The unfortunate reality is that many attorneys practicing bankruptcy law do not fully understand the laws regarding discharging tax debt. On several occasions in the past, clients have told me they had a consultation with another lawyer, and the lawyer said something along the lines of, "I won't give you an opinion on your tax debt," or "Just file the bankruptcy, and wait to see how the IRS responds."
If you read an operating agreement for a closely held business, it is common to find "termination on bankruptcy" language. Essentially, these contract clauses provide that a person's interest in the business is dissolved upon filing bankruptcy. These contract provisions are designed to protect the other shareholders/members in the event one of them files bankruptcy. However, the bankruptcy code will likely trump the contract provision and, therefore, the bankruptcy Court will still have control over the person's partial interest in the business.
When a person loses their home in foreclosure, they are often surprised to find that they still owe money to the mortgage company even after the bank has taken the house. This is called the foreclosure deficiency. After foreclosure, most people will still owe a deficiency, because the home does not sell for a high enough value at auction in order to pay off the entire loan balance.
If you are trying to improve your credit score, you will find tons of resources available to help. There are books, classes, seminars, online articles, credit counseling, etc. There are local companies, charitable companies, national companies, non-profit companies, etc. It can be overwhelming to know where to turn for help. In some cases, a person just needs to do something as simple as pay their bills on time. But some people require more complicated solutions that only an attorney can provide.