1. Any tax for which a return was not filed, for which a fraudulent return was filed, or which the debtor willfully attempted to evade;

2. Any tax with respect to which a late return was filed within two years before filing for bankruptcy;

3. Income Taxes:
a – for which a return was last due within 3 years of filing for bankruptcy; or
b – assessed within 240 days before filing for bankruptcy; or
c – not yet assess, but assessable after filing bankruptcy.

4. Property taxes assessed before filing and payable without penalty less than one year before filing.

If your tax debt does fall into one of the categories described above, then you may be eligible to discharge your debt at a later date provided you did not willfully attempt to evade the tax.

Contact The Shea Law Firm at (832) 592-7913 if you need to speak with an experienced bankruptcy lawyer about how to lose your tax debt, credit card debt, and debt from medical bills.

Related posts:

1. Your Duties in Chapter 7 Bankruptcy – Part 4
2. Deadline to Discharge Student Loans
3. Is Your Debt Presumed Nondischargeable?

Fortunately, if your facts and circumstances change over the years since your Chapter 7 discharge your Woodlands Bankruptcy Attorney can file additional adversary proceedings to continue to pursue discharge without going through an entirely new bankruptcy provided the student loans existed at the time your previous bankruptcy petition was filed. If you have student loans that you received after your last bankruptcy petition was filed then they would not be eligible to be included in this special procedure.

Call The Shea Law Firm at (832) 592-7913 if you need an experienced bankruptcy lawyer.

Related posts:

1. Your Student Loan Can Be Discharged in Bankruptcy!
2. Discharge Your Tax Debt in Chapter 7

The Statement of Intentions applies to all real or personal property you own that serves as collateral for a debt.

For each piece of property you must state:

1. whether you will surrender the property or keep the property;
2. whether you will redeem the property;
3. whether you will reaffirm the debt secured by the property; and
4. whether the property will be claimed as exempt.

If you are not sure how to answer these important questions then speak with a Woodlands Bankruptcy Attorney today about representing you through the bankruptcy process to protect your rights and property.

Follow-Through

You are generally required to follow-through on your intention for each piece of property within 30 days after the first date scheduled for the Meeting of Creditors. If you intend to surrender the property that means being prepared to turn the property over. If you intend to redeem the property that means having the funds necessary to perform the redemption. If you intend to reaffirm the debt that means having a reaffirmation agreement in place with the creditor.

Related posts:

1. Your Duties in Chapter 7 Bankruptcy – Part 5
2. Your Duties in Chapter 7 Bankruptcy – Part 6

It is not easy to get a student loan discharged in bankruptcy. Not easy at all, but it can be done under very specific conditions. It all comes down to the judge’s definition of “undue hardship.”

“Undue Hardship” is the legal standard used in the Bankruptcy Code to determine if a student loan should be discharged in a bankruptcy proceeding. However, Congress never defined what they meant by “undue hardship” so each judge has been left to create their own definition. Almost everyone agrees that an undue hardship is something more than regular hardship, but there are differences of opinion to how onerous the hardship must be.

Most courts have relied on the Brunner test in evaluating undue hardship. Under the Brunner test you may prevail on an undue hardship claim if:

1. You can not maintain, based on current income and expenses, a “minimal” standard of living for you and your dependents if forced to repay the student loan;
2. Additional circumstances exist indicating that your current state of affairs is likely to persist for a significant portion of the repayment period of the student loans; and
3. You have made a good faith effort to repay the student loan(s).

If you believe you satisfy the criteria described above then you may be eligible to pursue a discharge of your student loans. Your Woodlands Bankruptcy Attorney can help review your facts and present your case in the best light to the bankruptcy court. Be prepared if you intend to pursue a discharge of your student loans: the process is longer, more expensive, and there will be more hearings than in your normal bankruptcy case; but this may be your only chance for the next 8 years to get your student loans discharged.

Get Help

The Shea Law Firm is here to help you get through the bankruptcy process and protect your rights to the fullest extent. Don’t risk losing property you may be able to keep. Call (832) 592-7913 and speak with a Woodlands bankruptcy lawyer today.

LoneStarBankruptcy.com provides the latest news and information on Chapter 7 and Chapter 13 bankruptcy in the Southern District of Texas. The Federal Bankruptcy Court for the Southern District of Texas covers many communities including: Houston, Spring, Conroe, The Woodlands, Montgomery County, and Harris County. If you need legal assistance with a personal bankruptcy matter speak with a Woodlands Bankruptcy Attorney today at (832) 592-7913.

