Federal Taxes

[kittywalt]

I can't seem to find this answer anywhere on the web....so I am hoping that someone here knows. Does the Trustee or BK court verify the prior year tax returns with the IRS?

[ccsjoe]

Not sure if this is what you are asking, but you will furnish the trustee with a copy of your prior year's tax return. If you do not have a copy, you may have the IRS fax you a transcript, which the trustee will accept.

[wsy]

That will depend on the trustee or an audit. If there is cause to verify they will.

[tcreegan]

Hi kittywalt,

You have to furnish the last two years of tax returns to the trustee and any creditor who asks for them.

Why wouldn't they match w/ the IRS? Please, please tell me you aren't thinking about submitting false tax documents in a federal BK court.....

Tom in Colo

[despritfreya]

I can't seem to find this answer anywhere on the web....so I am hoping that someone here knows. Does the Trustee or BK court verify the prior year tax returns with the IRS?

Not exactly sure what OP is asking but the Trustee will review the return. If he picks up on the ability to amend the return so that a refund is produced, he can take steps to get the refund. For example, if the return shows a NOL carry back that was not utilized and the utilization of the same will result in a refund, he can amend the return to capture the refund. Not all Trustees recognize the issue but for those who do, depending on the amount of refund an amended return will produce, they may "employ" through a court order, the assistance of a CPA in an effort to recover the refund.

Not sure if that is what OP was getting at but. . .

Des.

[kittywalt]

More of what I am asking is My Sister In Law and Brother filed as single for 08, when they had just gotten married in that year. Now they are filing BK and want to know if they have to amend the taxes with the IRS or can they just submit corrected forms in BK?

[JSchrader]

This really goes to despritfreya's point. If amending the tax return would produce a refund, the trustee might amend to claim the refund. You probably want to determine the tax consequences of amending before making a decision.

[kittywalt]

Okay I looked at their taxes and because the husband did itemize the deductions, the refund won't change since the single and married filing separately are the same deduction if you were using the standard deduction.....so they can send in an amended tax return but nothing changes so nothing to fear, right?

[drowning123]

please, please tell me you aren't thinking about submitting false tax documents in a federal bk court.....

Tom in colo

lol!

[tcreegan]

Hi kittywalt,

Whew! Glad to see this.... More of what I am asking is My Sister In Law and Brother filed as single for 08, when they had just gotten married in that year. Now they are filing BK and want to know if they have to amend the taxes with the IRS or can they just submit corrected forms in BK?

They don't have to file an amended return just for the BK, just supply the two single returns for that year. Tax law and BK law are two different animals. To file a joint BK you don't have to have a joint tax return.

Tell them not to bother, especially since you figured out it is half a dozen of one, 6 of another...

Tom in Colo

[drowning123]

It's not like the trustees cross check. Sort of like how child support and visitation are two different things. The judge doesn't determine one based on the other.

[kittywalt]

Hi kittywalt,

Whew! Glad to see this.... More of what I am asking is My Sister In Law and Brother filed as single for 08, when they had just gotten married in that year. Now they are filing BK and want to know if they have to amend the taxes with the IRS or can they just submit corrected forms in BK?

They don't have to file an amended return just for the BK, just supply the two single returns for that year. Tax law and BK law are two different animals. To file a joint BK you don't have to have a joint tax return.

Tell them not to bother, especially since you figured out it is half a dozen of one, 6 of another...

Tom in Colo

Hi Tom, thank you for the info. Only my brother is filing since everything is in his name and without her filing at least one of them will have decent credit going forward for the time being. So with that said they only need to produce the copies of the 08 tax returns even though they filed single instead of married filing sep since they got married in June of that tax year? Just want to make sure they and I understand. Thank you again.

[tcreegan]

Hi kittywalt,

Whatever tax return has his name and social security number on it, for 2008 and 2009

Tom in Colo

[specialop99]

tcreegan, did your Brother and sister in law get their debt successfully discharged even when they were married and filed as single? It would help a ton if i can find similar cases to this.

thanks