Can Bankruptcy Erase IRS Tax Debt? What You Need to Know Before Filing

IRS Problem Solver

Can Bankruptcy Erase IRS Tax Debt? (The 3-2-240 Rule Explained)
Hoping bankruptcy will wipe out your IRS debt is a natural feeling, but it’s not a strategy—and it only works if your debt meets the strict 3-2-240 rule. 💡⚖️
So many people assume bankruptcy is a magic wand for tax problems, hoping for a clean slate. But the IRS follows rigid rules:
🔸 3 Years: The tax must have been due at least 3 years before filing.
🔸 2 Years: You must have filed the return at least 2 years before filing.
🔸 240 Days: The IRS must have assessed the tax at least 240 days before filing.
One client learned this too late—his bankruptcy didn’t discharge $40,000 in newer debt because it violated the 2-year rule. 👉 We helped him combine bankruptcy for older debts with an installment agreement for the rest, saving his financial future.
If you’re considering bankruptcy:
🔸 Don’t guess – Verify if your debt qualifies under 3-2-240.
🔸 Explore alternatives – Offers in Compromise, installment agreements, or Currently Not Collectible status might work better.
🔸 Get professional guidance – We collaborate with bankruptcy attorneys to build a holistic strategy.
Hope isn’t a strategy—knowledge is. DM me to see if bankruptcy is your right move.
#Bankruptcy #TaxDebt #IRS #3-2-240Rule #FreshStart #TaxHelpIf you’re struggling with IRS tax debt, you don’t have to face it alone. I help individuals and business owners stop collections, reduce tax debt, and find real solutions that fit their situation.
📌 Book your FREE consultation today and see your options: https://ghl.dgriggscpa.com/free-consu...
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