Unless the Mortgage Debt Relief Act of 2007 is extended, distressed homeowner’s face the risk of the imposition of income taxes on the discharged mortgage debt upon a short sale, short refinance or foreclosure.  The lack of the extension of this provision has resulted in the decline in the number of short sale.The debt forgiven by the mortgage lender as part of a short sale, short refinance,  or foreclosure, could result in “cancellation of indebtedness” income.  There are though various exceptions to the application of this rule so as to avoid income taxation, such as a.

Here at Shenwick & Associates, many of our personal bankruptcy clients have issues with tax debts that they're looking for our guidance on. The issue of taxes in bankruptcy is a complex one that we've covered in a prior post.

Columbus Blue Jackets defenseman Jack Johnson has filed for bankruptcy, according to the Columbus Dispatch.
Johnson, 27, is in his ninth NHL season. He is slated to earn $5 million this season. However, due to his parents' mismanagement, he won’t see a dime.

By Glenn Blain

ALBANY - New York's highest court handed a victory to tenants in rent stabilized apartments Thursday when it ruled their leases could not be seized as assets in bankruptcy proceedings.

The Court of Appeals, in a 5-2, decision sided with a 79-year-old Manhattan widow's argument that her rent-stabilized lease was a public assistance benefit and not an asset that could be liquidated as part of her bankruptcy case.

Every American of a certain age knows what a FICO score is. A FICO score is the measure by which your credit rating is judged, and it can affect every area of your life. However, there may be relief on the horizon for some people. After studies conducted by the Consumer Financial Protection Bureau and a period of re-evaluation, the mechanic for calculating FICO scores is being upgraded and made more exact, which will improve some scores noticeably.
Debts Are More Complex

For the holidays, we’re offering Saturday bankruptcy consultations. If you are in financial trouble, you hate to lose time from work to talk to a lawyer about bankruptcy.  Especially around the holidays, when you already have so much going on.

When you have filed for Chapter 7 or Chapter 13 bankruptcy, you always hope to not spend very long in trusteeship. When you receive a discharge, it means that essentially, your life is your own again. There are certain factors in your bankruptcy case that will govern how long it will take you to receive a discharge.
A Bankruptcy Timeline

Excessive debt is one of the major reasons why people file for bankruptcy. In many cases, the excessive debt is the result of paying for necessities such as medical bills and vehicle repairs. While there are some exceptions, most credit card debt can be wiped clean with Chapter 13 and Chapter 7 bankruptcy. Chapter 7 Bankruptcy […]

Excessive debt is one of the major reasons why people file for bankruptcy. In many cases, the excessive debt is the result of paying for necessities such as medical bills and vehicle repairs. While there are some exceptions, most credit card debt can be wiped clean with Chapter 13 and Chapter 7 bankruptcy. Chapter 7 Bankruptcy […]

The Bankruptcy Courts in Miami has recently started a new program to help people get a mortgage modification in your to help them save their home from foreclosure with the assistance of the bankruptcy court as part of their