Question Filing income tax after bk

[cj1234]

My chapter 7 bk was discharged in March, 09. Will the discharged amount have to be claimed as income on my income tax returns. I am currently unemployed since Sepr 08, I don't know how I will pay. I heard rumors that this must be claimed. Is this true. Thanks for your help.

I searched but could not find answers.

Thanks

[CityFarmer]

Take a look at this IRS publication: http://www.irs.gov/pub/irs-pdf/p908.pdf

Debts discharged in bankruptcy are not considered taxable income.

[backtoschool]

Debt discharged in bankruptcy is not taxable income. Debt forgiven in debt settlement outside of bankruptcy is considered taxable income. That is one of the benefits of filing for bankruptcy over simply settling debts with creditors.