Considerations To Know About Can I Keep My Tax Refund When Filing Chapter 7
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The Bankruptcy Code was developed making sure that people today could obtain a "new commence." Element of that fresh get started is making sure that somebody doesn't get rid of almost everything to trustee liquidation. As such, the Bankruptcy Code allows for sure exemptions.
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It’s not unheard of for people to be expecting to get their tax refund when filing for Chapter 13 bankruptcy. The excellent news is the fact that generally, you are able to keep it, having said that, the decision eventually rests with the bankruptcy court docket.
So, for instance, if you are acquiring a $3500 refund, and $3000 of it is actually for EIC or More Baby Tax Credit, the unprotected volume can be $five hundred, and if you have no other non-exempt assets, the Trustee would most likely acquire practically nothing.
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