defaulted IRS installment agreement and impending chapter 7?

[hhwwe2]

Hi,

I owe @ 24,000 to IRS and have defaulted multiple times on my installment agreement.I have decided to finally file chapter 7 but need a month and a half to get my income lowered to the state median to qualify. I didn't time things correctly and received my notice of intent to levy from IRS. I need to get a new agreement but after chapter 7 will only owe @ 8,000.
My goal was to wait til then but am afraid they may try to garnish me before then.I want my payment amount based on 8,000 not 24,000 obviously.
Should i just wait or tell them i am planning to file and risk them trying to take a last grab at my check? I have nothing but a paycheck for them to take.

thanks

[StartingOver08]

Why can't you file your Ch 7 now? You do not have to be under median to be in a Ch 7 - you just need a decent attorney, not a mill attorney.
I and many others on this board filed successful ch 7's with over median income. The key is a good attorney.

If you still want to wait until your income drops below the median, then by all means go to your local office and work out another installment agreement to stop the levy. Don't do this by phone. This may buy you your time that you need. Once you file, the agreement is terminated anyway. Once you file your Ch 7 and get a discharge, THEN you go in and make a new agreement for the $8k.

Of the two options above, your best option is to file BK now IMO. Have you discussed this with your current attorney? Is he the one saying to wait to file?

[AngelinaCatHub]

Startingover08 is correct. They will tell you not to pay anything while in the automatic stay.

Pray tell, how are you getting IRS in 16K removed? Unless it is over three years old, we have to pay the whole thing 27K. I'm down to 17K now. How to do that? 'Hub

[gmk]

Soon after we filed BK we received an interesting letter from the IRS on back taxes we were already in an installment plan on. The letter said to stop paying during and that there was a possibility of entering into another installment arrangement when BK was finalized. The letter also stated that if we voluntarily continued to pay toward the installment plan it would continue post BK.

[hhwwe2]

?

I can't file now because I'm concerned about passing the means test if I'm over the median income.I stay with family and have few expenses with actual proof.I wanted to qualify mostly on being under the median so they don't dig too deep and risk not being able to do chapter 7.
I am aware that ANY new agreement would be be defaulted upon filing and i wouldn't have to pay until it was finished.However, I've already defaulted on my current one and have about 45 days before i can file. I just don't want them trying to take my check before then. but i also don't want to tell them i'm planning to file as they may try to take a swipe before i actually do.

I owe for 4 years. so 3 of them i can include in bankruptcy. i'd wait another year but with a couple of garnishments from others it isnt worth it.