Did you know that a taxpayer making a voluntary payment to the IRS can designate to which liability it is credited? The doctrine is called earmarking and it’s really useful when a prospective debtor owes taxes for both priority and non priority years. Absent instructions from the payor, the IRS applies payment to the oldest…
Bankruptcy lawyers occasionally are confronted with the client with more cash, or other marketable assets, worth more than the available exemptions to protect them. Here are some things to spend that currently non exempt cash on that are exempt, or unappealing to a bankruptcy trustee: Fund IRA’s Obtain cash value life insurance up to exemption…