Phoenix Bankruptcy Law News

Do I Still Owe Taxes After Bankruptcy?

Does bankruptcy relieve your tax obligations? It's a common question debtors ask this time of the year.

Whether you owe taxes after bankruptcy will depend on a variety of factors, including the type of bankruptcy case you filed and the type of tax obligation at issue.

In some circumstances, bankruptcy law permits the discharge of tax debt. Generally, it's more feasible in Chapter 7 than in Chapter 13 bankruptcy.

3 Lessons From Mt. Gox Bankruptcy

Mt. Gox was a leading Bitcoin exchange that recently filed for bankruptcy protection, TechCrunch reports.

Though the company filed for bankruptcy in Japan, its filing serves as a cautionary tale to business owners in the U.S. about bankruptcy issues that come with entering highly volatile financial arenas of business.

Here are three legal lessons from Mt. Gox's bankruptcy filing:

85% of Arizona Bankruptcies Were Chapter 7 in 2013

Arizona residents file for Chapter 7 bankruptcy far more than they do Chapter 13, according to the U.S. Bankruptcy Courts' statistical findings for 2013.

According to these statistics, 19,513 residents filed for Chapter 7 bankruptcy in the state last year. By contrast, only 2,935 individuals filed for Chapter 13 bankruptcy. Why the stark divide between Chapter 7 and Chapter 13?

Here are a few reasons why people might favor Chapter 7 over other forms of bankruptcy:

What Is Bankruptcy Court?

Bankruptcy courts have exclusive power to hear all bankruptcy cases. Judges in bankruptcy court are authorized to make the final decisions on your case.

Bankruptcy courts operate on a federal level. In Arizona, there are five federal court locations throughout the state that hear bankruptcy cases. Although federal laws govern bankruptcy proceedings, there are local rules and exemptions that apply only in Arizona.

So how do bankruptcy courts fit into the overall justice system?

Bankruptcy Filings Lowest in Years, Who Still Needs to File?

Good news for Arizona -- bankruptcy filings are low this year. In fact, 2013 marks the lowest number of filings since May 2008.

This year 16,425 Arizonians filed for bankruptcy, compared to the 20,156 filings in 2012, according to AZCentral. Specifically in the Phoenix metro area, bankruptcy filings were down 19.1 percent this year.

While the drop in bankruptcy filings may be a sign of better financial times ahead, it's still important to know what to do if you ever need to file.

What Documents Are Needed for a Basic Bankruptcy Case?

What documents do you need for a basic bankruptcy case in Arizona? Bankruptcy isn't easy to come to terms with for many who decide to file. The process and knowing what documents you should file shouldn't be adding to your stressful situation.

When you file for bankruptcy, you'll be asked to disclose a certain set of documents regarding your financial situation. Here's a general overview of what you'll likely need when filing for bankruptcy in Arizona:

Do Married Couples Have to File Joint Bankruptcy?

If a spouse needs to file bankruptcy in Arizona, does that mean that a married couple in Arizona has to file jointly?

Joint bankruptcy is an option available for married couples, allowing them to file with one petition. When spouses file jointly, their property and debts are combined into the same bankruptcy filing. This may be ideal for married couples who have already combined their assets. However, if one spouse wants to own the responsibility of filing bankruptcy, without obligating his or her spouse, joint bankruptcy may not be appropriate.

Can a Landlord Evict a Tenant in Bankruptcy?

Evicting a tenant going through bankruptcy is a sensitive matter. Whether a tenant has filed for bankruptcy before or after an eviction judgment affects the steps a landlord must take to regain possession of the rental unit.

Here are the general rules on if and when a landlord can evict a tenant in bankruptcy:

3 Ways to Modify Your Chapter 13 Bankruptcy Plan

During a Chapter 13 bankruptcy, you don't fork over any property, but instead make a structured repayment plan. In an ideal world, you pay off your debts in three to five years, and that's that. But certain situations can make you fall behind in your repayment plan payments. Fortunately, there are a number of ways to accommodate such circumstances.

Here are three potential ways to modify your Chapter 13 bankruptcy plan:

3 Things to Know about Chapter 13 Bankruptcy

We know that filing for bankruptcy is never a pleasant experience, but it is often the most prudent way to get your finances back in order. Between March 2011 and March 2012, over 79,000 people filed for Chapter 13 Bankruptcy in the 9th Circuit.

With so many individuals choosing to file for Chapter 13 Bankruptcy in Arizona and elsewhere in the 9th Circuit, you should be keep in mind these three things before, during, and after you choose to file.