I may or mary not wind up filling for bankruptcy, all I really want to do is get from underneath an underwater mortgage. I am trying to short sale my home but am not optimistic that the bank will agree to one. At any rate, I filled out a Schedule I and J to see how likely a Chapter 7 will work for me. At this point, I wind up with a DMI of $159.00 when I compute my actual expenses. If I use IRS allowences I wind up with a slightly negative DMI. Can I use the IRS allowances or does is have to be my actual monthly expenses?
It seems to me I should be able to use the IRS allowance. The fact that I am not spending a lot of money on clothes, medicine, or transportation doesn't necessarily mean that I don't NEED to spend more money then I do on those items. It could mean, that to the detriment of my well being, I am skipping expenditures on those things to service my debt load. That seems like a more than reasonable argument to me but the bankruptcy code is riddled with regulations that appear unreasonable. Does anyone think I can get away with using the IRS allowances?
It seems to me I should be able to use the IRS allowance. The fact that I am not spending a lot of money on clothes, medicine, or transportation doesn't necessarily mean that I don't NEED to spend more money then I do on those items. It could mean, that to the detriment of my well being, I am skipping expenditures on those things to service my debt load. That seems like a more than reasonable argument to me but the bankruptcy code is riddled with regulations that appear unreasonable. Does anyone think I can get away with using the IRS allowances?
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