So, I need to file my 2023 income taxes before the October 15 deadline, but I’m in the middle of bankruptcy right now. All my assets have been sold off, and my bank accounts are empty, so I literally have no money to pay the federal income tax due. Do I still need to file or should I wait? Any advice would be super helpful.
Should I file my 2023 taxes while in the middle of bankruptcy... anyone else in a similar situation?
Yeah, I’ve been through something similar. Honestly, it’s better to file your taxes than to not file at all. I’ve heard that not filing can get you into way more trouble. Definitely better to owe than not file.
Yeah, same here. I filed my taxes even when I was in bankruptcy. They already know about it, so there’s no need to mention it again when mailing the return.
I think it’s smart to file. You might not be able to pay, but at least you won’t risk penalties or a referral to the IRS or Department of Justice. Those guys aren’t fun to deal with.
Just FYI, when you’re in bankruptcy, you can actually ask the IRS to consider your tax debt ‘uncollectible’ if you can’t pay. You just have to file and explain the situation. It might be worth looking into.
Honestly, it’s just better to file and get it over with. The IRS might give you a hard time, but at least you can negotiate a payment plan or something if needed. Just don’t ignore it.