tax returns

[Keanna]

I will be getting a tax return soon and plan to spend it before I file bk in May. This is what I plan to spend it on. Has anyone had any experience with spending tax returns? Do you see any problems with this:

Van repairs
1 year membership at fitness center (I have back problems/knee pain and doctor told me I need to exercise. strength building I do at gym is only thing that helps)
Vet bill for yearly shots/check up/heartworm med for two dogs
supplies for house repairs at home depot
glasses for me/contacts for my son
work clothes under $400
household items under $400
Son plans to take a college class this Spring and financial aid will not pay for it during Spring term. He is in a four yr degree program.

I don't want to run into any problems. thanks

[tobee43]

yes, we did. we were paying our bk monthly before we filed and that year we rec'd a HUGE refund. the firm said SPEND IT ASAP, we did. we filed about 6 months later and not a word said by the trustee. we were in a no asset 7 and used it to fix our rental up, car repairs and the like. then put the rest under our pillow. we had no problem at all.

[LadyInTheRed]

I'd be careful about paying your son's tuition. It would be a gift that you should report on your schedule of financial affairs. The trustee could pursue your son for the money.

Are you using state or federal exemptions? Do you need the homestead exemption?

How big is this refund? A good way to spend it might be to pay a BK attorney.

[Keanna]

Thank You. Using federal and yes I need the homestead exemption. It's $3000. I have some major repairs that need to be done on my van because I hit a deer so that is the first thing I need to do. I never thought of paying my son's tuition as a gift. That is good to know.