Tax Refunds

[gunnagtthr]

I have been reading through the threads trying to understand it all, but just decided to post my question.

I have not filed bk yet, but have paid my attorney and am plowing through the paperwork.

I just amended my 2010 taxes, and mailed them in. Before amendment, I paid $154. After amendment, I am due about $1,000. The tax guy said it could be months before that refund comes in.

My 2011 tax refund will be about $1000 also. It has been electronically filed and the refund should be in a week or so.

My questions:
my understanding is that I need to spend the 2011 on "household expenses" before filing in order to "keep" the money.

My 2010 refund could take months to come in. Should I just kiss it goodbye, assuming the trustee has the legal right to keep it? I read about exempting it on the other threads, and am now confused. What are my options? I am filing in CO.

[gunnagtthr]

Let me clarify information on my tax return, because part of my confusion has to do with if a trustee can keep my refund if it has something to do with EIC.

My total tax obligation was $2175 (SS tax, I am self employed)
My EIC was $2670, and other tax credit was $400 and I already had paid $155
giving me a refund of $1050

[ValleYum]

Looks the the portion attributable to the EIC may be okay! Ask your attorney to be sure!

Exemptions:

Federal or state income tax refunds attributed to earned income credit or child tax credit

CRS: 13-54-102(1)(o)

http://www.cobankruptcylaw.info/xem/colorado-bankruptcy-exemptions-at-a-glance