The Internal Revenue Service (IRS) may seize a tax refund at any time. Sometimes this is done in error.<\/p>\n
Filing bankruptcy does not stop the IRS from collecting tax refunds before the process is started. What many people do not realize is that if the bankruptcy trustee is the one behind the seizure of a tax refund, the refund will not be forthcoming. It will be used to pay creditors. On the other hand, if the bankruptcy trustee did not seize the tax refund, the seizure can be corrected.<\/p>\n
When it comes to bankruptcy, the courts view the IRS as a creditor, just like any other bank, credit institution or company that is owed money. If the IRS moves to seize someone\u2019s tax refund, they must advise the individual of their actions, and include the reason for doing so. For example, if the reason is to pay back taxes, written off (more…)<\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":" The Internal Revenue Service (IRS) may seize a tax refund at any time. Sometimes this is done in error. Filing bankruptcy does not stop the IRS from collecting tax refunds before the process is started. What many people do not…<\/span><\/p>\n