Are you telling me filing for Bankruptcy can actually stop the IRS in its tracks?
Bankruptcy stops the IRS collection actions in its tracks. It does not stop the IRS from assessing the amount of tax debt due.
If the IRS filed a lien with the County Recorder in the County you live in then the lien attaches to all your property, personal and real.
There are several ways to handle tax liens, old income tax debt, and trust fund business tax debt through bankruptcy. Motivational speakers often ask the question ‘How do you eat an elephant?’ The answer is one bite at a time. Tax debt can seem like an elephant is sitting on top and crushing you. Tax relief through bankruptcy is complicated. If the petition is filed one day too soon, a whole year of taxes can be forever non-discharged. Our office offers a Tax Dischargeability Analysis. If you have tax debts it is wise to request a Tax Dischargeability Analysis before your file bankruptcy.
If you choose to deal with tax debt outside of bankruptcy the burden of proof is on you to prove you do not owe the debt to the IRS, if you choose to deal with tax debt through your bankruptcy the burden of proof is on the IRS to prove you owe the debt.
So can you stop the IRS in its tracks? Yes, with competent counsel and correct planning.