When someone files bankruptcy, they receive their discharge and most often, they believe that to be the end of it, aside from having to rebuild their credit rating. However, they can receive a nasty surprise at tax time, in the form of a 1099-C.
Why Call It Income?

When you are a small business owner, everything you do is intricately tied to your personal life, even if that is not your intention. If you need to file for bankruptcy due to the failure of your business, it will be no different. What many people fail to realize that if their business is a sole proprietorship, it is not a distinct legal entity from its owner. Thus, what starts out as a business bankruptcy can quickly turn into a long proceeding involving personal assets.

Teen clothing retailer Delia’s Inc has filed for bankruptcy and plans to liquidate its assets.
In its Sunday Chapter 11 filing with the U.S. Bankruptcy court, the company recorded total assets of $74 million and liabilities of $32.2 million. Additionally, Delia’s Chief Executive Tracy Gardner and Chief Operating Officer Brian Lex Austin-Gemas have resigned on Friday.

Property values in New York City are exorbitant compared to the rest of the state. Very often, a rent-stabilized or rent-controlled apartment is the only way that people in certain income brackets can live in the city proper. As such, the concept of rent control is something that matters to quite a lot of people. The question has even come before the bankruptcy court – is a rent-stabilized lease an asset in a Chapter 7 bankruptcy? Or is it a personal right that cannot be sold?

I often get questions from Oregon consumers about medical bankruptcy but there is no such thing. I think the myth that is out there is that there is some sort of specialized bankruptcy that enables the filer to get rid of medical bills only while keeping the credit cards going.

For nearly 10 years or so, there was a document filed in every bankruptcy case known as an electronic filing declaration. This declaration was signed by the debtor and it basically said that the case was being filed electronically and that the signature on such document was the equivalent of a signature on all the+ Read More

When someone decides to file for bankruptcy in New York, one of the first things they wonder about is their bank account. Will they be allowed to keep the funds they have there? Or is the account just another asset that needs to be itemized and liquidated by the bankruptcy trustee?

It turns out there’s a downside to declining the opportunity to dig yourself into a pit of student loan debt. You probably can’t afford to pay for college any other way. But is that such a bad thing?

The House of Representatives have passed a bill that will permit banks to file for bankruptcy.
The bill, passed on Monday, is known as The Financial Institutional Bankruptcy Act of 2014. It will allow financial institutions to willingly begin the process of bankruptcy, or in some instances, allow the Federal Reserve to start the process.

Yes, you can still file for Chapter 13 bankruptcy protection if you are currently unemployed or become unemployed while you are in the repayment process.  Mainly you just need to have some source of income to maintain payments into the Chapter 13 plan, even at a reduced level. We welcome your questions about filing for […]