Can Non-US Citizens File Bankruptcy in Arizona?
Legal residents of the US who are not citizens yet have many questions about the laws that apply to them, their rights and obligations. Dealing with financial problems when you’re not a citizen yet will be both confusing and nerve-racking. You will be considering the possible solutions and you’ll probably be wondering whether a bankruptcy filing is viable. Let’s see can non-US citizens file bankruptcy in Arizona.
What Does the Law Have to Say?
Legal residents who are in Arizona and all other parts of the US are entitled to a bankruptcy filing under the chapter that they deem most appropriate. The law does not have a nationality requirement for the bankruptcy process.
Anyone who resides in the US, owns a home or a business in the country can go through a bankruptcy filing in the case of significant debt accumulation.
Immigrants, however, will face a completely different situation. Bankruptcies could have a negative impact on the immigration decision and the status of the respective individual in the US. The degree to which the citizenship application is going to be impacted will depend on the specific circumstances.
Immigration documents are reviewed on a case by case basis. Thus, talking to an Arizona bankruptcy attorney before going through with the filing can shed a lot of light on whether the move is the right one and if it is going to have negative implications in the long run.
The Bankruptcy Filing Process
Non-US citizens file bankruptcy passing through the same process as US citizens to secure their bankruptcy.
While many bankruptcy filing documents ask for a social security number, such a requirement doesn’t exist in the Bankruptcy Code. People who do not have a social security number will need to apply for an Individual Taxpayer Identification Number (ITIN) from the IRS. This number is to be used on all bankruptcy documents that ask for a social security number.
Proof of identity will also be needed. There are two documents that will be required. The first one is the document that contains the ITIN. In addition, an identity document that features a photograph like a passport will also be needed.
There aren’t any serious complications but just in case, you should see a bankruptcy attorney. A consultation will help you make sure that all of your documents are filled out correctly and there’s no risk of being turned down because of an error.
How about People Who Own Property but Do Not Live in the US?
There have been cases of individuals attempting to do bankruptcy filing because they own properties or a business in the US but they do not live in the country.
This is a situation that makes things more complicated.
Is it even possible to file bankruptcy when you do not live in Arizona or the US? The Arizona bankruptcy court has the right to refrain from exercising jurisdiction. While this right is not employed often, it could potentially hinder the initiation of the bankruptcy proceedings.
By law, bankruptcy protection is available to all people who own assets in the US. Such individuals qualify as debtors, even if they own a very small amount in a US bank account. Additional details can be found in 11 US Code 109.
Regardless of this fact, bankruptcy law is very complicated and decisions tend to be made on an individual basis. While a filing could be allowed in such situations, this does not mean that an Arizona bankruptcy is going to be granted.
A bankruptcy filing is a big decision, whether you are a US citizen or a resident of another country. Before going through with the process, make sure you’re aware of all the implications. While debt can be discharged, the bankruptcy could have other consequences that you’re uncomfortable with.