Does Filing for Bankruptcy stop a tax sale?
My house goes up for a tax sale this week. I am attempting to get a loan for the deliquent taxes, but I'm having trouble getting approved. I don't want to file for bankruptcy, but willing to if it stops everything. Is it possible to file, to stop the sale and then withdraw the filing later?
The law on property tax liens and sales is unsettled in bankruptcy court. In my district in Georgia, a Chapter 13 stops the tax sale and allows debtors to repay the delinquent taxes in the plan over 5 years. Some districts may not agree with permitting payment of the taxes in the plan, but may still give you 60 days after you file to pay the taxes. I also caution you not to just file and dismiss the case to stop the sale. You will be losing out on possibly having 60 months to pay your taxes and other debts. You should get 2-3 free consultations from experienced bankruptcy attorneys. So be sure the lawyer has experience in dealing with property tax sales in a Chapter 13 case. This is not the time to hire a rookie lawyer or a billboard lawyer. Use the “Find a Lawyer” tab here on AVVO to locate experienced bankruptcy lawyers in your area.
Please note this is to be considered general advice and not legal advice about any particular situation. The answering of any question does not...
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Thank you for your response and I appreciate you taking the time. Finding a lawyer has been more difficult than I initially thought it would be. The first two have missed the initial phone consults, each lawyer no showed twice. As in any profession, there are some good ones not so good ones. Thank you again.