Related posts:

1. Deadline to Discharge Student Loans

Background

The Schellenbergs filed a Chapter 13 Bankruptcy petition on February 2, 2009. The purpose of the filing was to protect from foreclosure a horse ranch that the Schellenbergs had built that was to serve as their homestead and horse training business. The Schellenbergs had borrowed $772, 000 from First State Bank of Central Texas (“FSBCT”) on or about August 10, 2006. On the date of their bankruptcy petition, the Schellenbergs owed the full amount of the Note plus accrued interest in the amount of $802, 045.06.

At the hearings on FSBCT’s Motion for Relief from Stay, Mrs. Schellenberg testified that it was her life’s dream and ambition to operate a horse business. She further testified that the Chapter 13 filing was to halt foreclosure and to find alternative financing. The Schellenbergs were unable to find alternative financing and the Court granted FSBCT’s Motion for Relief from Stay which allowed FSBCT to conduct a foreclosure on August 4, 2009.

On or about March 5, 2009, the Schellenbergs filed their Schedules. The Schellenbergs’ homestead property was listed as exempt with a value that exceeded the debt by roughly $575,000. The Schellenbergs claimed state exemptions and, as such, the homestead property was completely exempted.

After FSBCT conducted its foreclosure, the Schellenbergs converted their case to Chapter 7 on September 10, 2009. The Schellenbergs then filed Amended Schedules on October 30, 2009. The Schellenbergs switched the basis of their exemptions to federal exemptions. Notably, the Debtors did not list their homestead property or its purported equity in their Amended Schedules because the property had been foreclosed.

Because the Schellenbergs had switched from state to federal exemptions upon conversion to Chapter 7, and also because the Schellenbergs no longer claimed a homestead exemption, the Schellenbergs were able to exempt property after conversion to Chapter 7 that they did not exempt when they filed Chapter 13. Specifically, the Schellenbergs now exempted four checking and one savings account in the aggregate amount of $3,068.55. Further, they have exempted a personal injury award with a stated recovery of $15,000.10 and some miscellaneous items in the amount of $225.

The Objection

The Chapter 7 Bankruptcy Trustee filed his Objection to Debtors’ Amended Schedule C Property Claimed or Exempt on November 25, 2009. The Chapter 7 Trustee does not dispute the Debtors’ right to file amendments to their Schedules. That said, the Trustee argues that the Schellenbergs have already removed real property from the bankruptcy estate by exempting the real property under Section 522(b)(3). In doing so, the Schellenbergs also removed the purported equity of over $568,000 in the property. The fact that the property was foreclosed does not change the property’s exempt status. Now the Schellenbergs wish to exempt even more property from the estate by using federal exemptions. The Trustee asserts that switching exemptions is prejudicial to creditors.

The Response

The Schellenbergs contend that there is no prejudice to the Chapter 7 Trustee because they claim that the Fifth Circuit focuses on whether there is prejudice to a creditor who relied on the Debtors’ exemptions before conversion. As such, because the Chapter 7 Trustee was not a party during the Chapter 13 bankruptcy, there can be no detrimental reliance by the Chapter 7 Trustee. Moreover, the Debtors contend there is no prejudice to the Chapter 13 Trustee because she cannot liquidate property.

Also, the Debtors that contend even if the Court were to analyze the matter from the perspective of a hypothetical unsecured creditor, there is still no prejudice because it was unlikely that the Debtors could have sold their homestead for the stated equity. Moreover, FSBCT did foreclose on the property, leaving no equity to anyone. The Debtors also contend that there has been no showing that any party/creditor detrimentally relied on the Debtors’ initial exemptions such that they are prejudiced by the amended exemptions.

Analysis

The Court finds the Chapter 7 Trustee is correct in his arguments. The Fifth Circuit held in In re Williamson that exemptions, for purposes of when they are determined in a case converted from Chapter 11 to Chapter 7, are determined on the petition date. The Fifth Circuit did, however, recognize that amendments under Rule 1009 are liberally construed if there was no bad faith or prejudice to creditors. Similarly, in In re Sandoval the Fifth Circuit held that a homestead exemption in a case converted from Chapter 13 to Chapter 7 is determined on the petition date.

