Legal Question in Banking Law in Illinois

Reasons behind some not dischargeable items

I am thinking about the rational behind why alimony/child support, back taxes and most student loans are not dischargeable items. While alimony and child support are self explaining because the government doesn't want to take care of kids whose parents get divorced. That would put additional large burden on Federal or State budgets. But I am still not sure what makes back taxes and most of student loans not dischargeable. Could you please give me your opinion?

Thank you, Svetlana


Asked on 6/26/09, 2:25 pm

1 Answer from Attorneys
David K. Staub Staub Anderson LLC

Re: Reasons behind some not dischargeable items

At least with student loans, I think the rationale is very clear. The loans are made over a very short period of time when the recipient (the student) has no assets and no income, with the intent that the loans be repaid over a very long period of years. Presumably, the borrower's earning power is increased as a result of the education which was paid for with the loan.

Virtually every graduating college student who has loans is technically bankrupt the day he or she graduates. If the loans were dischargeable in bankruptcy, it would be very tempting for many students to relieve themselves of the long term burden they accepted when they took out the loans.

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Answered on 6/26/09, 5:44 pm


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