13 months left in ch. 13 in Texas and never submitted tax refund to trustee

[mlosan]

Our chapter 13 bankruptcy case in Texas required that hubby and I submit any tax refunds directly to the trustee. We were told (when we first filed) that the IRS would automatically seize our refund and send it to the trustee. That never happened; all refunds were direct-deposited into our account and spent.

When we filed for ch. 13, $55,000 of the plan went to credit card debt, and $5,000 went to a vehicle loan. To date, only about $50,000 in claims have come in on our account. When we finish with this, we would have paid $60,000 into this case.

Couldn't the trustee deduct whatever we should've paid through tax refunds from the overpayment we are making in claims?

When everything is said and done, if we still only have $50,000 in claims and paid $60,000 to the trustee, will we be getting a refund for overpayment?

Is there any possibility that our case be discharged earlier than the 60 months once we have paid those $50,000 in claims?

Can our case be dismissed because we failed to send in our tax refund, even though we paid over $50,000 into the plan?

[newbie2]

Your confirmation order stated that you were to give up tax refunds. You didn't do that. (Splitting hairs about the direct deposit and/ or trustee receiving the check directly aside..) Yes, your case can be dismissed. It doesn't matter how much you've paid in or your balance, you didn't follow the order of the court. If I were you I would pick up the phone and call your attorney pronto and discuss this with him / her. You are close to the finish line and when they do the final audit they will catch it. It will probably amount to nothing, but you don't want to get to the end and have this become a big issue.

This is happening to someone else here recently: http://www.bkforum.com/showthread.ph...r-13-dismissed