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Stimulus rebate / tax refund - What happens to it in bankruptcy?

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  • laurannm
    replied
    So has anyone out there filed after receiving their stimulus, and was forced to show it as income on their schedule I?

    Leave a comment:


  • leftyf
    replied
    Called trustee

    I am still awaiting discharge. Filed in January. I called IRS and they were "holding" my check because they didn't know what to do with it...I'm guessing because of the refund order the trustee had placed on my 2007 refund. I called the trustee and they said they would fax the IRS a notice that would get my stimulus released to me...cool. They never mentioned keeping it at all.
    Anyone who is waiting may want to call the trustee, although for some reason, I hate calling the trustee. I keep thinking that when I call it will cause them to look closer at my case, which is a border-line ch 7.

    Leave a comment:


  • freshstart32
    replied
    So is anyone else still having issues in getting their check?

    We filed on Oct. 15, 2007 and we were discharged in Feb. 2008. I have contacted our attorney numerous times as to whether our trustee wants it or not just to be on the safe side and he always says he will have to check on that. Our trustee kept all but $1,000 of our $4300 tax refunds we got back this year on our taxes and has never said anything about the economic stimulus refund. No letter from him or anything. Our case isn't closed though so I didn't know if he could still take money from us. It is discharged just not closed.

    My problem is.....I have checked that website daily because we e-filed ours but we had to receive a paper check to turn over to the trustee once we got it and we filed them at the first of Feb. but that website keeps saying that they don't have any information for me. According to my husbands last 2 digits we should have ours no later than June 6th. We got a letter in the mail yesterday saying that we qualified for the refund and that we were getting $1800. On the back it says this:

    Under Review

    Your stimulus payment has been delayed for review. If you do not receive your stimulus payment or a notice explaining the delay within 60 days, call us at 1-866-234-2942.

    Has anyone else gotten a notice like this?

    Everyone else I know has gotten their refunds on time but they were all bank deposited. My sister is getting a check also and hers was supposed to be no later than May 23rd. What is going on? Is it just the paper checks or what? Is anyone else getting a paper check? Have you got yours yet? Would your trustee be able to get ahold of it before it was mailed to you is that why it could be delayed? We don't owe any taxes to the government....never do.

    Just curious!

    Leave a comment:


  • jerzey
    replied
    Stimulus linked worked finally

    says $900
    But our tax guys told us $1200
    to be mailed by june 6th

    wonder what gives?

    Leave a comment:


  • Cali
    replied
    I hope you get to keep it.

    Originally posted by Runnin on empty View Post
    We still don't know what is going to happen with ours. We called our lawyer the other day about something else and were told by the paralegal that once we got the check to hold on to it and call them because I guess the lawyers in our area are fighting with the trustee over the Stimulus checks.

    I'm not going to hold my breath, but that money would really be a huge help.

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  • Runnin on empty
    replied
    We still don't know what is going to happen with ours. We called our lawyer the other day about something else and were told by the paralegal that once we got the check to hold on to it and call them because I guess the lawyers in our area are fighting with the trustee over the Stimulus checks.

    I'm not going to hold my breath, but that money would really be a huge help.

    Leave a comment:


  • rickisbroke
    replied
    I just got done with my 341. The trustee didn't even ask about my tax refund or stimulus check. I got my refund in March and spent it and stimulus a couple weeks ago and spent it on bills. I think I'm clear!
    Michigan here, by the way...oh and filed Chapter 7.

    Leave a comment:


  • justplaintired
    replied
    I sure hope so Cali, we began spending ours last night. I went to a Dollar store and stocked up on some essentials. Snacks for the kids for summer break. Today, I will do more, going to take my car over and have the muffler fixed. I want it gone before we file so I am glad we finally got it!

    Leave a comment:


  • Cali
    replied
    Congrats to those that have received them, hopefully you get to keep them.

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  • justplaintired
    replied
    Got ours today finally!! Was mailed on the 16th showed up on the 19th!! Yippie!!!

    Leave a comment:


  • Bit_Image
    replied
    Got mine via mail today

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  • truckerswife
    replied
    We had our tax refund direct deposited. Our original date for stimulus deposit was suppose to be May 16th. I started worrying because we didn't get ours early like other people. I checked the IRS website Tuesday morning and it says that it will be deposited Friday.

    Leave a comment:


  • jerzey
    replied
    Heard on the Radio..

    If you used a Tax service and had their fee taken out of your refund before you received you direct deposit then your check will be mailed to you

    Like i said that was on the radio cant say how true that is
    but makes sense to me why me and other i know have not gotten their checks yet

    Leave a comment:


  • nomoneynomore
    replied
    I discussed this with my lawyer. She has been told that several trustees in Kansas ARE taking the stimulus rebates. It does depend on the trustee. We were advised to wait until we had received our rebate to file. We were told that we could get the rebate, then file the very next day and they could not touch the rebate. We do, however, need to keep track of how we spend it. If it is spent on "stuff" you can get in some binds, but if you put it toward bills etc, you should be fine.

    Leave a comment:


  • momof5
    replied
    Doing a happy dance!!! We were told Friday that it could 10-12 weeks due to having amended our tax return. Such a pathetic amendment too as it changed nothing. Still I checked the website this morning and still got the "we are sorry message". That was my last chance. I was taking new stuff over to the attorneys office as we decided that there was no way we could wait that long to file. It would be about 7 days before we get into sign again but at least this way the most important thing is done. As depressing at it was we finally found a way to be okay with losing it to the trustee. But then I got delayed as my little one wasnt feeling to well. Fast forward ahead about 2 hours.....
    So there I was, shoes on...keys in hand ready to leave and thought to myself..just check one more time. Its become such a habit! and Guess what?

    A whole new message!!! Whoohooo..

    Basic Amount: $600.00.
    Qualifying Child Amount: $1,200.00 (Based on 4 qualifying children).

    Your payment of $1,800.00 is scheduled to be deposited to your bank on May 16, 2008.



    I could just cry! Junes mortgage is going to be paid now as well as the car payment and so we really will have a fresh start! What a wonderful begining. Actually ahead of everything finance wise. This is living proof that sometimes good things can actually happen just when you think it cant!

    Have a wonderful day everyone!

    Leave a comment:

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