It's a matter of timing. And that timing depends on whether you previously filed under Chapter 7 or 13, and what you are filing under now.
If you're considering filing bankruptcy, what debts can you incur and which should you avoid? What are the possible consequences?
Usually if you don'='t list a debt, it doesn't get discharged. An exception is if the creditor still learns about your case, on time.
Writing off a student loan in bankruptcy requires showing "undue hardship." What is that?
With smart timing you can discharge--legally and permanently write off--more income tax debts, even with a standard Chapter 7 case.
What if you have some income tax debt that qualifies for discharge but one (or more) tax year that doesn't? Does Chapter 7 ever help enough?
Chapter 13 is very different from Chapter 7 "straight bankruptcy." It buys you time to deal effectively with your special debts.
In our example about the adversary proceeding about whether a debt gets discharged, here are the creditor's and debtor's closing arguments.
If a creditor objects to you writing off --discharging--a debt in a Chapter 7 bankruptcy on grounds of fraud, here are your practical options.
Sue a creditor to confirm that a debt will be discharged, or to punish the creditor for violating the automatic stay or the discharge order.
Chapter 13 payment plans usually have you pay something to all of your creditors. But not necessarily. Certain creditors may get nothing.
Property and possessions that you have a shared interest in can be the kind you don't think of as yours for bankruptcy purposes.
In most straightforward Chapter 7 cases all debts not secured by any collateral are discharged--forever written off. You pay nothing on them.
Bankruptcy can't write off certain kinds of debts. Chapter 13 enables you to prevent liens hitting your home from those debts.
Bankruptcy can't discharge--permanently write off--criminal debts, but it can still help in indirect but potentially game-changing ways.