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April 7, 2007

Debtor must provide the most recent year’s tax return

Filed under: Tax Returns — admin @ 8:14 am

The debtor is required to provide to the trustee, his or her most recent federal tax return. This item has become more difficult than providing the pay advices. Many people do not file taxes, although they are required to do so. Other people do not have to file taxes and we have to prepare an affidavit to that effect. The IRS has provided a fax number where you can fax a tax transcript submittal requests. This often takes a long time for the IRS to respond. Unfortunately, there are certain cases where we cannot wait for the tax transcript. Further, if there is a pending sale date, or a significant garnishment, we must file the case and hope that the debtor will provide that tax return in time so that the case is not dismissed.
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