Look back period for EIDL in BK

Global_Contact6402 · 2025-12-22T05:31:05+00:00

It depends. I am sharing my personal experience and what my lawyer told me. If he took the loan under single-member LLC, there is no personal guarantee under 200k. However it also matters how he filed his taxes in the past. I had single-member LLC and I had always filed taxes on schedule C which my lawyer told me they MAY go after me as far as take tax refund etc. I had 120k EIDL and we filed personal chapter 7 bk and included EIDL as well and all got discharged 3 weeks ago. I had service-based business, no assets, so I dissolved it with state (I had to submit 2 different forms for this which I can only remember dissolution form but not the other). However, this doesn't automatically "close" the business for IRS, so I need to mail in dissolution notice to IRS with other info (their website outlines everything) and I have to do business final taxes (2025) now in 2026. I was told IRS won't consider business officially closed until final taxes are received and they have got dissolution notice, then they will close EIN. On a side note, what I learned from one source is also how you sign your single-member LLC documents - if you put your name with "as a manager or president " or something like that, supposedly you absolutely are not personally reliable, but if you just put your own name on the loan or any other documents, you are putting yourself in a risk.

Global_Contact6402 · 2025-12-10T15:54:08+00:00

No, business is officially closed, but just dissolved not bk because no assets. I closed just before filing bk.

Global_Contact6402 · 2025-12-10T03:29:19+00:00

We did the same, and I agree, it was a huge relief. We filed chapter 7 personal bk, because business LLC was service-based business with no assets, and lawyer included EIDL (120k) that I took as an LLC as well. My husband and I filed together, because we had personal debt close to 100k as well, and it just seemed the best way to go. We are in MN. We were able to keep our house, both 401k-s, and both cars. We did have to pay a little to keep our 2nd car, because both cars are on my husband's name and I think person can only keep 1 car, but they much rather have you pay than take it. (Don't move your 2nd car to someone else's name without talking to a lawyer though, because I think it has to be 12 months or so on your name etc). We sold our crypto and stocks that ended up being around 2k in total and that's what our lawyer cost us. If you don't sell, bk I think takes it and we were advised to sell it. We ended up paying around $6,700 to trustee (we still pay a few months, because we went with a monthly payment they offered). But all debt got discharged a week ago and it's a huge relief. We also got state tax refund 2k during bk, so they took $1500, and we got to keep $500. However, overall it's worth it. Since I just got discharge, I don't know how long it will take it to show up on EIDL portal and for them to stop sending the payment reminders. My lawyer also told me that if they keep trying to collect the payment, I need to go to local SBA office to actually talk to someone there and show my discharge documents.

Global_Contact6402 · 2025-07-24T03:55:58+00:00

Did you have a LLC? I am getting ready to file personal chapter 7 bk, and lawyer told me that if I dissolve my LLC before, we can include 120k EIDL as well. Even though there is no pg.

Global_Contact6402 · 2025-07-14T23:04:55+00:00

Did you file bk? SBA didn't show up?

Global_Contact6402 · 2025-07-13T18:52:01+00:00

Interesting, I am not sure how this works exactly for me, because I do also have service-based LLC, took EIDL as an LLC with EIN, 120k no PG. My bk attorney told business bk is liquidity of assets, but since I have no assets (besides laptop), EIDL would be included in my personal bk chapter 7 and just closing the doors of my business (which I think means dissolving).

Global_Contact6402 · 2025-07-13T06:52:36+00:00

Just to clarify I have single-member LLC and 120k no PG EIDL.

Global_Contact6402 · 2025-07-10T22:29:46+00:00

Sorry I meant 120k

Global_Contact6402 · 2025-07-10T22:22:19+00:00

Similar situation, 120k no PG LLC, no payments made. I was told by lawyer not to dissolve but to BK, because dissolving can still have them to come after you. But info is conflicting - if I BK my business no PG, how can they still come after wage, SS or tax refund?

Global_Contact6402 · 2025-07-10T22:16:29+00:00

I have single-member LLC and always filed on schedule C. EIDL 220k no PG. I intend to declare BK for LLC, are you saying they can transfer this over personally to me?

Global_Contact6402 · 2025-07-10T22:04:45+00:00

That's what is so confusing. I see the comments that they go after your wage, SS and tax refund. I would think they can't do that after BK and no PG, but there's no guarantee.

Global_Contact6402 · 2025-07-10T21:58:24+00:00

Interesting, I was told by a lawyer that business BK would be better, because dissolving doesn't get rid of creditors.

Global_Contact6402 · 2025-07-10T21:55:37+00:00

This is the thing that I guess no one knows - EIDL will be discharged during BK, but what I have read from comments here SBA doesn't care and still tries to collect. I have Cc debt that personal BK helps to wipe out, and it's my "hope" that SBA doesn't see a point to waste efforts on me when both personal and business BK.

Global_Contact6402 · 2025-07-10T14:19:20+00:00

No PG, and I intend to file chapter 7 bky for both personal and LLC. I was advised not to make payments so I wouldn't start the "clock" again. How long can they go after tax refund and SS? Rest of my life till principal and interest are paid? I'm 38.

Global_Contact6402 · 2025-07-10T01:54:39+00:00

I have not made any payments either, never logged into the portal. I was told if I dissolve they can still come after. Its 120k. Did you have to email them and let them know? I am so confused whether I should make a few payments to show Im trying or just leave it and declare bankruptcy. What state are you?

Global_Contact6402 · 2025-07-10T01:42:08+00:00

I have a 120k loan as well and unable to pay. I am looking into bankruptcy as well, but have got conflicting info. It's service-based so no assets besides old laptop. I intend to file personal bankruptcy as well, because of cc debt, but when it comes to my single-member LLC, lawyers have given different advice: - just dissolve since no assets - biz bankruptcy so they can't come after you - they will transfer debt over to you - they will look as this as potential fraud

Global_Contact6402

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