Can a trustee take my refund?

[ka2sie]

My ch 7 bk was discharged and closed in Sept 2009. No asset simple case. Can the trustee take my refund? and how would they know if I have a refund coming?

[CCsAreEvil]

I don't understand. Your case "is" closed as you stated?

Why are you asking? Did the trustee contact you about your refund? If not, your refund "should" be yours to keep.

[ka2sie]

yes my case is closed but I remember reading about peoples refunds being taken and wasnt sure if that was because their case wasnt closed or because they filed close to when they get their returns. I was also remembering hearing the trustee say at our 341 meeting asking if we were going to come into any type of inheritence of $ in the next x amount of days but didnt know if it counted. Guess im just paranoid that they're going to take it. No the trustee has never asked about it and has never contacted us.

[Mi Bankruptcy]

They usually let you know if they wanted it. However, you were under oath so you should have probably told them. I wouldn't worry about since your closed and you didn't receive specific instructions to contact the trustee or attorney when you receive the refund.

[ka2sie]

They usually let you know if they wanted it. However, you were under oath so you should have probably told them. I wouldn't worry about since your closed and you didn't receive specific instructions to contact the trustee or attorney when you receive the refund.

Ok. They just asked if we were suing anyone or could sue anyone for $ or if we were expecting an inheritance. I believe she saw our taxes and what our refund was the previous year and its usually never over $1500 but this year was bigger so just was curious if they keep tabs on that kind of stuff.

[justbroke]

My ch 7 bk was discharged and closed in Sept 2009. No asset simple case. Can the trustee take my refund? and how would they know if I have a refund coming?

If your case is actually discharge and closed, then they can't come and get your refund. The fact that your case is closed is what matters most.

First, your case would be an "asset" case. Second, the Trustee and/or your attorney would have indicated that you needed to provide your tax return and/or your refund to the Trustee. Third, your case would not have been closed if it was an "asset" case that hadn't been fully administered.

[Hoss454]

Ya I was wondering the same thing about tax refunds. They didnt say anything to me and the 341 meeting but I would like to know for sure.
Hoss

[justbroke]

Ya I was wondering the same thing about tax refunds. They didnt say anything to me and the 341 meeting but I would like to know for sure.

Your attorney is the best person to ask, unless your case is already closed. (Important distinction on the word "closed" versus "discharged")

[calgirl67]

No they cannot come after your tax refund if your case is closed. In our case, we put down what we are expecting for our refund ($4500) and it falls under our wildcard exemtions for CA anyway, so we get to keep it.

[Hoss454]

Your attorney is the best person to ask, unless your case is already closed. (Important distinction on the word "closed" versus "discharged")

Ok im confused what does closed mean? What does discharge mean?
I thought they had the same meaning.
Hoss

[Kingxray]

Ok im confused what does closed mean? What does discharge mean?
I thought they had the same meaning.
Hoss

Discharged means your debts have been discharged and you are pretty much done with your BK. After that they will officially "close" you case.

[Hoss454]

Ok thanks for clearing that up.
Hoss

[BKInLA]

...it falls under our wildcard exemtions for CA anyway, so we get to keep it.

Would you mind expanding on this? I'm planning to file in CA as well and I anticipate my refund to be about the same as yours. I'm wondering if this will work for me.

[justbroke]

Would you mind expanding on this? I'm planning to file in CA as well and I anticipate my refund to be about the same as yours. I'm wondering if this will work for me.

California has 2 bankruptcy exemptions "systems". System 2 is the more gratuitous one, especially if you're surrendering a home and/or don't have a home! California's System 2 has a "homestead exemption" of about $20,000! (This is in addition to other gratuitous exemptions for cars ($3,300), furnishings (up to $525 each), Jewelry (up to $1,300), etc.)

The "unused" portion of the homestead exemption can be applied to "any property'... including cash, cars, furniture, that don't fit in another exemption. I believe it to be the best bankruptcy exemption system out there. (Unless you have a multi-million dollar home, then the best is Florida.)