In most Chapter 13 cases, the debtors keep their tax
refunds after bankruptcy; however, there are cases where the debtors may need to pay a portion of their tax refunds to the trustee as part of their bankruptcy plan.
When you are struggling to pay your debts, the idea of losing tax
refunds after bankruptcy is frightening.
In most Chapter 13 cases, the debtors keep their tax
refunds after bankruptcy; however, there are cases where the debtors may need to pay a portion of their tax refunds to the trustee as part of their
We often have clients say that they want to put off filing a bankruptcy case because they are worried what will happen to their tax
refunds after bankruptcy.
However, we must stress that in almost all cases, the debtor keeps their tax
refunds after bankruptcy is filed.
Not exact matches
My clients who do this often ask if they will be forced to turn over their tax
refunds to the
Bankruptcy Court or if they should wait to file their taxes until after their bankruptcy is
Bankruptcy Court or if they should wait to file their taxes until
after their
bankruptcy is
bankruptcy is completed.
Another option is to postpone your
bankruptcy until
after you receive your
refund however if creditors are calling or taking legal action (like a wage garnishment) that may not be feasible.
Before the client files for
bankruptcy, the question always comes up: Can I keep my tax
refunds after I file?
If you have a limited credit history or desire to regroup
after bankruptcy or another financial setback, you might want to consider using your one - time windfall from your tax
refund as a starting point to help build or rebuild your credit history by getting a secured credit card.
In order to determine if your tax
refunds might be in jeopardy
after filing
bankruptcy, schedule a free consultation to meet with one of our
bankruptcy attorneys.