Tax refunds in Oregon -- one spouse filing, one not -- are they split or ??

[NewPage]

We have state and federal tax refunds totaling just under $8k (never happened before, we always wind up paying).

I am filing, my husband is not. Does anyone know how a refund amount is handled in that case? Since he earned the income, is it his? Since we're married, is it split 50/50?

There are some issues about how it's been/being spent, and I'm trying to figure out if there's a way around them.

Thanks.

[FishHead]

did you get an answer to this?

[justbroke]

(FishHead, I didn't realize that you responded to a very old thread. Please read the Forum Rules regarding restarting old topics. I've answered this anyhow.)

First, let's just get the fact that Oregon is not a community property state, out of the way.

The general theory, in many Districts, is that if the non-debtor spouse doesn't work, then the Trustee may treat the income tax refund as the sole property of the filing spouse (the debtor spouse). If the refund is on deposit in a bank, it could well be protected by Oregon's generous "cash in bank" exemption.

In your case, since you'd file a a non-working debtor spouse, the non-debtor spouses entitlement to a refund of tax overpayments (tax refund) would not be your property. I suppose a Trustee could complain, but your attorney should be able to argue that it's not your property since it's not a community property state.

My question is really based on the last thing you wrote. You said that you're worried how it's being spent or has been spent. Is this the tax refund from 2010 you're talking about, or the overpayments (and potential refund) for 2011 that you will file a return for by April 15, 2012?

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As it turned out, non-issue. Trustee didn't pursue it.

But to answer the question justbroke posted: It was the tax refund from 2010.

[pookiebear]

I am in Indiana and am filing pro se, I am the debtor and am filing alone. We just did the 2011 taxes and are getting about 6,000 back. My hubby was laid off most of the year so we didn't have a lot of income. I also have not worked in 2 years. I listed the refund on my schedules but am worried about what is going to happen to it. The "house" really needs this money since he just got back to work after being laid off for 7 months. (we are a house of 5) I am scared about doing it pro se but I can't get a lawyer to take it over now. I filed a skeleton 7 emergency petition because I was being sued by a collection agency. It was all kinda rushed and now my head is just spinning.

thanks in advance,
Pookie

also I used my wild card exemption for my (joint )property and personal Property.
The house and car(s) have always been in my husbands name.