logo

April 7th, 2010

Filed under: BANKRUPTCY admin |

According to the Pittsburgh Post-Gazette “Months after resolving their debts with lenders, strapped consumers are receiving 1099-C “cancellation of debt” tax notices in the mail because the Internal Revenue Service considers forgiven or canceled debt as income.” As a result, taxpayers must report the debt forgiveness as “income” on their federal income tax returns.

If Bankruptcy is declared, the creditor cannot issue the debtor a 1099.

Comment (1)

February 27th, 2010

Filed under: BANKRUPTCY admin |

A total of $600 or more in money or property which is paid to a creditor within 90 days prior to filing is a preference. The Trustee may recover preferences and divide the money between all creditors. (In Chapter 13, the debtor may be able to prevent the trustee from going after the creditor by increasing the amount paid into the plan.) [11 USC §547(b)(4)(B), 11 USC §547(c)(8), 11 USC §101(31)]

Comment (1)

February 22nd, 2010

Filed under: BANKRUPTCY admin |

Since 2007, the debt limits for you to be able to file a Chapter 13 bankruptcy have been $1,010,650 in secured debt, and $336,900 in unsecured debt. On April 1, 2010, those debt limits (along with most other dollar amounts in the Bankruptcy Code, including exemption amounts) will increase. in accordance with the increase in the Consumer Price Index for the last 3 years. The official numbers have yet to be released, but the new limits will probably be $1,081,500 for secured debt, and $360,525 in secured debt.

Comments (2)

February 18th, 2010

Filed under: BANKRUPTCY admin |

NO!!

Comment (1)

February 12th, 2010

Filed under: BANKRUPTCY admin |

For Pennsylvania, the new means test numbers, effective 3/15/10, are as follows:

FAMILY SIZE
1 EARNER - $44,396
2 PEOPLE - $53,572
3 PEOPLE - $67,516
4 PEOPLE - $77,590

The previous figures were:
1 EARNER - $44,555
2 PEOPLE - $53,763
3 PEOPLE - $67,757
4 PEOPLE - $77,867

Comments (2)

February 2nd, 2010

Filed under: BANKRUPTCY admin |

In In re Price, 370 F.3d 362 (3d Cir. 2004) the court held that a non-defaulting bankruptcy debtor has the option to retain property while remaining current on payments, without needing to enter into a reaffirmation agreement, a so-called “pass through” option. Cases within the Third Circuit decided since the passage of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (“BAPCPA”) have concluded that the passage of that statute did not affect the availability of the pass through option as recognized in Price. See, In re Baker, 390 B.R. 524 (Bankr. D. Del. 2008), In re Hart, 402 B.R. 78 (Bankr. D. Del. 2009). Thus, a Debtor is not required to enter into the Reaffirmation Agreement in order to keep the home so long as she makes the required payments.

Comment (1)

February 2nd, 2010

Filed under: BANKRUPTCY admin |

A total of $600 or more in money or property which is paid to a creditor that is a relative or insider (certain business associates) within a year prior to filing is a preference. The Trustee may recover preferences and divide the money between all creditors. (In Chapter 13, the debtor may be able to prevent the Trustee from going after the relative by increasing the amount paid into the plan.) [11 USC §547(b)(4)(B), 11 USC §547(c)(8), 11 USC §101(31)]

Comments (2)

February 1st, 2010

Filed under: BANKRUPTCY admin |

Taxes based on income or gross receipts for which a return (if required) was due within 3 years prior to the filing of the petition are not discharged in Chapter 7. [11 USC §523(a)(1)(A)]

The date due includes any extensions, i.e., if the April 15 due date for income tax is extended to October 15 the later date will be used determining if the 3 year period has been passed. [11 USC §507(a)(8)(A)(i)]

The 3 year period may be extended by any time in a bankruptcy plus an additional 6 months. [11 USC §108(c), 26 USC 6503(h), IRC 6503(h)]

Penalties for taxes not discharged (above), tax penalties regarding a transaction within 3 years of filing, and government fines and forfeitures are not discharged. [11 USC §727(b)] [11 USC §523(a)(7)]

Debt incurred to pay taxes not discharged (above) are not discharged. [11 USC §727(b)] [11 USC §523(a)(14), (14A))]

Comments (4)

January 14th, 2010

Filed under: BANKRUPTCY admin |

A debtor may not file any bankruptcy if he or she filed a previous bankruptcy which was dismissed in the preceding 180 days either (1) on the court’s order because of your willful failure to obey orders of the court or to appear in court when required; or (2) at the debtor’s request after the filing of a request for relief from the automatic stay. [11 U.S.C. § 109(g)]

Comments (3)

January 5th, 2010

Filed under: BANKRUPTCY admin |

A debtor cannot receiving a discharge under Chapter 7 if he or she received a discharge in a Chapter 7 or Chapter 11 bankruptcy which was filed within 8 years before the present case is filed. 11 U.S.C. §727(a)(8)

Comment (1)


 

Warner Mariani, Esquire WARNER MARIANI, LLC 428 Forbes Avenue, Ste 1600 Pittsburgh, PA 15219

Murrysview Shoppes, 5044 William Penn Highway, Monroeville, PA 15146

2211 Ardmore Blvd.,
Forest Hills, PA 15221

Phone: 412-281-3360
Fax: 412-567-5730

 

Terms & Conditions