• 9 month automatic discharge for 1st time bankrupts who fulfill all their duties and who do not have surplus income according to the standards.
  • 21 months for 1st time bankrupts who fulfill all their duties and who have surplus income according to the standards.
  • 24 months for 2nd time bankrupts who do not have surplus income according to the standards.
  • 36 months for 2nd time bankrupts who have surplus income according to the standards.
  • Bankrupts with a personal income tax debt of $200,000.00 or more representing 75% or more of total unsecured claims are not eligible for an automatic discharge. They must go to court for an adjudication.

Note: The trustee at the 8th month, (for first time bankrupts), and at the 23rd month, (for second time bankrupts), will determine the average income over the 8 or 23 months. That will be the deciding factor in terms of whether the bankruptcy will be extended or if it will be limited to 9 or 24 months.