State Didnt file Claim!

[MajorMike]

I have a lien on my credit report for the State of Alabama for unpaid taxes that I protested and they stated I owed it, regardless ( long story ) but the date for filing claims has past. What happens to this? Does it just get discharged in 5 years and because they didn't file a claim, they don't get anything? I know it comes off your credit once it is paid, but it wont be since they didnt file a claim.

[HHM]

What is the lien against, you home, personal, what?

Long story short, liens survive BK (even chapter 13's). So, that lien will still be there in 5 years.

FYI, "You" can file a claim on behalf of a credit. Plus, if this is a govt. entity, I think they get longer to file a claim (or maybe that is just the IRS). Thus, if this is a debt that needs to be paid, you can file a claim on their behalf.

[MajorMike]

It's not against anything. It's just listed on my credit report. How do I file a claim for them? what happens if nothing gets paid??? Wouldnt it get discharged like the other stuff?

[MajorMike]

What is the lien against, you home, personal, what?

Long story short, liens survive BK (even chapter 13's). So, that lien will still be there in 5 years.

FYI, "You" can file a claim on behalf of a credit. Plus, if this is a govt. entity, I think they get longer to file a claim (or maybe that is just the IRS). Thus, if this is a debt that needs to be paid, you can file a claim on their behalf.

Well my BK is 5 years, so that makes sense. Does it come off after that?

[biotechsolution]

I'm almost positive that state taxes follow the guidelines for federal taxes. So if they had filed a valid lien before you filed for bk the liens will survive you bankruptcy filing so even after your discharge the dollar amount that you exempted is subject to collection on behalf of the lien.

They can't take any property you acquire after your filing but any property (dollar amount) that you exempted prior to your filing is fair game in collection of the lien.

They don't need to file a claim to collect post-discharge.

Just remember that they could tax on insterest and penalties in that 5 year time frame if the debt isn't dischargeable.

If they filed lien then those taxes would be considered secured debt.

[MajorMike]

I put them on my BK when I filed. They should be included in my BK but they did NOT file a claim. This is what is confusing. We don't have property.
It's only $650 or so. If they follow the same guidelines that federal taxes do, then I better file a claim for them so they get paid during my BK, right?

How do I go about filing a claim for them?

[MajorMike]

anyone?

[lrprn]

anyone?

Government entities do have longer to file claims in Ch 13 - 120 days - but you are past that. What does your lawyer say?

[krielly]

[ruggal]

Mike,

I'm in a similar boat, feeling like there's no paddle. I listed our state as a priority debt (trust fund taxes from failed business), notified the caseworker verbally, and in writing on two occasions. They were notified by my attorney and the BK courts. NO claim filed.

They have however, sent me several letters threatening to garnish wages, attach liens, and sieze assets since the BK was filed in May 07. The last letter prompted my attorney to file a motion on them for violating the automatic stay, feeling this may get their attention. Additionally, they have added over $2000 in penalties and interest since the filing ($4500 debt). I would think in your case with such a small amount, filing a claim on their behalf for $600 may be the best route to end this. What does YOUR attorney say? I'll be interested in hearing how your case goes, as I have noticed many similarities in our cases.

I am a 36 month plan (below median at the time of filing), but would be extended severely IF the state keeps operating like this.

[MajorMike]

My attorney isn't responding but it's for taxes ( income ) from 2003. They did an audit and wouldn't accept our proof for deductions so sent us a tax bill which we kept disputing. We didn't get alot of their mail because we moved and they never sent the mail certified. They pretty much said..too bad. We got on a payment plan at $100/mo. It was originally $1200 and there is about $6-700 left. I'm going to call the state right now and tell them file a claim.

[krielly]

Let us know how it works out! Good luck!!!!!!!!