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"applicable state" for means test?

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    "applicable state" for means test?

    How is the sec. 707 "applicable state" determined for the median household income tables for the chapter 7 means test, if the debtor has recently moved house across state lines?

    There's effectively a 91-day test for determining the venue of the case, but that's a completely different section of the USC.

    #2
    The applicable median-income is based on the State in which venue you file.

    (I have even read some Bankruptcy "pre-planning" information for attorneys that instruct them to counsel their clients on where to move, within a State, in order to maximize the allowances based on the County they live in. )
    Last edited by justbroke; 10-17-2009, 10:42 PM.
    Chapter 7 (No Asset/Non-Consumer) Filed (Pro Se) 7/08 (converted from Chapter 13 - 2/10)
    Status: (Auto) Discharged and Closed! 5/10
    Visit My BKForum Blog: justbroke's Blog

    Any advice provided is not legal advice, but simply the musings of a fellow bankrupt.

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      #3
      It depends on the State. In Florida, you must have been a resident for 6 mos to be eligible to file but most likely would use the exemptions available in your former State.
      Filed Ch7 5/28/09 (Pro Se) Orlando, 341 7/01, UST selected case for audit 7/01, Last day for objection 8/31. Audit report filed 9/10, no material misstatements. Discharged and closed 9/22/2009

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        #4
        Originally posted by aljohnson007 View Post
        It depends on the State. In Florida, you must have been a resident for 6 mos to be eligible to file but most likely would use the exemptions available in your former State.
        The exemption issue is separate from the means test issue. The means test is a snapshot of your last 6 months so I assume you would use the last 180 days of residence to complete the means test.

        The exemptions to use are based on your state of residence 2 years prior.
        Well, I did. Every one of 'em. Mostly I remember the last one. The wild finish. A guy standing on a station platform in the rain with a comical look in his face because his insides have been kicked out. -Rick

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          #5
          Originally posted by aljohnson007 View Post
          It depends on the State. In Florida, you must have been a resident for 6 mos to be eligible to file but most likely would use the exemptions available in your former State.
          As OhioFiler wrote, your statement is based on exemptions not venue. Venue determines which State's income and allowances you use.
          Chapter 7 (No Asset/Non-Consumer) Filed (Pro Se) 7/08 (converted from Chapter 13 - 2/10)
          Status: (Auto) Discharged and Closed! 5/10
          Visit My BKForum Blog: justbroke's Blog

          Any advice provided is not legal advice, but simply the musings of a fellow bankrupt.

          Comment

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