Would they take bonus and tax return

[jessegirl]

I have a question, although I think it may be stupid, I need to ask it..

If you are in a 100% payback chapter 13, does one have to worry about having there income tax return and possible bonus taken if they are paying back 100% to just 1 creditor?

Thanks

[biotechsolution]

If your entire debt is being payback (100% payback, both secured and unsecured debt) within the life of the plan, meaning no debt is being discharged, theny no the trustee can't ask for anything more. Basically because you don't owe anyone anything else.

If you are in a 100% payback then you can pretty much set up your own plan and if things change (higher income) the trustee doesn't have any reason to take anything else because you are already paying back everything you owe.

[newbie2]

Please be careful about saying "no the trustee won't..." Each district varies in their norms and local rules. The trustee very well may want any bonuses and tax returns. In a 100% plan that would mean that you would be paid off sooner though.

[isabella]

Talk to your attorney. I get to keep bonuses and STATE tax refunds but surrender federal tax refunds. It all depends on your trustee and your attorney will know what to advise you.

[HHM]

Unless there is an exemption; the trustee "may" take tax refunds and bonus. Big picture, if the trustee takes that money and you are already in a 100%, you simply finish your plan sooner

Your duty in a chapter 13 is to devote all disposable income to the plan.