Paying Taxes with a Credit Card

[lostinflorida]

I used two different credit cards to pay some of 2006 taxes that were payable in April of 2007. Will those balances still be owed after filing Ch 7? How far back does a credit card company keep their records to know what you used the card for?

[diviaruba]

Per USC 523(a)(14), debts incurred to pay taxes that would not otherwise be dischargeable are also not dischargeable. If you used your credit card to pay 2006 income taxes due, that would fall under the non-dischargeable category. While technically, it should be automatic, it would, however, be up to the credit card company to object. Some do (American Express comes to mind), some don't.

[JRScott]

The cards could challenge those charges as diviaruba points out. Whether they will or not is unknown. Note that this would not reinstate the entire balance of the cards only the amount you paid for taxes using them if they did challenge successfully.