Court notified IRS? Why?

[Flatbroke1]

I notice that the North Texas Bankruptcy court has notified not only my creditors but the IRS as well? I don't owe the IRS any money. Does this mean my refund will be on hold? Does this mean my refund will be taken by the trustee?

I notice they also sent a notice to my landlord even thought I have always paid my rent on time....I'd have preferred that the landlord would not have known.

[Flamingo]

Your landlord was notified because the landlord was apparently listed in your filling. The IRS was notified so if you have any future refunds, they will be sent to the Trustee. Speak with your attorney.

[fireworks]

Our petition listed every taxing authority that we could possibly owe - from the local city and sales tax authorities all the way up to the IRS, even though we're current with all of them. It's just a formality.

[coolmom04]

The IRS was notified so if you have any future refunds, they will be sent to the Trustee. Speak with your attorney.

Is this typically the case for everyone that files? My husband is filing ch7 in three weeks, but I haven't asked the attorney about this b/c it never even crossed my mind!

[Flamingo]

Is this typically the case for everyone that files? My husband is filing ch7 in three weeks, but I haven't asked the attorney about this b/c it never even crossed my mind!

This appears to be districted related - have him check with his attorney.

[Flatbroke1]

Then perhaps if notifying IRS is part of normal procedure, then perhaps it is not "set in stone" that I will automatically loose any tax refund?

[fireworks]

According to my attorney, our tax refund is safe because we have plenty of room in the exemptions. We were still required to notify the IRS. That may be partially because we have/had a business and have greater reporting requirements than most.

All of that is future, however - the lawyer is filing the bankruptcy today and we'll be filing our taxes as soon as all of the forms come in.

My understanding is that your tax refund is safe, if you can exempt it. That all depends on your specific case.