QUESTION
When they count your income do they count after expenses, mileage, business expenses and all that?
Asked on Aug 24th, 2013 on Bankruptcy - California
More details to this question:
We may have to do a bankruptcy being my husband was hospitalized for a long period of time. He has no job but I make quite a lot and get 1099s. My income would be way under $65.000 after expenses is deducted.
6 ANSWERS
Bankruptcy Attorney serving Florissant, MO
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Law Offices of Thomas Corcoran Phipps
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You will have to document your expenses in order to deduct them from your gross income.
Answered on Sep 05th, 2013 at 7:29 AM
The top number is always the top number. You are allowed to take legitimate deductions for business expenses on both the Means test & on your budget.
Answered on Aug 27th, 2013 at 5:10 AM
2 Awards
The income for the means test is based on gross income; however, you are allowed to deduct items from that amount in determining eligibility. I highly recommend you retain an attorney to help you do this analysis as it is a bit complex.
Answered on Aug 27th, 2013 at 5:00 AM
If you are talking about the Chapter 7 Means test, there are offsets and exemptions that an experienced bankruptcy attorney knows how to employ, however the trustee is looking at your gross annual income over the last six months. There is much more to it than that, but you will need an experienced bankruptcy attorney to handle this matter.
Answered on Aug 26th, 2013 at 12:13 PM
Information provided doesn't create an attorney/client privilege nor constitute an offer of services and is only general responses to hypotheticals
Yes. Income is defined as gross revenue (money collected from whatever sources) minus expenses incurred.
Answered on Aug 26th, 2013 at 11:27 AM
Bankruptcy Attorney serving Walnut Creek, CA
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Alan E. Ramos Law Offices
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The means test uses gross income for its calculations.
Answered on Aug 26th, 2013 at 11:12 AM