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Posted Jan 31st, 2012
Will the bankruptcy court take a refund check even though I didn't file my return until after the
discharge?

Additional Details:
My wife and I filed for chapter 7 bankruptcy in September of 2011 and received our discharge in the
mail on January 7th, 2012. My question is that if I filed my tax returns will the bankruptcy court
take them? We did a pro se filing because of money issues so I don''t have an attorney to consult.
We just had a daughter and qualify for some credits.
Legal Topic Area: Bankruptcy in OH

That depends on what year the tax refund is for. Presumably it is for 2011, so the pro rata amount you earned up until September 2011 is property of your bankruptcy estate (meaning, the Trustee is entitled to it) unless you have exemptions available to protect that refund.

Exemptions are "protections" for value you have in certain assets such that they are "exempt" from collections. Every state has different exemptions amounts available. Exemption laws are based on the state where you resided for the 2 years prior to filing your bankruptcy case or, if you lived in more than 1 state during that period, in the state where you resided for the greater part of the 180 days prior to that 2 year period.

You need to consult with a bankruptcy attorney in your area about whether it is necessary to reopen your case to amend to add that asset and exempt it. It may be sufficient to simply notify your case trustee and if it's a small enough amount, or you would be able to exempt it, he/she may just let it go.


But you should consult with an attorney first.

Mark J. Markus, Attorney at Law

Handling exclusively bankruptcy law cases in California since 1991.

http://www.bklaw.com/

bankruptcy blog: http://bklaw.com/bankruptcy-blog/

Follow Me on Twitter: @bklawr


Answered on Jan 31st, 2012 at 4:09pm