QUESTION
Does the state have an exemption where I can protect my refund or would it be best if I file in April after receiving and spending my return?
Asked on Jan 08th, 2015 on Bankruptcy - California
More details to this question:
I have no assets except furniture which is worth about $2000.00 at the most. I am expecting an $8600.00 tax refund and I want to file bankruptcy.
14 ANSWERS
Earned Income Credit and Child Tax Credit are exempt. I would file after receiving the refund and spending the money (for example, your legal fees to file BK, food, rent or mortgage payments, day care expense, new tires for your car, tune up for your car, and if you are buying your home, any fix up work the house needs). I would pay an experienced BK lawyer where you live for one hour of his or her time so you don't make any mistakes. You may have to account to the Trustee for how you spent the money. But an experienced BK lawyer will cover all of this with you.
Answered on Jan 20th, 2015 at 9:19 PM
Consumer Bankruptcy Attorney serving Los Angeles, CA
at
Orantes Law Firm
Update Your Profile
The California exemptions can protect about $25,000 (assuming you don't own a home with equity) so, you are safe filing asap.
Answered on Jan 19th, 2015 at 7:23 PM
Nevada exemptions all you to keep the entire portion of your refund from EIC and you can apply your $1,000 wildcard to your pending tax refund.
Answered on Jan 09th, 2015 at 11:56 PM
Debt Relief Attorney serving Anaheim, CA
Partner at
Marlin Branstetter Attorney at Law
In California there is an exemption referred to as the "wildcard" exemption that would allow you to protect your refund. It is C.C.P. Section 703.140(5).
Answered on Jan 09th, 2015 at 11:56 PM
Bankruptcy Attorney serving Cleveland, OH
at
Benson Law Firm
Update Your Profile
You may be able to use the wildcard exemption to protect at least a portion of it.
Answered on Jan 09th, 2015 at 11:53 PM
If your total Assets are as you say, 100% can be exempted in CA and there is no need to delay your filing.
Answered on Jan 09th, 2015 at 11:53 PM
Missouri has exemptions available but the amount depends on the number of dependents you have, if any. It is best to discuss this with an attorney because there a number of other factors to consider such as length of residency, any pending issues such as garnishments, lawsuits, foreclosure, possible repo's, etc. that would have an impact on when you file. Also, there are issues to consider in how the refund is spent if you wait to file.
Answered on Jan 09th, 2015 at 1:06 AM
bankruptcy Attorney serving Paul, ID
at
Paul N. J. Ross Law, PLLC
Update Your Profile
In Idaho you are best to file after you have properly spent your tax refunds. Only cite is exempt in Idaho. Of course, you would want to spend it in appropriate ways, visit with your attorney on how you plan to spend the refund.
Answered on Jan 09th, 2015 at 1:05 AM
If you are an Oregon resident with the ability to use either state or federal exemptions, you should be able to protect your $8600 tax refund using the federal exemptions. There is probably no reason to wait, but only a lawyer who understands all the facts of your case can give you reliable advice on this question. There are many factors to consider and $8600 is a lot of money to gamble with uninformed guesses.
Answered on Jan 08th, 2015 at 9:59 PM
Commercial & Bankruptcy Law Attorney serving Powell, OH
at
Ronald K. Nims
Update Your Profile
Ohio has partial exemptions for earned income credit and child care credit which might cover the majority of your refund but generally to be safe you should file bankruptcy after you have spent your refund.
Answered on Jan 08th, 2015 at 9:25 PM
Bankruptcy Attorney serving Madison, WI
at
Richard B. Jacobson & Associates, LLC
Update Your Profile
If you have a claim to an income tax refund, then that is property of your bankruptcy estate, and unless you can exempt it it will ultimately go to the trustee. Sue do you mean filing your income tax return will not do you any good.
Answered on Jan 08th, 2015 at 9:25 PM
Bankruptcy Attorney serving Seattle, WA
at
The Law Office of Marc S. Stern
Update Your Profile
In Washington you can probably use the federal exemptions and keep it all.
Answered on Jan 08th, 2015 at 9:16 PM
You may be able to protect the refund and still file now. Although, you might need that money to hire an attorney.
Answered on Jan 08th, 2015 at 9:15 PM
Advocacy Attorney serving Boca Raton, FL
at
Steven H. Meyer, P.A.
Update Your Profile
What state are you in? If you happen to be in Florida, we'd be happy to speak with you.
Answered on Jan 08th, 2015 at 9:15 PM