Personal bankruptcy costs
$1,500-$4,000
Can You Write Off Personal Bankruptcy Costs?
Short answer: No: attorney and court fees for a personal Chapter 7 or Chapter 13 aren't deductible, and neither are payments to creditors under the plan.
Debt discharged in bankruptcy isn't taxable income, but it can reduce tax attributes like loss carryovers.
Records to keep: Keep receipts, statements, and a note of what each cost was for. Compare itemizing to the 2026 standard deduction ($16,100 single / $32,200 joint) before you claim.
Personal bankruptcy costs
Typical range: $1,500-$4,000
Individuals / Personal Taxes
No: attorney and court fees for a personal Chapter 7 or Chapter 13 aren't deductible, and neither are payments to creditors under the plan.
Business justification
No: attorney and court fees for a personal Chapter 7 or Chapter 13 aren't deductible, and neither are payments to creditors under the plan. Debt discharged in bankruptcy isn't taxable income, but it can reduce tax attributes like loss carryovers.
Category
- Personal Tax Deductions