As the Trustee points out, exemptions are determined on the date of petition, not conversion. Further, although Rule 1009(a) does allow for liberal exemptions, exemptions can only be allowed under applicable law. The Schellenbergs elected to file Chapter 13 and protect their perceived equity in their homestead. The Chapter 13 case failed. The conversion to Chapter 7 affords the Chapter 7 Trustee the ability to administer non-exempt assets. As such, the Schellenbergs ‘ cash, personal injury award, and miscellaneous personal property are subject to administration. The Schellenbergs are incorrect in their assertion that there is no prejudice – both the Chapter 13 and 7 Trustees relied upon the original claim of exemptions as did the creditors. To allow the Schellenbergs to amend their exemptions gives them the ability to exempt more property than was originally claimed and was originally exempt. The Court granted the Trustee’s Objection.

Get Help

The Woodlands Bankruptcy Attorney is here to help you get through the bankruptcy process and protect your rights to the fullest extent. Don’t risk losing property you may be able to keep. Call (832) 426-393 and get help today.

LoneStarBankruptcy.com provides the latest news and information on Chapter 7 and Chapter 13 bankruptcy in the Southern District of Texas. The Federal Bankruptcy Court for the Southern District of Texas covers many communities including: Houston, Spring, Conroe, The Woodlands, Montgomery County, and Harris County. If you need legal assistance with a personal bankruptcy matter speak with a local bankruptcy attorney today.

In re Schellenberg, 09-10272-CAG

Related posts:

1. Texas Bankruptcy Exemptions – Jewelry
2. 2010 Federal Bankruptcy Exemptions
3. Bankruptcy Exemptions: Home

Here is what must be taken care of in the first 15 days of your Chapter 7 case. This is the bare minimum, depending on your circumstances additional filings may be required.

1. Filing Fee of $245. This must be paid when your case is filed, unless you file a request for installment payments or a waiver.
2. Administrative fee of $39 and trustee surcharge of $15.
3. Voluntary Petition. Names and addresses of all creditors of the debtor. These documents must be filed WITH the petition.
4. Notice to Individual Debtor with Primarily Consumer Debts under 11 U.S.C. § 342(b). Your Woodlands Bankruptcy Attorney must give you this notice before your case is filed and it must be certified on your original petition or within 15 days.
5. Statement of Social Security Number. This must be submitted with the original petition.
6. Individual Debtor’s Statement of Compliance with Credit Counseling Requirement. Exhibit D must be filed with your petition. The certificate itself can be filed with the petition or within 15 days.
7. Statement of current monthly income. This must be filed with the petition or within 15 days.
8. Schedules of assets and liabilities. This must be filed with the petition or within 15 days.
9. Schedule of executory contracts and unexpired leases. This must be filed with the petition or within 15 days.
10. Schedules of current income and expenditures. This must be filed with the petition or within 15 days.
11. Statement of financial affairs. This must be filed with the petition or within 15 days.
12. Copies of all payment advices or other evidence of payment received by the debtor from any employer within 60 days before the filing of the petition. These must be filed with the petition or within 15 days.

Get Help

The Woodlands Bankruptcy Attorney is here to help you get through the bankruptcy process and protect your rights to the fullest extent. Don’t risk the judge dismissing your case because you missed a deadline. Get help today.

LoneStarBankruptcy.com provides the latest news and information on Chapter 7 and Chapter 13 bankruptcy in the Southern District of Texas. The Federal Bankruptcy Court for the Southern District of Texas covers many communities including: Houston, Spring, Conroe, The Woodlands, Montgomery County, and Harris County. If you need legal assistance with a personal bankruptcy matter speak with a local bankruptcy attorney today.

No related posts.

This is Part 6 of my series reviewing your obligations as a bankruptcy filer in Harris County or Montgomery County and the Southern District of Texas. In addition to the obligations we previously discussed, your obligations include:

1. You are required to appear and attend a Meeting of Creditors. The clerk of the U.S. Bankruptcy Court provides notice of this meeting. If you have not received notice of your meeting within 20 days after your case is filed, contact your attorney. The meeting can only be rescheduled as a result of an emergency or an unavoidable or unforeseen conflict. Work related conflicts must be resolved by you. Travel and/or vacations plans are not grounds for rescheduling. If you are not represented by counsel, requests for a new date and time must be in writing and received more than 15 fifteen days prior to your scheduled meeting and you must provide a statement as to the nature of the emergency or conflict. It is the Trustee’s discretion as to whether a reset date and time will be given. You or your attorney will be responsible for re-noticing all creditors of the date and time of the reset. Do not call the Clerk’s office and ask for a reset.
2. You must bring picture identification issued by a governmental authority to your Meeting of Creditors, such as a driver’s license, and your social security card. If you do not have a social security card, you must bring a pay stub, W-2, 1099 or other documents not created by you with the complete number. Your tax return is not sufficient. Failure to bring proper identification or proof of social security will cause your meeting to be reset.
3. If your meeting is reset, you and your attorney must sign and file with the Court a written statement that the reset date is the new date for the First Meeting of Creditors, and that you agree and acknowledge that all deadlines associated with the date set for the First Meeting of Creditors run from the new date.

