uh-oh - tax refund was more than $1000 and overage must be surrendered to Trustee???

[dunno]

Well, I thought it was over.

But we withheld more because we didn't know what the impact of cashing in the 401K would be - nor even what our tax debt or income would be.

Our refund was greater than $1000.

According to documents from the Trustee, anything over that must be repaid to the Trustee and applied to our payment plan by June 30.

Now, Let me ask this: since we filed, our deposit to move into a leased house was higher. Can't I petition the court to allow us to waive the repayment to offset the additional expense?

Or, what happens if you just don't do anything? You know-- pretend it never happened?

[EricaCallaha]

I would ask your attorney if filing a request to keep it is even an option. For us it was not. We also must surrender anything over $1K to the trustee. We are giving $6300 this week to the man.

If you pretend like it never happened, you bankruptcy could be dismissed. Look in your paperwork for "Tax refund language." Ours has this specifically stated.

Good luck...I know it sucks.

[EricaCallaha]

BTW, you need to adjust your withholdings ASAP to avoid this in the future....

But I bet you knew that....