All: My parents filed for bankruptcy back in August last year. My mom told me that they are expecting about $2,500 income tax refund. I don't know where she got the idea from but she said thinks the refund goes to bankruptcy or somebody that's somehow involved in the bankruptcy? I don't know who it is supposed to go to but the bottom line is that she thinks she will not be able to use the refund. Is this true? Have you heard of anything like this?
This is not unheard of . Generally tax refunds received with 180 days of filing are subject to be taken by the trustee. With $2500 refund and back as far as august, I would doubt that it will be taken, but its certainly possible. Try this forum for bk matters. Im scooby over there.. http://www.chat-cards.com/wwwboard/bankruptcy/messages.html#Messages
