Every United States person, whether citizen, permanent resident or resident alien, must file an FBAR with the U.S. Treasury Department under certain circumstances. FBAR is the Foreign Bank Account Report, or FINCEN form 114.
Some people only have to hear the words “IRS lien” or “IRS levy,” and they break out in a cold sweat. This may be because they are not quite current on their income tax obligations.
A Chapter 7 bankruptcy is designed to give the debtor a fresh start by discharging most debt. Tax debt under a bankruptcy is very complex. Sometimes, it can be discharged, but it depends on multiple factors, such as the type of tax, whether the debtor filed a return and the type of bankruptcy. For example, payroll taxes or penalties for fraud are not generally dischargeable.
Are you getting alarming notices from the Internal Revenue Service? Are they impatient for you to pay your back taxes? As a rule, nobody likes to hear from the IRS, and if you are in arrears, you are probably having some sleepless nights, wondering what to do.