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Date : the 23/02/2010
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Can a bankruptcy court take my federal and Pennsylvania state income tax refunds, if I file for chapter 7?

Can a bankruptcy court take my federal and Pennsylvania state income tax refunds, if I file for chapter 7?

Yes. Tax refund is an asset that is part of the bankruptcy estate. This means that the Chapter 7 trustee can go after the amount, regardless of whether you have filed your return or not. In fact, a state income tax refund is one of the more common assets that are taken away from you to pay your creditors.

View original story on http://www.bankruptcyinpennsylvania.org/can-a-bankruptcy-court-take-my-federal-and-pennsylvania-s...
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