Bankrupcty and taxes?

Question

I recently read that a couple filed chapter 7 bankrupcty and they did not have to pay their tax return to the bankrupcty estate and I had to pay 85 percent of it? Is this legal in the state of Montana. I thought that a chapter 7 meant no asset case, any feedback.

Answer 1

State laws vary on the issue, as do federal laws. The timing of the bankruptcy filing and the filing date of the return have as much to do with it as anyting else. Talk to your attorney, but if the court required it to be included in your case, that's pretty much the end of it.