Your Houston Bankruptcy Attorney can represent you through the process and make sure you fulfill your legal obligations in order to get the discharge you are entitled to. We will continue our review of your obligations to the Bankruptcy Court in your Chapter 7 case in our next article.

Related posts:

1. Your Duties in Chapter 7 Bankruptcy – Part 5
2. Your Duties in Chapter 7 Bankruptcy – Part 2
3. Your Duties in Chapter 7 Bankruptcy – Part 1

This is Part 5 of my series reviewing your obligations as a bankruptcy filer in Montgomery County and the Southern District of Texas. In addition to the obligations we previously discussed, your obligations include:

1. You are required to file and complete your statement as to your intention concerning secured consumer debt. The Trustee will assume that you have done so within the time provided unless you advise the Trustee in writing to the contrary, and state your plans to remedy any default.
2. Pursuant to the rules regarding electronic filing, you are required to provide the Trustee at least ten (10) days prior to your scheduled creditors meeting, with a copy of your schedules, statement of financial affairs, means test form, certificate of credit counseling, two years of tax returns, the bank statements for the two months prior to filing including the month of filing and proof of income for the 60 days prior to filing. Failure to provide this information within ten (10) days in advance of the First Meeting of Creditors will cause your meeting to be reset. Additionally, if you fail to provide these documents it could result in dismissal of your case.

Your Conroe Bankruptcy Attorney can represent you through the process and make sure you fulfill your legal obligations in order to get the discharge you are entitled to. We will continue our review of your obligations to the Bankruptcy Court in your Chapter 7 case in our next article.

Related posts:

1. Your Duties in Chapter 7 Bankruptcy – Part 3
2. Your Duties in Chapter 7 Bankruptcy – Part 2
3. Your Duties in Chapter 7 Bankruptcy – Part 4

This is Part 4 of my series reviewing your obligations as a bankruptcy filer in Montgomery County and the Southern District of Texas. In addition to the obligations we previously discussed, your obligations include:

1. You must provide written notice to the Trustee of any tax refund in excess of $2,500.00 you anticipate receiving or actually receive.
2. You are still responsible for filing your own personal income tax return. You should inform your tax advisor of the filing of your bankruptcy petition, as it affects your own personal tax return. If necessary for the administration of the bankruptcy estate, the Trustee will request copies of pre petition tax returns. If you believe that you need to amend a pre-petition tax return you must notify the Trustee in writing.

Your Conroe Bankruptcy Attorney can represent you through the process and make sure you fulfill your legal obligations in order to get the discharge you are entitled to. We will continue our review of your obligations to the Bankruptcy Court in your Chapter 7 case in our next article.

Related posts:

1. Your Duties in Chapter 7 Bankruptcy – Part 2
2. Your Duties in Chapter 7 Bankruptcy – Part 5
3. Your Duties in Chapter 7 Bankruptcy – Part 3

This is Part 3 of my series reviewing your obligations as a bankruptcy filer in Montgomery County and the Southern District of Texas. In addition to the obligations we previously discussed, your obligations include:

1. You must provide written notice to the Trustee of any leases, contracts or agreements that require you to provide services or property in the future that entitle you to compensation, services or property in the future.
2. You must turnover to the Trustee the names and addresses of each and every party to whom any transfers, conveyances of gifts or your property that you made and that were not scheduled and that were made within one (1) year prior to the date you filed bankruptcy.
3. You must provide written notice to the Trustee of all debts repaid within the year prior to filing bankruptcy. You need not advise the Trustee of debts repayments that are properly scheduled or if the total amount of the debt was less than $1,000.00.

Your Conroe Bankruptcy Attorney can represent you through the process and make sure you fulfill your legal obligations in order to get the discharge you are entitled to. We will continue our review of your obligations to the Bankruptcy Court in your Chapter 7 case in our next article.

Related posts:

1. Your Duties in Chapter 7 Bankruptcy – Part 1
2. Your Duties in Chapter 7 Bankruptcy – Part 2
3. Your Duties in Chapter 7 Bankruptcy – Part 4