Personal Bankruptcy Forum
Author:   Nancy
Date:   September 4, 2000
Question:   I am 60 years old. I am separated from my husband. I have approximately $16,000 in debt - almost entirely due to credit card debts incurred between the time I was separated and when I first got work.

In addition, I am sure I owe taxes for the year 1998. (I received about $13,000 in support payments plus I made about $11,000 doing contract work. There are reasons I did not file my tax returns (probably not good ones):

1. I did not realize that I had to pay taxes on the support income.
2. I had a breakdown.
3. I had an injury.
4. I had cancer. (I am still under the six-month plan at the Cross.)

I started working about a year ago - first part-time, then full-time. I now work for Manpower - a temporary help agency - and have worked steadily since I signed up with them.

This question: Should I file my 1998 tax return and then file for bankruptcy?

 


From:
 

Shane Brenneis, Collins Barrow Limited
Date:   September 7, 2000
Answer:   We normally recommend that all tax returns be filed before you contemplate bankruptcy so that your total debt is known. There are penalties and interest accrued if a return is filed late and these would also be known.

Shane Brenneis
phone: (403) 298-1575
sbrenneis@collinsbarrow.com




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