What would you like to do?
If you and your spouse have filed Chapter 7 then she CASHES her tax refund what will the trustee do when he finds out?
The trustee has several options, but the one you need to be concerned with is REVOKE YOUR DISCHARGE then have you charged with bankruptcy fraud by the F.B.I which rarely results it jail time, but could carry a fine up to $10,000 with a possible felony record.
If you can't afford to pay the bills you can't afford to lie to the courts either. Good luck.
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Once a chapter 7 bankruptcy case is closed can the trustee order the debtor to relinquish their tax refund if not ordered prior to closing?
I would think that to be highly unlikely. Once a case is closed, the Trustee has filed all the proper paperwork and the case is set aside, usually permanently. Unless th…ere is substancial fraud involved on your part and the Trustee gets wind of it, I'd think you are safe.
Yes, you can buy a house for cash after filing for bankruptcy. The only issue is as to where those funds came from. If they were part of your estate at the time of filing and …not disclosed, then you will have a problem.
No they do not take your refund from my experience, but they do take the state refund. If they do take it, you can contact the trustee and ask for it back. I was told as long …as the payments were being made every pay period we were okay. Hope this helps
I assume you mean "how do you keep your tax REFUND when you file a chapter 7 bankruptcy?" A tax refund is an asset of the estate and, generally, the trustee will take it. Ther…e are two ways to avoid this, first way would be to delay filing your bankruptcy petition until after you have gotten your refund and spent the money. The second way is to declare part or all of the refund to be part of your exemption, however exemptions are small and most people have other assets (like computers, wedding rings, paychecks, etc.) they want to protect with their exemptions.
Contact your local property tax department and request a copy of the form that you will need to use to file for the property tax refund or you could try and see if this could …be done online at the local property tax online website.
Kind of crazy to go to court andfile bankruptcy, begging for their protection (thats probably exactly terms in your pleading to them), and then not co-operate with them. …Your case will be dropped. You may be subject to contempt of court or even criminal charges for not obeying a court order and taking the funds. You understand the Court and Trustee are on YOUR side don't you? They're working to have debts cancelled for you so you can escape your sworn obligations to others not enough?
The obvious answer is to ask your spouse. If that is not an option, have your divorce attorney ask your spouse's attorney. You can call the IRS and ask them if by any chan…ce a joint return has been filed with your name on it, but they won't tell you if your spouse filed a separate return. If none of that works, file a separate return (married filing separately, not single). If civil relations are ever restored with your spouse, you can talk about matters and file an amended return later.
Yes. For 3 years. They do not take it all. You will get to keep your EIC and certain other credits that may be given that year. This is per my bankruptcy lawyer.
How can you find out how much of your income tax the trustee will take after filing chapter 7 bankruptcy?
The answer to this question varies from jurisdiction to jurisdiction, but I would say it is wise to ask your attorney what the common practice is in the district in which you… filed. In Indiana, the trustees normally lets debtors know at the Meeting of Creditors (also called the 341 hearing) whether they want the refund check, and if so, how much. Different states let you keep different amounts of cash in bankruptcy, so the state in which you live may influence how much the trustee takes. Please note that nothing in this posting or in any other posting constitutes legal advice; this is simply my understanding of the facts, which I do not warrant, and I am not suggesting any course of action or inaction to any person.
If a final decree states that trustee is hereby discharged and any bond required is cancelled and that the chapter 7 case of the debtor is closed might they still ask for your tax refund?
They may not be able to as for your tax refund because they have freed you of all obligations. However, you need to read the paperwork and make sure there is no language t…hat gives the right to go after the money in the future.
Depending on some things, like when the tax was paid and when the BK was filed, the refund is like any other asset and available to creditors. The trustee or court would… take it and pay it to creditors according to their standing in the case.
Either way they will want a tax return filed before filing for chapter 13. If you are expecting a refund then they will seize it if it is after so to keep the money fi…le first and wait for the return, it will be considered as part of your income. If you owe it is better to know the amount before filing.
There seems to be some flexibility in this, but it shuld represent thr portion that represents that part of the year that is pre-petition overpaid. That is the amount th…at was "extra", put into the savings account at the IRS if you will, from before petition - hence a BK asset that should be available to creditors. If your earned your income evenly through the year, and withholding was likewise, and say you filed on 4/1, then 1/4 would be indicated.
