At the young age of 73 years ,I find myself in a one heck of a spot.
Due to health problems for my wife and I, we have accumulated a $35,000 tax debt with IRS. Due to our financial condition they put me on a $75 a month payment plan. Problem is the interest and penality out weighs the monthly payment. Since I own my home the IRS placed a lien on it so if it sells , they get their 35K.
I tried to get an equity loan but since the housing market is sagging, I was refused.

QUESTION: Am I a candidate for bankruptcy? If so, what are the pros and cons?
Thanks
Capt Jim (ret)
Irving,Tx

I'm 60, recovering from Traumatic Brain Injuries sustained as the pedestrian victim of a hit-and-run incident. What I have learned since Feb.2,08 is this:
A. Bankruptsy does not releave one of IRS debt.
B. IRS can take a small (15%) percentage of SSI and any income you have while disabled.
C. I don't believe they will make you or your wife homeless.
D. When you pass away, they get their money from your estate.. (Yes, we pay taxes even after death.. )
E. Whatever real property one has, is theirs at the most favorable rate possible,. for them.
I was a U.S. Marine in VN for 8 years... mostly I Corps. in Hue during Tet of '68. None of that seems to matter. Good luck.