Bankruptcy Tax

Vaught & Boutris LLP has unique and extensive experience in handling the tax matters in bankruptcy.  Unlike other tax firms that only provide an outside role in consulting with bankruptcy counsel, Vaught & Boutris handles all aspects of a bankruptcy case from start to finish.  The types of tax matters the firm handles in bankruptcy includes the following:

Determining the dischargeability of tax obligations in Chapter 7, Chapter 11 and Chapter 13 bankruptcies, including Federal and state income taxes, sales and use taxes, employment taxes, excise taxes and other liabilities arising under federal and state tax laws.

Litigating disputed tax liabilities in bankruptcy court, particularly where the taxes were not timely challenged administratively.  Bankruptcy Court allows an alternative forum to dispute a tax liability while under the protection of the court and without the need to full-pay the liability in order to obtain a full evidentiary hearing on the merits of the contested tax assessment.

Analyzing the tax impact of foreclosures, short sales, settled debts and cancelled debts prior to after the filing of a bankruptcy case.  As a general rule, debts discharged in a bankruptcy proceeding are not subject to taxation as cancellation of debt income.

Advising clients on the use of bankruptcy in order to develop an effective financial strategy to get a fresh start and rebuild their lives.