Will I be audited by UST?

[tknj99]

Hey guys,
I have 4 rental properties that I plan on walking away from in FL. They are all under my name and not in an LLC. I do plan on keeping my primary residence. I have read that having rental properties is considered a business. Do you think that I will be audited by the UST?
thx
-tk

[jessegirl]

Hey guys,
I have 4 rental properties that I plan on walking away from in FL. They are all under my name and not in an LLC. I do plan on keeping my primary residence. I have read that having rental properties is considered a business. Do you think that I will be audited by the UST?
thx
-tk

One doesn't know, BUT i wil say that it will throw up a red flag....

[Help!]

If your debt is not primarily consumer debt, the presumption of abuse determination, 707(b), does not apply. The UST can be involved at any case at any time, however.

[Mad]

If your debt is not primarily consumer debt, the presumption of abuse determination, 707(b), does not apply. The UST can be involved at any case at any time, however.

The properties were not incorporated so, legally, there is no seperation between business and personal debt; all of his debt will be treated the same, regardless of the intent

[Help!]

I'd take advantage of a few free consultations with BK attorneys in your area and get advice specific to your situation. The BK code defines consumer debt as "debt incurred by an individual primarily for a personal, family, or household purpose". How were the rental properties accounted for on your tax return?

[relief13035]

We surrendered (2) rental properties and had no UST involvement.