Receiving gifts post-petition?

[randian]

What happens? Can the trustee take them? I'm going to have to ask my parents for some cash, which would be pointless if the trustee can claim it.

[tobee43]

just wondering...is there a reason to announce this???? i mean we can't see you or hear you....nor can the trustee...and i'm NOT telling you to be dishonest in anyway....however, some things are best left unspoken.

it's just your honest and the guilt is getting to you...shoot...my parents help me buy food during this and i certainly did not report it to our trustee....

[debee]

You can receive the gift. It's not property of the estate.

An inheritance would be (if rec'd within the specified time period), but not a gift.

[randian]

just wondering...is there a reason to announce this???? i mean we can't see you or hear you....nor can the trustee...and i'm NOT telling you to be dishonest in anyway....however, some things are best left unspoken.

I haven't actually received any money yet, so there's nothing to be dishonest about. I don't think mere contemplation of the BK consequences of a gift is fraud on the trustee, since he cannot order me to ask for a gift. Not reporting one, if I am required to report, would be BK fraud.

[randian]

You can receive the gift. It's not property of the estate.

Is reporting required for gifts?

[tobee43]

I haven't actually received any money yet, so there's nothing to be dishonest about. I don't think mere contemplation of the BK consequences of a gift is fraud on the trustee, since he cannot order me to ask for a gift. Not reporting one, if I am required to report, would be BK fraud.

i would just stick this one in the closet then....really...and don't worry about it...nor deposit it nor sell or smell it...LOL!!!!

[debee]

Is reporting required for gifts?

You don't have to amend your filing to include this gift amount. You didn't have it at the time of filing. It's not like a tax refund or bonus check that you had "earned" prepetition. It's not one of the few items that becomes part of the estate if you receive it after filing (inheritance, etc) and it doesn't proceed from property of the estate (like costly kittens born from a pedigree cat pregnant at time of filing).

You don't have to report it. It's yours.

[codycr6]

?

So my mother is in bad health, and I am listed as the secondary on her retirement fund. My Father is primary. I am currently looking at filing because I am going through a year long divorce that is bleeding me dry, and my wife took the time to run up my credit cards she had access to. If I file after the divorce, and my father later decides to dole out some of my Mother's 401k between myself and my two sisters, how does this fall?

[debee]

If I file after the divorce, and my father later decides to dole out some of my Mother's 401k between myself and my two sisters, how does this fall?

I'm sorry for all you're going through. Sounds like it's rough all over. If I were you, I would go in for a free consultation with an attorney.

If your Dad is the owner of the 401K and he makes withdrawals that he then gives it to you, it's just treated as a cash gift. Whether he took it from a 401K or a jar he'd buried in the garden doesn't matter. Cash gift to you, source irrelevant.

If he gives it to you before you file, it would be available to pay your creditors, unless you spent it on the kinds of things that don't raise trustee eyebrows or objections. Stuff like tires, car maintenance, stocking the pantry & freezer, new glasses, contact lenses, etc. If he gives it to you after you've filed, it's yours.

Most of us with living parents have some expectation of future inheritance or gifts. It's not necessary to mention these when filing unless you suspect something is imminent. It sounds to me as if you are speculating as to your Dad's future actions. Personally, I don't think that has to become a part of your filing. No point saying "Dad might gift me some money". It would be better for Dad to hold off on gifting you anything until you get things sorted out.

[codycr6]

Thanks, I thought it might work that way. My mother is expected to pass at any time, and my Dad is the first in line for the 401k to go to. He was talking about spreading it among the kids over several years time, nothing immediate.

[BN1964]

Hate to bring up an old thread but... I received a 4k gift from my dad in Oct 2010. How far do they look back? I was planning on filing in the next 30 days or so.