Read Our Reviews

Call Now! 855-780-4357

Supreme Court Will Decide Whether Farmers Pay Tax On Bankruptcy Sale

The Supreme Court recently granted an appeal from Lynwood and Brenda Hall, farmers who were compelled to sell their farm in bankruptcy. The farm was sold for $960,000, and the proceeds were used to resolve the Halls’ bankruptcy debts. As a result of the sale, the Halls owed $26,000 in capital gains taxes. The Halls attempted to pay a portion of the capital gains taxes, but wanted some of taxes discharged by the bankruptcy court. The IRS insisted that the entire $26,000 be paid. The case ended up in the U.S. Court of Appeals for the 9th Circuit in San Francisco. The 9th Circuit Court ruled in favor of the IRS. The United States Supreme Court granted the Halls’ petition for review, and will ultimately decide whether the taxes must be paid.

Source:

Associated Press, Supreme Court to Decide Whether Couple Must Pay Tax on Bankruptcy Sale of Family Farm, https://www.startribune.com/nation/123747189.html (accessed June 21, 2011).

Written by Hoglund Law

The attorneys of Hoglund law are licensed in Minnesota, Wisconsin and Ohio. Hoglund, Chwialkowski & Mrozik, PLLC is based in Roseville, Minnesota. In addition to handling cases involving bankruptcy & social security, Hoglund, Chwialkowski & Mrozik, PLLC handles faulty drugs and toxic exposure.

View all author posts →

THINGS TO AVOID DOING BEFORE FILING A BANKRUPTCY

THINGS TO AVOID DOING BEFORE FILING A BANKRUPTCY:

  1. Do not pay back any friends or relatives money that you owe them.
  2. Do not give away any assets to a friend or a relative.
  3. Don not sign over any titles for vehicles to friends or relatives.
  4. Do not lend any friends or relatives money.
  5. Do not put your money in a friend’s or relative’s bank account.
  6. Do not sell any of your assets to a friend or a relative.
  7. Do not charge large items on a credit card.
  8. Do not use your credit cards in any significant manner.
  9. Do not take out any loans.
  10. Do not grant anyone a security interest in your property.
  11. Do not gamble.

All of these actions can cause complications in a bankruptcy. If you are considering filing a bankruptcy you should speak with an attorney before doing anything on the this list.

Written by Hoglund Law

The attorneys of Hoglund law are licensed in Minnesota, Wisconsin and Ohio. Hoglund, Chwialkowski & Mrozik, PLLC is based in Roseville, Minnesota. In addition to handling cases involving bankruptcy & social security, Hoglund, Chwialkowski & Mrozik, PLLC handles faulty drugs and toxic exposure.

View all author posts →

Bankruptcy Filings For First Quarter Down From 2010 Levels

Based on information provided by the Administrative Office of the U.S. Courts, the number of bankruptcy filings in the first quarter of 2011 was down 6% from the number of first quarter filings in 2010. Overall, 366,178 bankruptcy cases were filed during January, February, and March of 2011. Over the same period in 2010, 388,148 cases were filed. First quarter consumer bankruptcy filings were down 5% from first quarter 2010 levels. Also, business filings for the first quarter decreased 15% from the same period in 2010. The total first quarter filings for 2011 are also down 1% from the number of bankruptcies filed in the fourth quarter of 2010.

The Executive Director of the American Bankruptcy Institute believes total filings for 2011 will end up below the total from 2010, representing attempts by consumers and businesses to decrease debt. The top five states with the highest per capita bankruptcy filing rate were Nevada, Georgia, Tennessee, California, and Indiana. Those states were ranked using filing data for the one-year period ending on March 31, 2011.

Source:

First Quarter Bankruptcy Filings Fall 6 Percent from 2010; Business Filings Drop 15 Percent,

https://www.abiworld.org/AM/Template.cfm?Section=Home&TEMPLATE=/CM/ContentDisplay.cfm&CONTENTID=63681 (accessed June 14, 2011).

Written by Hoglund Law

The attorneys of Hoglund law are licensed in Minnesota, Wisconsin and Ohio. Hoglund, Chwialkowski & Mrozik, PLLC is based in Roseville, Minnesota. In addition to handling cases involving bankruptcy & social security, Hoglund, Chwialkowski & Mrozik, PLLC handles faulty drugs and toxic exposure.

View all author posts →