Can you apply partial refund to next years tax if in chapter 11 therefore keeping the max refund amount allowed by trustee?
Wow...you've got things figured out so well. Suprising your in bankruptcy (pretty well defined as failure) because you can't figure out how to make enough money to pay your de…bts and need to others to take care of you! And when you have to provide your return (fairly standardly part of the process), I guess you figured out how to explain what is on it so it doesn't look like your trying to do anything illegal, or criminally contempteous/fraudulant, like being against your sworn committment to the Court/trustee you made when filing a petition with them begging protection by allowing and enacting bankuptcy for you. By the way - sure your in C-11 - that is only for Business/Corporations. C-13 (which goes on for several years, which includes next year) or C-7 are for individuals. (REPLY) Actually, I am in Chapter 11 as an Individual, obvious you don't know what much about the chapters, and yes we were unfortunate enough to lose half our income due to loss of one's employment. As far as begging, I really wasn't, I actually should've filed chapter 7 and let them take my house in the ghetto, and my vehicle with a 17 percent interest rate, but I am making ends meet now and was unable to make up the rearrage of 2-3 months without the restructure. Illegal? Well, that's a pretty far statement. You either can or can't. to each their own And your right it can be done, but really rather uncommonly - even as the exception to the rule, (and why 11 when 13 realy accomplishes so much of the same thing I agree to not see). True I've been scolded for doing the too conditioned and qualified responses enough that I try to stay to the more direct as much as possible. While instructing what should be done with your overpayment, like crediting to next year is available to any taxpayer, it is illegal to try and keep/hide from the administrator what he would otherwise have rights to. From another independent source defining C-11 Chapter 11 is a chapter of the United States Bankruptcy Code, which permits reorganization under the bankruptcy laws of the United States. Chapter 11 bankruptcy is available to any business, whether organized as a corporation or sole proprietorship, and to individuals, although it is most prominently used by corporate entities. In contrast, Chapter 7 governs the process of a liquidation bankruptcy, while Chapter 13 provides a reorganization process for the majority of private individuals with unsecured debts of less than $336,900.00 and secured debts of less than $1,010,650.00 as of April 1, 2007. And yet, the below from the official US Courts website introducing the laws involving C-11, with link following. Better tell them they don't know what they are talking about too. A case filed under chapter 11 of the United States Bankruptcy Code is frequently referred to as a "reorganization" bankruptcy. An individual cannot file under chapter 11 or any other chapter if, during the preceding 180 days, a prior bankruptcy petition was dismissed due to the debtor's willful failure to appear before the court or comply with orders of the court, or was voluntarily dismissed after creditors sought relief from the bankruptcy court to recover property upon which they hold liens. 11 U.S.C. §§ 109(g), 362(d)-(e). In addition, no individual may be a debtor under chapter 11 or any chapter of the Bankruptcy Code unless he or she has, within 180 days before filing, received credit counseling from an approved credit counseling agency either in an individual or group briefing. 11 U.S.C. §§ 109, 111. There are exceptions in emergency situations or where the U.S. trustee (or bankruptcy administrator) has determined that there are insufficient approved agencies to provide the required counseling. If a debt management plan is developed during required credit counseling, it must be filed with the court. http://www.uscourts.gov/bankruptcycourts/bankruptcybasics/chapter11.HTML
No! You must claim more dependants on your paycheck to avoid the trustee claiming your refund. 1500$ is the limit from Fed and State combined. Keep your refund below that amou…nt combined and you will be in the clear. I find it ironic that if you owe the irs any money the trustee does not help out with that but if your refund is good then the trustee will claim it. Hope this helps!
You may get it, but you will have to turn it over to the trustee. It may shorten your plan payment time period.
If the property was claimed as exempt the trustee has 60 days to either exempt or reject the contract. If nothing is done then the contract is automatically rejected and the t…enant is considered a holdover tenant. If you exempted the property the property reinvests in the debtors name and thus the rents should follow as the debtor is the only one with standing to collect the rents. That is not to say the trustee will not try hard to stand in your way though.