Monthly Archives: May 2026
Are Back Taxes Dischargeable in Bankruptcy?
Yes, back taxes are dischargeable in Chapter 7 or Chapter 13 bankruptcy, if those back taxes meet certain qualifications, including the 2/3/240 rule. Additionally, only income taxes are dischargeable in bankruptcy. The Bankruptcy Code doesn’t define “income taxes.” But the phrase definitely excludes property taxes and trust tax payments. Moreover, any verified evidence of… Read More »
Can You File Bankruptcy More Than Once in Illinois?
If you are struggling with debt, you might be wondering if bankruptcy is a one-time option or something you can use again if financial trouble returns. The short answer is yes, you can file bankruptcy more than once in Illinois. However, timing rules and eligibility requirements can affect when you can file again and… Read More »
What Happens After Bankruptcy Discharge in Chicago?
Reaching the point of discharge in a bankruptcy case can feel like a major milestone. But what actually happens next? Many people expect everything to instantly reset, yet the reality is a bit more nuanced. A bankruptcy discharge generally eliminates personal liability for certain debts under 11 U.S.C. § 727 (for Chapter 7) or… Read More »
Income-Related Student Loan Forgiveness Continues
11,000 student loan borrowers got some very good news in the mail in February 2026. Borrowers who have made payments for twenty-five years are eligible for IDR (income-driven repayment) student loan forgiveness. The Education Department stopped processing ICR discharges in early 2025 after a federal appeals court issued an injunction blocking the SAVE plan,… Read More »