A large percentage of my bankruptcy clients have large tax debts. Certain Federal taxes are easy to discharge but State of Oregon taxes are another story. A little bit of good next came out of Salem Oregon earlier this month; the Governor signed into law a tax amnesty program designed to reduce the back interest and penalty's that are due and set up a payment plan for the balance. For those in active bankruptcy filings there are some special requirements and you should talk to a knowledgeable bankruptcy lawyer about this program and what it might mean for your Chapter 7 or Chapter 13 filing; but if a bankruptcy is not able to help your State tax debt then this program might be helpful for you.
-A bank is a place where they lend you an umbrella in fair weather and ask for it back when it begins to rain.
