive information about your assets, debts, creditors, and other financial information. Given the complexity of the information requested, it can be easy to make mistakes. One mistake that people sometimes make when filing for bankruptcy …

What Records Will the Bankruptcy Trustee Require

The bankruptcy system is built on trust. It really isn’t designed that way, at least not intentionally, but this trust system has developed from necessity. The volume of bankruptcy cases necessitates that bankruptcy trustees accept most debtor statements without verification, and rely on the examination of a few records for the rest. Many of these records are mandated by the …

How are Debts Handled in Bankruptcy

Individuals who have been through the bankruptcy process are often happy to talk about their experiences. Usually this is not a bad thing, but sometimes it can lead to misinformation and unrealistic expectations. How your friend’s debts were treated in her case may be very different from how similar debts are treated in your case. For instance, a bankruptcy court …