QUESTION
How does a bankruptcy work if I am separated from my spouse?
Asked on Jul 02nd, 2012 on Bankruptcy - California
More details to this question:
we owe about 60k in back taxes and 25k in a lawsuit we lost because the rental we own was not kept up, the grass was long. I know we cant claim the taxes due, but the lawsuit has a levy on my bank account. Last month they took every dime I had, total 7300.00, the month before they took 3000.00 out of our joint account. Today they took 3100.00, out of my account (not joint) and the state took 1000.00 out of my check before my auto deposit. I have $0. My husband got his retirement check in full. After 33 years of being married I am about to call it quits. So would I be better off with filing chapter 13 with him or try for chapter 7 without him? I make about 72,000. a year, he gets about 42,000. retirement. We own the rental and have a mortgage on our home to be paid off in about 5 years.
8 ANSWERS
Immigration Attorney serving Arlington, TX
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Law Office of Pho Ethan Tran, PLLC
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If you are separated from your spouse but still married, you may file for bankruptcy by yourself or you may also file jointly with your spouse to reduce the cost of filing.
Answered on Jul 20th, 2012 at 3:47 PM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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Since you owe a lot of income taxes you should consider filing chapter 13. You do not need your husband/s consent to file your own petition.
Answered on Jul 17th, 2012 at 12:03 AM
Based on the information you have provided, you may not meet the means test for chapter 7 bankruptcy. This will depend, of course, on the more specific details of your finances. It is a good idea to consult an attorney to help you make this decision.
Answered on Jul 16th, 2012 at 1:07 PM
Trusts & Estates Attorney serving Camarillo, CA
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Law Offices of Larry Webb
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You can file without your spouse. The procedures are a little different in the different districts. You need to do something right away. A Chapter 13 may be an appropriate way to pay the back taxes over 60 months. Do you have a payment plan with the IRS?
Answered on Jul 16th, 2012 at 1:00 PM
Criminal Law Attorney serving Fremont, CA
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Steven J. Alpers, A Professional Corporation
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I cannot give you a definite answer. The chapter 7 is governed by the IRS standards for California and without a full financial consultation I cannot say if you qualify for a chapter 7 instead of 13.
Answered on Jul 16th, 2012 at 12:34 PM
You really need to consult with an experienced bankruptcy lawyer. In chapter 13 you categorize your debts and provide for them based on that category under your plan. Certain debts have to be paid in bankruptcy and other don't. The amount of your plan payment will be based on your disposable monthly income which will depend on your marital household situation going forward. You can get rid of back taxes and judgments in bankruptcy, but the longer you wait to consult with counsel, the more financial harm you do to yourself.
Answered on Jul 16th, 2012 at 12:31 PM
Both of you need to walk, hand in hand, and see a bankruptcy lawyer and do it yesterday. The house is on fire, and you still have not called the fire department. The lawyer will tell you. My guess is that doing a joint 13 and treating the 13 payment as a debt to be divided in the dissolution is the best bet, but it is too complex and too little information to tell you definitively. You may be able to get some of your money back from the bank levies. It may take some time, but just sitting there and being miserable is not going to help you
Answered on Jul 16th, 2012 at 12:07 PM
Alternative Dispute Resolution Attorney serving Ventura, CA
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Zahn Law Office
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Unless you have several minor children, you likely don't qualify for a Chapter 7 filing on your own (and a joint filing is also unlikely given your respective incomes). You should probably speak with a Chapter 13 bankruptcy attorney regarding your options.
Answered on Jul 16th, 2012 at 11:48 AM